Unitree's IPO Boom in China: Will It Benefit Korean Companies? [Weekend Money]

Unitree's Stock Soars Sixfold on First Trading Day
Commercialization Capabilities Play a Major Role in Corporate Valuation
"Valuation Premiums Expected for Korean Firms Like Hyundai Motor Group"

Hanwha Investment & Securities analyzed that the successful initial public offering (IPO) of the Chinese humanoid robotics company Unitree confirms the possibility that domestic humanoid robotics companies could also receive valuation premiums.

Photo by Google Gemini generated

After being listed on the STAR Market of the Shanghai Stock Exchange on the 19th, Unitree traded at 1,100 yuan—a price 629% higher than its IPO price of 150.8 yuan (with a market capitalization of approximately 12.6 trillion won)—reaching an intraday market cap peak of about 92 trillion won. At closing, it settled at 845 yuan, a 460.3% increase over the IPO price, with a corresponding market cap of approximately 70.7 trillion won.

This outcome far surpassed the market's anticipated market cap level of 40 billion to 50 billion yuan (about 8.4 trillion to 10 trillion won). Unitree achieved the highest corporate value in the humanoid robotics industry. Previously, Figure AI, which had the highest recognized value in the private market, was valued at approximately USD 39 billion (about 55 trillion won). While the corporate value of Tesla’s Optimus is estimated to reach around USD 210 billion (295 trillion won), in the official market Unitree currently records the highest market capitalization.

Sungrae Kim, an analyst at Hanwha Investment & Securities, said, "As a listed company specializing in pure-play humanoid robots capable of physical shipment, it has proven the highest global valuation premium." He added, "It also highlights that companies in the humanoid robotics sector are fully capable of receiving significant valuation premiums in the market."

The factors driving Unitree's corporate value appear to include its diverse product portfolio, market expansion opportunities, short-term mass production visibility backed by a massive domestic market, and unrivaled mobility control capabilities. However, Hanwha Investment & Securities believes that Unitree’s potential for further valuation growth is limited. This is because questions remain about whether humanoid robots can assist or replace heavy-load tasks in factories and logistics operations.

Analyst Kim said, “The core cash flow-generating market for the robotics industry lies not in entertainment but in backing up or replacing heavy-load work on manufacturing and logistics sites. Companies must provide suitable references for this.” He added, “There is a need to demonstrate stable manipulation performance for irregularly shaped items such as parts, tools, and workpieces.”

He emphasized that Unitree’s public listing signals a valuation premium for domestic humanoid robotics companies that have secured commercialization capabilities. Last year, Unitree shipped 5,500 humanoid robots and further demonstrated its commercialization capability by shipping 5,900 units in the first half of this year.

Analyst Kim predicted, “Boston Dynamics of Hyundai Motor Group, as well as Robotis, are preparing for mass production of humanoids and actuators on a large scale in the United States and Uzbekistan. Once the actual operation of these factories and numbers for production and shipment are confirmed, a sufficient valuation premium could materialize for these companies alongside Unitree.”

He also noted that the stable captive (internal transaction) demand and clearly defined target technologies of Korean companies serve as factors that increase the commercial value of humanoid robots. Kim said, “Boston Dynamics has captive demand focused on factory and logistics automation, and possesses testbeds like HMGMA and those modeled after clear targets such as Alibaba and Georgia, making it well-positioned to secure high business potential.”

This content was produced with the assistance of AI translation services.