KOSDAQ · 065130 · Machinery · ₩065130

Top Engineering탑엔지니어링

065130 · KOSDAQ · ₩065130 · 탑엔지니어링

₩2,715▼ ₩75 (2.69%)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

With these assumptions the model gives no positive value.

Enterprise value: −₩247B
Equity value: −₩432B
WACC: 5.8%

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 gives no positive value at these assumptions. What we can see:

To match today's price of ₩2,715, the model needs an operating margin of 1.9% every year (it uses −1.3%).

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: —
Bull: —

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 (−1.3%).

Revenue growth

Revenue growth, year 1-5.2%
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.
Revenue growth, year 2-3.1%
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.
Revenue growth, year 3-1.1%
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.
Revenue growth, year 41%
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.
Revenue growth, year 53%
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

EBIT margin-1.3%
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 & amortisation2.9%
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 spending1.8%
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).
Working capital16.2%
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 0.19, 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): ₩884B
Net debt (borrowings and leases − cash and deposits): ₩35B
− Minority interests: ₩150B
Shares: 16,004,000
Share price: ₩2,715
Market cap: ₩43B

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	₩959B	₩815B	₩798B	₩838B	₩812B	₩803B	₩811B	₩836B
Growth	2.4%	−15.0%	−2.1%	−5.2%	−3.1%	−1.1%	1.0%	3.0%
EBIT	₩22B	−₩7.5B	−₩35B	−₩11B	−₩11B	−₩10B	−₩11B	−₩11B
EBIT margin	2.3%	−0.9%	−4.4%	−1.3%	−1.3%	−1.3%	−1.3%	−1.3%
After-tax EBIT	₩16B	−₩5.4B	−₩26B	−₩7.9B	−₩7.7B	−₩7.6B	−₩7.6B	−₩7.9B
+ Depreciation	₩27B	₩24B	—	₩24B	₩24B	₩23B	₩24B	₩24B
− Capital spending	₩8.9B	₩16B	₩20B	₩15B	₩15B	₩14B	₩15B	₩15B
− Working capital	₩34B	₩23B	−₩41B	−₩7.4B	−₩4.2B	−₩1.4B	₩1.3B	₩3.9B
Free cash flow	₩254M	−₩21B	—	₩8.8B	₩5.5B	₩2.7B	−₩23M	−₩2.6B
Discount factor	—	—	—	0.945	0.893	0.844	0.797	0.753
Present value	—	—	—	₩8.3B	₩4.9B	₩2.3B	−₩19M	−₩2B

Terminal value −₩346B, worth −₩261B today: 105% 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 ₩10,360 a share)Now 0.26×	₩3,2480.31×	₩4,2920.41×	₩5,8070.56×

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%
4.8%	—	—	—	—	—
5.3%	—	—	—	—	—
5.8%	—	—	—	—	—
6.3%	—	—	—	—	—
6.8%	—	—	—	—	—

Now (TTM)

Market cap: ₩43B
Enterprise value: ₩78B
P/E: —
P/B: 0.3×
P/S: 0.0×
EV/EBITDA: —
Dividend yield: 0.0%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩3,265	₩5,450	₩5,510	₩5,140	₩8,240
Market cap	₩52B	₩87B	₩88B	₩82B	₩132B
P/E	—	27.3×	4.0×	—	—
P/B	0.3×	0.5×	0.5×	0.5×	0.7×
P/S	0.1×	0.1×	0.1×	0.1×	0.1×
EV/EBITDA	—	6.5×	2.1×	7.4×	9.4×
Dividend yield	0.0%	—	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Top Engineering	—	0.3×	0.0×	—	0.0%
Doosan Enerbility	193.9×	4.3×	2.0×	—	0.0%
Hanmi Semiconductor	78.4×	23.3×	31.6×	70.6×	0.4%
Jusung Engineering	1,058.2×	13.0×	34.0×	2,036.0×	0.0%
Rainbow Robotics	4,137.6×	53.0×	156.2×	—	0.0%
EO Technics	44.1×	6.4×	10.8×	—	0.0%
Doosan Bobcat	13,622.5×	911.6×	733.9×	—	3.5%
Similar companies (median)	626.0×	18.1×	32.8×	1,053.3×	0.0%

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

Also known as: Top Engineering / 탑엔지니어링 / 065130 / KRX:065130

Source: KRX statistical information