KOSDAQ · 017650 · Wood & Paper · ₩017650

Daelim Paper대림제지

017650 · KOSDAQ · ₩017650 · 대림제지

₩2,055 ₩0 (0.00%)End-of-day · Oct 29, 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

₩4,597

vs the current price (₩2,055)

Enterprise value: ₩130B
Equity value: ₩202B
WACC: 8.7%

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 124% 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 ₩2,055, the model needs an operating margin of 2.8% every year (it uses 9.2%).
Margins ranged from 3.1% to 15.6% 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.
50% 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 14.9× against a typical 3.9× 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: ₩3,407; +65.8%
Base: ₩4,597; +123.7%
Bull: ₩6,544; +218.4%

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

Assumptions

Cycle options

Margin path

Every year uses the cycle-average margin (9.2%).

Revenue growth

Revenue growth, year 1-3.4%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-3.4% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 2-1.8%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-3.4% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 3-0.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-3.4% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 41.4%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-3.4% 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 (-3.4% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin9.2%
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.
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 & amortisation6.6%
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).
Capital spending8.2%
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).
Working capital27.2%
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.
Beta0.84
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 0.76, 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): ₩176B
Net debt (borrowings and leases − cash and deposits): −₩69B
+ Stakes and investments: ₩2.8B; Associates, long-term financial assets and deposits (book value)
Shares: 43,925,000
Share price: ₩2,055
Market cap: ₩90B

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	₩164B	₩166B	₩169B	₩170B	₩167B	₩166B	₩169B	₩174B
Growth	−12.3%	1.1%	1.5%	−3.4%	−1.8%	−0.2%	1.4%	3.0%
EBIT	₩22B	₩9.8B	₩5.3B	₩16B	₩15B	₩15B	₩16B	₩16B
EBIT margin	13.3%	5.9%	3.1%	9.2%	9.2%	9.2%	9.2%	9.2%
After-tax EBIT	₩16B	₩7.1B	₩3.8B	₩11B	₩11B	₩11B	₩11B	₩12B
+ Depreciation	—	—	—	₩11B	₩11B	₩11B	₩11B	₩11B
− Capital spending	₩8.9B	₩19B	₩13B	₩14B	₩14B	₩14B	₩14B	₩14B
− Working capital	₩13B	₩5.4B	−₩40B	−₩1.6B	−₩831M	−₩91M	₩633M	₩1.4B
Free cash flow	—	—	—	₩10B	₩9.3B	₩8.5B	₩7.9B	₩7.4B
Discount factor	—	—	—	0.920	0.846	0.779	0.716	0.659
Present value	—	—	—	₩9.4B	₩7.9B	₩6.6B	₩5.7B	₩4.9B

Terminal value ₩145B, worth ₩95B today: 73% 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 ₩6,585 a share)Now 0.31×	₩1,4590.22×	₩1,9170.29×	₩2,9830.45×
Price / earnings (last 12 months: ₩138 a share)Now 14.9×	₩4353.16×	₩5413.93×	₩1,80013.1×
P/E on run-rate earnings (Q2 2026 × 4: ₩554 a share)Now 3.71×	₩1,7523.16×	₩2,1793.93×	₩7,24213.1×

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%
7.7%	₩4,809	₩4,952	₩5,118	₩5,316	₩5,555
8.2%	₩4,585	₩4,702	₩4,837	₩4,995	₩5,182
8.7%	₩4,390	₩4,487	₩4,597	₩4,725	₩4,875
9.2%	₩4,219	₩4,300	₩4,392	₩4,496	₩4,617
9.7%	₩4,068	₩4,136	₩4,213	₩4,299	₩4,398

Now (TTM)

Market cap: ₩90B
Enterprise value: ₩20B
P/E: 14.9×
P/B: 0.3×
P/S: 0.5×
EV/EBITDA: —
Dividend yield: 1.0%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩1,618	₩1,320	₩1,624	₩1,760	₩2,390
Market cap	₩71B	₩58B	₩71B	₩77B	₩105B
P/E	11.1×	4.4×	3.8×	3.2×	4.9×
P/B	0.3×	0.2×	0.3×	0.3×	0.5×
P/S	0.4×	0.3×	0.4×	0.4×	0.6×
EV/EBITDA	—	—	—	—	—
Dividend yield	1.2%	1.5%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Daelim Paper	14.9×	0.3×	0.5×	—	1.0%
SM Kukil	—	3.2×	6.1×	—	0.0%
Shindaeyang Paper	10.0×	0.5×	0.5×	—	2.8%
Dongwha Enterprise	—	0.3×	0.3×	—	0.0%
Asia Paper Manufacturing	10.4×	0.3×	0.3×	—	2.8%
Hansol Paper	7.4×	0.2×	0.1×	—	7.3%
Sambo Corrugated Board	4.5×	0.2×	0.2×	—	2.5%
Similar companies (median)	8.7×	0.3×	0.3×	—	2.6%

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

Also known as: Daelim Paper / 대림제지 / 017650 / KRX:017650

Source: KRX statistical information