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Kginicis

035600 · KOSDAQ · ₩035600 · KG이니시스

₩9,640▼ ₩40 (0.41%)End-of-day · Oct 29, 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

₩74,077

vs the current price (₩9,640)

Enterprise value
₩2.4T
Equity value
₩2T
WACC
5.7%

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 668% 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 ₩9,640, the model needs an operating margin of 2.2% every year (it uses 7.8%).
  • Or revenue growth −27.2 points a year higher than assumed in each of the 5 years.
  • Today's P/E is 5.2× against a typical 5.6× 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
₩31,218
+223.8%
Base
₩74,077
+668.4%
Bull
₩159,366
+1,553.2%

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 (7.8%).

Revenue growth

  • 4.9%

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

    Default: the last 3 years' revenue growth (4.9% a year, annual reports), fading to 3% by year 5.

  • 4.4%

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

    Default: the last 3 years' revenue growth (4.9% a year, annual reports), fading to 3% by year 5.

  • 3.9%

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

    Default: the last 3 years' revenue growth (4.9% a year, annual reports), fading to 3% by year 5.

  • 3.5%

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

    Default: the last 3 years' revenue growth (4.9% 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 (4.9% a year, annual reports), fading to 3% by year 5.

Business

  • 7.8%

    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.

  • 1.6%

    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).

  • 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).

  • 0.1%

    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.

  • 0.6

    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 0.24, 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)
₩1.5T
Net debt (borrowings and leases − cash and deposits)
₩242B
+ Stakes and investments
₩140B
Associates, long-term financial assets and deposits (book value)
− Minority interests
₩239B
Shares
27,554,434
Share price
₩9,640
Market cap
₩266B

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₩1.3T₩1.4T₩1.4T₩1.5T₩1.6T₩1.7T₩1.7T₩1.8T
Growth14.2%0.7%0.3%4.9%4.4%3.9%3.5%3.0%
EBIT₩106B₩61B₩99B₩120B₩125B₩130B₩134B₩138B
EBIT margin7.9%4.5%7.3%7.8%7.8%7.8%7.8%7.8%
After-tax EBIT₩77B₩44B₩71B₩87B₩90B₩94B₩97B₩100B
+ Depreciation———₩25B₩26B₩27B₩28B₩28B
− Capital spending₩24B₩23B₩31B₩31B₩32B₩33B₩34B₩35B
− Working capital₩126B₩69B−₩126B₩72M₩67M₩62M₩58M₩52M
Free cash flow———₩80B₩84B₩87B₩90B₩93B
Discount factor———0.9460.8950.8460.8000.757
Present value———₩76B₩75B₩74B₩72B₩70B

Terminal value ₩2.7T, worth ₩2T today: 85% 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 ₩19,150 a share)Now 0.50×₩9,7700.51×₩12,7210.66×₩23,0671.20×
Price / earnings (last 12 months: ₩1,841 a share)Now 5.24×₩7,1183.87×₩10,3325.61×₩15,9428.66×
P/E on run-rate earnings (Q2 2026 × 4: ₩2,231 a share)Now 4.32×₩8,6283.87×₩12,5235.61×₩19,3238.66×

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%
4.7%₩77,279₩89,464₩106,115₩130,235₩168,306
5.2%₩66,532₩75,659₩87,613₩103,948₩127,611
5.7%₩58,060₩65,121₩74,077₩85,805₩101,832
6.2%₩51,210₩56,814₩63,743₩72,531₩84,039
6.7%₩45,559₩50,098₩55,598₩62,397₩71,020

Now (TTM)

Market cap
₩266B
Enterprise value
₩465B
P/E
5.2×
P/B
0.5×
P/S
0.2×
EV/EBITDA
—
Dividend yield
6.2%

Over time (at each year end)

20252024202320222021
Price₩10,220₩8,840₩12,000₩11,700₩19,000
Market cap₩282B₩244B₩331B₩322B₩524B
P/E5.9×5.9×4.3×5.6×10.9×
P/B0.6×0.5×0.7×0.8×1.5×
P/S0.2×0.2×0.2×0.3×0.5×
EV/EBITDA—————
Dividend yield5.9%5.7%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Kginicis5.2×0.5×0.2×—6.2%
Hyundai Autoever47.8×4.8×2.0×—0.6%
Krafton10.0×1.2×1.9×—1.2%
NC7.0×1.2×2.1×8.4×0.6%
Netmarble7.1×0.5×1.0×—2.6%
PearlAbyss8.0×2.1×3.0×5.2×0.0%
Shift UP9.0×1.8×7.2×—0.0%
Similar companies (median)8.5×1.5×2.0×6.8×0.6%

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

Also known as: Kginicis / KG이니시스 / 035600 / KRX:035600

Source: KRX statistical information