Chai Communication차이커뮤니케이션
351870 · KOSDAQ · ₩351870 · 차이커뮤니케이션
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
₩11,312
vs the current price (₩1,976)
- Enterprise value
- ₩202B
- Equity value
- ₩126B
- WACC
- 4.8%
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 472% 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 ₩1,976, the model needs an operating margin of 3.0% every year (it uses 6.3%).
- Or revenue growth −14.6 points a year higher than assumed in each of the 5 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
- ₩1,199
- −39.3%
- Base
- ₩11,312
- +472.5%
- Bull
- ₩35,563
- +1,699.7%
Bear: revenue growth 3 points lower every year, EBIT margin 2 points lower, WACC 1 point higher. Bull: the opposite.
Assumptions
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Cycle options
Margin path
Every year uses the cycle-average margin (6.3%).
Revenue growth
- 13.1%
How much sales grow that year, compared with the year before.
Default: the last 1 years' revenue growth (13.1% a year, annual reports), fading to 3% by year 5.
- 10.6%
How much sales grow that year, compared with the year before.
Default: the last 1 years' revenue growth (13.1% a year, annual reports), fading to 3% by year 5.
- 8%
How much sales grow that year, compared with the year before.
Default: the last 1 years' revenue growth (13.1% a year, annual reports), fading to 3% by year 5.
- 5.5%
How much sales grow that year, compared with the year before.
Default: the last 1 years' revenue growth (13.1% 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 1 years' revenue growth (13.1% a year, annual reports), fading to 3% by year 5.
Business
- 6.3%
Operating profit as a share of revenue.
Default: through-the-cycle average of the last 12 months and the last 2 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).
- 1.7%
Money spent on factories, equipment, software and other long-term assets (% of revenue).
Default: average of the last 2 annual reports (cash flow statements; equipment and intangibles).
- -10%
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 2 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 0.06, 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)
- ₩89B
- Net debt (borrowings and leases − cash and deposits)
- ₩70B
- + Stakes and investments
- ₩480M
- Associates, long-term financial assets and deposits (book value)
- − Minority interests
- ₩5.6B
- Shares
- 11,160,642
- Share price
- ₩1,976
- Market cap
- ₩22B
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.
| FY2024 | FY2025 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|---|
| Revenue | ₩59B | ₩66B | ₩101B | ₩112B | ₩121B | ₩127B | ₩131B |
| Growth | — | 13.1% | 13.1% | 10.6% | 8.0% | 5.5% | 3.0% |
| EBIT | ₩3.5B | ₩4.4B | ₩6.4B | ₩7B | ₩7.6B | ₩8B | ₩8.3B |
| EBIT margin | 6.0% | 6.7% | 6.3% | 6.3% | 6.3% | 6.3% | 6.3% |
| After-tax EBIT | ₩2.6B | ₩3.2B | ₩4.6B | ₩5.1B | ₩5.5B | ₩5.8B | ₩6B |
| + Depreciation | — | — | ₩1.4B | ₩1.6B | ₩1.7B | ₩1.8B | ₩1.8B |
| − Capital spending | ₩866M | ₩1.3B | ₩1.7B | ₩1.9B | ₩2.1B | ₩2.2B | ₩2.2B |
| − Working capital | — | ₩11B | −₩1.2B | −₩1.1B | −₩895M | −₩664M | −₩382M |
| Free cash flow | — | — | ₩5.5B | ₩5.8B | ₩6B | ₩6.1B | ₩6B |
| Discount factor | — | — | 0.954 | 0.911 | 0.869 | 0.829 | 0.792 |
| Present value | — | — | ₩5.2B | ₩5.3B | ₩5.3B | ₩5.1B | ₩4.7B |
Terminal value ₩222B, worth ₩176B today: 87% 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 ₩5,279 a share)Now 0.37× | ₩1,9760.37× | ₩5,2761.00× | ₩10,9362.07× |
Low, typical and high are the 10th percentile, middle and 90th percentile of month-end multiples since 2024, 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% |
|---|---|---|---|---|---|
| 3.8% | ₩11,636 | ₩15,457 | ₩21,419 | ₩32,022 | ₩56,126 |
| 4.3% | ₩8,841 | ₩11,474 | ₩15,260 | ₩21,170 | ₩31,679 |
| 4.8% | ₩6,784 | ₩8,702 | ₩11,312 | ₩15,065 | ₩20,923 |
| 5.3% | ₩5,206 | ₩6,663 | ₩8,565 | ₩11,152 | ₩14,872 |
| 5.8% | ₩3,958 | ₩5,100 | ₩6,544 | ₩8,429 | ₩10,993 |
Now (TTM)
- Market cap
- ₩22B
- Enterprise value
- ₩83B
- P/E
- —
- P/B
- 0.4×
- P/S
- 0.2×
- EV/EBITDA
- —
- Dividend yield
- 0.0%
Over time (at each year end)
| 2025 | 2024 | |
|---|---|---|
| Price | ₩5,020 | ₩9,890 |
| Market cap | ₩56B | ₩110B |
| P/E | 46.7× | — |
| P/B | 1.0× | 2.2× |
| P/S | 0.8× | 1.9× |
| EV/EBITDA | — | — |
| Dividend yield | 0.0% | — |
Versus similar companies
| Company | P/E | P/B | P/S | EV/EBITDA | Dividend yield |
|---|---|---|---|---|---|
| Chai Communication | — | 0.4× | 0.2× | — | 0.0% |
| S-1 | 24.3× | 2.2× | 1.3× | — | 0.0% |
| Cheil Worldwide | 8.5× | 1.2× | 0.4× | — | 6.7% |
| Doosan Tesna | 50.9× | 3.9× | 5.3× | — | 0.2% |
| Lotte Tour Development | 15.2× | 2.1× | 1.1× | — | 0.0% |
| Soulbrain Holdings | 1.3× | 0.4× | 1.2× | — | 1.3% |
| Innocean Worldwide | 5.4× | 0.6× | 0.3× | — | 6.8% |
| Similar companies (median) | 11.8× | 1.6× | 1.2× | — | 0.8% |
Calculated from end-of-day prices and filed financial statements. Not a recommendation. This is not financial advice.
Also known as: Chai Communication / 차이커뮤니케이션 / 351870 / KRX:351870
Source: KRX statistical information