Infinitt Healthcare: Profit Jump, Low Multiples and a Model Estimate Below the Share Price

Thesis

The data supports a business with steady revenue growth and improving operating margins, from 3.5% in 2023 to 22.3% on a trailing basis. The balance sheet is conservative, with liabilities at 27.2% of equity and borrowings of only ₩410.7M. The trailing P/E of 4.0 is low versus peers, but trailing net income is much larger than operating income, which suggests non-operating gains. The data does not identify their source, and they may not repeat. Net margin of 59.1% should therefore be read with caution. The model estimate (₩6,510 base) sits below the share price, so the market is pricing in more than the model's assumptions. Several recent filings concern interim dividends and a shareholder meeting. The dividend yield shows 0.0%, and the amounts are not in the data.

Business overview

Infinitt Healthcare is a software company listed on KOSDAQ since 2010-05-26, founded 2002-12-30, with co-CEOs Hong Ki-tae and Lee Won-yong. It has 24,396,458 listed shares and a market capitalization of about ₩261.8B. Revenue grew from ₩78.2B in 2021 to ₩102.4B in 2025, and trailing revenue to H1 2026 is ₩109.7B. The 52-week high is ₩14,080; the 52-week low is shown as 0 and is not usable. Foreign ownership rose to 13.2% from 11.7% sixty days earlier, and the short balance is 0.2%.

Financial analysis

Figures come from filed financial statements. Revenue was ₩102.4B in 2025 (+6.9%), ₩95.8B in 2024 (+7.1%) and ₩89.4B in 2023 (+1.3%). Operating income rose from ₩3.1B in 2023 to ₩7.7B in 2024 and ₩14.2B in 2025, with margin going from 3.5% to 8.1% to 13.9%. Trailing operating income is ₩24.4B (22.3% margin). Net income was ₩37.8B in 2024 (ROE 25.2%), ₩26.4B in 2025 (ROE 14.7%) and ₩64.9B trailing (ROE 32.8%, net margin 59.1%). Net income has repeatedly exceeded operating income, so earnings quality is worth checking in the filings. Trailing cash is ₩16.2B, borrowings ₩410.7M and free cash flow ₩17.3B.

Valuation

Current multiples are P/E 4.0, P/B 1.2, P/S 2.4 and EV/EBITDA 9.2, with an enterprise value of ₩245.3B. Year-end P/E was 5.4 in 2025, 2.7 in 2024 and 7.7 in 2023, and P/B was 0.7, 0.6 and 1.0, so P/B is now above its recent year-end levels while P/E is within its range. Peers show P/E of 7.2 to 48.3 (Netmarble 7.2, NC 7.5, PearlAbyss 8.1, Krafton 10.7, Hyundai Autoever 48.3) and P/B of 0.5 to 4.9. These peers are larger and are mostly game companies, so comparability is limited. The valuation model (5-year discounted cash flow at a 7.5% rate, based on trailing figures to H1 2026) gives a base case of ₩6,510 per share, with bear ₩4,221 and bull ₩10,438. This is a model estimate based on the assumptions shown, not a target. The share price of ₩10,730 is above even the bull case.

Catalysts

• Filings dated 2026-10-19 call a shareholders' meeting and set a record date, which may bring decisions on shareholder matters.
• A cash dividend decision and interim dividend ex-date were filed on 2026-10-07, following a shareholder-value dividend plan notice on 2026-09-11.
• Two 5%+ holding reports (2026-09-01 and 2026-09-21) point to changes among large shareholders.
• Foreign ownership rose from 11.7% to 13.2% over 60 days, though 20-day flows were slightly negative.
• The half-year report for June 2026 was filed on 2026-08-14 and underlies the current trailing figures.

Risks

• Trailing net income is much larger than operating income, so the profit level may depend on non-recurring items that the data does not explain.
• A lawsuit filing and an amended filing on 2026-08-31 are listed, but their details and potential impact are not in the data.
• The share price is above the model's bull case, so the model's assumptions may differ from market expectations.
• The share price fell 10.9% in one month, and 20-day net flows were negative for foreign investors, institutions and retail.
• Revenue growth has been moderate at 6.9% to 7.1% in the last two years, and no news headlines are available to add context.

Closing view

The data shows a debt-light software company with rising margins, strong cash generation and low earnings multiples. Against that, headline net income looks inflated relative to operating profit, a lawsuit is disclosed without detail, and the share price sits above the model's range. The evidence is mixed: the operating improvement looks real, but its durability and the source of non-operating gains need checking in the filings.

Model estimate of fair value

Bear

₩4,221

-60%

Base

₩6,510

-38%

Bull

₩10,438

-0%

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 7.5%). Bear and Bull move the main assumptions by fixed steps. See and change the assumptions

Filings and data used

• Determination of Shareholder Register Closure Period or Record DateOct 19, 2026
• Shareholders' meeting calledOct 19, 2026
• Cash dividend decisionOct 7, 2026
• Interim (Quarterly) Dividend Ex-DateOct 7, 2026
• 5%+ holding reportSep 21, 2026
• Disclosure Obligation Matter (Fair Disclosure) (Notice of Dividend Plan to Enhance Shareholder Value)Sep 11, 2026
• [Corrected] Determination of Record Date for Shareholder Register Closure for Interim (Quarterly) DividendSep 2, 2026
• 5%+ holding reportSep 1, 2026
• Amended: Lawsuit filed or ruledAug 31, 2026
• Lawsuit filed or ruledAug 31, 2026
• Decision on Shareholder Register Closure (Record Date) for Interim (Quarterly) DividendAug 21, 2026
• Half-year report (Jun 2026)Aug 14, 2026
• Daily prices up to 2026-10-21
• Financial statements, trailing 12 months as of H1 2026
• Our fair value model, statements as of TTM to H1 2026

Report history

1. Oct 22, 2026InitiationStart of coverage (reader request)Infinitt Healthcare: Profit Jump, Low Multiples and a Model Estimate Below the Share Price