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Daishin Securities · 003540 · Financials

Daishin Securities: Earnings Improve While Shares Trade Well Below Book Value and Fall 11.6% in a Month

Why this report

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

Daishin Securities' trailing earnings rose to ₩443.9B net income as of H1 2026, against ₩186.6B in 2025, while the share price fell 11.6% over one month to ₩24,050. The stock trades at 0.3x book value and 2.8x earnings, but leverage is high and free cash flow is deeply negative.

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 improving profitability alongside a depressed share price. Trailing net income of ₩443.9B is more than double the 2025 level, and ROE rose to 11.3% from 5.1%. The stock sits near its 52-week low of ₩22,750, well below the high of ₩51,400, and returns are negative over 1, 3 and 12 months (-11.6%, -8.4%, -10.4%).

What the data does not support is a clean story. Liabilities to equity are 834.7%, borrowings are ₩7.4T against cash of ₩2.0T, and free cash flow is -₩5.2T. For a securities firm, these items reflect how the balance sheet funds trading and client activity, but the data gives no breakdown. Investor flow, foreign ownership and short balance data are not available, so market positioning cannot be assessed.

Business overview

Daishin Securities is a KOSPI-listed financial company founded in 1962 and listed since 1975, with 50,773,400 listed shares and a market capitalisation of about ₩1.22T. Its CEO is listed as 진승욱. Revenue grew from ₩3.85T in 2023 to ₩4.09T in 2024 and ₩5.06T in 2025, and trailing revenue to H1 2026 is ₩7.57T. Recent filings show frequent securities issuance results reports and shelf registrations for derivative-linked securities and bonds, consistent with an active issuance business, though the data does not give amounts.

Financial analysis

All figures come from filed financial statements (DART). Revenue rose 6.2% in 2024 and 23.7% in 2025. Operating income was ₩161.3B in 2023, ₩83.6B in 2024 and ₩301.4B in 2025; the operating margin moved from 4.2% to 2.0% to 6.0%. Net income was ₩133.6B, ₩144.8B and ₩186.6B over the same years, with ROE of 4.4%, 4.6% and 5.1%.

On a trailing basis to H1 2026, revenue is ₩7.57T, operating income ₩589.3B (7.8% margin), net income ₩443.9B (5.9% margin) and ROE 11.3%. Cash is ₩2.01T, borrowings ₩7.36T, liabilities to equity 834.7% and free cash flow -₩5.2T.

Valuation

Current multiples are P/E 2.8x, P/B 0.3x, P/S 0.2x and EV/EBITDA 10.2x, with a dividend yield of 8.5%. At the end of 2025 P/E was 7.3x and P/B 0.3x, so the P/E is lower now as earnings rose. Peers show P/E of 3.5x to 5.2x for Kiwoom, Mirae Asset, Samsung Securities and NH Investment, with P/B of 0.7x to 1.0x; kakaopay is an outlier at 58.0x P/E and 2.6x P/B. Daishin is below these traditional securities peers on both measures.

The valuation model uses the excess method (P/B versus ROE) at a 7.5% rate, based on TTM to H1 2026. It gives a base estimate of ₩43,862 per share, with a bear case of ₩9,625 and a bull case of ₩93,281, against a price of ₩24,050. This is a model estimate based on the assumptions shown, not a target, and the very wide range shows how sensitive it is to ROE assumptions.

Catalysts

  • A change in the largest shareholder's holdings was filed on 2026-10-13, which may draw attention to ownership.
  • An amended half-year report for June 2026 was filed on 2026-10-07, so the latest figures have been revised or clarified.
  • Amended shelf registration statements for equity-linked and other derivative-linked securities and bonds were filed on 2026-10-08.
  • Multiple securities issuance results reports were filed between 2026-09-30 and 2026-10-06.
  • A 2026-10-13 Yonhap headline cites a Daishin Securities view on KT's AIDC expansion and competition with SpaceX; the data gives no further detail.

Risks

  • Liabilities to equity of 834.7% and borrowings of ₩7.4T leave the balance sheet sensitive to funding conditions.
  • Trailing free cash flow of -₩5.2T shows large cash outflows, and the data does not explain their drivers.
  • Earnings have varied year to year, with operating income of ₩83.6B in 2024 against ₩301.4B in 2025, so recent gains may not persist.
  • The share price is down 11.6% in one month and sits near its 52-week low, indicating negative market sentiment.
  • Investor flow, foreign ownership and short-selling data are unavailable, limiting visibility into who is trading the shares.

Closing view

The data shows a securities firm with sharply higher trailing profit and ROE, trading at 0.3x book and 2.8x earnings, below listed securities peers, with an 8.5% dividend yield. Against that, leverage is very high, free cash flow is strongly negative and the share price trend is weak. The model estimate of ₩43,862 per share is well above the current price but carries a very wide bear-to-bull range. The evidence is mixed and depends on whether the recent earnings level is sustained and how the balance sheet is funded.

Model estimate of fair value

Bear
₩9,625
-58%
Base
₩43,862
+93%
Bull
₩93,281
+311%

Model estimate based on the assumptions shown. Not a price target and not a buy or sell signal.

Base case of the P/B vs ROE (excess return) model on the stock's Valuation tab (statements TTM to H1 2026; discount rate 7.5%). Bear and Bull move the main assumptions by fixed steps. See and change the assumptions

Filings and data used

Report history

  1. Oct 13, 2026InitiationStart of coverage (300 largest)Daishin Securities: Earnings Improve While Shares Trade Well Below Book Value and Fall 11.6% in a Month

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