Korea Investment cuts target for Hanwha Engine stock to KRW 85,000

Published on 10/14/2026 at 00:20 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Q3 revenue is forecast at KRW 420.60 billion and profit at KRW 52.00 billion. For Hanwha Engine stock, Q2 revenue fell 6.60 percent.

Targets and earnings set direction

Korea Investment Securities lowered its Hanwha Engine target to KRW 85,000 on October 8, 2026.
Second-quarter revenue reached KRW 362.22 billion, down 6.60 percent year over year.
Hanwha Engine's market capitalization was KRW 3.1 trillion on October 13, 2026.

Hanwha Engine, KR7082740002, Illustration mit AI erstellt.

Hanwha Engine (ISIN KR7082740002) faces a lower valuation bar after Korea Investment Securities cut its target from KRW 110,000 to KRW 85,000 on October 8, 2026, while retaining a Buy rating, according to Viva100. The revision puts cost pressure and sector valuation at the center of the investment case.

Q2 earnings set the base

Hanwha Engine reported revenue of KRW 362.22 billion in the second quarter of 2026, down 6.60 percent from the same period a year earlier, while operating profit reached KRW 37.91 billion. The figures were reported by ATS View from quarterly reports filed on DART.

The comparison is mixed: revenue declined year over year, but operating profit rose from KRW 33.80 billion in the second quarter of 2025 to KRW 37.91 billion in the second quarter of 2026. Net income reached KRW 33.20 billion, compared with KRW 21.60 billion a year earlier.

What does the lower target reflect?

Korea Investment Securities estimated third-quarter revenue at KRW 420.60 billion and operating profit at KRW 52.00 billion, representing quarter-over-quarter increases of 16.10 percent and 37.30 percent. The same forecast placed operating profit 14.90 percent below market expectations because of costs linked to new businesses, including KRW 2.50 billion of intangible-asset amortization and KRW 3.00 billion of fixed costs in the energy-storage business, Viva100 reported.

A separate report from Hyundai Motor Securities also lowered its target, from KRW 103,000 to KRW 75,000 on October 8, 2026, while maintaining a Buy rating. The estimate called for third-quarter revenue of KRW 421.50 billion and operating profit of KRW 54.20 billion, with operating profit 11.50 percent below consensus, according to Newspim.

Three dates shape the outlook

Hanwha Engine's second-quarter reporting period ended on June 30, 2026, the company released the results on July 31, 2026, and the target revisions arrived on October 8, 2026. The sequence shows why the market is weighing improving operating profit against the timing and cost of expansion.

On October 13, 2026, Hanwha Engine's market capitalization was KRW 3.1 trillion. Its business includes low- and medium-speed marine diesel engines and engines for power generation, while the company also supplies engine components and maintenance services.