KOSDAQ · 100660 · Machinery · ₩100660

Seoam Machinery Industry서암기계공업

100660 · KOSDAQ · ₩100660 · 서암기계공업

₩2,780▼ ₩155 (5.28%)End-of-day · Oct 30, 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

₩450

vs the current price (₩2,780)

Enterprise value: −₩725M
Equity value: ₩5.7B
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 84% 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 ₩2,780, the model needs an operating margin of 5.8% every year (it uses 1.2%).
59% 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.
In the projection, spending on equipment, software and working capital takes most or all of the after-tax operating profit, so free cash flow is thin. Companies that invest heavily often look like this until spending slows.
Today's P/E is 19.0× against a typical 43.4× 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: —
Base: ₩450; −83.8%
Bull: ₩1,614; −41.9%

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 (1.2%).

Revenue growth

Revenue growth, year 1-2.7%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-2.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 2-1.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-2.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 30.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-2.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 41.6%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-2.7% 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 (-2.7% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin1.2%
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 & amortisation2.6%
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 spending3.2%
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 rate4.01%
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.
Beta0.6
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 0.27, 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): ₩50B
Net debt (borrowings and leases − cash and deposits): −₩4.3B
+ Stakes and investments: ₩2.1B; Associates, long-term financial assets and deposits (book value)
Shares: 12,600,000
Share price: ₩2,780
Market cap: ₩35B

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	₩46B	₩42B	₩47B	₩48B	₩48B	₩48B	₩49B	₩50B
Growth	−9.1%	−7.6%	9.7%	−2.7%	−1.2%	0.2%	1.6%	3.0%
EBIT	₩614M	−₩1.3B	₩44M	₩581M	₩574M	₩576M	₩585M	₩602M
EBIT margin	1.3%	−3.1%	0.1%	1.2%	1.2%	1.2%	1.2%	1.2%
After-tax EBIT	₩445M	−₩938M	₩32M	₩422M	₩416M	₩417M	₩424M	₩437M
+ Depreciation	—	—	—	₩1.3B	₩1.2B	₩1.2B	₩1.3B	₩1.3B
− Capital spending	₩3.3B	₩253M	₩869M	₩1.6B	₩1.5B	₩1.5B	₩1.6B	₩1.6B
− Working capital	−₩190M	₩1.2B	−₩5B	−₩538M	−₩233M	₩38M	₩307M	₩585M
Free cash flow	—	—	—	₩669M	₩362M	₩91M	−₩175M	−₩449M
Discount factor	—	—	—	0.932	0.868	0.809	0.754	0.703
Present value	—	—	—	₩623M	₩314M	₩74M	−₩132M	−₩316M

Terminal value −₩1.8B, worth −₩1.3B today: 178% 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 ₩5,426 a share)Now 0.51×	₩3,6960.68×	₩4,7660.88×	₩6,6341.22×
Price / earnings (last 12 months: ₩146 a share)Now 19.0×	₩3,37323.0×	₩6,35043.4×	₩9,19162.8×
P/E on run-rate earnings (Q2 2026 × 4: ₩297 a share)Now 9.35×	₩6,85323.0×	₩12,90143.4×	₩18,67262.8×

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%
6.3%	₩669	₩558	₩419	₩243	₩12
6.8%	₩656	₩557	₩436	₩286	₩94
7.3%	₩646	₩557	₩450	₩319	₩157
7.8%	₩637	₩556	₩461	₩346	₩206
8.3%	₩630	₩556	₩470	₩368	₩246

Now (TTM)

Market cap: ₩35B
Enterprise value: ₩30B
P/E: 19.0×
P/B: 0.5×
P/S: 0.7×
EV/EBITDA: —
Dividend yield: 0.4%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩4,490	₩3,620	₩4,545	₩5,850	₩5,150
Market cap	₩57B	₩46B	₩57B	₩74B	₩65B
P/E	47.5×	115.3×	29.7×	33.9×	51.0×
P/B	0.8×	0.7×	0.9×	1.1×	1.0×
P/S	1.2×	1.1×	1.2×	1.5×	1.4×
EV/EBITDA	—	—	—	—	—
Dividend yield	0.2%	0.3%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Seoam Machinery Industry	19.0×	0.5×	0.7×	—	0.4%
Doosan Enerbility	193.9×	4.3×	2.0×	—	0.0%
Hanmi Semiconductor	78.4×	23.3×	31.6×	70.6×	0.4%
Jusung Engineering	1,058.2×	13.0×	34.0×	2,036.0×	0.0%
Rainbow Robotics	4,137.6×	53.0×	156.2×	—	0.0%
EO Technics	44.1×	6.4×	10.8×	—	0.0%
Doosan Bobcat	13,622.5×	911.6×	733.9×	—	3.5%
Similar companies (median)	626.0×	18.1×	32.8×	1,053.3×	0.0%

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

Also known as: Seoam Machinery Industry / 서암기계공업 / 100660 / KRX:100660

Source: KRX statistical information