KOSPI · 120110 · Chemicals · ₩120110

Kolon Industries코오롱인더

120110 · KOSPI · ₩120110 · 코오롱인더

₩38,950▼ ₩550 (1.39%)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

₩28,649

vs the current price (₩38,950)

Enterprise value: ₩2.6T
Equity value: ₩937B
WACC: 5.2%

Model estimate based on the assumptions shown. Not a price target and not a buy or sell signal. This is not financial advice.

Bear / Base / Bull

Bear: —
Base: ₩28,649; −26.4%
Bull: ₩179,981; +362.1%

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 (3.7%).

Revenue growth

Revenue growth, year 1-3.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-3.2% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 2-1.6%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-3.2% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 3-0.1%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-3.2% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 41.5%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (-3.2% 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 (-3.2% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin3.7%
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 & amortisation5.1%
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 spending5.2%
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 capital27.1%
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 0.29, 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): ₩5T
Net debt (borrowings and leases − cash and deposits): ₩2.2T
+ Stakes and investments: ₩605B; Associates, long-term financial assets and deposits (book value)
− Minority interests: ₩20B
Shares: 32,713,892; incl. 2,767,860 preferred
Share price: ₩38,950
Market cap: ₩1.2T

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	₩5.1T	₩4.8T	₩4.9T	₩4.8T	₩4.7T	₩4.7T	₩4.8T	₩5T
Growth	−5.7%	−4.3%	0.6%	−3.2%	−1.6%	−0.1%	1.5%	3.0%
EBIT	₩158B	₩159B	₩109B	₩178B	₩175B	₩175B	₩178B	₩183B
EBIT margin	3.1%	3.3%	2.2%	3.7%	3.7%	3.7%	3.7%	3.7%
After-tax EBIT	₩114B	₩115B	₩79B	₩129B	₩127B	₩127B	₩129B	₩133B
+ Depreciation	₩241B	₩252B	₩253B	₩246B	₩242B	₩242B	₩245B	₩253B
− Capital spending	₩320B	₩259B	₩184B	₩251B	₩247B	₩246B	₩250B	₩257B
− Working capital	₩1.7T	₩81B	₩8.8B	−₩43B	−₩21B	−₩1.3B	₩19B	₩39B
Free cash flow	−₩1.6T	₩27B	₩139B	₩168B	₩143B	₩124B	₩105B	₩89B
Discount factor	—	—	—	0.951	0.904	0.859	0.817	0.777
Present value	—	—	—	₩159B	₩130B	₩106B	₩86B	₩69B

Terminal value ₩2.6T, worth ₩2T today: 79% 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 ₩131,703 a share)Now 0.30×	₩38,9500.30×	₩65,3320.50×	₩108,8490.83×
Price / earnings (last 12 months: ₩4,151 a share)Now 9.38×	₩33,6058.10×	₩59,50014.3×	₩118,22928.5×
P/E on run-rate earnings (Q2 2026 × 4: ₩7,938 a share)Now 4.91×	₩64,2618.10×	₩113,77814.3×	₩226,08228.5×

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%
4.2%	₩42,075	₩50,097	₩61,727	₩80,190	₩114,187
4.7%	₩30,202	₩35,246	₩42,112	₩52,056	₩67,829
5.2%	₩21,163	₩24,419	₩28,649	₩34,400	₩42,719
5.7%	₩14,049	₩16,172	₩18,831	₩22,278	₩26,953
6.2%	₩8,301	₩9,678	₩11,349	₩13,432	₩16,123

Now (TTM)

Market cap: ₩1.2T
Enterprise value: ₩3.4T
P/E: 8.6×
P/B: 0.3×
P/S: 0.2×
EV/EBITDA: 7.5×
Dividend yield: 3.3%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩44,850	₩27,150	₩44,500	₩41,150	₩70,900
Market cap	₩1.3T	₩813B	₩1.3T	₩1.2T	₩2.1T
P/E	35.1×	8.2×	31.2×	6.9×	11.2×
P/B	0.3×	0.2×	0.5×	0.5×	0.9×
P/S	0.3×	0.2×	0.3×	0.2×	0.5×
EV/EBITDA	10.1×	7.4×	8.2×	2.3×	4.0×
Dividend yield	2.9%	4.8%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Kolon Industries	8.6×	0.3×	0.2×	7.5×	3.3%
LG Chem	—	0.5×	0.3×	—	0.9%
Hanwha Solutions	—	0.5×	0.3×	—	0.0%
Hanwha	5.9×	0.4×	0.1×	—	1.5%
SKC	—	1.8×	1.7×	—	0.0%
KCC	0.9×	0.3×	0.5×	8.9×	0.0%
Kumho Petro Chemical	5.3×	0.4×	0.4×	—	1.6%
Similar companies (median)	5.3×	0.4×	0.4×	8.9×	0.4%

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

Also known as: Kolon Industries / 코오롱인더 / 120110 / KRX:120110

Source: KRX statistical information