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Sebang Global Battery

004490 · KOSPI · ₩004490 · 세방전지

₩57,200▼ ₩900 (1.55%)End-of-day · Oct 28, 2026 · End-of-day prices.
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Valuation model · Discounted cash flow (DCF)

We use a 5-year discounted cash flow: the value of the cash the business is expected to produce, in today's money.

Fair value per share

₩207,074

vs the current price (₩57,200)

Enterprise value
₩2.4T
Equity value
₩2.9T
WACC
7.4%

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

Why the model and the price differ

The model is 262% away from today's price. A gap this size usually means the market expects something the past figures don't show yet, or the model leaves something out. What we can see:

  • To match today's price of ₩57,200, the model needs an operating margin of 1.7% every year (it uses 7.2%).
  • 31% of the last 12 months' net profit came from outside operations (stakes in other companies, interest, one-offs). The model adds those stakes at book value but doesn't project that income.
  • Today's P/E is 5.6× against a typical 8.9× over the last 10 years.

Treat the model as a starting point: change the assumptions to the story you believe, and compare with the multiples check below.

Bear / Base / Bull

Bear
₩124,769
+118.1%
Base
₩207,074
+262.0%
Bull
₩349,703
+511.4%

Bear: revenue growth 3 points lower every year, EBIT margin 2 points lower, WACC 1 point higher. Bull: the opposite.

Assumptions

Sign in to change the assumptions and see the results update. Sign in

Cycle options

Margin path

Every year uses the cycle-average margin (7.2%).

Revenue growth

  • 13.3%

    How much sales grow that year, compared with the year before.

    Default: the last 3 years' revenue growth (13.3% a year, annual reports), fading to 3% by year 5.

  • 10.7%

    How much sales grow that year, compared with the year before.

    Default: the last 3 years' revenue growth (13.3% a year, annual reports), fading to 3% by year 5.

  • 8.1%

    How much sales grow that year, compared with the year before.

    Default: the last 3 years' revenue growth (13.3% a year, annual reports), fading to 3% by year 5.

  • 5.6%

    How much sales grow that year, compared with the year before.

    Default: the last 3 years' revenue growth (13.3% a year, annual reports), fading to 3% by year 5.

  • 3%

    How much sales grow that year, compared with the year before.

    Default: the last 3 years' revenue growth (13.3% a year, annual reports), fading to 3% by year 5.

Business

  • 7.2%

    Operating profit as a share of revenue.

    Default: through-the-cycle average of the last 12 months and the last 5 annual reports' operating margins.

  • 27.5%

    Share of operating profit paid as corporate tax.

    Default: Korea's top corporate tax rate (25%) plus 10% local income tax.

  • 0.1%

    The non-cash cost of wearing out equipment, added back to cash flow (% of revenue).

    Default: not in the statements, so 80% of capital spending (most spending replaces equipment that wears out).

  • 0.1%

    Money spent on factories, equipment, software and other long-term assets (% of revenue).

    Default: average of the last 3 annual reports (cash flow statements; equipment and intangibles).

  • 22.3%

    Stock and unpaid customer bills, less unpaid supplier bills, as a % of revenue. Each year's extra revenue ties up this much more cash.

    Default: working capital (current assets less cash and deposits, minus current liabilities other than borrowings) as a share of revenue, averaged over the last 3 years.

Discount rate

  • 2%

    How fast cash flows keep growing every year after year 5.

    Default: about Korea's long-run inflation plus real growth.

  • 4.11%

    Yield on Korea's 10-year government bond: the return with almost no risk.

    Default: Korea Treasury Bond 10-year yield on 2026-10-28.

  • 0.6

    How much the share moves when the market moves: 1 means just like the market.

    Default: 105 weeks of weekly returns against KOSPI (official index); raw beta 0.32, adjusted toward 1 and kept between 0.6 and 2.0.

  • 5.5%

    The extra return investors want for owning shares instead of bonds.

    Default: a typical premium for Korean shares.

  • 5.61%

    The interest rate the company would pay to borrow.

    Default: the 10-year yield plus a 1.5% credit spread.

Starting point

Revenue (TTM to H1 2026)
₩2.1T
Net debt (borrowings and leases − cash and deposits)
−₩313B
+ Stakes and investments
₩234B
Associates, long-term financial assets and deposits (book value)
− Minority interests
₩44B
Shares
13,860,000
Share price
₩57,200
Market cap
₩793B

TTM = trailing 12 months: the last four reported quarters added together. "TTM to H1 2026" is the 12 months up to the latest quarterly or half-year report (H1 = to the end of June). Year 1 grows from there.

