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Noroo Paint & Coatings

090350 · KOSPI · ₩090350 · 노루페인트

₩8,200▲ ₩170 (2.12%)End-of-day · Oct 30, 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

₩23,912

vs the current price (₩8,200)

Enterprise value
₩445B
Equity value
₩489B
WACC
7.3%

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 192% 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 ₩8,200, the model needs an operating margin of 1.6% every year (it uses 4.6%).
  • Today's P/E is 5.1× against a typical 8.6× 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
₩10,740
+31.0%
Base
₩23,912
+191.6%
Bull
₩47,335
+477.3%

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 (4.6%).

Revenue growth

  • 0.8%

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

    Default: the last 3 years' revenue growth (0.8% a year, annual reports), fading to 3% by year 5.

  • 1.3%

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

    Default: the last 3 years' revenue growth (0.8% a year, annual reports), fading to 3% by year 5.

  • 1.9%

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

    Default: the last 3 years' revenue growth (0.8% a year, annual reports), fading to 3% by year 5.

  • 2.4%

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

    Default: the last 3 years' revenue growth (0.8% 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 (0.8% a year, annual reports), fading to 3% by year 5.

Business

  • 4.6%

    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.

  • 1.5%

    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).

  • 1.8%

    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).

  • 8.2%

    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

  • 2%

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

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

  • 4.01%

    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.

  • 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 0.14, 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.

  • 5.51%

    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)
₩781B
Net debt (borrowings and leases − cash and deposits)
−₩8.3B
+ Stakes and investments
₩36B
Associates, long-term financial assets and deposits (book value)
− Minority interests
₩10M
Shares
20,463,126
incl. 463,126 preferred
Share price
₩8,200
Market cap
₩169B

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₩781B₩794B₩771B₩787B₩797B₩812B₩832B₩857B
Growth3.6%1.7%−2.9%0.8%1.3%1.9%2.4%3.0%
EBIT₩42B₩44B₩30B₩36B₩37B₩37B₩38B₩39B
EBIT margin5.4%5.5%3.9%4.6%4.6%4.6%4.6%4.6%
After-tax EBIT₩30B₩32B₩22B₩26B₩27B₩27B₩28B₩29B
+ Depreciation———₩12B₩12B₩12B₩12B₩13B
− Capital spending₩13B₩14B₩16B₩14B₩14B₩15B₩15B₩15B
− Working capital−₩15B₩2.1B₩433M₩512M₩839M₩1.2B₩1.6B₩2B
Free cash flow———₩23B₩23B₩23B₩24B₩24B
Discount factor———0.9320.8680.8090.7540.703
Present value———₩22B₩20B₩19B₩18B₩17B

Terminal value ₩497B, worth ₩350B today: 79% 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 ₩21,330 a share)Now 0.38×₩8,1620.38×₩9,8030.46×₩13,1110.61×
Price / earnings (last 12 months: ₩1,602 a share)Now 5.12×₩8,5625.34×₩13,7788.60×₩21,50713.4×
P/E on run-rate earnings (Q2 2026 × 4: ₩3,627 a share)Now 2.26×₩19,3815.34×₩31,1888.60×₩48,68213.4×

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%
6.3%₩25,164₩26,890₩29,014₩31,692₩35,175
6.8%₩23,146₩24,529₩26,197₩28,249₩30,837
7.3%₩21,449₩22,576₩23,912₩25,524₩27,507
7.8%₩20,003₩20,933₩22,021₩23,312₩24,869
8.3%₩18,755₩19,532₩20,430₩21,481₩22,728

Now (TTM)

Market cap
₩164B
Enterprise value
₩154B
P/E
5.0×
P/B
0.4×
P/S
0.2×
EV/EBITDA
—
Dividend yield
4.9%

Over time (at each year end)

20252024202320222021
Price₩8,500₩7,940₩9,250₩7,740₩14,900
Market cap₩170B₩159B₩185B₩155B₩298B
P/E10.3×4.5×6.6×13.4×20.6×
P/B0.4×0.4×0.5×0.4×0.9×
P/S0.2×0.2×0.2×0.2×0.4×
EV/EBITDA—————
Dividend yield4.7%4.4%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Noroo Paint & Coatings5.0×0.4×0.2×—4.9%
LG Chem—0.5×0.3×—0.9%
Hanwha Solutions—0.5×0.3×—0.0%
Hanwha5.9×0.4×0.1×—1.5%
SKC—1.8×1.7×—0.0%
KCC0.9×0.3×0.5×8.9×0.0%
Kumho Petro Chemical5.3×0.4×0.4×—1.6%
Similar companies (median)5.3×0.4×0.4×8.9×0.4%

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

Also known as: Noroo Paint & Coatings / 노루페인트 / 090350 / KRX:090350

Source: KRX statistical information