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Ji-Tech

417500 · KOSDAQ · ₩417500 · 제이아이테크

₩4,020▼ ₩100 (2.43%)End-of-day · Oct 29, 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

₩1,611

vs the current price (₩4,020)

Enterprise value
₩75B
Equity value
₩55B
WACC
7.6%

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 60% 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 ₩4,020, the model needs an operating margin of 28.6% every year (it uses 17.1%).
  • Or revenue growth +21.0 points a year higher than assumed in each of the 5 years.
  • Margins ranged from 9.4% to 19.4% over the last 4 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.
  • Today's P/E is 12.5× against a typical 13.6× 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
₩784
−80.5%
Base
₩1,611
−59.9%
Bull
₩3,022
−24.8%

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 (17.1%).

Revenue growth

  • -7.8%

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

    Default: the last 3 years' revenue growth (-7.8% a year, annual reports), fading to 3% by year 5.

  • -5.1%

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

    Default: the last 3 years' revenue growth (-7.8% a year, annual reports), fading to 3% by year 5.

  • -2.4%

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

    Default: the last 3 years' revenue growth (-7.8% a year, annual reports), fading to 3% by year 5.

  • 0.3%

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

    Default: the last 3 years' revenue growth (-7.8% 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 (-7.8% a year, annual reports), fading to 3% by year 5.

Business

  • 17.1%

    Operating profit as a share of revenue.

    Default: through-the-cycle average of the last 12 months and the last 4 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.

  • 32.6%

    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).

  • 40.7%

    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).

  • 38%

    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.

  • 4.08%

    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.

  • 0.76

    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 0.64, 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.

  • 5.58%

    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)
₩67B
Net debt (borrowings and leases − cash and deposits)
₩24B
+ Stakes and investments
₩3.6B
Associates, long-term financial assets and deposits (book value)
Shares
33,845,627
Share price
₩4,020
Market cap
₩136B

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₩43B₩57B₩54B₩61B₩58B₩57B₩57B₩59B
Growth−36.5%32.1%−6.5%−7.8%−5.1%−2.4%0.3%3.0%
EBIT₩4.1B₩8.7B₩10B₩11B₩10B₩9.7B₩9.8B₩10B
EBIT margin9.4%15.2%19.4%17.1%17.1%17.1%17.1%17.1%
After-tax EBIT₩3B₩6.3B₩7.5B₩7.6B₩7.2B₩7.1B₩7.1B₩7.3B
+ Depreciation———₩20B₩19B₩19B₩19B₩19B
− Capital spending₩27B₩16B₩16B₩25B₩24B₩23B₩23B₩24B
− Working capital−₩19B−₩2.2B₩8.6B−₩2B−₩1.2B−₩532M₩65M₩651M
Free cash flow———₩4.6B₩3.7B₩3B₩2.4B₩1.9B
Discount factor———0.9290.8630.8020.7450.692
Present value———₩4.3B₩3.2B₩2.4B₩1.8B₩1.3B

Terminal value ₩89B, worth ₩62B today: 83% 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 ₩2,470 a share)Now 1.63×₩3,5771.45×₩4,2261.71×₩6,2062.51×
Price / earnings (last 12 months: ₩322 a share)Now 12.5×₩3,2159.98×₩4,38613.6×₩7,41423.0×
P/E on run-rate earnings (Q2 2026 × 4: ₩465 a share)Now 8.64×₩4,6429.98×₩6,33113.6×₩10,70323.0×

Low, typical and high are the 10th percentile, middle and 90th percentile of month-end multiples since 2023, 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%
6.6%₩1,774₩1,930₩2,120₩2,355₩2,654
7.1%₩1,566₩1,691₩1,840₩2,021₩2,245
7.6%₩1,390₩1,491₩1,611₩1,753₩1,925
8.1%₩1,239₩1,322₩1,419₩1,533₩1,668
8.6%₩1,108₩1,177₩1,257₩1,349₩1,457

Now (TTM)

Market cap
₩136B
Enterprise value
₩159B
P/E
12.5×
P/B
1.6×
P/S
2.0×
EV/EBITDA
—
Dividend yield
2.5%

Over time (at each year end)

2025202420232022
Price₩3,150₩3,105₩4,055₩2,514
Market cap₩107B₩105B₩137B₩85B
P/E15.8×9.8×36.6×7.8×
P/B1.4×1.5×2.1×1.4×
P/S2.0×1.8×3.2×1.2×
EV/EBITDA————
Dividend yield3.2%3.2%——

Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
Ji-Tech12.5×1.6×2.0×—2.5%
LG Chem—0.5×0.3×—0.9%
Hanwha Solutions—0.5×0.3×—0.0%
Hanwha6.1×0.4×0.1×—1.4%
SKC—1.8×1.7×—0.0%
KCC0.9×0.3×0.5×9.0×0.0%
Kumho Petro Chemical5.2×0.4×0.4×—1.6%
Similar companies (median)5.2×0.4×0.4×9.0×0.4%

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

Also known as: Ji-Tech / 제이아이테크 / 417500 / KRX:417500

Source: KRX statistical information