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PJ Metal

128660 · KOSDAQ · ₩128660 · 피제이메탈

₩2,725▼ ₩10 (0.37%)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

₩8,500

vs the current price (₩2,725)

Enterprise value
₩284B
Equity value
₩211B
WACC
5.7%

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 212% 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 ₩2,725, the model needs an operating margin of 3.0% every year (it uses 4.5%).
  • Today's P/E is 4.7× against a typical 10.1× 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
₩8,500
+211.9%
Bull
₩27,386
+905.0%

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 (4.5%).

Revenue growth

  • 9.1%

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

    Default: the last 3 years' revenue growth (9.1% a year, annual reports), fading to 3% by year 5.

  • 7.5%

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

    Default: the last 3 years' revenue growth (9.1% a year, annual reports), fading to 3% by year 5.

  • 6%

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

    Default: the last 3 years' revenue growth (9.1% a year, annual reports), fading to 3% by year 5.

  • 4.5%

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

    Default: the last 3 years' revenue growth (9.1% 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 (9.1% a year, annual reports), fading to 3% by year 5.

Business

  • 4.5%

    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.

  • 3.5%

    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).

  • 4.4%

    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).

  • 27.9%

    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

  • 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 0.1, 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)
₩403B
Net debt (borrowings and leases − cash and deposits)
₩71B
− Minority interests
₩2.6B
Shares
24,803,369
Share price
₩2,725
Market cap
₩68B

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₩229B₩254B₩349B₩440B₩473B₩502B₩524B₩540B
Growth−14.8%11.0%37.1%9.1%7.5%6.0%4.5%3.0%
EBIT₩6B₩9.2B₩12B₩20B₩21B₩23B₩24B₩24B
EBIT margin2.6%3.6%3.5%4.5%4.5%4.5%4.5%4.5%
After-tax EBIT₩4.4B₩6.6B₩8.9B₩14B₩15B₩16B₩17B₩18B
+ Depreciation———₩15B₩17B₩18B₩18B₩19B
− Capital spending₩24B₩4.3B₩3.5B₩19B₩21B₩22B₩23B₩24B
− Working capital−₩2.6B₩3.1B₩40B₩10B₩9.2B₩7.9B₩6.3B₩4.4B
Free cash flow———₩156M₩2B₩3.9B₩6.1B₩8.4B
Discount factor———0.9460.8950.8470.8020.759
Present value———₩147M₩1.8B₩3.3B₩4.9B₩6.3B

Terminal value ₩353B, worth ₩268B today: 94% 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 ₩3,267 a share)Now 0.83×₩3,1410.96×₩4,1151.26×₩7,0222.15×
Price / earnings (last 12 months: ₩581 a share)Now 4.69×₩2,9695.11×₩5,86910.1×₩10,10717.4×
P/E on run-rate earnings (Q2 2026 × 4: ₩1,529 a share)Now 1.78×₩7,8095.11×₩15,43410.1×₩26,57717.4×

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%
4.7%₩10,268₩11,541₩13,282₩15,812₩19,839
5.2%₩8,494₩9,369₩10,512₩12,073₩14,342
5.7%₩7,103₩7,721₩8,500₩9,517₩10,906
6.2%₩5,985₩6,429₩6,973₩7,660₩8,555
6.7%₩5,067₩5,390₩5,776₩6,251₩6,848

Now (TTM)

Market cap
₩68B
Enterprise value
₩138B
P/E
4.7×
P/B
0.8×
P/S
0.2×
EV/EBITDA
—
Dividend yield
0.0%

Over time (at each year end)

20252024202320222021
Price₩2,790₩3,015₩3,700₩3,290₩5,320
Market cap₩69B₩75B₩92B₩82B₩132B
P/E9.1×26.5×6.5×14.1×7.2×
P/B0.9×1.1×1.3×1.3×2.3×
P/S0.2×0.3×0.4×0.3×0.5×
EV/EBITDA—————
Dividend yield0.0%0.0%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
PJ Metal4.7×0.8×0.2×—0.0%
POSCO Holdings16.6×0.4×0.3×7.8×3.5%
Korea Zinc18.9×1.6×0.9×—2.2%
Hyundai Steel—0.2×0.2×—1.9%
Poongsan8.3×0.7×0.3×6.0×2.8%
SeAH Besteel Holdings12.6×0.6×0.3×9.6×3.8%
Sama Aluminium—4.3×3.2×—0.0%
Similar companies (median)14.6×0.6×0.3×7.8×2.5%

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

Also known as: PJ Metal / 피제이메탈 / 128660 / KRX:128660

Source: KRX statistical information