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J2KBIO

420570 · KOSDAQ · ₩420570 · 제이투케이바이오

₩7,300▼ ₩430 (5.56%)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

₩16,153

vs the current price (₩7,300)

Enterprise value
₩86B
Equity value
₩94B
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 is 121% 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 ₩7,300, the model needs an operating margin of 6.3% every year (it uses 13.6%).
  • Or revenue growth −24.4 points a year higher than assumed in each of the 5 years.
  • Margins ranged from 8.9% to 19.7% over the last 3 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 7.3× against a typical 20.6× 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
₩10,665
+46.1%
Base
₩16,153
+121.3%
Bull
₩25,413
+248.1%

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 (13.6%).

Revenue growth

  • 7.6%

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

    Default: the last 2 years' revenue growth (7.6% a year, annual reports), fading to 3% by year 5.

  • 6.5%

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

    Default: the last 2 years' revenue growth (7.6% a year, annual reports), fading to 3% by year 5.

  • 5.3%

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

    Default: the last 2 years' revenue growth (7.6% a year, annual reports), fading to 3% by year 5.

  • 4.2%

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

    Default: the last 2 years' revenue growth (7.6% 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 2 years' revenue growth (7.6% a year, annual reports), fading to 3% by year 5.

Business

  • 13.6%

    Operating profit as a share of revenue.

    Default: through-the-cycle average of the last 12 months and the last 3 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.

  • 3%

    The non-cash cost of wearing out equipment, added back to cash flow (% of revenue).

    Default: not in the statements, so a typical level.

  • 4%

    Money spent on factories, equipment, software and other long-term assets (% of revenue).

    Default: not in the statements, so a typical level.

  • 25.1%

    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 -0.08, 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)
₩44B
Net debt (borrowings and leases − cash and deposits)
−₩8.8B
Shares
5,847,483
Share price
₩7,300
Market cap
₩43B

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₩28B₩33B₩33B₩47B₩50B₩53B₩55B₩57B
Growth—16.4%−0.5%7.6%6.5%5.3%4.2%3.0%
EBIT₩5.6B₩3.6B₩2.9B₩6.4B₩6.8B₩7.2B₩7.5B₩7.7B
EBIT margin19.7%10.9%8.9%13.6%13.6%13.6%13.6%13.6%
After-tax EBIT₩4.1B₩2.6B₩2.1B₩4.7B₩5B₩5.2B₩5.4B₩5.6B
+ Depreciation———₩1.4B₩1.5B₩1.6B₩1.7B₩1.7B
− Capital spending———₩1.9B₩2B₩2.1B₩2.2B₩2.3B
− Working capital—₩3.4B−₩3.7B₩837M₩771M₩669M₩558M₩416M
Free cash flow———₩3.3B₩3.7B₩4B₩4.3B₩4.6B
Discount factor———0.9320.8680.8090.7540.703
Present value———₩3.1B₩3.2B₩3.3B₩3.3B₩3.2B

Terminal value ₩99B, worth ₩70B today: 81% 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 ₩6,254 a share)Now 1.17×₩8,9451.43×₩10,6571.70×₩28,7764.60×
Price / earnings (last 12 months: ₩994 a share)Now 7.34×₩10,18010.2×₩20,44620.6×₩38,76839.0×
P/E on run-rate earnings (Q2 2026 × 4: ₩1,824 a share)Now 4.00×₩18,67410.2×₩37,50520.6×₩71,11439.0×

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%
6.3%₩17,022₩18,220₩19,695₩21,555₩23,974
6.8%₩15,621₩16,581₩17,739₩19,164₩20,960
7.3%₩14,444₩15,225₩16,153₩17,271₩18,647
7.8%₩13,441₩14,086₩14,841₩15,736₩16,817
8.3%₩12,576₩13,115₩13,738₩14,467₩15,332

Now (TTM)

Market cap
₩43B
Enterprise value
₩34B
P/E
7.3×
P/B
1.2×
P/S
1.0×
EV/EBITDA
—
Dividend yield
3.4%

Over time (at each year end)

20252024
Price₩8,600₩9,100
Market cap₩50B₩53B
P/E18.8×—
P/B1.5×1.7×
P/S1.5×1.6×
EV/EBITDA——
Dividend yield2.9%2.2%

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Versus similar companies

CompanyP/EP/BP/SEV/EBITDADividend yield
J2KBIO7.3×1.2×1.0×—3.4%
APR22.6×15.1×4.3×22.2×2.0%
Amorepacific26.4×1.4×1.7×—1.0%
LG H&H—0.7×0.6×6.9×0.8%
Cosmax15.2×4.3×1.1×13.2×1.3%
Kolmar Korea14.4×2.7×0.9×—0.8%
Amorepacific Holdings14.0×0.6×0.4×—1.6%
Similar companies (median)15.2×2.0×1.0×13.2×1.1%

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

Also known as: J2KBIO / 제이투케이바이오 / 420570 / KRX:420570

Source: KRX statistical information