KOSPI · 294870 · Construction · ₩294870

Ipark Hyundai DevelopmentIPARK현대산업개발

294870 · KOSPI · ₩294870 · IPARK현대산업개발

₩23,950▲ ₩1,650 (7.40%)End-of-day · Oct 27, 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

₩34,758

vs the current price (₩23,950)

Enterprise value: ₩3.4T
Equity value: ₩2.3T
WACC: 5.9%

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 45% 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 ₩23,950, the model needs an operating margin of 4.9% every year (it uses 5.8%).
Or revenue growth −9.5 points a year higher than assumed in each of the 5 years.
Analysts' forecasts for 2026: revenue ₩4T, operating profit ₩569B (14.3% margin) (1 broker). The model starts from the last 12 months reported.
Analysts' forecasts for 2027: revenue ₩4.7T, operating profit ₩729B (15.6% margin) (1 broker). The model starts from the last 12 months reported.
Today's P/E is 8.6× against a typical 7.7× 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: ₩3,789; −84.2%
Base: ₩34,758; +45.1%
Bull: ₩99,159; +314.0%

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

Assumptions

Cycle options

Start from

Preliminary results are the company's early announcement of a quarter's sales and operating profit, before the full report. Including them swaps that quarter in for the same quarter a year earlier.

Margin path

Every year uses the cycle-average margin (5.8%).

Revenue growth

Revenue growth, year 17.9%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (7.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 26.7%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (7.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 35.5%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (7.9% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 44.2%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (7.9% 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 (7.9% a year, annual reports), fading to 3% by year 5.

Business

EBIT margin5.8%
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 & amortisation1.4%
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).
Capital spending1.8%
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).
Working capital40%
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 rate4.03%
Yield on Korea's 10-year government bond: the return with almost no risk.
Default: Korea Treasury Bond 10-year yield on 2026-10-27.
Beta0.6
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.
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)5.53%
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): ₩3.7T
Net debt (borrowings and leases − cash and deposits): ₩1.2T
+ Stakes and investments: ₩101B; Associates, long-term financial assets and deposits (book value)
Shares: 65,907,330
Share price: ₩23,950
Market cap: ₩1.6T

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	₩4.2T	₩4.3T	₩4.1T	₩4T	₩4.2T	₩4.5T	₩4.6T	₩4.8T
Growth	27.1%	1.6%	−2.6%	7.9%	6.7%	5.5%	4.2%	3.0%
EBIT	₩195B	₩185B	₩249B	₩229B	₩245B	₩258B	₩269B	₩277B
EBIT margin	4.7%	4.3%	6.0%	5.8%	5.8%	5.8%	5.8%	5.8%
After-tax EBIT	₩142B	₩134B	₩180B	₩166B	₩178B	₩187B	₩195B	₩201B
+ Depreciation	—	—	—	₩55B	₩59B	₩62B	₩65B	₩67B
− Capital spending	₩66B	₩38B	₩123B	₩71B	₩76B	₩80B	₩84B	₩86B
− Working capital	−₩550B	−₩106B	−₩442B	₩116B	₩106B	₩93B	₩75B	₩56B
Free cash flow	—	—	—	₩35B	₩55B	₩77B	₩102B	₩126B
Discount factor	—	—	—	0.944	0.892	0.842	0.795	0.751
Present value	—	—	—	₩33B	₩49B	₩64B	₩81B	₩95B

Terminal value ₩4.1T, worth ₩3.1T today: 91% 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 ₩49,940 a share)Now 0.48×	₩12,0470.24×	₩19,5840.39×	₩24,6520.49×
Price / earnings (last 12 months: ₩2,796 a share)Now 8.57×	₩15,7625.64×	₩21,5957.72×	₩29,52610.6×
P/E on run-rate earnings (preliminary Q3 2026 × 4: ₩6,753 a share)Now 3.55×	₩38,0695.64×	₩52,1577.72×	₩71,31210.6×

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%
4.9%	₩42,618	₩47,488	₩53,998	₩63,173	₩77,118
5.4%	₩35,247	₩38,621	₩42,955	₩48,746	₩56,903
5.9%	₩29,393	₩31,783	₩34,758	₩38,575	₩43,671
6.4%	₩24,636	₩26,352	₩28,434	₩31,023	₩34,341
6.9%	₩20,695	₩21,937	₩23,411	₩25,196	₩27,412

Now (TTM)

Market cap: ₩1.6T
Enterprise value: ₩2.8T
P/E: 8.6×
P/B: 0.5×
P/S: 0.4×
EV/EBITDA: —
Dividend yield: 2.9%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩21,900	₩18,050	₩14,600	₩10,000	₩22,900
Market cap	₩1.4T	₩1.2T	₩962B	₩659B	₩1.5T
P/E	9.1×	7.6×	5.6×	13.1×	8.5×
P/B	0.4×	0.4×	0.3×	0.2×	0.5×
P/S	0.3×	0.3×	0.2×	0.2×	0.4×
EV/EBITDA	—	—	—	—	—
Dividend yield	3.2%	3.9%	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Ipark Hyundai Development	8.6×	0.5×	0.4×	—	2.9%
Hyundai Engineering & Construction	22.8×	1.1×	0.4×	—	0.9%
Daewoo Engineering & Construction	—	1.6×	0.8×	—	0.0%
GS Engineering & Construction	18.8×	0.5×	0.2×	—	1.7%
DL E&C	3.5×	0.4×	0.3×	—	1.6%
KEPCO Plant Service & Engineering	14.0×	1.4×	1.1×	7.9×	0.0%
LS Marine Solution	125.6×	2.2×	5.0×	—	0.0%
Similar companies (median)	18.8×	1.2×	0.6×	7.9×	0.4%

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

Also known as: Ipark Hyundai Development / IPARK현대산업개발 / 294870 / KRX:294870

Source: KRX statistical information