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Hyundai Futurenet

126560 · KOSPI · ₩126560 · 현대퓨처넷

₩3,080▼ ₩105 (3.30%)End-of-day · Oct 28, 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

With these assumptions the model gives no positive value.

Enterprise value
₩16B
Equity value
−₩62B
WACC
7.4%

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 ₩3,080, the model needs an operating margin of 10.5% every year (it uses 3.6%).
  • 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 36.6× against a typical 40.5× 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
—
Bull
₩991
−67.8%

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 (3.6%).

Revenue growth

  • 19.7%

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

    Default: the last 3 years' revenue growth (19.7% a year, annual reports), fading to 3% by year 5.

  • 15.5%

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

    Default: the last 3 years' revenue growth (19.7% a year, annual reports), fading to 3% by year 5.

  • 11.4%

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

    Default: the last 3 years' revenue growth (19.7% a year, annual reports), fading to 3% by year 5.

  • 7.2%

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

    Default: the last 3 years' revenue growth (19.7% 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 (19.7% a year, annual reports), fading to 3% by year 5.

Business

  • 3.6%

    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.

  • 7.2%

    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).

  • 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).

  • 40%

    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.

  • 4.08%

    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.

  • 0.6

    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 -0.03, 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.

  • 5.58%

    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)
₩277B
Net debt (borrowings and leases − cash and deposits)
−₩23B
+ Stakes and investments
₩200M
Associates, long-term financial assets and deposits (book value)
− Minority interests
₩102B
Shares
109,201,040
Share price
₩3,080
Market cap
₩336B

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₩169B₩216B₩265B₩332B₩383B₩427B₩458B₩471B
Growth9.3%28.0%22.6%19.7%15.5%11.4%7.2%3.0%
EBIT₩2.5B₩6.9B₩6.3B₩12B₩14B₩15B₩16B₩17B
EBIT margin1.5%3.2%2.4%3.6%3.6%3.6%3.6%3.6%
After-tax EBIT₩1.8B₩5B₩4.6B₩8.7B₩10B₩11B₩12B₩12B
+ Depreciation———₩24B₩28B₩31B₩33B₩34B
− Capital spending₩21B₩23B₩11B₩30B₩34B₩38B₩41B₩42B
− Working capital₩132B−₩117B−₩146B₩22B₩21B₩17B₩12B₩5.5B
Free cash flow———−₩19B−₩17B−₩14B−₩8.6B−₩1.7B
Discount factor———0.9310.8670.8080.7520.700
Present value———−₩18B−₩15B−₩11B−₩6.5B−₩1.2B

Terminal value ₩97B, worth ₩68B today: 419% 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 ₩6,544 a share)Now 0.47×₩2,5430.39×₩3,1180.48×₩3,7420.57×
Price / earnings (last 12 months: ₩84 a share)Now 36.6×₩2933.48×₩3,40740.5×₩7,81692.9×
P/E on run-rate earnings (Q2 2026 × 4: ₩190 a share)Now 16.2×₩6603.48×₩7,68240.5×₩17,62292.9×

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%
6.4%—————
6.9%—————
7.4%—————
7.9%—————
8.4%—————

Now (TTM)

Market cap
₩336B
Enterprise value
₩313B
P/E
36.6×
P/B
0.5×
P/S
1.2×
EV/EBITDA
—
Dividend yield
4.9%

Over time (at each year end)

20252024202320222021
Price₩3,070₩3,785₩3,175₩2,505₩4,215
Market cap₩335B₩413B₩347B₩274B₩460B
P/E44.5×59.1×——4.9×
P/B0.5×0.6×0.5×0.4×0.6×
P/S1.3×1.9×2.1×1.8×3.4×
EV/EBITDA—————
Dividend yield4.9%2.9%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Hyundai Futurenet36.6×0.5×1.2×—4.9%
SK Telecom22.4×1.1×1.0×5.0×2.1%
KT8.8×0.6×0.4×—5.3%
LG Uplus10.9×0.6×0.4×2.8×0.0%
NICE Information & Telecommunication5.7×0.8×0.3×1.8×3.0%
Korea Information & Communication7.9×0.8×0.3×2.0×3.8%
Dozn14.0×2.2×2.7×—1.3%
Similar companies (median)9.9×0.8×0.4×2.4×2.6%

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

Also known as: Hyundai Futurenet / 현대퓨처넷 / 126560 / KRX:126560

Source: KRX statistical information