Ask Warren

Gamsung

036620 · KOSDAQ · ₩036620 · 감성코퍼레이션

₩3,455▲ ₩10 (0.29%)End-of-day · Oct 30, 2026 · End-of-day prices.
Trade
Alert me
SellBuy

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

₩10,438

vs the current price (₩3,455)

Enterprise value
₩922B
Equity value
₩938B
WACC
7.3%

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 202% 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 ₩3,455, the model needs an operating margin of 6.5% every year (it uses 16.5%).
  • Or revenue growth −29.7 points a year higher than assumed in each of the 5 years.
  • Margins ranged from 2.4% to 18.1% 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.
  • Today's P/E is 8.0× against a typical 16.6× 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
₩6,781
+96.3%
Base
₩10,438
+202.1%
Bull
₩16,502
+377.6%

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 (16.5%).

Revenue growth

  • 25%

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

    Default: the last 3 years' revenue growth (28.7% a year, annual reports), fading to 3% by year 5.

  • 19.5%

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

    Default: the last 3 years' revenue growth (28.7% a year, annual reports), fading to 3% by year 5.

  • 14%

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

    Default: the last 3 years' revenue growth (28.7% a year, annual reports), fading to 3% by year 5.

  • 8.5%

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

    Default: the last 3 years' revenue growth (28.7% 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 (28.7% a year, annual reports), fading to 3% by year 5.

Business

  • 16.5%

    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.

  • 1.5%

    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).

  • 1.8%

    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).

  • 27.4%

    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: 104 weeks of weekly returns against KOSPI (official index); raw beta 0.11, 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)
₩267B
Net debt (borrowings and leases − cash and deposits)
−₩16B
Shares
89,862,944
Share price
₩3,455
Market cap
₩310B

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₩178B₩220B₩250B₩334B₩399B₩455B₩493B₩508B
Growth51.6%23.9%13.5%25.0%19.5%14.0%8.5%3.0%
EBIT₩32B₩36B₩45B₩55B₩66B₩75B₩81B₩84B
EBIT margin18.1%16.4%17.8%16.5%16.5%16.5%16.5%16.5%
After-tax EBIT₩23B₩26B₩32B₩40B₩48B₩54B₩59B₩61B
+ Depreciation———₩5B₩6B₩6.8B₩7.4B₩7.6B
− Capital spending₩3.1B₩6.3B₩2.4B₩6B₩7.2B₩8.2B₩8.9B₩9.1B
− Working capital₩1.6B₩31B₩3.5B₩18B₩18B₩15B₩11B₩4.1B
Free cash flow———₩21B₩29B₩38B₩47B₩55B
Discount factor———0.9320.8680.8090.7540.703
Present value———₩19B₩25B₩31B₩35B₩39B

Terminal value ₩1.1T, worth ₩773B 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:

LowTypicalHigh
Price / book (book value ₩1,434 a share)Now 2.41×₩4,1532.90×₩6,3314.42×₩9,6196.71×
Price / earnings (last 12 months: ₩429 a share)Now 8.05×₩3,9879.28×₩7,11516.6×₩11,96027.9×
P/E on run-rate earnings (Q2 2026 × 4: ₩322 a share)Now 10.7×₩2,9889.28×₩5,33216.6×₩8,96227.9×

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%
6.3%₩11,031₩11,911₩12,995₩14,361₩16,138
6.8%₩10,024₩10,730₩11,583₩12,631₩13,954
7.3%₩9,178₩9,754₩10,438₩11,263₩12,278
7.8%₩8,457₩8,934₩9,491₩10,153₩10,952
8.3%₩7,836₩8,235₩8,696₩9,236₩9,877

Now (TTM)

Market cap
₩310B
Enterprise value
₩294B
P/E
8.0×
P/B
2.4×
P/S
1.2×
EV/EBITDA
—
Dividend yield
0.0%

Over time (at each year end)

20252024202320222021
Price₩5,770₩3,080₩3,165₩1,870₩2,210
Market cap₩519B₩277B₩284B₩168B₩199B
P/E14.6×9.5×11.8×11.1×705.8×
P/B3.9×2.5×3.6×3.3×6.8×
P/S2.1×1.3×1.6×1.4×4.1×
EV/EBITDA—————
Dividend yield0.0%————

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Gamsung8.0×2.4×1.2×—0.0%
Samsung C&T18.1×0.5×1.2×—0.9%
POSCO International10.3×1.2×0.3×—3.8%
ISC42.6×5.7×11.9×—0.5%
Youngone5.2×0.7×0.7×—3.0%
Dong SUH Companies19.6×1.7×5.3×—4.0%
SK Gas7.4×0.6×0.3×—3.5%
Similar companies (median)14.2×1.0×0.9×—3.3%

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

Also known as: Gamsung / 감성코퍼레이션 / 036620 / KRX:036620

Source: KRX statistical information