Kumho Tire금호타이어

Kumho Tire's first-half 2026 profits look solid on paper, but the share price has fallen about 22% over the past month.

Kumho Tire, a Korean tire maker, reported trailing-twelve-month revenue of ₩4.77T and operating income of ₩583B to H1 2026, with a 12.2% operating margin. Its debt is substantial, with borrowings of ₩1.45T and liabilities at 138.8% of equity, while the shares trade at about 3.1 times earnings and 0.6 times book at ₩5,100. The company pays no dividend, and the data does not give a forward forecast.

What stands out

• Revenue grew 3.7% in 2025 to ₩4.70T, and operating margin held near 12% through 2025 and the trailing period, below the 13% seen in 2024.
• Net income of ₩477B on a trailing basis is well above the ₩347B booked in 2025, and trailing free cash flow is ₩757B.
• The shares are down 22.4% over one month and 17.2% over three months, though they are still up 6.6% over a year and trade far below the 52-week high of ₩8,850.
• A discounted cash flow model in the data gives a base value of ₩23,033, but the bear case is ₩9,982 and the bull case ₩48,190, a very wide range that should be treated with caution.
• Foreign ownership rose from 6.9% to 12.6% over about 60 days, while retail investors were net sellers of about ₩3.6T over the last 20 days.

What to watch

• Full first-half and third-quarter results, since the data shows only a preliminary earnings notice and an advance notice dated 26 October 2026.
• Recent filings on guarantees and collateral provided for other parties in August 2026, and the amended property, plant and equipment filing from 27 October 2026.
• Debt levels: borrowings of ₩1.45T against ₩743B of cash is a key balance-sheet point for the company.