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Blitzway Entertainment

369370 · KOSDAQ · ₩369370 · 블리츠웨이엔터테인먼트

₩2,525▼ ₩25 (0.98%)End-of-day · Oct 30, 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

With these assumptions the model gives no positive value.

Enterprise value
−₩149B
Equity value
−₩146B
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 ₩2,525, the model needs an operating margin of 5.8% every year (it uses −20.0%).
  • Margins ranged from −90.5% to 19.3% 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.
  • 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
—
Bull
—

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 (−20.0%).

Revenue growth

  • 16.4%

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

    Default: the last 3 years' revenue growth (16.4% a year, annual reports), fading to 3% by year 5.

  • 13.1%

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

    Default: the last 3 years' revenue growth (16.4% a year, annual reports), fading to 3% by year 5.

  • 9.7%

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

    Default: the last 3 years' revenue growth (16.4% a year, annual reports), fading to 3% by year 5.

  • 6.4%

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

    Default: the last 3 years' revenue growth (16.4% 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 (16.4% a year, annual reports), fading to 3% by year 5.

Business

  • -20%

    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.

  • 27.5%

    Share of operating profit paid as corporate tax.

    Default: Korea's top corporate tax rate (25%) plus 10% local income tax.

  • 8.2%

    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).

  • 10.3%

    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).

  • 19.6%

    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 -0.83, 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)
₩34B
Net debt (borrowings and leases − cash and deposits)
−₩2.6B
+ Stakes and investments
₩2B
Associates, long-term financial assets and deposits (book value)
− Minority interests
₩2B
Shares
9,974,382
Share price
₩2,525
Market cap
₩25B

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₩8.9B₩36B₩30B₩39B₩45B₩49B₩52B₩54B
Growth−53.3%305.7%−16.7%16.4%13.1%9.7%6.4%3.0%
EBIT−₩8.1B−₩6.6B−₩9B−₩7.9B−₩8.9B−₩9.8B−₩10B−₩11B
EBIT margin−90.5%−18.3%−30.0%−20.0%−20.0%−20.0%−20.0%−20.0%
After-tax EBIT−₩5.9B−₩4.8B−₩6.6B−₩5.7B−₩6.5B−₩7.1B−₩7.6B−₩7.8B
+ Depreciation———₩3.2B₩3.7B₩4B₩4.3B₩4.4B
− Capital spending₩1.3B₩1.9B₩3.5B₩4.1B₩4.6B₩5B₩5.4B₩5.5B
− Working capital−₩2.5B−₩3.1B−₩9.9B₩1.1B₩1B₩849M₩614M₩306M
Free cash flow———−₩7.6B−₩8.4B−₩9B−₩9.3B−₩9.2B
Discount factor———0.9320.8680.8090.7540.703
Present value———−₩7.1B−₩7.3B−₩7.3B−₩7B−₩6.5B

Terminal value −₩162B, worth −₩114B today: 76% 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 ₩1,936 a share)Now 1.30×₩4,5562.35×₩5,2942.73×₩7,3713.81×

Low, typical and high are the 10th percentile, middle and 90th percentile of month-end multiples since 2022, 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
₩25B
Enterprise value
₩21B
P/E
—
P/B
1.3×
P/S
0.7×
EV/EBITDA
—
Dividend yield
0.0%

Over time (at each year end)

20252024202320222021
Price₩6,830₩8,285₩10,850₩10,075₩24,401
Market cap₩68B₩83B₩108B₩100B₩243B
P/E—————
P/B4.0×2.8×4.1×2.8×14.9×
P/S2.3×2.3×12.1×5.2×15.4×
EV/EBITDA—————
Dividend yield0.0%————

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Blitzway Entertainment—1.3×0.7×—0.0%
HYBE—2.0×1.9×—0.3%
SM Entertainment13.3×1.7×1.4×—2.1%
JYP Entertainment12.9×2.2×1.7×7.2×2.2%
CJ CGV—1.1×0.4×—0.0%
YG Entertainment20.9×1.4×1.1×—0.8%
Studio Dragon21.8×0.9×1.2×—0.0%
Similar companies (median)17.1×1.5×1.3×7.2×0.6%

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

Also known as: Blitzway Entertainment / 블리츠웨이엔터테인먼트 / 369370 / KRX:369370

Source: KRX statistical information