KOSPI · 103590 · Electrical equipment · ₩103590

Iljin Electric일진전기

103590 · KOSPI · ₩103590 · 일진전기

₩56,000▼ ₩2,900 (4.92%)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

₩28,995

vs the current price (₩56,000)

Enterprise value: ₩1.3T
Equity value: ₩1.4T
WACC: 10.1%

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 48% 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 ₩56,000, the model needs an operating margin of 9.2% every year (it uses 5.0%).
Or revenue growth +18.8 points a year higher than assumed in each of the 5 years.
Analysts' forecasts for 2026: revenue ₩2.4T, operating profit ₩254B (10.7% margin) (1 broker). The model starts from the last 12 months reported.
Analysts' forecasts for 2027: revenue ₩2.5T, operating profit ₩285B (11.3% margin) (1 broker). The model starts from the last 12 months reported.
Today's P/E is 19.0× against a typical 23.3× 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: ₩12,930; −76.9%
Base: ₩28,995; −48.2%
Bull: ₩53,791; −3.9%

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 (5.0%).

Revenue growth

Revenue growth, year 120.6%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (20.6% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 216.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (20.6% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 311.8%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (20.6% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 47.4%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (20.6% 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 (20.6% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin5%
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 & amortisation2.1%
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 spending2.6%
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 capital3.9%
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 rate4.08%
Yield on Korea's 10-year government bond: the return with almost no risk.
Default: Korea Treasury Bond 10-year yield on 2026-10-29.
Beta1.09
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 1.14, 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)5.58%
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): ₩2.2T
Net debt (borrowings and leases − cash and deposits): −₩45B
Shares: 47,685,390
Share price: ₩56,000
Market cap: ₩2.7T

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	₩1.2T	₩1.6T	₩2T	₩2.7T	₩3.1T	₩3.5T	₩3.7T	₩3.8T
Growth	7.0%	26.5%	29.6%	20.6%	16.2%	11.8%	7.4%	3.0%
EBIT	₩61B	₩80B	₩151B	₩133B	₩155B	₩173B	₩186B	₩191B
EBIT margin	4.9%	5.1%	7.4%	5.0%	5.0%	5.0%	5.0%	5.0%
After-tax EBIT	₩44B	₩58B	₩110B	₩97B	₩112B	₩125B	₩135B	₩139B
+ Depreciation	—	—	—	₩56B	₩65B	₩73B	₩78B	₩80B
− Capital spending	₩24B	₩71B	₩27B	₩69B	₩80B	₩90B	₩97B	₩99B
− Working capital	−₩11B	−₩44B	₩34B	₩18B	₩17B	₩14B	₩10B	₩4.3B
Free cash flow	—	—	—	₩65B	₩80B	₩94B	₩106B	₩115B
Discount factor	—	—	—	0.908	0.825	0.750	0.681	0.619
Present value	—	—	—	₩59B	₩66B	₩70B	₩72B	₩71B

Terminal value ₩1.6T, worth ₩998B 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 ₩13,719 a share)Now 4.08×	₩9,2780.68×	₩27,9722.04×	₩77,2335.63×
Price / earnings (last 12 months: ₩2,949 a share)Now 19.0×	₩38,36513.0×	₩68,63223.3×	₩106,42636.1×
P/E on run-rate earnings (Q2 2026 × 4: ₩4,189 a share)Now 13.4×	₩54,50413.0×	₩97,50323.3×	₩151,19536.1×

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%
9.1%	₩30,214	₩31,643	₩33,271	₩35,146	₩37,328
9.6%	₩28,365	₩29,597	₩30,990	₩32,579	₩34,408
10.1%	₩26,722	₩27,792	₩28,995	₩30,354	₩31,904
10.6%	₩25,253	₩26,189	₩27,234	₩28,407	₩29,734
11.1%	₩23,932	₩24,756	₩25,670	₩26,689	₩27,834

Now (TTM)

Market cap: ₩2.7T
Enterprise value: ₩2.6T
P/E: 19.0×
P/B: 4.1×
P/S: 1.2×
EV/EBITDA: —
Dividend yield: 0.9%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩54,400	₩27,250	₩10,640	₩5,020	₩4,831
Market cap	₩2.6T	₩1.3T	₩507B	₩239B	₩230B
P/E	25.0×	28.1×	14.7×	9.9×	15.4×
P/B	4.4×	2.6×	1.4×	0.7×	0.7×
P/S	1.3×	0.8×	0.4×	0.2×	0.2×
EV/EBITDA	—	—	—	—	—
Dividend yield	0.9%	1.1%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Iljin Electric	19.0×	4.1×	1.2×	—	0.9%
LS Electric	61.1×	11.2×	4.2×	37.8×	0.0%
Hyosung Heavy Industries	30.5×	6.9×	2.8×	—	0.4%
HD Hyundai Electric	18.7×	7.0×	3.7×	—	0.0%
Gaon Cable	110.9×	13.4×	2.5×	57.9×	0.0%
Sanil Electric	26.6×	7.2×	8.2×	—	0.8%
Taihan Cable & Solution	—	2.1×	1.0×	—	0.0%
Similar companies (median)	30.5×	7.1×	3.2×	47.8×	0.0%

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

Also known as: Iljin Electric / 일진전기 / 103590 / KRX:103590

Source: KRX statistical information