KOSPI · 058650 · Steel & Materials · ₩058650

Seah Holdings세아홀딩스

058650 · KOSPI · ₩058650 · 세아홀딩스

₩117,600▼ ₩2,400 (2.00%)End-of-day · Oct 29, 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

₩248,897

vs the current price (₩117,600)

Enterprise value: ₩3.4T
Equity value: ₩1T
WACC: 4.7%

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 112% 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 ₩117,600, the model needs an operating margin of 2.7% every year (it uses 3.0%).
Or revenue growth −7.5 points a year higher than assumed in each of the 5 years.
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 4.6× against a typical 6.4× 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: —
Base: ₩248,897; +111.6%
Bull: ₩2,639,107; +2,144.1%

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 1-0.7%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-0.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 20.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-0.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 31.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-0.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 42.1%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-0.7% 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 (-0.7% 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 & amortisation2.1%
The non-cash cost of wearing out equipment, added back to cash flow (% of revenue).
Default: average of the last 3 annual reports (cash flow statements; equipment and intangibles).
Capital spending3.5%
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 capital26.6%
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: 105 weeks of weekly returns against KOSPI (official index); raw beta 0.02, 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): ₩7.1T
Net debt (borrowings and leases − cash and deposits): ₩1.8T
+ Stakes and investments: ₩195B; Associates, long-term financial assets and deposits (book value)
− Minority interests: ₩794B
Shares: 4,055,236
Share price: ₩117,600
Market cap: ₩477B

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	₩6.4T	₩6T	₩6.6T	₩7.1T	₩7.1T	₩7.2T	₩7.3T	₩7.5T
Growth	−4.8%	−6.3%	9.9%	−0.7%	0.2%	1.2%	2.1%	3.0%
EBIT	₩201B	₩99B	₩175B	₩212B	₩213B	₩215B	₩220B	₩226B
EBIT margin	3.1%	1.6%	2.7%	3.0%	3.0%	3.0%	3.0%	3.0%
After-tax EBIT	₩146B	₩72B	₩127B	₩154B	₩154B	₩156B	₩159B	₩164B
+ Depreciation	₩121B	₩130B	₩139B	₩148B	₩149B	₩151B	₩154B	₩158B
− Capital spending	₩169B	₩227B	₩277B	₩247B	₩248B	₩251B	₩256B	₩264B
− Working capital	₩33B	−₩130B	₩135B	−₩13B	₩3.8B	₩23B	₩40B	₩58B
Free cash flow	₩65B	₩105B	−₩145B	₩68B	₩51B	₩33B	₩17B	₩18M
Discount factor	—	—	—	0.955	0.912	0.872	0.833	0.795
Present value	—	—	—	₩65B	₩47B	₩29B	₩14B	₩15M

Terminal value ₩4.1T, worth ₩3.3T today: 95% 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 ₩586,281 a share)Now 0.20×	₩107,5390.18×	₩122,8140.21×	₩147,0090.25×
Price / earnings (last 12 months: ₩25,577 a share)Now 4.60×	₩89,6043.50×	₩163,0116.37×	₩478,67618.7×
P/E on run-rate earnings (Q2 2026 × 4: ₩51,011 a share)Now 2.31×	₩178,7103.50×	₩325,1176.37×	₩954,69718.7×

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%
3.7%	₩436,047	₩572,941	₩789,803	₩1,187,761	₩2,162,742
4.2%	₩260,310	₩340,814	₩457,222	₩641,476	₩979,376
4.7%	₩132,643	₩181,957	₩248,897	₩345,559	₩498,383
5.2%	₩35,810	₩66,542	₩106,316	₩160,184	₩237,813
5.7%	—	—	₩2,715	₩33,296	₩74,564

Now (TTM)

Market cap: ₩477B
Enterprise value: ₩2.3T
P/E: 4.6×
P/B: 0.2×
P/S: 0.1×
EV/EBITDA: 5.9×
Dividend yield: 3.7%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩144,000	₩95,600	₩108,000	₩108,000	₩104,500
Market cap	₩584B	₩388B	₩438B	₩438B	₩424B
P/E	9.0×	11.7×	5.3×	3.6×	8.6×
P/B	0.3×	0.2×	0.2×	0.2×	0.2×
P/S	0.1×	0.1×	0.1×	0.1×	0.1×
EV/EBITDA	7.6×	8.0×	5.6×	5.6×	3.6×
Dividend yield	3.0%	4.2%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Seah Holdings	4.6×	0.2×	0.1×	5.9×	3.7%
POSCO Holdings	16.2×	0.4×	0.3×	7.7×	3.6%
Korea Zinc	18.6×	1.6×	0.9×	—	2.3%
Hyundai Steel	—	0.2×	0.2×	—	1.9%
Poongsan	8.1×	0.7×	0.3×	5.9×	2.9%
SeAH Besteel Holdings	12.2×	0.5×	0.3×	9.5×	4.0%
Sama Aluminium	—	4.1×	3.0×	—	0.0%
Similar companies (median)	14.2×	0.6×	0.3×	7.7×	2.6%

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

Also known as: Seah Holdings / 세아홀딩스 / 058650 / KRX:058650

Source: KRX statistical information