ISU Specialty Chemical이수스페셜티케미컬

ISU Specialty Chemical has swung back to a thin profit on rising sales, but the stock trades at a very high multiple of those earnings.

The company makes specialty chemicals such as TDM, NOM/NDM, IPA and solvents, and is starting full-scale production of lithium sulfide for solid-state battery materials. Trailing twelve-month revenue is about ₩429B with a 2.7% operating margin and a 1.5% net margin, while free cash flow is negative at about -₩112B. The shares closed at ₩72,100 on 2026-10-23, well below the 52-week high of ₩131,800 but far above the low of ₩44,400.

What stands out

• Trailing revenue of about ₩429B is well above 2025's ₩411B, and 2024 revenue jumped 182.5% to ₩332B, though 2023 was loss-making.
• Margins are thin: 2025 operating margin was 0.4% and H1 2026 trailing margin is 2.7%, so profit is small relative to sales.
• Valuation looks stretched against these earnings: trailing P/E is about 330 and P/B about 15.7, with no dividend paid.
• Free cash flow is about -₩112B and borrowings are ₩203B against ₩35B cash, so the company relies on debt and funding.
• Foreign ownership fell from 6.1% to 3.4% over about 60 days, while retail investors were net buyers over the last 20 days.

What to watch

• Commercial ramp-up of the lithium sulfide plant and whether it lifts margins; the data does not give volumes or contract details.
• Cash flow and borrowings, given the negative free cash flow and the short-term borrowing decision filed on 2026-07-07.
• Recent shareholder filings (5%+ holding reports and a largest-shareholder change on 2026-10-21); the data does not say what they mean for control.