TSE티에스이

TSE's trailing profits are strong, but the shares have risen sharply and now look expensive against its own fair-value estimate.

TSE, a KOSDAQ-listed supplier of semiconductor and display test equipment, reported trailing twelve-month revenue of ₩567.7B and operating income of ₩125.7B through H1 2026, a clear step up from 2025. The share price is ₩257,000, up 414.5% over one year but down 11.1% over one month, and the company's own DCF base value is ₩86,978, well below the current price.

What stands out

• Trailing operating margin is 22.2% and net margin 18.4%, versus 11.5% and 10.4% ROE for full-year 2025, so profitability has improved markedly.
• Revenue for 2025 was ₩428.9B, up 23.2%, after 2024 growth of 39.7% and a 2023 decline of 26.6%, so results have been volatile.
• Cash of ₩116.7B exceeds borrowings of ₩46.6B, and trailing free cash flow is ₩14.5B.
• Valuation is high: P/E 27.2, P/B 6.0 and P/S 5.0, with a dividend yield of 0.2%. Peers range from P/E 13.2 to 71.9.
• Foreign ownership fell from 11.1% to 8.9% over about 60 days, and foreign investors were net sellers over the last 20 days while institutions were net buyers.

What to watch

• Next quarterly and annual results, to see whether the strong trailing margins hold given the 2023 loss and 2025 margin of 11.5%.
• Convertible bond issue decision from July 2026 and related securities issuance results, which could dilute existing shareholders.
• Ongoing insider shareholding and 5%+ holding reports, and the wide gap between the current price and the DCF bear-to-bull range of ₩53,314 to ₩143,752. No recent news headlines were available in the data.