Strong market leadership supported by the Hyundai Automotive group's strong domestic business Support from General Electric Capital Corp. Good profitability High dependency on market-sensitive funding sources Business concentration in new-car financing Exposure to unsecured personal loans, which are inherently vulnerable to volatility in the economic cycle Our ratings on Hyundai Capital Services Inc. (HCS; BBB+/Stable/A-2) reflect its strong market leadership backed by Hyundai Automotive group's strong domestic market presence, support from General Electric Capital Corp. (GECC; AA+/Stable/A-1+), and good profitability. On the other hand, the ratings are constrained by the company's high dependency on market-sensitive funding sources, its business concentration in new-car financing, and exposure to unsecured personal loans, which are inherently vulnerable to the economic cycle. HCS is the...
Companies mentioned in this report are:
- Hyundai Capital Services Inc.
- Hyundai Capital America
- Hyundai Motor Co.
- Kia Motors Corp.
- Hyundai Card Co. Ltd.
- Hyundai Mobis Co. Ltd.
- Hyundai Glovis Co. Ltd.
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
Research Type: Full Analysis