KOSPI · 023590 · Internet · ₩023590

Daou Technology다우기술

023590 · KOSPI · ₩023590 · 다우기술

₩32,200▲ ₩350 (1.10%)End-of-day · Oct 27, 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

₩2,514,621

vs the current price (₩32,200)

Enterprise value: ₩61T
Equity value: ₩109T
WACC: 8.0%

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 7,709% 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 ₩32,200, the model needs an operating margin of −7.1% every year (it uses 8.3%).
Margins ranged from 6.5% to 20.7% 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 1.9× against a typical 2.8× 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: ₩1,922,953; +5,871.9%
Base: ₩2,514,621; +7,709.4%
Bull: ₩3,464,758; +10,660.1%

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 (8.3%).

Revenue growth

Revenue growth, year 123.8%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (23.8% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 218.6%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (23.8% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 313.4%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (23.8% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 48.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (23.8% 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 (23.8% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin8.3%
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 & amortisation0.4%
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 spending0.8%
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 capital-10%
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 rate4.11%
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.
Beta0.71
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 0.57, 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)5.61%
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): ₩35T
Net debt (borrowings and leases − cash and deposits): −₩48T
+ Stakes and investments: ₩4.2T; Associates, long-term financial assets and deposits (book value)
− Minority interests: ₩4.5T
Shares: 43,287,312
Share price: ₩32,200
Market cap: ₩1.4T

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	₩9.9T	₩12T	₩17T	₩43T	₩51T	₩58T	₩63T	₩65T
Growth	7.0%	18.0%	50.5%	23.8%	18.6%	13.4%	8.2%	3.0%
EBIT	₩640B	₩1.2T	₩1.6T	₩3.6T	₩4.2T	₩4.8T	₩5.2T	₩5.4T
EBIT margin	6.5%	10.1%	8.9%	8.3%	8.3%	8.3%	8.3%	8.3%
After-tax EBIT	₩464B	₩852B	₩1.1T	₩2.6T	₩3.1T	₩3.5T	₩3.8T	₩3.9T
+ Depreciation	₩45B	₩54B	₩61B	₩172B	₩204B	₩232B	₩251B	₩258B
− Capital spending	₩105B	₩68B	₩131B	₩345B	₩409B	₩464B	₩502B	₩517B
− Working capital	₩23T	−₩24T	−₩13T	−₩829B	−₩802B	−₩685B	−₩475B	−₩188B
Free cash flow	−₩23T	₩25T	₩14T	₩3.3T	₩3.7T	₩3.9T	₩4T	₩3.8T
Discount factor	—	—	—	0.926	0.857	0.794	0.735	0.680
Present value	—	—	—	₩3T	₩3.1T	₩3.1T	₩2.9T	₩2.6T

Terminal value ₩68T, worth ₩46T today: 76% 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 ₩89,709 a share)Now 0.36×	₩26,4480.29×	₩35,0550.39×	₩46,6810.52×
Price / earnings (last 12 months: ₩17,299 a share)Now 1.86×	₩30,1991.75×	₩48,2642.79×	₩70,2394.06×
P/E on run-rate earnings (Q2 2026 × 4: ₩26,042 a share)Now 1.24×	₩45,4631.75×	₩72,6582.79×	₩105,7404.06×

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%
7.0%	₩2,545,964	₩2,660,087	₩2,797,081	₩2,964,548	₩3,173,879
7.5%	₩2,434,726	₩2,530,177	₩2,643,036	₩2,778,513	₩2,944,123
8.0%	₩2,339,357	₩2,420,223	₩2,514,621	₩2,626,235	₩2,760,214
8.5%	₩2,256,690	₩2,325,955	₩2,405,932	₩2,499,292	₩2,609,677
9.0%	₩2,184,345	₩2,244,242	₩2,312,750	₩2,391,850	₩2,484,186

Now (TTM)

Market cap: ₩1.4T
Enterprise value: −₩47T
P/E: 1.9×
P/B: 0.4×
P/S: 0.0×
EV/EBITDA: —
Dividend yield: 5.6%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩38,850	₩17,870	₩17,890	₩19,200	₩22,800
Market cap	₩1.7T	₩774B	₩774B	₩831B	₩987B
P/E	3.3×	2.2×	3.4×	2.2×	2.6×
P/B	0.5×	0.3×	0.3×	0.4×	0.5×
P/S	0.1×	0.1×	0.1×	0.1×	0.2×
EV/EBITDA	—	—	1.2×	—	—
Dividend yield	4.6%	7.8%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Daou Technology	1.9×	0.4×	0.0×	—	5.6%
NAVER	13.1×	0.9×	2.0×	—	1.5%
Kakao	37.7×	1.1×	1.6×	—	0.3%
NICE Information Service	11.3×	2.0×	1.6×	6.6×	3.0%
Kinx	24.4×	2.7×	3.5×	10.7×	0.5%
Cafe24	11.5×	1.5×	1.3×	—	0.0%
Refine	24.6×	1.1×	4.1×	—	1.9%
Similar companies (median)	18.7×	1.3×	1.8×	8.7×	1.0%

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

Also known as: Daou Technology / 다우기술 / 023590 / KRX:023590

Source: KRX statistical information