Kdchem케이디켐

Kdchem remains profitable on a trailing basis with low valuation multiples, but revenue is flat and the shares have drifted lower over the past year.

Kdchem makes PVC stabilizers and related additives at plants in Ansan and Boeun, selling to domestic and overseas customers. On trailing twelve-month figures to H1 2026 it reported revenue of about ₩63.5B... more precisely ₩63.5B is wrong scale, so revenue is ₩63.5B-scale in won terms and net income of ₩8.4B, with a 13.3% net margin and ₩34.2B of cash against ₩28.0B of borrowings. The share price of ₩9,440 sits near the lower half of its 52-week range of ₩9,100 to ₩11,000 and is down 10.4% over one year.

What stands out

• Revenue has been broadly flat: 2025 revenue grew only 0.8% to about ₩62.9B, after a 5.5% rise in 2024 and a 4.8% fall in 2023.
• Net income has fallen sharply from ₩8.2B in 2022 to ₩3.5B in 2025, while trailing net income to H1 2026 is ₩8.4B, which is higher than the 2025 full-year figure.
• Operating margin has eased from 12.7% in 2021 to 10.6% on a trailing basis, and the reported ROE of 8.1% is above the 3.4% recorded for 2025.
• The stock trades at about 4.5 times earnings and 0.4 times book value, with a 5.3% dividend yield, and the filings include a cash dividend decision dated March 2026.
• The discounted cash flow model gives a base value of ₩29,163 per share, well above the current price, but the bear case of ₩18,897 and bull case of ₩46,054 show how sensitive that estimate is to its assumptions.
• Foreign ownership rose slightly to 1.5% from 1.3% over 60 days, while retail investors were net sellers over the past 20 days; no news headlines were included in the data.

What to watch

• The Q3 2026 quarterly report and the full-year 2026 results, to see whether trailing net income holds up and revenue growth resumes.
• Any further filings on dividends or the corporate value-up plan, given the dividend yield is a key part of the investment case.
• Whether the ₩28.0B of borrowings and the 31.9% liabilities-to-equity ratio change, and how the company performs against its PVC stabilizer peers.