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Younghwa Tech

265560 · KOSDAQ · ₩265560 · 영화테크

₩5,290▼ ₩610 (10.34%)End-of-day · Oct 30, 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

₩21,338

vs the current price (₩5,290)

Enterprise value
₩211B
Equity value
₩228B
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 303% 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 ₩5,290, the model needs an operating margin of 4.4% every year (it uses 11.3%).
  • Margins ranged from 4.0% to 16.6% 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.
  • 59% of the last 12 months' net profit came from outside operations (stakes in other companies, interest, one-offs). The model adds those stakes at book value but doesn't project that income.
  • Today's P/E is 1.9× against a typical 10.6× over the last 10 years.

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
₩12,681
+139.7%
Base
₩21,338
+303.4%
Bull
₩36,082
+582.1%

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 (11.3%).

Revenue growth

  • 25%

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

    Default: the last 3 years' revenue growth (31.3% a year, annual reports), fading to 3% by year 5.

  • 19.5%

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

    Default: the last 3 years' revenue growth (31.3% a year, annual reports), fading to 3% by year 5.

  • 14%

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

    Default: the last 3 years' revenue growth (31.3% a year, annual reports), fading to 3% by year 5.

  • 8.5%

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

    Default: the last 3 years' revenue growth (31.3% 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 (31.3% a year, annual reports), fading to 3% by year 5.

Business

  • 11.3%

    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.

  • 9.8%

    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).

  • 12.3%

    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).

  • 19.8%

    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.

  • 4.01%

    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.

  • 0.6

    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 0.26, 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)
₩107B
Net debt (borrowings and leases − cash and deposits)
−₩17B
− Minority interests
₩242M
Shares
10,690,180
Share price
₩5,290
Market cap
₩57B

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₩65B₩95B₩109B₩133B₩160B₩182B₩197B₩203B
Growth35.4%46.1%14.5%25.0%19.5%14.0%8.5%3.0%
EBIT₩5B₩15B₩18B₩15B₩18B₩21B₩22B₩23B
EBIT margin7.7%16.2%16.6%11.3%11.3%11.3%11.3%11.3%
After-tax EBIT₩3.6B₩11B₩13B₩11B₩13B₩15B₩16B₩17B
+ Depreciation———₩13B₩16B₩18B₩19B₩20B
− Capital spending₩6.1B₩12B₩16B₩16B₩20B₩22B₩24B₩25B
− Working capital−₩23B₩1.5B₩1B₩5.3B₩5.2B₩4.4B₩3.1B₩1.2B
Free cash flow———₩2.3B₩3.9B₩5.9B₩8.2B₩10B
Discount factor———0.9320.8680.8090.7540.703
Present value———₩2.2B₩3.4B₩4.8B₩6.2B₩7.3B

Terminal value ₩266B, worth ₩187B today: 89% 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 ₩9,978 a share)Now 0.53×₩8,6660.87×₩14,4891.45×₩31,7083.18×
Price / earnings (last 12 months: ₩2,735 a share)Now 1.93×₩9,8343.60×₩28,96210.6×₩149,83354.8×
P/E on run-rate earnings (Q2 2026 × 4: ₩2,396 a share)Now 2.21×₩8,6183.60×₩25,37810.6×₩131,29554.8×

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%₩22,600₩24,353₩26,509₩29,228₩32,766
6.8%₩20,557₩21,960₩23,651₩25,733₩28,358
7.3%₩18,842₩19,984₩21,338₩22,970₩24,979
7.8%₩17,384₩18,326₩19,427₩20,733₩22,309
8.3%₩16,130₩16,916₩17,824₩18,886₩20,146

Now (TTM)

Market cap
₩57B
Enterprise value
₩39B
P/E
1.9×
P/B
0.5×
P/S
0.5×
EV/EBITDA
—
Dividend yield
2.5%

Over time (at each year end)

20252024202320222021
Price₩6,860₩6,580₩10,400₩8,950₩18,250
Market cap₩73B₩70B₩111B₩96B₩195B
P/E3.9×5.0×18.2×19.8×76.4×
P/B0.8×0.9×1.8×1.7×3.7×
P/S0.7×0.7×1.7×2.0×4.8×
EV/EBITDA—————
Dividend yield1.9%1.5%———

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Younghwa Tech1.9×0.5×0.5×—2.5%
Hyundai Mobis8.3×0.6×0.5×—1.9%
SL5.9×0.8×0.4×3.6×0.0%
HL Mando10.3×0.6×0.2×—2.0%
Hyundai WIA18.9×0.4×0.2×—2.4%
Samhyun—11.2×15.8×—0.0%
SNT Dynamics12.5×0.7×0.8×—7.3%
Similar companies (median)10.3×0.6×0.4×3.6×2.0%

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

Also known as: Younghwa Tech / 영화테크 / 265560 / KRX:265560

Source: KRX statistical information