KOSPI · 016580 · Biotech & Pharma · ₩016580

Whanin Pharm환인제약

016580 · KOSPI · ₩016580 · 환인제약

₩10,140▼ ₩90 (0.88%)End-of-day · Oct 28, 2026 · End-of-day prices.

Trade

Sell Buy

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

₩27,719

vs the current price (₩10,140)

Enterprise value: ₩398B
Equity value: ₩516B
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 173% 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 ₩10,140, the model needs an operating margin of 3.8% every year (it uses 11.1%).
Margins ranged from 5.1% to 17.6% over the last 5 years, so this is a cyclical business. The model uses the average; the price may be set by where the cycle is now. Try the margin fade option.
Today's P/E is 9.2× against a typical 11.5× 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: ₩19,042; +87.8%
Base: ₩27,719; +173.4%
Bull: ₩42,684; +321.0%

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

Assumptions

Cycle options

Start from

Preliminary results are the company's early announcement of a quarter's sales and operating profit, before the full report. Including them swaps that quarter in for the same quarter a year earlier.

Margin path

Every year uses the cycle-average margin (11.1%).

Revenue growth

Revenue growth, year 18.7%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 27.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 35.8%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 44.4%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 53%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.7% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin11.1%
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.
Tax rate27.5%
Share of operating profit paid as corporate tax.
Default: Korea's top corporate tax rate (25%) plus 10% local income tax.
Depreciation & amortisation2.8%
The non-cash cost of wearing out equipment, added back to cash flow (% of revenue).
Default: average of the last 3 annual reports (cash flow statements; equipment and intangibles).
Capital spending4%
Money spent on factories, equipment, software and other long-term assets (% of revenue).
Default: not in the statements, so a typical level.
Working capital40%
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

Terminal growth2%
How fast cash flows keep growing every year after year 5.
Default: about Korea's long-run inflation plus real growth.
Risk-free rate4.08%
Yield on Korea's 10-year government bond: the return with almost no risk.
Default: Korea Treasury Bond 10-year yield on 2026-10-29.
Beta0.6
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 0.04, adjusted toward 1 and kept between 0.6 and 2.0.
Equity risk premium5.5%
The extra return investors want for owning shares instead of bonds.
Default: a typical premium for Korean shares.
Cost of debt (before tax)5.58%
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): ₩273B
Net debt (borrowings and leases − cash and deposits): −₩63B
+ Stakes and investments: ₩54B; Associates, long-term financial assets and deposits (book value)
Shares: 18,600,070
Share price: ₩10,140
Market cap: ₩189B

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.

	FY2023	FY2024	FY2025	Year 1	Year 2	Year 3	Year 4	Year 5
Revenue	₩230B	₩260B	₩255B	₩297B	₩319B	₩337B	₩352B	₩363B
Growth	15.8%	12.7%	−1.7%	8.7%	7.2%	5.8%	4.4%	3.0%
EBIT	₩30B	₩21B	₩13B	₩33B	₩35B	₩37B	₩39B	₩40B
EBIT margin	13.1%	8.3%	5.1%	11.1%	11.1%	11.1%	11.1%	11.1%
After-tax EBIT	₩22B	₩16B	₩9.4B	₩24B	₩26B	₩27B	₩28B	₩29B
+ Depreciation	₩5.5B	₩7B	₩8.2B	₩8.3B	₩8.9B	₩9.4B	₩9.9B	₩10B
− Capital spending	—	—	—	₩12B	₩13B	₩13B	₩14B	₩15B
− Working capital	−₩3.5B	₩2.7B	−₩6.7B	₩9.5B	₩8.6B	₩7.4B	₩5.9B	₩4.2B
Free cash flow	—	—	—	₩11B	₩13B	₩16B	₩18B	₩21B
Discount factor	—	—	—	0.931	0.867	0.808	0.752	0.700
Present value	—	—	—	₩10B	₩11B	₩13B	₩14B	₩14B

Terminal value ₩479B, worth ₩335B today: 84% 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:

	Low	Typical	High
Price / book (book value ₩22,875 a share)Now 0.44×	₩10,4430.46×	₩16,9850.74×	₩22,8181.00×
Price / earnings (last 12 months: ₩1,100 a share)Now 9.22×	₩9,3288.48×	₩12,63211.5×	₩15,45014.1×
P/E on run-rate earnings (preliminary Q3 2026 × 4: ₩1,395 a share)Now 7.27×	₩11,8388.48×	₩16,03111.5×	₩19,60714.1×

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%	₩29,572	₩31,112	₩32,996	₩35,359	₩38,412
6.9%	₩27,420	₩28,631	₩30,085	₩31,865	₩34,095
7.4%	₩25,608	₩26,576	₩27,719	₩29,090	₩30,768
7.9%	₩24,063	₩24,846	₩25,758	₩26,834	₩28,125
8.4%	₩22,731	₩23,371	₩24,107	₩24,964	₩25,976

Now (TTM)

Market cap: ₩189B
Enterprise value: ₩125B
P/E: 9.2×
P/B: 0.4×
P/S: 0.7×
EV/EBITDA: 4.1×
Dividend yield: 3.0%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩11,320	₩11,810	₩15,040	₩17,600	₩17,800
Market cap	₩211B	₩220B	₩280B	₩327B	₩331B
P/E	15.5×	9.4×	9.4×	13.7×	12.4×
P/B	0.5×	0.6×	0.8×	1.0×	1.0×
P/S	0.8×	0.8×	1.2×	1.6×	1.9×
EV/EBITDA	7.0×	6.2×	6.2×	8.4×	7.2×
Dividend yield	2.7%	2.5%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Whanin Pharm	9.2×	0.4×	0.7×	4.1×	3.0%
Samsung Biologics	32.0×	7.6×	14.0×	—	0.0%
Celltrion	27.9×	2.5×	9.0×	—	0.0%
Alteogen	80.5×	29.0×	61.2×	—	0.1%
SK biopharmaceuticals	14.7×	5.8×	6.8×	—	0.0%
Yuhan	24.0×	2.4×	2.5×	31.3×	0.8%
HLB	—	15.7×	55.6×	—	0.0%
Similar companies (median)	27.9×	6.7×	11.5×	31.3×	0.0%

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

Also known as: Whanin Pharm / 환인제약 / 016580 / KRX:016580

Source: KRX statistical information