KOSPI · 285130 · Chemicals · ₩285130

SK ChemicalsSK케미칼

285130 · KOSPI · ₩285130 · SK케미칼

₩41,650▲ ₩100 (0.24%)End-of-day · Oct 30, 2026 · End-of-day prices.

Trade

Sell Buy

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

With these assumptions the model gives no positive value.

Enterprise value: ₩168B
Equity value: −₩655B
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 gives no positive value at these assumptions. What we can see:

To match today's price of ₩41,650, the model needs an operating margin of 7.5% every year (it uses 4.2%).
Margins ranged from −2.6% to 26.6% 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.
100% 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.
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.
Today's P/E is 110.0× against a typical 15.3× 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: —
Base: —
Bull: ₩37,373; −10.3%

Bear: revenue growth 3 points lower every year, EBIT margin 2 points lower, WACC 1 point higher. Bull: the opposite.

Assumptions

Cycle options

Margin path

Every year uses the cycle-average margin (4.2%).

Revenue growth

Revenue growth, year 18.9%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 27.5%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 36%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 44.5%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 53%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (8.9% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin4.2%
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.
Tax rate27.5%
Share of operating profit paid as corporate tax.
Default: Korea's top corporate tax rate (25%) plus 10% local income tax.
Depreciation & amortisation17.9%
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).
Capital spending22.4%
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).
Working capital14.3%
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

Terminal growth2%
How fast cash flows keep growing every year after year 5.
Default: about Korea's long-run inflation plus real growth.
Risk-free rate4.01%
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.
Beta0.67
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 0.51, adjusted toward 1 and kept between 0.6 and 2.0.
Equity risk premium5.5%
The extra return investors want for owning shares instead of bonds.
Default: a typical premium for Korean shares.
Cost of debt (before tax)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): ₩2.6T
Net debt (borrowings and leases − cash and deposits): ₩97B
+ Stakes and investments: ₩253B; Associates, long-term financial assets and deposits (book value)
− Minority interests: ₩979B
Shares: 19,414,195; incl. 2,115,429 preferred
Share price: ₩41,650
Market cap: ₩771B

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.

	FY2023	FY2024	FY2025	Year 1	Year 2	Year 3	Year 4	Year 5
Revenue	₩1.7T	₩1.7T	₩2.4T	₩2.9T	₩3.1T	₩3.3T	₩3.4T	₩3.5T
Growth	−4.4%	−0.7%	36.2%	8.9%	7.5%	6.0%	4.5%	3.0%
EBIT	₩83B	−₩45B	−₩207M	₩120B	₩129B	₩137B	₩143B	₩148B
EBIT margin	4.8%	−2.6%	−0.0%	4.2%	4.2%	4.2%	4.2%	4.2%
After-tax EBIT	₩60B	−₩33B	−₩150M	₩87B	₩94B	₩99B	₩104B	₩107B
+ Depreciation	—	—	—	₩513B	₩552B	₩585B	₩611B	₩629B
− Capital spending	₩387B	₩440B	₩466B	₩642B	₩690B	₩732B	₩765B	₩788B
− Working capital	−₩1.6T	₩402B	−₩74B	₩34B	₩31B	₩26B	₩21B	₩15B
Free cash flow	—	—	—	−₩75B	−₩76B	−₩74B	−₩71B	−₩66B
Discount factor	—	—	—	0.932	0.869	0.810	0.755	0.704
Present value	—	—	—	−₩70B	−₩66B	−₩60B	−₩53B	−₩46B

Terminal value ₩658B, worth ₩463B today: 276% 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:

	Low	Typical	High
Price / book (book value ₩126,986 a share)Now 0.33×	₩47,4030.37×	₩73,0140.57×	₩156,4871.23×
Price / earnings (last 12 months: ₩379 a share)Now 110.0×	₩2,8647.56×	₩5,80515.3×	₩19,41951.3×
P/E on run-rate earnings (Q2 2026 × 4: ₩1,816 a share)Now 22.9×	₩13,7357.56×	₩27,84215.3×	₩93,13951.3×

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%
6.3%	—	—	—	—	—
6.8%	—	—	—	—	—
7.3%	—	—	—	—	—
7.8%	—	—	—	—	—
8.3%	—	—	—	—	—

Now (TTM)

Market cap: ₩720B
Enterprise value: ₩777B
P/E: 98.0×
P/B: 0.3×
P/S: 0.3×
EV/EBITDA: —
Dividend yield: 2.8%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩65,500	₩44,300	₩67,300	₩73,200	₩149,000
Market cap	₩1.1T	₩766B	₩1.2T	₩1.3T	₩2.6T
P/E	25.4×	86.7×	29.2×	6.6×	15.3×
P/B	0.5×	0.3×	0.5×	0.6×	1.3×
P/S	0.5×	0.4×	0.7×	0.7×	1.2×
EV/EBITDA	—	—	—	—	—
Dividend yield	1.8%	2.6%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
SK Chemicals	98.0×	0.3×	0.3×	—	2.8%
LG Chem	—	0.5×	0.3×	—	0.9%
Hanwha Solutions	—	0.5×	0.3×	—	0.0%
Hanwha	5.9×	0.4×	0.1×	—	1.5%
SKC	—	1.8×	1.7×	—	0.0%
KCC	0.9×	0.3×	0.5×	8.9×	0.0%
Kumho Petro Chemical	5.3×	0.4×	0.4×	—	1.6%
Similar companies (median)	5.3×	0.4×	0.4×	8.9×	0.4%

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

Also known as: SK Chemicals / SK케미칼 / 285130 / KRX:285130

Source: KRX statistical information