Higen RNM하이젠알앤엠
160190 · KOSDAQ · ₩160190 · 하이젠알앤엠
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
- −₩72B
- Equity value
- −₩40B
- WACC
- 9.1%
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 gives no positive value at these assumptions. What we can see:
- To match today's price of ₩17,300, the model needs an operating margin of 69.7% every year (it uses −8.5%).
- 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.
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
- —
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 (−8.5%).
Revenue growth
- -3.1%
How much sales grow that year, compared with the year before.
Default: the last 1 years' revenue growth (-3.1% a year, annual reports), fading to 3% by year 5.
- -1.6%
How much sales grow that year, compared with the year before.
Default: the last 1 years' revenue growth (-3.1% a year, annual reports), fading to 3% by year 5.
- -0%
How much sales grow that year, compared with the year before.
Default: the last 1 years' revenue growth (-3.1% a year, annual reports), fading to 3% by year 5.
- 1.5%
How much sales grow that year, compared with the year before.
Default: the last 1 years' revenue growth (-3.1% 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 1 years' revenue growth (-3.1% a year, annual reports), fading to 3% by year 5.
Business
- -8.5%
Operating profit as a share of revenue.
Default: through-the-cycle average of the last 12 months and the last 2 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.
- 3.9%
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).
- 4.9%
Money spent on factories, equipment, software and other long-term assets (% of revenue).
Default: average of the last 2 annual reports (cash flow statements; equipment and intangibles).
- 26.3%
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 2 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.
- 4.01%
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.
- 0.93
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 0.89, 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.
- 5.51%
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)
- ₩78B
- Net debt (borrowings and leases − cash and deposits)
- −₩32B
- − Minority interests
- ₩842M
- Shares
- 30,888,000
- Share price
- ₩17,300
- Market cap
- ₩534B
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.
| FY2024 | FY2025 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|---|
| Revenue | ₩76B | ₩74B | ₩76B | ₩74B | ₩74B | ₩76B | ₩78B |
| Growth | — | −3.1% | −3.1% | −1.6% | 0.0% | 1.5% | 3.0% |
| EBIT | −₩369M | −₩8.9B | −₩6.4B | −₩6.3B | −₩6.3B | −₩6.4B | −₩6.6B |
| EBIT margin | −0.5% | −12.1% | −8.5% | −8.5% | −8.5% | −8.5% | −8.5% |
| After-tax EBIT | −₩268M | −₩6.5B | −₩4.7B | −₩4.6B | −₩4.6B | −₩4.7B | −₩4.8B |
| + Depreciation | — | — | ₩3B | ₩2.9B | ₩2.9B | ₩2.9B | ₩3B |
| − Capital spending | ₩1.9B | ₩5.3B | ₩3.7B | ₩3.6B | ₩3.6B | ₩3.7B | ₩3.8B |
| − Working capital | — | −₩2.9B | −₩637M | −₩318M | ₩0 | ₩294M | ₩596M |
| Free cash flow | — | — | −₩4.8B | −₩5B | −₩5.3B | −₩5.7B | −₩6.2B |
| Discount factor | — | — | 0.916 | 0.840 | 0.770 | 0.705 | 0.646 |
| Present value | — | — | −₩4.4B | −₩4.2B | −₩4.1B | −₩4B | −₩4B |
Terminal value −₩79B, worth −₩51B today: 71% 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 ₩3,363 a share)Now 5.14× | ₩14,2784.25× | ₩45,18113.4× | ₩96,24928.6× |
Low, typical and high are the 10th percentile, middle and 90th percentile of month-end multiples since 2024, 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% |
|---|---|---|---|---|---|
| 8.1% | — | — | — | — | — |
| 8.6% | — | — | — | — | — |
| 9.1% | — | — | — | — | — |
| 9.6% | — | — | — | — | — |
| 10.1% | — | — | — | — | — |
Now (TTM)
- Market cap
- ₩534B
- Enterprise value
- ₩502B
- P/E
- —
- P/B
- 5.1×
- P/S
- 6.8×
- EV/EBITDA
- —
- Dividend yield
- 0.0%
Over time (at each year end)
| 2025 | 2024 | |
|---|---|---|
| Price | ₩59,500 | ₩13,400 |
| Market cap | ₩1.8T | ₩414B |
| P/E | — | — |
| P/B | 17.3× | 6.1× |
| P/S | 25.0× | 5.5× |
| EV/EBITDA | — | — |
| Dividend yield | 0.0% | — |
Versus similar companies
| Company | P/E | P/B | P/S | EV/EBITDA | Dividend yield |
|---|---|---|---|---|---|
| Higen RNM | — | 5.1× | 6.8× | — | 0.0% |
| LS Electric | 57.7× | 10.5× | 3.9× | 35.7× | 0.0% |
| Hyosung Heavy Industries | 28.8× | 6.5× | 2.6× | — | 0.4% |
| HD Hyundai Electric | 18.0× | 6.8× | 3.5× | — | 0.0% |
| Gaon Cable | 105.6× | 12.8× | 2.3× | 55.0× | 0.0% |
| Sanil Electric | 24.9× | 6.8× | 7.6× | — | 0.9% |
| Taihan Cable & Solution | — | 2.1× | 0.9× | — | 0.0% |
| Similar companies (median) | 28.8× | 6.8× | 3.1× | 45.4× | 0.0% |
Calculated from end-of-day prices and filed financial statements. Not a recommendation. This is not financial advice.
Also known as: Higen RNM / 하이젠알앤엠 / 160190 / KRX:160190
Source: KRX statistical information