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KnJ

272110 · KOSDAQ · ₩272110 · 케이엔제이

₩26,000▲ ₩2,300 (9.70%)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

₩43,111

vs the current price (₩26,000)

Enterprise value
₩406B
Equity value
₩346B
WACC
6.5%

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 66% 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 ₩26,000, the model needs an operating margin of 15.5% every year (it uses 21.4%).
  • Or revenue growth −10.3 points a year higher than assumed in each of the 5 years.
  • Margins ranged from 9.4% to 26.3% 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.
  • Today's P/E is 8.7× against a typical 13.2× 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
₩24,776
−4.7%
Base
₩43,111
+65.8%
Bull
₩75,601
+190.8%

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 (21.4%).

Revenue growth

  • 10.7%

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

    Default: the last 3 years' revenue growth (10.7% a year, annual reports), fading to 3% by year 5.

  • 8.7%

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

    Default: the last 3 years' revenue growth (10.7% a year, annual reports), fading to 3% by year 5.

  • 6.8%

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

    Default: the last 3 years' revenue growth (10.7% a year, annual reports), fading to 3% by year 5.

  • 4.9%

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

    Default: the last 3 years' revenue growth (10.7% 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 (10.7% a year, annual reports), fading to 3% by year 5.

Business

  • 21.4%

    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.

  • 14.5%

    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).

  • 18.1%

    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).

  • 37.6%

    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 0.36, 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)
₩114B
Net debt (borrowings and leases − cash and deposits)
₩78B
+ Stakes and investments
₩18B
Associates, long-term financial assets and deposits (book value)
− Minority interests
₩671M
Shares
8,025,395
Share price
₩26,000
Market cap
₩209B

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₩62B₩62B₩84B₩126B₩138B₩147B₩154B₩159B
Growth−0.6%0.5%35.7%10.7%8.7%6.8%4.9%3.0%
EBIT₩12B₩14B₩22B₩27B₩29B₩31B₩33B₩34B
EBIT margin19.4%22.7%26.3%21.4%21.4%21.4%21.4%21.4%
After-tax EBIT₩8.7B₩10B₩16B₩20B₩21B₩23B₩24B₩25B
+ Depreciation———₩18B₩20B₩21B₩22B₩23B
− Capital spending₩5.3B₩12B₩22B₩23B₩25B₩27B₩28B₩29B
− Working capital₩2.7B−₩1.9B₩20B₩4.6B₩4.1B₩3.5B₩2.7B₩1.7B
Free cash flow———₩10B₩12B₩14B₩16B₩17B
Discount factor———0.9390.8820.8280.7770.730
Present value———₩9.8B₩11B₩12B₩12B₩13B

Terminal value ₩479B, worth ₩349B today: 86% 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 ₩12,921 a share)Now 2.01×₩22,4811.74×₩28,9632.24×₩40,7203.15×
Price / earnings (last 12 months: ₩3,005 a share)Now 8.65×₩26,0008.65×₩39,69513.2×₩52,02717.3×
P/E on run-rate earnings (Q2 2026 × 4: ₩179 a share)Now 144.9×₩1,5538.65×₩2,37113.2×₩3,10717.3×

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%
5.5%₩46,256₩51,603₩58,470₩67,616₩80,409
6.0%₩40,524₩44,661₩49,826₩56,459₩65,293
6.5%₩35,841₩39,115₩43,111₩48,100₩54,505
7.0%₩31,946₩34,585₩37,747₩41,606₩46,422
7.5%₩28,656₩30,816₩33,364₩36,417₩40,142

Now (TTM)

Market cap
₩209B
Enterprise value
₩286B
P/E
8.7×
P/B
2.0×
P/S
1.8×
EV/EBITDA
—
Dividend yield
0.0%

Over time (at each year end)

20252024202320222021
Price₩21,600₩13,550₩19,340₩12,850₩17,150
Market cap₩173B₩109B₩155B₩103B₩138B
P/E6.8×10.1×14.4×10.4×24.9×
P/B1.8×1.5×2.4×1.9×3.1×
P/S2.1×1.7×2.5×1.7×3.0×
EV/EBITDA—————
Dividend yield0.0%————

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
KnJ8.7×2.0×1.8×—0.0%
SK hynix6.0×3.7×5.2×—0.2%
DB HiTek11.9×1.7×2.7×—0.9%
Fadu—37.7×13.2×—0.0%
Hana Micron13.8×4.3×1.1×—0.2%
Jeju Semiconductor9.5×4.9×3.3×—0.0%
SFA Semicon—3.0×3.2×—0.0%
Similar companies (median)10.7×4.0×3.2×—0.1%

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

Also known as: KnJ / 케이엔제이 / 272110 / KRX:272110

Source: KRX statistical information