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Kisan Telecom

035460 · KOSDAQ · ₩035460 · 기산텔레콤

₩2,075▼ ₩95 (4.38%)End-of-day · Oct 30, 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

₩4,903

vs the current price (₩2,075)

Enterprise value
₩68B
Equity value
₩73B
WACC
7.6%

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 136% 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 ₩2,075, the model needs an operating margin of 4.2% every year (it uses 6.6%).
  • Margins ranged from −1.6% to 8.1% 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.
  • In the projection, spending on equipment, software and working capital takes most or all of the after-tax operating profit, so free cash flow is thin. Companies that invest heavily often look like this until spending slows.
  • Today's P/E is 2.7× against a typical 6.9× 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
₩2,126
+2.4%
Base
₩4,903
+136.3%
Bull
₩9,870
+375.7%

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 (6.6%).

Revenue growth

  • 13.6%

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

    Default: the last 3 years' revenue growth (13.6% a year, annual reports), fading to 3% by year 5.

  • 11%

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

    Default: the last 3 years' revenue growth (13.6% a year, annual reports), fading to 3% by year 5.

  • 8.3%

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

    Default: the last 3 years' revenue growth (13.6% a year, annual reports), fading to 3% by year 5.

  • 5.7%

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

    Default: the last 3 years' revenue growth (13.6% 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 (13.6% a year, annual reports), fading to 3% by year 5.

Business

  • 6.6%

    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.

  • 5.4%

    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).

  • 6.8%

    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).

  • 38.1%

    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.

  • 4.01%

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

    Default: Korea Treasury Bond 10-year yield on 2026-10-30.

  • 0.65

    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 0.47, 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.

  • 5.51%

    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)
₩100B
Net debt (borrowings and leases − cash and deposits)
−₩20B
− Minority interests
₩15B
Shares
14,920,340
Share price
₩2,075
Market cap
₩31B

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₩74B₩93B₩99B₩114B₩126B₩137B₩144B₩149B
Growth9.0%26.0%6.9%13.6%11.0%8.3%5.7%3.0%
EBIT₩4.4B₩4.9B₩8.1B₩7.5B₩8.3B₩9B₩9.5B₩9.8B
EBIT margin6.0%5.3%8.1%6.6%6.6%6.6%6.6%6.6%
After-tax EBIT₩3.2B₩3.6B₩5.9B₩5.4B₩6B₩6.5B₩6.9B₩7.1B
+ Depreciation———₩6.1B₩6.8B₩7.4B₩7.8B₩8B
− Capital spending₩2.3B₩6.1B₩11B₩7.7B₩8.6B₩9.3B₩9.8B₩10B
− Working capital−₩3.3B−₩6.4B₩14B₩5.2B₩4.8B₩4B₩3B₩1.7B
Free cash flow———−₩1.3B−₩493M₩635M₩1.9B₩3.4B
Discount factor———0.9300.8640.8030.7460.694
Present value———−₩1.2B−₩426M₩510M₩1.4B₩2.3B

Terminal value ₩95B, worth ₩66B today: 96% 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 ₩4,019 a share)Now 0.52×₩2,2920.57×₩3,7680.94×₩6,8271.70×
Price / earnings (last 12 months: ₩762 a share)Now 2.72×₩2,0752.72×₩5,2666.91×₩16,90922.2×
P/E on run-rate earnings (Q2 2026 × 4: ₩545 a share)Now 3.81×₩1,4842.72×₩3,7666.91×₩12,09222.2×

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%
6.6%₩5,579₩5,829₩6,131₩6,503₩6,976
7.1%₩5,049₩5,236₩5,456₩5,721₩6,048
7.6%₩4,602₩4,742₩4,903₩5,094₩5,324
8.1%₩4,220₩4,324₩4,444₩4,582₩4,745
8.6%₩3,890₩3,968₩4,056₩4,155₩4,271

Now (TTM)

Market cap
₩31B
Enterprise value
₩11B
P/E
2.7×
P/B
0.5×
P/S
0.3×
EV/EBITDA
—
Dividend yield
0.0%

Over time (at each year end)

20252024202320222021
Price₩1,916₩1,750₩2,545₩2,910₩2,610
Market cap₩29B₩26B₩38B₩43B₩39B
P/E6.8×3.7×11.7×14.3×—
P/B0.5×0.6×1.0×1.2×1.3×
P/S0.3×0.3×0.5×0.6×0.6×
EV/EBITDA—————
Dividend yield0.0%————

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Kisan Telecom2.7×0.5×0.3×—0.0%
Samsung Electronics8.8×2.3×2.7×—0.7%
LG Electronics23.6×0.9×0.3×—0.9%
Hanwha Vision21.8×2.7×1.4×—0.0%
RFHIC39.7×3.5×6.5×—0.8%
KMW—4.9×7.9×—0.0%
Intellian Technologies12.9×2.0×1.6×—0.4%
Similar companies (median)21.8×2.5×2.1×—0.6%

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

Also known as: Kisan Telecom / 기산텔레콤 / 035460 / KRX:035460

Source: KRX statistical information