Cheil Grinding Wheel IND제일연마

Cheil Grinding Wheel is a small, low-valued grinding wheel maker whose profits fell sharply in 2025 and remain modest in the latest twelve months.

Cheil Grinding Wheel sells general and CBN grinding wheels mainly to large Korean industrial customers, with plants in Pohang, Ansan and Indonesia. Trailing twelve-month revenue is about ₩81.8B with an operating margin of 7.4% and net income of ₩6.7B, while the shares closed at ₩8,710, near the lower part of their 52-week range. The data shows a debt-light balance sheet but no dividend yield in the valuation figures.

What stands out

• Revenue fell 3.8% in 2025 to ₩78.9B, and 2025 operating income dropped to ₩4.2B from ₩5.8B in 2024, with operating margin down to 5.4%.
• 2025 net income of ₩13.6B was well above operating income, so the bottom line was helped by items outside core operations; the data does not explain the source.
• Trailing liabilities-to-equity is 10.7% and cash is about ₩34.0B against no reported borrowings, which points to a conservative balance sheet.
• Shares are down 11.1% over one year and trade at a P/E of 9.8 and P/B of 0.6, below the listed peer median for P/E, though the data gives no reason for the discount.
• The company's DCF model gives a base value of ₩13,775 versus the ₩8,710 close, with a bear case of ₩10,019 and bull case of ₩20,448; these are model outputs, not forecasts.

What to watch

• The full-year 2026 results and the next quarterly report, to see whether the margin recovery in the first half of 2026 holds.
• Follow-up on the corporate value-up plan and any new dividend decision, since the current dividend yield is 0%.
• Foreign ownership of 6.4% has been flat over 60 days and recent 20-day flows were net negative from foreign and retail investors, while the news feed for this period is empty.