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Shinyoung Securities · 001720 · Financials

Shinyoung Securities: Shares Down 10.3% in a Month as Earnings Soften and Leverage Stays High

Why this report

Start of coverage: one of the 300 largest companies, written once its financial statements were in.

Shinyoung Securities (KOSPI: 001720) closed at ₩133,000 on 2026-10-12, 51.1% below its 52-week high of ₩272,000, with a market cap of ₩2.2T. Filed statements show 2025 revenue and profit fell from 2024, and the stock trades at a higher P/E than the larger securities peers in the data.

Written Oct 13, 2026 · Data as of Oct 12, 2026 · 0 views

This is not financial advice. The report does not recommend buying or selling anything.

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Thesis

The data supports a picture of a mid-sized securities firm with thin but positive margins and a very leveraged balance sheet. The share price is down 10.3% over one month and 12.2% over three months, though only 1.0% lower over one year. The 4.7% dividend yield is a supportive point in the data. Against that, 2025 revenue fell 10.8%, net income fell to ₩108.6B from ₩142.6B, and ROE slipped to 6.4% from 8.8%. Trailing figures to Q1 2026 look somewhat better (net income ₩140.3B, ROE 7.8%), which suggests a partial recovery, but we only have one quarter of detail. Investor flows, foreign ownership, short balance and news headlines are not available, so we cannot say who is driving the recent price weakness.

Business overview

Shinyoung Securities is a financials-sector company listed on KOSPI since 1987-08-24 and founded in 1956-02-25. It has 16.44M listed shares and co-CEOs 금정호 and 김대일. At ₩2.2T market cap it is much smaller than the peers listed here, such as Mirae Asset Securities (₩16.2T), NH Investment & Securities (₩7.9T), Samsung Securities (₩7.4T) and KIWOOM Securities (₩5.8T). Recent filings show frequent securities issuance activity, including issuance results reports, prospectuses and shelf registration documents for equity-linked securities and derivative-linked bonds. The data does not break down revenue by business line.

Financial analysis

All figures come from filed financial statements (DART). Revenue was ₩2.47T in 2025, down 10.8% from ₩2.76T in 2024. Operating income was ₩136.1B in 2025 versus ₩170.4B in 2024, with operating margin of 5.5% versus 6.2%. Net income was ₩108.6B versus ₩142.6B. ROE was 6.4% versus 8.8%. For the trailing twelve months to Q1 2026, revenue was ₩3.23T, operating income ₩181.5B (5.6% margin), net income ₩140.3B (4.3% margin) and ROE 7.8%. Liabilities to equity were 552.1%, which is high, though that is common for securities firms and we have no historical comparison. Free cash flow was negative at about -₩65.2B. Cash and borrowings are not available.

Valuation

The stock trades at a P/E of 15.6, P/B of 1.1 and P/S of 0.7, with a 4.7% dividend yield. At the end of 2025 the P/E was 20.3 and P/B 1.3, so both multiples are lower now. Peers in the data show much lower P/Es: Mirae Asset 4.3, NH Investment 5.2, Samsung Securities 5.1 and KIWOOM 3.4, with P/B of 0.7 to 1.0. Only kakaopay is higher, at a P/E of 58 and P/B of 2.6. Shinyoung's P/B is slightly above the traditional securities peers. EV/EBITDA is not available. Our simple five-year DCF model fair value range could not be worked out, so there is no bear, base or bull value to compare with the ₩133,000 share price.

Catalysts

  • Frequent securities issuance results reports (2026-10-08 and 2026-10-12) show continued activity in equity-linked products.
  • New prospectuses and supplementary shelf registration documents filed on 2026-10-13 point to further planned issuance of equity-linked securities and derivative-linked bonds.
  • The next financial statement filing will show whether the improvement in trailing earnings to Q1 2026 continues.
  • The 4.7% dividend yield and the 51.1% gap to the 52-week high keep attention on future payout decisions, though no dividend announcement is in the data.

Risks

  • Revenue fell 10.8% in 2025 and net income fell 23.9%, showing earnings are not stable.
  • Liabilities to equity of 552.1% leaves little cushion if markets or funding conditions worsen.
  • Free cash flow was negative at about -₩65.2B over the trailing period.
  • The P/E of 15.6 is well above the securities peers shown, so the shares could be sensitive if earnings disappoint.
  • Missing data on investor flows, foreign ownership, short balance and news limits visibility into what is driving the share price.

Closing view

The evidence is mixed. The share price has fallen sharply from its 52-week high, valuation multiples are below year-end 2025 levels, and the dividend yield is 4.7%. However, earnings declined in 2025, leverage is high, free cash flow is negative, and the stock carries a higher P/E than most listed securities peers in the data. With no model fair value and no flow data, the numbers describe a company in a modest earnings recovery but do not give a clear read on whether the current price reflects that.

Model estimate of fair value

The valuation model has no estimate for this company yet (not enough data, or no positive value with the base case).

Filings and data used

Report history

  1. Oct 13, 2026InitiationStart of coverage (300 largest)Shinyoung Securities: Shares Down 10.3% in a Month as Earnings Soften and Leverage Stays High

Built only from jonbur's own data: prices and investor flows, filed financial statements and filings, and news headlines. Disclosed (filed) data is labelled as such. Written by AI and may contain mistakes.

This is not financial advice. The report does not recommend buying or selling anything.

Source: KRX statistical information