RedcapTour레드캡투어

RedcapTour is a profitable but highly leveraged travel and car rental firm trading at a low multiple, with revenue flat and free cash flow negative in the latest half-year.

RedcapTour runs car rental and travel businesses in Korea, with 2025 revenue of ₩365.6B and net income of ₩23.7B. Trailing results to H1 2026 show revenue of ₩356.1B and operating income of ₩49.0B, but liabilities are about 2.5 times equity and free cash flow was negative at -₩19.2B. The shares closed at ₩9,820, near the lower end of their 52-week range, with a market value of about ₩164.2B.

What stands out

• Trailing operating margin is 13.8% and net margin is 7.2%, with ROE of 12%, all in line with or above the 2025 annual figures.
• Revenue grew only 1.9% in 2025 after a 6.1% rise in 2024 and a 29% jump in 2023, so top-line growth has slowed.
• Borrowings of ₩436.1B against cash of ₩73.4B leave the balance sheet heavily geared, with liabilities at 251% of equity.
• The stock trades at about 6.4 times earnings and 0.8 times book, with an 8.1% dividend yield; the data includes a DCF base value of ₩62,005 but this is a model output, not a forecast.
• Shares are down 14.5% over one year and 2% over one month, and foreign ownership slipped from 7.0% to 6.8% over 60 days.

What to watch

• The half-year report (Jun 2026) and the interim dividend record date, with the cash dividend decision filed on 2 July 2026.
• Whether free cash flow turns positive, given the negative figure in the trailing data and the heavy borrowings.
• The data contains no news headlines, so no recent press coverage is available to check against the filings.