Daewon Pharmaceutical대원제약

Daewon Pharmaceutical swung to a small trailing profit on thin margins while its shares have fallen about 39% over the past year.

Daewon Pharmaceutical, a Korean drugmaker with prescription, cold-medicine, contract manufacturing and cosmetics businesses, reports trailing revenue of about ₩615B to H1 2026 but operating income of about -₩0.1B, so profit depends on non-operating items. Its 2025 full-year net result was a loss of about ₩1.4B after profits in 2021 to 2024, and it carries borrowings of ₩184B against cash of ₩24B. The shares closed at ₩7,940 on 23 October 2026, near the low end of their 52-week range of ₩7,060 to ₩13,670.

What stands out

• Trailing operating margin is roughly zero, down from 9% in 2022 and 4.7% in 2024, while revenue has kept growing modestly.
• Trailing free cash flow is about -₩5.2B and liabilities are 108% of equity, so debt is a notable feature of the balance sheet.
• The data's DCF base value is ₩10,354 and bear value is ₩0, which sits well below the current price; the bull value is ₩36,782. These are model outputs, not forecasts.
• Trailing P/E of about 67.7 is high against a trailing net margin of 0.4%, and the company pays no dividend.
• Recent headlines centre on early-stage oral obesity and diabetes drug research, with a Phase 1 filing in Korea planned for next year, according to press reports.

What to watch

• The next quarterly and annual filings, to see whether operating income turns positive and whether the 2025 loss is repeated.
• Progress on the oral obesity drug programme, including the planned Korean Phase 1 filing next year, which the data describes only as company plans.
• Debt levels and negative free cash flow, which the data flags as risks to the balance sheet.