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Aurora World

039830 · KOSDAQ · ₩039830 · 오로라

₩13,230▼ ₩380 (2.79%)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

₩55,953

vs the current price (₩13,230)

Enterprise value
₩884B
Equity value
₩602B
WACC
5.1%

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 323% 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 ₩13,230, the model needs an operating margin of 7.0% every year (it uses 11.2%).
  • Or revenue growth −18.9 points a year higher than assumed in each of the 5 years.
  • Today's P/E is 4.9× against a typical 10.8× 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
₩14,627
+10.6%
Base
₩55,953
+322.9%
Bull
₩148,547
+1,022.8%

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 (11.2%).

Revenue growth

  • 12.3%

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

    Default: the last 3 years' revenue growth (12.3% a year, annual reports), fading to 3% by year 5.

  • 10%

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

    Default: the last 3 years' revenue growth (12.3% a year, annual reports), fading to 3% by year 5.

  • 7.6%

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

    Default: the last 3 years' revenue growth (12.3% a year, annual reports), fading to 3% by year 5.

  • 5.3%

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

    Default: the last 3 years' revenue growth (12.3% 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 (12.3% a year, annual reports), fading to 3% by year 5.

Business

  • 11.2%

    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.

  • 11.5%

    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).

  • 14.4%

    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).

  • 34.8%

    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.

  • 4.08%

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

    Default: Korea Treasury Bond 10-year yield on 2026-10-29.

  • 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 0.28, 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.

  • 5.58%

    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)
₩360B
Net debt (borrowings and leases − cash and deposits)
₩298B
+ Stakes and investments
₩18B
Associates, long-term financial assets and deposits (book value)
− Minority interests
₩1.8B
Shares
10,762,890
Share price
₩13,230
Market cap
₩142B

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₩233B₩276B₩328B₩404B₩445B₩478B₩504B₩519B
Growth0.4%18.6%19.0%12.3%10.0%7.6%5.3%3.0%
EBIT₩28B₩31B₩44B₩45B₩50B₩54B₩56B₩58B
EBIT margin12.2%11.2%13.6%11.2%11.2%11.2%11.2%11.2%
After-tax EBIT₩21B₩22B₩32B₩33B₩36B₩39B₩41B₩42B
+ Depreciation———₩46B₩51B₩55B₩58B₩60B
− Capital spending₩71B₩28B₩8.5B₩58B₩64B₩69B₩73B₩75B
− Working capital−₩11B₩9.5B₩13B₩15B₩14B₩12B₩8.8B₩5.3B
Free cash flow———₩5.7B₩9.1B₩13B₩17B₩22B
Discount factor———0.9510.9050.8610.8190.779
Present value———₩5.4B₩8.3B₩11B₩14B₩17B

Terminal value ₩1.1T, worth ₩828B 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:

LowTypicalHigh
Price / book (book value ₩17,978 a share)Now 0.74×₩8,0090.45×₩11,7950.66×₩19,6181.09×
Price / earnings (last 12 months: ₩2,707 a share)Now 4.89×₩18,5846.86×₩29,17410.8×₩44,90716.6×
P/E on run-rate earnings (Q2 2026 × 4: ₩3,732 a share)Now 3.54×₩25,6236.86×₩40,22510.8×₩61,91716.6×

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%
4.1%₩63,536₩77,440₩97,856₩130,794₩192,953
4.6%₩50,098₩59,684₩72,898₩92,298₩123,597
5.1%₩39,940₩46,851₩55,953₩68,498₩86,916
5.6%₩31,998₩37,150₩43,706₩52,339₩64,237
6.1%₩25,624₩29,565₩34,447₩40,659₩48,838

Now (TTM)

Market cap
₩142B
Enterprise value
₩437B
P/E
4.9×
P/B
0.7×
P/S
0.4×
EV/EBITDA
—
Dividend yield
0.8%

Over time (at each year end)

20252024202320222021
Price₩14,420₩5,980₩7,200₩8,070₩9,680
Market cap₩155B₩64B₩77B₩87B₩104B
P/E7.1×10.2×10.9×11.8×11.0×
P/B0.9×0.4×0.6×0.7×0.9×
P/S0.5×0.2×0.3×0.4×0.6×
EV/EBITDA—————
Dividend yield0.7%3.0%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Aurora World4.9×0.7×0.4×—0.8%
S-124.0×2.1×1.3×—0.0%
Cheil Worldwide9.8×1.3×0.5×—6.5%
Doosan Tesna54.7×4.1×5.7×—0.2%
Lotte Tour Development15.4×2.2×1.1×—0.0%
Soulbrain Holdings1.3×0.4×1.3×—1.3%
Innocean Worldwide5.5×0.6×0.3×—6.7%
Similar companies (median)12.6×1.7×1.2×—0.7%

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

Also known as: Aurora World / 오로라 / 039830 / KRX:039830

Source: KRX statistical information