KOSDAQ · 332570 · Electronic components · ₩332570

Pentastone ElectronicsPS일렉트로닉스

332570 · KOSDAQ · ₩332570 · PS일렉트로닉스

₩7,170▲ ₩470 (7.01%)End-of-day · Oct 28, 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

₩1,189

vs the current price (₩7,170)

Enterprise value: ₩91B
Equity value: ₩55B
WACC: 8.9%

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 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 ₩7,170, the model needs an operating margin of 15.1% every year (it uses 5.8%).
Margins ranged from 0.3% to 9.4% 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.
91% 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 9.1× against a typical 15.6× 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: —
Base: ₩1,189; −83.4%
Bull: ₩3,518; −50.9%

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 (5.8%).

Revenue growth

Revenue growth, year 125%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (34.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 219.5%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (34.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 314%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (34.7% a year, annual reports), fading to 3% by year 5.
Revenue growth, year 48.5%
How much sales grow that year, compared with the year before.
Default: the last 3 years' revenue growth (34.7% 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 (34.7% 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 & amortisation1.2%
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 spending1.5%
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 rate4.08%
Yield on Korea's 10-year government bond: the return with almost no risk.
Default: Korea Treasury Bond 10-year yield on 2026-10-29.
Beta1.01
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 1.01, 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)5.58%
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): ₩166B
Net debt (borrowings and leases − cash and deposits): ₩48B
+ Stakes and investments: ₩14B; Associates, long-term financial assets and deposits (book value)
− Minority interests: ₩3.1B
Shares: 45,940,603
Share price: ₩7,170
Market cap: ₩329B

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	₩68B	₩122B	₩125B	₩207B	₩247B	₩282B	₩306B	₩315B
Growth	32.6%	79.2%	2.7%	25.0%	19.5%	14.0%	8.5%	3.0%
EBIT	₩6.4B	₩11B	₩3.9B	₩12B	₩14B	₩16B	₩18B	₩18B
EBIT margin	9.4%	8.8%	3.1%	5.8%	5.8%	5.8%	5.8%	5.8%
After-tax EBIT	₩4.7B	₩7.8B	₩2.8B	₩8.7B	₩10B	₩12B	₩13B	₩13B
+ Depreciation	—	—	—	₩2.5B	₩3B	₩3.4B	₩3.7B	₩3.8B
− Capital spending	₩104M	₩1.3B	₩4.2B	₩3.1B	₩3.7B	₩4.2B	₩4.6B	₩4.7B
− Working capital	₩26B	−₩4.4B	₩31B	₩17B	₩16B	₩14B	₩9.6B	₩3.7B
Free cash flow	—	—	—	−₩8.5B	−₩6.5B	−₩2.8B	₩2.4B	₩8.6B
Discount factor	—	—	—	0.918	0.843	0.774	0.710	0.652
Present value	—	—	—	−₩7.8B	−₩5.5B	−₩2.2B	₩1.7B	₩5.6B

Terminal value ₩152B, worth ₩99B today: 109% 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 ₩3,241 a share)Now 2.21×	₩4,7151.45×	₩7,2952.25×	₩11,1753.45×
Price / earnings (last 12 months: ₩792 a share)Now 9.05×	₩7,1709.05×	₩12,35815.6×	₩25,37632.0×
P/E on run-rate earnings (Q2 2026 × 4: ₩498 a share)Now 14.4×	₩4,5099.05×	₩7,77215.6×	₩15,95932.0×

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%
7.9%	₩1,544	₩1,605	₩1,676	₩1,757	₩1,853
8.4%	₩1,320	₩1,363	₩1,413	₩1,468	₩1,533
8.9%	₩1,125	₩1,155	₩1,189	₩1,226	₩1,268
9.4%	₩955	₩975	₩996	₩1,020	₩1,045
9.9%	₩805	₩817	₩829	₩843	₩856

Now (TTM)

Market cap: ₩329B
Enterprise value: ₩377B
P/E: 9.1×
P/B: 2.2×
P/S: 2.0×
EV/EBITDA: —
Dividend yield: 0.0%

Over time (at each year end)

	2025	2024	2023	2022	2021
Price	₩6,330	₩2,760	₩2,855	₩2,900	₩7,190
Market cap	₩291B	₩127B	₩131B	₩133B	₩330B
P/E	16.9×	—	6.8×	—	—
P/B	2.2×	1.5×	1.6×	2.2×	3.8×
P/S	2.3×	1.0×	1.9×	2.6×	5.5×
EV/EBITDA	—	—	—	—	—
Dividend yield	0.0%	—	—	—	—

Versus similar companies

Company	P/E	P/B	P/S	EV/EBITDA	Dividend yield
Pentastone Electronics	9.1×	2.2×	2.0×	—	0.0%
Samsung Electro-Mechanics	96.8×	9.5×	7.8×	—	0.2%
Doosan	39.2×	5.5×	0.7×	—	0.4%
Hanwha Systems	71.2×	2.8×	3.0×	—	0.8%
LG Innotek	13.1×	1.4×	0.4×	—	0.5%
Isupetasys	35.4×	8.3×	5.4×	—	0.0%
Daeduck Electronics	44.8×	7.0×	5.0×	—	0.4%
Similar companies (median)	42.0×	6.3×	4.0×	—	0.4%

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

Also known as: Pentastone Electronics / PS일렉트로닉스 / 332570 / KRX:332570

Source: KRX statistical information