KOSDAQ · 053290 · Media & Publishing · ₩053290

NE NeungyuleNE능률

053290 · KOSDAQ · ₩053290 · NE능률

₩1,223▼ ₩36 (2.86%)End-of-day · Oct 30, 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

₩2,298

vs the current price (₩1,223)

Enterprise value: −₩1B
Equity value: ₩38B
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 88% 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 ₩1,223, the model needs an operating margin of −1.6% every year (it uses 2.1%).
Margins ranged from −1.5% to 8.4% 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.
100% of the last 12 months' net profit came from outside operations (stakes in other companies, interest, one-offs). The model adds those stakes at book value but doesn't project that income.
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.
Today's P/E is 4.9× against a typical 20.4× 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: ₩2,015; +64.7%
Base: ₩2,298; +87.9%
Bull: ₩2,939; +140.3%

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 (2.1%).

Revenue growth

Revenue growth, year 1-7.9%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-7.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 2-5.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-7.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 3-2.4%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-7.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 40.3%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-7.9% 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 (-7.9% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin2.1%
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 & amortisation10.1%
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 spending12.6%
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 capital40%
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 rate4.01%
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.
Beta0.6
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 0.03, 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)5.51%
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): ₩43B
Net debt (borrowings and leases − cash and deposits): −₩39B
+ Stakes and investments: ₩379M; Associates, long-term financial assets and deposits (book value)
Shares: 16,526,307
Share price: ₩1,223
Market cap: ₩20B

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	₩79B	₩72B	₩63B	₩39B	₩37B	₩36B	₩36B	₩38B
Growth	−1.3%	−9.4%	−12.6%	−7.9%	−5.2%	−2.4%	0.3%	3.0%
EBIT	₩1.1B	−₩1B	₩1.1B	₩825M	₩782M	₩763M	₩766M	₩789M
EBIT margin	1.4%	−1.5%	1.7%	2.1%	2.1%	2.1%	2.1%	2.1%
After-tax EBIT	₩807M	−₩760M	₩775M	₩598M	₩567M	₩553M	₩555M	₩572M
+ Depreciation	—	—	—	₩4B	₩3.8B	₩3.7B	₩3.7B	₩3.8B
− Capital spending	₩9.9B	₩10B	₩7.1B	₩5B	₩4.7B	₩4.6B	₩4.6B	₩4.7B
− Working capital	₩7.3B	−₩7.1B	−₩11B	−₩1.3B	−₩817M	−₩358M	₩44M	₩438M
Free cash flow	—	—	—	₩964M	₩453M	₩2.2M	−₩400M	−₩805M
Discount factor	—	—	—	0.932	0.868	0.809	0.754	0.703
Present value	—	—	—	₩898M	₩394M	₩1.8M	−₩302M	−₩566M

Terminal value −₩2.1B, worth −₩1.5B today: 141% 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 ₩4,156 a share)Now 0.29×	₩1,6730.40×	₩3,4210.82×	₩6,0931.47×
Price / earnings (last 12 months: ₩252 a share)Now 4.85×	₩1,7156.80×	₩5,14220.4×	₩16,49765.4×
P/E on run-rate earnings (Q2 2026 × 4: ₩2,978 a share)Now 0.41×	₩20,2586.80×	₩60,73720.4×	₩194,86965.4×

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%	₩2,421	₩2,354	₩2,271	₩2,165	₩2,027
6.8%	₩2,418	₩2,358	₩2,286	₩2,196	₩2,082
7.3%	₩2,415	₩2,362	₩2,298	₩2,220	₩2,124
7.8%	₩2,413	₩2,365	₩2,308	₩2,240	₩2,157
8.3%	₩2,411	₩2,368	₩2,317	₩2,257	₩2,184

Now (TTM)

Market cap: ₩20B
Enterprise value: −₩19B
P/E: 4.9×
P/B: 0.3×
P/S: 0.5×
EV/EBITDA: —
Dividend yield: 0.0%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩1,800	₩3,640	₩5,020	₩3,770	₩11,400
Market cap	₩30B	₩60B	₩83B	₩62B	₩188B
P/E	—	—	77.7×	13.7×	44.6×
P/B	0.4×	0.7×	1.0×	0.7×	2.3×
P/S	0.5×	0.8×	1.0×	0.8×	2.4×
EV/EBITDA	—	—	—	—	—
Dividend yield	0.0%	—	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
NE Neungyule	4.9×	0.3×	0.5×	—	0.0%
CJ ENM	—	0.3×	0.2×	—	0.0%
Seoul Broadcasting System	109.3×	0.2×	0.2×	—	3.0%
KT Skylife	73.5×	0.3×	0.2×	—	9.5%
Mega Study	5.3×	0.5×	1.3×	—	10.1%
LG HelloVision	—	0.2×	0.1×	3.1×	0.0%
The Korea Economic Broadcasting	17.9×	0.7×	1.1×	—	3.3%
Similar companies (median)	45.7×	0.3×	0.2×	3.1×	3.1%

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

Also known as: NE Neungyule / NE능률 / 053290 / KRX:053290

Source: KRX statistical information