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Sejong Medical

258830 · KOSDAQ · ₩258830 · 세종메디칼

₩412 ₩0 (0.00%)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

₩238

vs the current price (₩412)

Enterprise value
₩13B
Equity value
₩18B
WACC
7.4%

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 42% 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 ₩412, the model needs an operating margin of 12.9% every year (it uses 8.2%).
  • Or revenue growth +14.8 points a year higher than assumed in each of the 5 years.
  • Margins ranged from −11.2% to 16.2% 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
₩131
−68.2%
Base
₩238
−42.2%
Bull
₩423
+2.8%

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 (8.2%).

Revenue growth

  • 4.5%

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

    Default: the last 3 years' revenue growth (4.5% a year, annual reports), fading to 3% by year 5.

  • 4.1%

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

    Default: the last 3 years' revenue growth (4.5% a year, annual reports), fading to 3% by year 5.

  • 3.8%

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

    Default: the last 3 years' revenue growth (4.5% a year, annual reports), fading to 3% by year 5.

  • 3.4%

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

    Default: the last 3 years' revenue growth (4.5% 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 (4.5% a year, annual reports), fading to 3% by year 5.

Business

  • 8.2%

    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.

  • 22.1%

    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).

  • 27.6%

    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).

  • -10%

    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.

  • 4.11%

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

    Default: Korea Treasury Bond 10-year yield on 2026-10-28.

  • 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, 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.

  • 5.61%

    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)
₩19B
Net debt (borrowings and leases − cash and deposits)
−₩5.4B
Shares
75,786,351
Share price
₩412
Market cap
₩31B

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₩17B₩17B₩18B₩20B₩21B₩22B₩22B₩23B
Growth8.5%−2.4%7.9%4.5%4.1%3.8%3.4%3.0%
EBIT₩2.8B₩1.2B₩2.6B₩1.6B₩1.7B₩1.8B₩1.8B₩1.9B
EBIT margin16.2%6.8%14.2%8.2%8.2%8.2%8.2%8.2%
After-tax EBIT₩2.1B₩844M₩1.9B₩1.2B₩1.2B₩1.3B₩1.3B₩1.4B
+ Depreciation———₩4.4B₩4.6B₩4.8B₩4.9B₩5.1B
− Capital spending₩2.1B₩4.1B₩8.6B₩5.5B₩5.7B₩6B₩6.2B₩6.3B
− Working capital₩8.9B₩17B−₩14B−₩86M−₩82M−₩79M−₩73M−₩67M
Free cash flow———₩175M₩175M₩175M₩173M₩169M
Discount factor———0.9310.8670.8070.7510.700
Present value———₩163M₩151M₩141M₩130M₩118M

Terminal value ₩17B, worth ₩12B 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 ₩343 a share)Now 1.20×₩3931.15×₩8172.38×₩2,4797.23×

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%
6.4%₩240₩260₩283₩313₩352
6.9%₩223₩239₩258₩282₩312
7.4%₩209₩222₩238₩257₩281
7.9%₩197₩208₩221₩237₩256
8.4%₩186₩196₩207₩220₩236

Now (TTM)

Market cap
₩31B
Enterprise value
₩26B
P/E
12.3×
P/B
1.2×
P/S
1.6×
EV/EBITDA
—
Dividend yield
0.0%

Over time (at each year end)

20252024202320222021
Price₩412₩412₩1,150₩2,865₩7,030
Market cap₩31B₩31B₩87B₩217B₩533B
P/E56.9×————
P/B1.2×1.3×7.6×8.1×9.6×
P/S1.7×1.8×5.0×13.5×35.4×
EV/EBITDA—————
Dividend yield0.0%————

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Sejong Medical12.3×1.2×1.6×—0.0%
TSE27.5×6.1×5.1×—0.2%
Kctech20.8×3.2×3.8×16.1×0.5%
Classys12.6×3.1×4.7×9.8×3.8%
Park Systems68.1×4.6×8.1×—0.2%
Curiox Biosystems—21.9×187.1×—0.0%
DI36.7×5.0×2.2×—0.7%
Similar companies (median)27.5×4.8×4.9×13.0×0.4%

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

Also known as: Sejong Medical / 세종메디칼 / 258830 / KRX:258830

Source: KRX statistical information