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Korea Computer Terminal

089150 · KOSDAQ · ₩089150 · 케이씨티

₩1,499 ₩0 (0.00%)End-of-day · Oct 27, 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

₩3,180

vs the current price (₩1,499)

Enterprise value
₩65B
Equity value
₩55B
WACC
6.4%

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 ₩1,499, the model needs an operating margin of 6.9% every year (it uses 12.5%).
  • Or revenue growth −13.0 points a year higher than assumed in each of the 5 years.
  • Margins ranged from 2.9% to 17.5% 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 11.9× against a typical 43.2× 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
₩1,665
+11.1%
Base
₩3,180
+112.2%
Bull
₩5,883
+292.5%

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 (12.5%).

Revenue growth

  • 16.6%

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

    Default: the last 3 years' revenue growth (16.6% a year, annual reports), fading to 3% by year 5.

  • 13.2%

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

    Default: the last 3 years' revenue growth (16.6% a year, annual reports), fading to 3% by year 5.

  • 9.8%

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

    Default: the last 3 years' revenue growth (16.6% a year, annual reports), fading to 3% by year 5.

  • 6.4%

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

    Default: the last 3 years' revenue growth (16.6% 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 (16.6% a year, annual reports), fading to 3% by year 5.

Business

  • 12.5%

    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.

  • 1.1%

    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).

  • 1.4%

    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).

  • -4.6%

    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

  • 2%

    How fast cash flows keep growing every year after year 5.

    Default: about Korea's long-run inflation plus real growth.

  • 4.11%

    Yield on Korea's 10-year government bond: the return with almost no risk.

    Default: Korea Treasury Bond 10-year yield on 2026-10-28.

  • 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 0.24, 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.

  • 5.61%

    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)
₩22B
Net debt (borrowings and leases − cash and deposits)
₩11B
+ Stakes and investments
₩1.1B
Associates, long-term financial assets and deposits (book value)
Shares
17,150,000
Share price
₩1,499
Market cap
₩26B

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₩16B₩12B₩23B₩25B₩29B₩31B₩33B₩34B
Growth10.9%−27.7%97.9%16.6%13.2%9.8%6.4%3.0%
EBIT₩2.2B₩1.6B₩4B₩3.2B₩3.6B₩3.9B₩4.2B₩4.3B
EBIT margin13.4%13.8%17.5%12.5%12.5%12.5%12.5%12.5%
After-tax EBIT₩1.6B₩1.2B₩2.9B₩2.3B₩2.6B₩2.9B₩3B₩3.1B
+ Depreciation———₩278M₩315M₩346M₩368M₩379M
− Capital spending₩187M₩177M₩378M₩354M₩401M₩440M₩469M₩483M
− Working capital−₩1.1B₩179M−₩615M−₩166M−₩154M−₩129M−₩93M−₩46M
Free cash flow———₩2.4B₩2.7B₩2.9B₩3B₩3.1B
Discount factor———0.9400.8840.8310.7810.734
Present value———₩2.2B₩2.4B₩2.4B₩2.4B₩2.3B

Terminal value ₩73B, worth ₩53B today: 82% 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 ₩2,017 a share)Now 0.74×₩2,2501.12×₩3,1911.58×₩6,2663.11×
Price / earnings (last 12 months: ₩126 a share)Now 11.9×₩1,89415.1×₩5,42243.2×₩11,15188.8×
P/E on run-rate earnings (Q2 2026 × 4: ₩2 a share)Now 603.5×₩3715.1×₩10743.2×₩22188.8×

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%
5.4%₩3,302₩3,742₩4,312₩5,080₩6,171
5.9%₩2,896₩3,240₩3,673₩4,234₩4,990
6.4%₩2,566₩2,842₩3,180₩3,606₩4,158
6.9%₩2,292₩2,517₩2,788₩3,122₩3,541
7.4%₩2,061₩2,248₩2,469₩2,736₩3,064

Now (TTM)

Market cap
₩26B
Enterprise value
₩37B
P/E
11.9×
P/B
0.7×
P/S
1.2×
EV/EBITDA
—
Dividend yield
5.3%

Over time (at each year end)

20252024202320222021
Price₩2,795₩2,460₩2,880₩3,220₩6,270
Market cap₩48B₩42B₩49B₩55B₩108B
P/E17.3×48.2×42.7×81.8×449.7×
P/B1.3×1.2×1.4×1.6×3.1×
P/S2.1×3.6×3.1×3.8×7.8×
EV/EBITDA—————
Dividend yield2.9%2.4%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Korea Computer Terminal11.9×0.7×1.2×—5.3%
Samsung SDS25.6×1.6×1.2×—1.5%
LG CNS15.1×2.4×1.2×—2.5%
DB7.1×0.9×0.6×16.2×0.0%
Itcenglobal6.7×2.9×0.0×—0.0%
Lotte Innovate15.5×0.6×0.2×—4.0%
Shinsegae Information & Communication6.3×0.4×0.3×0.8×0.0%
Similar companies (median)11.1×1.3×0.5×8.5×0.7%

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

Also known as: Korea Computer Terminal / 케이씨티 / 089150 / KRX:089150

Source: KRX statistical information