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Poongsan

103140 · KOSPI · ₩103140 · 풍산

₩58,400▼ ₩1,400 (2.34%)End-of-day · Oct 29, 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

₩137,006

vs the current price (₩58,400)

Enterprise value
₩4.8T
Equity value
₩3.8T
WACC
6.2%

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 135% 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 ₩58,400, the model needs an operating margin of 4.2% every year (it uses 6.3%).
  • Or revenue growth −20.8 points a year higher than assumed in each of the 5 years.
  • Today's P/E is 8.1× against a typical 7.0× 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
₩37,058
−36.5%
Base
₩137,006
+134.6%
Bull
₩335,215
+474.0%

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 (6.3%).

Revenue growth

  • 4.9%

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

    Default: the last 3 years' revenue growth (4.9% a year, annual reports), fading to 3% by year 5.

  • 4.4%

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

    Default: the last 3 years' revenue growth (4.9% a year, annual reports), fading to 3% by year 5.

  • 4%

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

    Default: the last 3 years' revenue growth (4.9% a year, annual reports), fading to 3% by year 5.

  • 3.5%

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

    Default: the last 3 years' revenue growth (4.9% 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 (4.9% a year, annual reports), fading to 3% by year 5.

Business

  • 6.3%

    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.

  • 1.9%

    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).

  • 3.8%

    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).

  • 29.4%

    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.

  • 0.64

    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 0.47, 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)
₩5.3T
Net debt (borrowings and leases − cash and deposits)
₩1T
+ Stakes and investments
₩16B
Associates, long-term financial assets and deposits (book value)
Shares
28,024,278
Share price
₩58,400
Market cap
₩1.6T

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₩4.1T₩4.6T₩5T₩5.6T₩5.8T₩6.1T₩6.3T₩6.5T
Growth−5.7%10.4%10.9%4.9%4.4%4.0%3.5%3.0%
EBIT₩229B₩324B₩297B₩353B₩368B₩383B₩397B₩408B
EBIT margin5.5%7.1%5.9%6.3%6.3%6.3%6.3%6.3%
After-tax EBIT₩166B₩235B₩216B₩256B₩267B₩278B₩288B₩296B
+ Depreciation₩88B₩86B₩87B₩106B₩111B₩116B₩120B₩123B
− Capital spending₩138B₩196B₩190B₩213B₩222B₩231B₩239B₩246B
− Working capital−₩454B₩488B₩282B₩77B₩72B₩69B₩63B₩56B
Free cash flow₩569B−₩363B−₩170B₩72B₩84B₩93B₩105B₩117B
Discount factor———0.9420.8870.8350.7870.741
Present value———₩68B₩74B₩78B₩83B₩87B

Terminal value ₩6T, worth ₩4.4T today: 92% 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 ₩87,231 a share)Now 0.67×₩42,9400.49×₩58,4000.67×₩121,9601.40×
Price / earnings (last 12 months: ₩7,204 a share)Now 8.11×₩26,5443.68×₩50,7187.04×₩120,36616.7×
P/E on run-rate earnings (Q2 2026 × 4: ₩11,773 a share)Now 4.96×₩43,3773.68×₩82,8837.04×₩196,70016.7×

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%
5.2%₩156,249₩174,068₩197,409₩229,364₩275,865
5.7%₩133,367₩146,471₩163,067₩184,802₩214,555
6.2%₩114,961₩124,833₩137,006₩152,420₩172,603
6.7%₩99,848₩107,425₩116,570₩127,844₩142,115
7.2%₩87,225₩93,130₩100,127₩108,569₩118,974

Now (TTM)

Market cap
₩1.6T
Enterprise value
₩2.6T
P/E
8.1×
P/B
0.7×
P/S
0.3×
EV/EBITDA
5.9×
Dividend yield
2.9%

Over time (at each year end)

20252024202320222021
Price₩106,500₩49,950₩39,200₩33,650₩31,150
Market cap₩3T₩1.4T₩1.1T₩943B₩873B
P/E20.3×5.9×7.0×5.4×3.6×
P/B1.3×0.6×0.6×0.5×0.5×
P/S0.6×0.3×0.3×0.2×0.2×
EV/EBITDA9.9×4.6×4.4×5.5×4.1×
Dividend yield1.6%5.2%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Poongsan8.1×0.7×0.3×5.9×2.9%
POSCO Holdings16.2×0.4×0.3×7.7×3.6%
Korea Zinc18.6×1.6×0.9×—2.3%
Hyundai Steel—0.2×0.2×—1.9%
SeAH Besteel Holdings12.2×0.5×0.3×9.5×4.0%
Sama Aluminium—4.1×3.0×—0.0%
HVM1,362.0×6.0×9.5×66.2×0.0%
Similar companies (median)17.4×1.1×0.6×9.5×2.1%

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

Also known as: Poongsan / 풍산 / 103140 / KRX:103140

Source: KRX statistical information