KOSDAQ · 095610 · Machinery · ₩095610

Tesco테스

095610 · KOSDAQ · ₩095610 · 테스

₩111,100▲ ₩5,900 (5.61%)End-of-day · Oct 27, 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

₩38,187

vs the current price (₩111,100)

Enterprise value: ₩539B
Equity value: ₩739B
WACC: 8.9%

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 66% 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 ₩111,100, the model needs an operating margin of 50.1% every year (it uses 16.2%).
Or revenue growth +39.2 points a year higher than assumed in each of the 5 years.
Margins ranged from −4.0% to 16.6% 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.
38% of the last 12 months' net profit came from outside operations (stakes in other companies, interest, one-offs). The model adds those stakes at book value but doesn't project that income.
Today's P/E is 26.6× against a typical 13.8× 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: ₩29,201; −73.7%
Base: ₩38,187; −65.6%
Bull: ₩52,335; −52.9%

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 (16.2%).

Revenue growth

Revenue growth, year 1-0.6%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-0.6% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 20.3%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-0.6% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 31.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-0.6% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 42.1%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-0.6% 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 (-0.6% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin16.2%
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.
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 & amortisation11.8%
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).
Capital spending14.7%
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 capital40%
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 rate4.03%
Yield on Korea's 10-year government bond: the return with almost no risk.
Default: Korea Treasury Bond 10-year yield on 2026-10-27.
Beta0.89
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 0.83, 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)5.53%
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): ₩405B
Net debt (borrowings and leases − cash and deposits): −₩87B
+ Stakes and investments: ₩113B; Associates, long-term financial assets and deposits (book value)
Shares: 19,360,000
Share price: ₩111,100
Market cap: ₩2.2T

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	₩147B	₩240B	₩351B	₩403B	₩404B	₩409B	₩418B	₩430B
Growth	−59.0%	63.4%	46.3%	−0.6%	0.3%	1.2%	2.1%	3.0%
EBIT	−₩5.9B	₩38B	₩58B	₩65B	₩65B	₩66B	₩68B	₩70B
EBIT margin	−4.0%	16.0%	16.5%	16.2%	16.2%	16.2%	16.2%	16.2%
After-tax EBIT	−₩4.2B	₩28B	₩42B	₩47B	₩47B	₩48B	₩49B	₩51B
+ Depreciation	—	—	—	₩48B	₩48B	₩48B	₩49B	₩51B
− Capital spending	₩17B	₩55B	₩33B	₩59B	₩59B	₩60B	₩61B	₩63B
− Working capital	₩25B	−₩18B	₩13B	−₩973M	₩484M	₩1.9B	₩3.4B	₩5B
Free cash flow	—	—	—	₩37B	₩35B	₩34B	₩34B	₩33B
Discount factor	—	—	—	0.918	0.843	0.774	0.710	0.652
Present value	—	—	—	₩34B	₩30B	₩26B	₩24B	₩22B

Terminal value ₩619B, worth ₩403B today: 75% 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 ₩24,155 a share)Now 4.60×	₩26,1651.08×	₩33,2451.38×	₩100,2704.15×
Price / earnings (last 12 months: ₩4,172 a share)Now 26.6×	₩25,1066.02×	₩57,41713.8×	₩172,86641.4×
P/E on run-rate earnings (Q2 2026 × 4: ₩7,031 a share)Now 15.8×	₩42,3146.02×	₩96,76913.8×	₩291,34741.4×

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%
7.9%	₩40,023	₩41,413	₩43,033	₩44,946	₩47,241
8.4%	₩37,938	₩39,092	₩40,420	₩41,968	₩43,796
8.9%	₩36,118	₩37,085	₩38,187	₩39,456	₩40,934
9.4%	₩34,517	₩35,333	₩36,256	₩37,308	₩38,518
9.9%	₩33,097	₩33,792	₩34,570	₩35,450	₩36,453

Now (TTM)

Market cap: ₩2.2T
Enterprise value: ₩2.1T
P/E: 26.6×
P/B: 4.6×
P/S: 5.3×
EV/EBITDA: —
Dividend yield: 0.8%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩44,550	₩15,500	₩20,100	₩15,700	₩29,750
Market cap	₩862B	₩300B	₩389B	₩304B	₩576B
P/E	15.2×	7.0×	248.5×	6.5×	7.8×
P/B	2.2×	0.9×	1.3×	1.0×	2.0×
P/S	2.5×	1.2×	2.6×	0.8×	1.5×
EV/EBITDA	—	—	—	—	—
Dividend yield	1.9%	3.9%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Tesco	26.6×	4.6×	5.3×	—	0.8%
Doosan Enerbility	208.4×	4.6×	2.1×	—	0.0%
Hanmi Semiconductor	82.2×	24.4×	33.1×	74.0×	0.4%
Jusung Engineering	1,121.0×	13.7×	36.0×	2,158.2×	0.0%
Rainbow Robotics	4,006.5×	51.3×	151.2×	—	0.0%
EO Technics	44.8×	6.5×	10.9×	—	0.0%
Doosan Bobcat	13,664.7×	914.4×	736.1×	—	3.5%
Similar companies (median)	664.7×	19.1×	34.5×	1,116.1×	0.0%

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

Also known as: Tesco / 테스 / 095610 / KRX:095610

Source: KRX statistical information