Past years and projection

Grey columns are reported results from the annual reports (after-tax EBIT at the model's tax rate), so you can check the growth and margin assumptions against the past. Years 1–5 are the model.

FY2023FY2024FY2025Year 1Year 2Year 3Year 4Year 5
Revenue₩1.7T₩2.1T₩2.1T₩2.4T₩2.7T₩2.9T₩3T₩3.1T
Growth14.4%22.2%4.0%13.3%10.7%8.1%5.6%3.0%
EBIT₩130B₩180B₩154B₩173B₩191B₩207B₩218B₩225B
EBIT margin7.7%8.7%7.2%7.2%7.2%7.2%7.2%7.2%
After-tax EBIT₩94B₩130B₩111B₩125B₩139B₩150B₩158B₩163B
+ Depreciation———₩2.4B₩2.7B₩2.9B₩3B₩3.1B
− Capital spending—₩3.5B₩2.3B₩2.4B₩2.7B₩2.9B₩3B₩3.1B
− Working capital−₩203B₩58B₩26B₩63B₩57B₩48B₩36B₩20B
Free cash flow———₩62B₩81B₩102B₩122B₩143B
Discount factor———0.9310.8670.8070.7510.700
Present value———₩58B₩71B₩82B₩92B₩100B

Terminal value ₩2.8T, worth ₩2T today: 83% of enterprise value. It assumes spending settles at 110% of depreciation once growth slows to the terminal rate.

Cross-check: what the market has paid before

For cyclical businesses, analysts check a DCF against the multiples the stock has traded at through past cycles. Price / book is the usual anchor for them: P/E looks highest at the bottom of a cycle, when earnings are smallest, and lowest at the top. The price each band would give today:

LowTypicalHigh
Price / book (book value ₩121,532 a share)Now 0.47×₩58,8700.48×₩74,9410.62×₩109,3580.90×
Price / earnings (last 12 months: ₩10,279 a share)Now 5.56×₩56,4435.49×₩91,6968.92×₩143,62114.0×
P/E on run-rate earnings (Q2 2026 × 4: ₩10,374 a share)Now 5.51×₩56,9675.49×₩92,5468.92×₩144,95314.0×

Low, typical and high are the 10th percentile, middle and 90th percentile of month-end multiples since 2021, each against the latest report out by then, per share at today's share count; loss years and P/E above 100 are left out. Run-rate earnings are one quarter × 4, not a forecast. Model estimate based on the assumptions shown. Not a price target and not a buy or sell signal.

Sensitivity

Fair value per share as two inputs change; the middle is the current case.

WACC ↓ · Terminal growth →1.0%1.5%2.0%2.5%3.0%
6.4%₩220,189₩232,899₩248,451₩267,935₩293,082
6.9%₩203,442₩213,533₩225,643₩240,460₩259,023
7.4%₩189,330₩197,466₩207,074₩218,604₩232,710
7.9%₩177,281₩183,926₩191,666₩200,807₩211,774
8.4%₩166,876₩172,363₩178,680₩186,038₩194,725

Now (TTM)

Market cap
₩793B
Enterprise value
₩459B
P/E
5.6×
P/B
0.5×
P/S
0.4×
EV/EBITDA
—
Dividend yield
4.6%

Over time (at each year end)

20252024202320222021
Price₩62,800₩71,900₩58,200₩42,350₩75,900
Market cap₩870B₩997B₩807B₩587B₩1.1T
P/E6.2×5.9×6.9×13.7×12.5×
P/B0.5×0.7×0.6×0.5×0.9×
P/S0.4×0.5×0.5×0.4×0.8×
EV/EBITDA—————
Dividend yield4.2%1.5%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Sebang Global Battery5.6×0.5×0.4×—4.6%
LG Energy Solution—4.1×3.5×—0.0%
Samsung SDI1,143.1×1.8×3.0×—0.0%
POSCO Future M337.2×3.6×5.2×—0.1%
Ecopro BM218.1×5.3×4.1×—0.1%
L&F—4.7×1.3×15.8×0.0%
DN Automotive6.1×1.0×0.6×—2.5%
Similar companies (median)277.6×3.8×3.3×15.8×0.1%

Calculated from end-of-day prices and filed financial statements. Not a recommendation. This is not financial advice.

Also known as: Sebang Global Battery / 세방전지 / 004490 / KRX:004490

Source: KRX statistical information