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JONBUR Research · Initiation

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Systems Technology · 039440 · Machinery

Systems Technology: Sharp Share Price Rally Meets Softer Earnings and a Wide Gap to the Model Estimate

Why this report

Start of coverage: written when a reader opened this company and there was no report yet.

Systems Technology (KOSDAQ, machinery) has risen 48.5% in one month to ₩30,000, while trailing operating margin has slipped to 4.1% from 8.2% in 2024. A DCF-based model estimate of ₩6,777 per share sits far below the current price, and free cash flow is negative.

Written Oct 20, 2026 · Data as of Oct 19, 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 strong recent price move alongside weaker fundamentals. The shares are up 48.5% over one month, 28.5% over three months and 33.9% over one year, and sit below the 52-week high of ₩43,200 but well above the low of ₩17,320. News headlines on Oct 13 and Oct 14 mention the stock, and one describes it as a top net-buying stock among 'super investors'.

The data does not show a clear earnings driver for the rally. Revenue was ₩303.1B over the trailing twelve months to H1 2026 versus ₩328.1B in 2025, and operating income was ₩12.4B versus ₩19.7B. Net income of ₩19.4B is higher than operating income, so non-operating items appear to contribute, though the data does not say what they are.

On the supportive side, the balance sheet is conservative, with liabilities at 18.5% of equity and borrowings of only ₩2.0B against cash of ₩43.8B. Three major sales or supply contract filings since April point to continued order activity, though contract sizes are not given in the data.

Business overview

Systems Technology (에스티아이, code 039440) is a machinery company listed on KOSDAQ since Feb 28, 2002, and founded in 1997. It is led by co-CEOs 서인수 and 이우석. It has 15,507,047 listed shares and a market capitalization of about ₩465.2B.

Revenue has ranged between ₩319.5B and ₩422.4B over 2021 to 2025. It rose 32.2% in 2022 to ₩422.4B, fell 24.4% in 2023, rose 4.6% in 2024 to ₩334.0B and fell 1.8% in 2025 to ₩328.1B. Product-level and customer detail is not available in the data.

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Model estimate of fair value

Bear
₩2,752
-89%
Base
₩6,777
-73%
Bull
₩13,912
-45%

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

Base case of the 5-year discounted cash flow model on the stock's Valuation tab (statements TTM to H1 2026; discount rate 7.8%). Bear and Bull move the main assumptions by fixed steps. See and change the assumptions

Filings and data used

Report history

  1. Oct 21, 2026Update noteModel fair value changeSystems Technology: Model Fair Value Estimate Rises to ₩17,640 Per Share, Still Below Market Price
  2. Oct 20, 2026InitiationStart of coverage (reader request)Systems Technology: Sharp Share Price Rally Meets Softer Earnings and a Wide Gap to the Model Estimate

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