Hyundai Motor Shares Rise on Morgan Stanley Target

Hyundai Motor Co, South Korea’s biggest carmaker, rose to the highest level in more than a year in Seoul trading as Morgan Stanley lifted its share-price estimate on the company.

Hyundai Motor shares climbed 3.6 per cent to 83,700 won on the Korea Exchange, gaining for a fifth day to the highest close since May 2008. The benchmark Kospi stock index rose 0.7 percent.

Morgan Stanley raised its target price to 101,000 won from 88,000 won and maintained its “overweight” recommendation in a report today, saying South Korea’s tax incentives for vehicle purchases led to strong sales and a rise in average selling prices in the second quarter.

Hyundai Motor’s market-share gain has been “impressive” in the U.S., Western Europe, China and India, and its new models may help the company gain further share in global markets, the brokerage said.