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Dongyang S·TEC

060380 · KOSDAQ · ₩060380 · 동양에스텍

₩1,195▲ ₩1 (0.08%)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

₩260

vs the current price (₩1,195)

Enterprise value
₩46B
Equity value
₩5.1B
WACC
5.3%

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 78% 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 ₩1,195, the model needs an operating margin of 2.6% every year (it uses 2.2%).
  • Margins ranged from 0.9% to 9.4% 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.
  • Today's P/E is 8.8× against a typical 10.0× 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
₩260
−78.2%
Bull
₩8,254
+590.7%

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 (2.2%).

Revenue growth

  • -5.2%

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

    Default: the last 3 years' revenue growth (-5.2% a year, annual reports), fading to 3% by year 5.

  • -3.2%

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

    Default: the last 3 years' revenue growth (-5.2% a year, annual reports), fading to 3% by year 5.

  • -1.1%

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

    Default: the last 3 years' revenue growth (-5.2% a year, annual reports), fading to 3% by year 5.

  • 0.9%

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

    Default: the last 3 years' revenue growth (-5.2% 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 (-5.2% a year, annual reports), fading to 3% by year 5.

Business

  • 2.2%

    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.

  • 1.4%

    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).

  • 2.8%

    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).

  • 31.4%

    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 0.29, 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)
₩219B
Net debt (borrowings and leases − cash and deposits)
₩37B
+ Stakes and investments
₩3B
Associates, long-term financial assets and deposits (book value)
− Minority interests
₩6.7B
Shares
19,700,000
Share price
₩1,195
Market cap
₩24B

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₩210B₩191B₩198B₩208B₩201B₩199B₩201B₩207B
Growth−9.5%−9.2%3.5%−5.2%−3.2%−1.1%0.9%3.0%
EBIT₩6B₩3.2B₩1.8B₩4.6B₩4.4B₩4.4B₩4.4B₩4.5B
EBIT margin2.8%1.7%0.9%2.2%2.2%2.2%2.2%2.2%
After-tax EBIT₩4.3B₩2.3B₩1.3B₩3.3B₩3.2B₩3.2B₩3.2B₩3.3B
+ Depreciation₩2.8B₩2.9B₩2.9B₩2.9B₩2.8B₩2.8B₩2.8B₩2.9B
− Capital spending₩4B₩2.5B₩10B₩5.8B₩5.6B₩5.6B₩5.6B₩5.8B
− Working capital₩6.6B−₩9B₩16B−₩3.6B−₩2.1B−₩694M₩562M₩1.9B
Free cash flow−₩3.4B₩12B−₩22B₩4B₩2.5B₩1.1B−₩171M−₩1.5B
Discount factor———0.9490.9010.8550.8120.771
Present value———₩3.8B₩2.2B₩926M−₩139M−₩1.1B

Terminal value ₩52B, worth ₩40B today: 88% 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 ₩5,869 a share)Now 0.20×₩1,3150.22×₩2,7270.46×₩5,0780.87×
Price / earnings (last 12 months: ₩136 a share)Now 8.79×₩5183.81×₩1,35910.00×₩3,20323.6×
P/E on run-rate earnings (Q2 2026 × 4: ₩457 a share)Now 2.61×₩1,7433.81×₩4,57110.00×₩10,77123.6×

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%
4.3%₩1,146₩1,202₩1,277₩1,385₩1,563
4.8%₩704₩695₩678₩649₩597
5.3%₩365₩321₩260₩173₩44
5.8%₩97₩34———
6.3%—————

Now (TTM)

Market cap
₩24B
Enterprise value
₩60B
P/E
8.8×
P/B
0.2×
P/S
0.1×
EV/EBITDA
9.3×
Dividend yield
4.2%

Over time (at each year end)

20252024202320222021
Price₩1,518₩1,391₩2,080₩1,960₩3,490
Market cap₩30B₩27B₩41B₩39B₩69B
P/E21.9×14.0×9.6×7.8×3.8×
P/B0.3×0.2×0.5×0.5×0.9×
P/S0.2×0.1×0.2×0.2×0.3×
EV/EBITDA15.4×8.1×8.4×7.0×4.4×
Dividend yield3.3%3.6%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Dongyang S·TEC8.8×0.2×0.1×9.3×4.2%
POSCO Holdings16.2×0.4×0.3×7.7×3.6%
Korea Zinc18.6×1.6×0.9×—2.3%
Hyundai Steel—0.2×0.2×—1.9%
Poongsan8.1×0.7×0.3×5.9×2.9%
SeAH Besteel Holdings12.2×0.5×0.3×9.5×4.0%
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: Dongyang S·TEC / 동양에스텍 / 060380 / KRX:060380

Source: KRX statistical information