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Kumyang Green Power

282720 · KOSDAQ · ₩282720 · 금양그린파워

₩6,620▼ ₩190 (2.79%)End-of-day · Oct 29, 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

₩1,152

vs the current price (₩6,620)

Enterprise value
₩17B
Equity value
₩14B
WACC
7.2%

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 ₩6,620, the model needs an operating margin of 2.5% every year (it uses 1.2%).
  • Margins ranged from −7.0% to 4.6% over the last 4 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
—
Base
₩1,152
−82.6%
Bull
₩12,800
+93.4%

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 (1.2%).

Revenue growth

  • 4.7%

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

    Default: the last 3 years' revenue growth (4.7% a year, annual reports), fading to 3% by year 5.

  • 4.3%

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

    Default: the last 3 years' revenue growth (4.7% a year, annual reports), fading to 3% by year 5.

  • 3.9%

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

    Default: the last 3 years' revenue growth (4.7% 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 (4.7% 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 (4.7% a year, annual reports), fading to 3% by year 5.

Business

  • 1.2%

    Operating profit as a share of revenue.

    Default: through-the-cycle average of the last 12 months and the last 4 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.

  • 1.4%

    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).

  • 1.8%

    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).

  • 18%

    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 0.12, 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)
₩319B
Net debt (borrowings and leases − cash and deposits)
₩2.8B
+ Stakes and investments
₩2M
Associates, long-term financial assets and deposits (book value)
Shares
12,119,500
Share price
₩6,620
Market cap
₩80B

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₩239B₩243B₩265B₩334B₩348B₩361B₩374B₩385B
Growth3.6%1.8%8.9%4.7%4.3%3.9%3.4%3.0%
EBIT₩6.1B−₩17B₩427M₩4B₩4.2B₩4.3B₩4.5B₩4.6B
EBIT margin2.5%−7.0%0.2%1.2%1.2%1.2%1.2%1.2%
After-tax EBIT₩4.4B−₩12B₩310M₩2.9B₩3B₩3.1B₩3.3B₩3.3B
+ Depreciation———₩4.7B₩4.9B₩5.1B₩5.2B₩5.4B
− Capital spending₩2.1B₩7.9B₩3.4B₩6B₩6.3B₩6.5B₩6.7B₩6.9B
− Working capital₩9.6B−₩18B−₩14B₩2.7B₩2.6B₩2.4B₩2.2B₩2B
Free cash flow———−₩1.1B−₩947M−₩743M−₩456M−₩209M
Discount factor———0.9330.8700.8120.7570.707
Present value———−₩1.1B−₩824M−₩604M−₩345M−₩148M

Terminal value ₩28B, worth ₩20B today: 118% 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 ₩9,159 a share)Now 0.72×₩9,4361.03×₩13,4731.47×₩18,6842.04×
P/E on run-rate earnings (Q2 2026 × 4: ₩386 a share)Now 17.1×₩3,3088.56×₩7,62319.7×₩21,03054.4×

Low, typical and high are the 10th percentile, middle and 90th percentile of month-end multiples since 2023, 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%
6.2%₩2,031₩1,855₩1,632₩1,343₩957
6.7%₩1,760₩1,584₩1,366₩1,091₩736
7.2%₩1,534₩1,362₩1,152₩893₩569
7.7%₩1,343₩1,177₩977₩735₩438
8.2%₩1,181₩1,021₩832₩606₩334

Now (TTM)

Market cap
₩80B
Enterprise value
₩82B
P/E
—
P/B
0.7×
P/S
0.3×
EV/EBITDA
—
Dividend yield
0.0%

Over time (at each year end)

202520242023
Price₩11,250₩9,200₩12,030
Market cap₩136B₩111B₩146B
P/E7,519.6×—7.5×
P/B1.4×1.2×1.4×
P/S0.5×0.5×0.6×
EV/EBITDA———
Dividend yield0.0%——

Loading data for this company — check back soon

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Kumyang Green Power—0.7×0.3×—0.0%
Hyundai Engineering & Construction22.7×1.1×0.4×—0.9%
Daewoo Engineering & Construction—1.3×0.6×—0.0%
GS Engineering & Construction19.3×0.5×0.2×—1.7%
DL E&C3.6×0.4×0.3×—1.5%
KEPCO Plant Service & Engineering14.4×1.4×1.2×8.1×0.0%
Ipark Hyundai Development8.9×0.5×0.4×—2.8%
Similar companies (median)14.4×0.8×0.4×8.1×1.2%

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

Also known as: Kumyang Green Power / 금양그린파워 / 282720 / KRX:282720

Source: KRX statistical information