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Sugentech

253840 · KOSDAQ · ₩253840 · 수젠텍

₩4,080▲ ₩50 (1.24%)End-of-day · Oct 27, 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

₩701

vs the current price (₩4,080)

Enterprise value
−₩21B
Equity value
₩12B
WACC
7.3%

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 83% 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 ₩4,080, the model needs an operating margin of 34.6% every year (it uses −20.0%).
  • Margins ranged from −319.1% to 45.1% over the last 5 years, so this is a cyclical business. The model uses the average; the price may be set by where the cycle is now. Try the margin fade option.
  • 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
₩985
−75.9%
Base
₩701
−82.8%
Bull
₩301
−92.6%

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 (−20.0%).

Revenue growth

  • -10%

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

    Default: the last 3 years' revenue growth (-54.7% a year, annual reports), fading to 3% by year 5.

  • -6.7%

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

    Default: the last 3 years' revenue growth (-54.7% a year, annual reports), fading to 3% by year 5.

  • -3.5%

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

    Default: the last 3 years' revenue growth (-54.7% a year, annual reports), fading to 3% by year 5.

  • -0.2%

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

    Default: the last 3 years' revenue growth (-54.7% 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 (-54.7% a year, annual reports), fading to 3% by year 5.

Business

  • -20%

    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.

  • 2.5%

    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).

  • 3.1%

    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.

  • 4.03%

    Yield on Korea's 10-year government bond: the return with almost no risk.

    Default: Korea Treasury Bond 10-year yield on 2026-10-27.

  • 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 0.11, 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.

  • 5.53%

    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)
₩9.8B
Net debt (borrowings and leases − cash and deposits)
−₩13B
+ Stakes and investments
₩20B
Associates, long-term financial assets and deposits (book value)
− Minority interests
₩236M
Shares
16,743,200
Share price
₩4,080
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₩7.1B₩10B₩9.4B₩8.8B₩8.2B₩7.9B₩7.9B₩8.1B
Growth−93.0%41.6%−6.7%−10.0%−6.7%−3.5%−0.2%3.0%
EBIT−₩23B−₩22B−₩19B−₩1.8B−₩1.6B−₩1.6B−₩1.6B−₩1.6B
EBIT margin−319.1%−218.1%−199.9%−20.0%−20.0%−20.0%−20.0%−20.0%
After-tax EBIT−₩16B−₩16B−₩14B−₩1.3B−₩1.2B−₩1.1B−₩1.1B−₩1.2B
+ Depreciation———₩220M₩205M₩198M₩198M₩204M
− Capital spending₩91M₩756M₩54M₩273M₩255M₩246M₩245M₩253M
− Working capital−₩38B₩1.3B−₩1.9B−₩391M−₩236M−₩115M−₩6.3M₩95M
Free cash flow———−₩938M−₩1B−₩1.1B−₩1.2B−₩1.3B
Discount factor———0.9320.8680.8090.7530.702
Present value———−₩874M−₩872M−₩875M−₩895M−₩931M

Terminal value −₩24B, worth −₩17B today: 79% 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 ₩4,081 a share)Now 1.00×₩3,5510.87×₩4,1441.02×₩7,3951.81×

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%
6.3%₩682₩555₩399₩201—
6.8%₩796₩692₩566₩410₩214
7.3%₩892₩805₩701₩576₩422
7.8%₩974₩900₩813₩711₩586
8.3%₩1,044₩981₩908₩822₩720

Now (TTM)

Market cap
₩68B
Enterprise value
₩52B
P/E
—
P/B
1.0×
P/S
7.0×
EV/EBITDA
—
Dividend yield
0.0%

Over time (at each year end)

20252024202320222021
Price₩6,140₩5,330₩7,750₩10,150₩14,000
Market cap₩103B₩89B₩130B₩170B₩234B
P/E———6.4×6.5×
P/B1.3×0.9×1.2×1.2×2.3×
P/S10.9×8.8×18.2×1.7×3.0×
EV/EBITDA—————
Dividend yield0.0%————

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Sugentech—1.0×7.0×—0.0%
Samsung Biologics32.1×7.6×14.0×—0.0%
Celltrion27.8×2.4×8.9×—0.0%
Alteogen78.8×28.4×59.9×—0.1%
Yuhan24.8×2.5×2.6×32.5×0.8%
SK biopharmaceuticals14.6×5.7×6.8×—0.0%
HLB—15.4×54.6×—0.0%
Similar companies (median)27.8×6.7×11.5×32.5×0.0%

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

Also known as: Sugentech / 수젠텍 / 253840 / KRX:253840

Source: KRX statistical information