KOSDAQ · 037760 · Steel & Materials · ₩037760

Cenit쎄니트

037760 · KOSDAQ · ₩037760 · 쎄니트

₩2,430▼ ₩110 (4.33%)End-of-day · Oct 28, 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

With these assumptions the model gives no positive value.

Enterprise value: ₩23B
Equity value: −₩46B
WACC: 6.0%

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 gives no positive value at these assumptions. What we can see:

To match today's price of ₩2,430, the model needs an operating margin of 9.4% every year (it uses 3.0%).
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.

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: —
Base: —
Bull: ₩795; −67.3%

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 (3.0%).

Revenue growth

Revenue growth, year 1-7.4%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-7.4% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 2-4.8%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-7.4% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 3-2.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-7.4% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 40.4%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-7.4% 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 (-7.4% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin3%
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 & amortisation9.1%
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 spending11.4%
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 capital15.2%
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 rate4.11%
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.
Beta0.6
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 -0.03, 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): ₩131B
Net debt (borrowings and leases − cash and deposits): ₩64B
+ Stakes and investments: ₩9.2B; Associates, long-term financial assets and deposits (book value)
− Minority interests: ₩15B
Shares: 33,832,921
Share price: ₩2,430
Market cap: ₩82B

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	₩140B	₩132B	₩127B	₩122B	₩116B	₩113B	₩114B	₩117B
Growth	−12.3%	−5.6%	−4.1%	−7.4%	−4.8%	−2.2%	0.4%	3.0%
EBIT	₩4.9B	₩3.3B	−₩1.1B	₩3.6B	₩3.5B	₩3.4B	₩3.4B	₩3.5B
EBIT margin	3.5%	2.5%	−0.9%	3.0%	3.0%	3.0%	3.0%	3.0%
After-tax EBIT	₩3.6B	₩2.4B	−₩786M	₩2.6B	₩2.5B	₩2.5B	₩2.5B	₩2.5B
+ Depreciation	—	—	—	₩11B	₩11B	₩10B	₩10B	₩11B
− Capital spending	₩5.2B	₩6.1B	₩33B	₩14B	₩13B	₩13B	₩13B	₩13B
− Working capital	−₩35B	₩2B	−₩2B	−₩1.5B	−₩887M	−₩387M	₩69M	₩518M
Free cash flow	—	—	—	₩1.3B	₩743M	₩246M	−₩211M	−₩665M
Discount factor	—	—	—	0.944	0.891	0.841	0.794	0.749
Present value	—	—	—	₩1.3B	₩661M	₩207M	−₩167M	−₩498M

Terminal value ₩29B, worth ₩22B today: 94% 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 ₩2,414 a share)Now 1.01×	₩1,3210.55×	₩1,5560.64×	₩2,3620.98×

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%
5.0%	—	—	—	—	—
5.5%	—	—	—	—	—
6.0%	—	—	—	—	—
6.5%	—	—	—	—	—
7.0%	—	—	—	—	—

Now (TTM)

Market cap: ₩82B
Enterprise value: ₩141B
P/E: —
P/B: 1.0×
P/S: 0.6×
EV/EBITDA: —
Dividend yield: 2.1%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩1,789	₩1,427	₩1,518	₩1,610	₩2,060
Market cap	₩61B	₩48B	₩51B	₩54B	₩70B
P/E	—	—	17.9×	6.3×	7.8×
P/B	0.7×	0.5×	0.6×	0.6×	0.8×
P/S	0.5×	0.4×	0.4×	0.3×	0.6×
EV/EBITDA	—	—	—	—	—
Dividend yield	2.8%	3.5%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Cenit	—	1.0×	0.6×	—	2.1%
POSCO Holdings	16.6×	0.4×	0.3×	7.8×	3.5%
Korea Zinc	18.9×	1.6×	0.9×	—	2.2%
Hyundai Steel	—	0.2×	0.2×	—	1.9%
Poongsan	8.3×	0.7×	0.3×	6.0×	2.8%
SeAH Besteel Holdings	12.6×	0.6×	0.3×	9.6×	3.8%
Sama Aluminium	—	4.3×	3.2×	—	0.0%
Similar companies (median)	14.6×	0.6×	0.3×	7.8×	2.5%

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

Also known as: Cenit / 쎄니트 / 037760 / KRX:037760

Source: KRX statistical information