KOSDAQ · 096350 · Metal products · ₩096350

Daechang Solution대창솔루션

096350 · KOSDAQ · ₩096350 · 대창솔루션

₩1,586▼ ₩66 (4.00%)End-of-day · Oct 29, 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: −₩6.5B
Equity value: −₩749M
WACC: 10.4%

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

To match today's price of ₩1,586, the model needs an operating margin of 7.1% every year (it uses −1.2%).
Margins ranged from −16.7% to 7.8% 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.

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: ₩422; −73.4%

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 (−1.2%).

Revenue growth

Revenue growth, year 14.3%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (4.3% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 24%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (4.3% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 33.7%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (4.3% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 43.3%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (4.3% 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 (4.3% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin-1.2%
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 & amortisation1.6%
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 spending0.9%
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 capital-3.7%
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.
Beta1.16
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 1.24, 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): ₩75B
Net debt (borrowings and leases − cash and deposits): −₩7.8B
+ Stakes and investments: ₩1.8B; Associates, long-term financial assets and deposits (book value)
− Minority interests: ₩3.9B
Shares: 36,854,762
Share price: ₩1,586
Market cap: ₩58B

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	₩72B	₩61B	₩60B	₩78B	₩81B	₩84B	₩87B	₩90B
Growth	35.9%	−14.4%	−2.5%	4.3%	4.0%	3.7%	3.3%	3.0%
EBIT	₩5.6B	₩437M	−₩144M	−₩939M	−₩977M	−₩1B	−₩1B	−₩1.1B
EBIT margin	7.8%	0.7%	−0.2%	−1.2%	−1.2%	−1.2%	−1.2%	−1.2%
After-tax EBIT	₩4.1B	₩317M	−₩104M	−₩681M	−₩708M	−₩735M	−₩759M	−₩782M
+ Depreciation	₩1B	₩1.1B	—	₩1.3B	₩1.3B	₩1.4B	₩1.4B	₩1.4B
− Capital spending	₩476M	₩402M	₩746M	₩705M	₩733M	₩760M	₩785M	₩809M
− Working capital	−₩43M	₩1.8B	−₩23B	−₩119M	−₩116M	−₩111M	−₩103M	−₩97M
Free cash flow	₩4.7B	−₩801M	—	−₩14M	−₩23M	−₩32M	−₩45M	−₩56M
Discount factor	—	—	—	0.906	0.821	0.743	0.673	0.610
Present value	—	—	—	−₩12M	−₩19M	−₩24M	−₩30M	−₩34M

Terminal value −₩10B, worth −₩6.4B today: 98% 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 ₩860 a share)Now 1.84×	₩1,6671.94×	₩2,1492.50×	₩3,0783.58×

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%
9.4%	—	—	—	—	—
9.9%	—	—	—	—	—
10.4%	—	—	—	—	—
10.9%	₩5	—	—	—	—
11.4%	₩15	₩10	₩5	—	—

Now (TTM)

Market cap: ₩58B
Enterprise value: ₩51B
P/E: —
P/B: 1.8×
P/S: 0.8×
EV/EBITDA: —
Dividend yield: 0.0%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩2,335	₩1,540	₩2,180	₩1,520	₩2,490
Market cap	₩86B	₩57B	₩80B	₩56B	₩92B
P/E	—	—	28.7×	—	—
P/B	2.7×	2.1×	2.7×	2.1×	2.7×
P/S	1.4×	0.9×	1.1×	1.1×	1.9×
EV/EBITDA	—	74.5×	19.9×	—	—
Dividend yield	0.0%	—	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Daechang Solution	—	1.8×	0.8×	—	0.0%
CS Wind	372.3×	1.3×	0.6×	—	2.6%
Hankuk Carbon	7.8×	1.2×	0.9×	—	2.1%
Taewoong	63.8×	0.8×	1.3×	20.4×	0.0%
YG-1	5.3×	0.8×	0.5×	—	1.8%
Bosung Power Technology	18.9×	2.1×	1.8×	8.6×	0.0%
Hansun Engineering	36.1×	2.6×	3.0×	14.4×	0.0%
Similar companies (median)	27.5×	1.2×	1.1×	14.4×	0.9%

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

Also known as: Daechang Solution / 대창솔루션 / 096350 / KRX:096350

Source: KRX statistical information