LK Chem엘케이켐

LK Chem remains highly profitable on a trailing basis, but revenue and earnings have fallen sharply from the 2024 peak and the shares are far below their 52-week high.

LK Chem makes specialty chemical precursors and ligands used in semiconductor thin-film deposition, mainly High-k materials for DRAM and Low-k DIS precursors. Trailing twelve-month figures to H1 2026 show revenue of ₩24.7B...

What stands out

• Revenue fell 19.4% in 2025 to ₩20.2B from ₩25.0B in 2024, while operating margin dropped from 40.5% to 22.6%.
• Trailing twelve-month operating margin is 21.6% and net margin is 24.6%, with net income of ₩6.1B, above operating income of ₩5.4B.
• Trailing free cash flow is negative at about -₩0.26B, although cash of ₩17.4B exceeds borrowings of ₩3.4B and liabilities are 10.1% of equity.
• The share price is ₩20,800, versus a 52-week range of ₩14,550 to ₩59,500, with returns of -3.3% over one month, +8.6% over three months and -6.9% over one year.
• Recent filings include a half-year report for June 2026, a major sales or supply contract in May 2026, and an investor relations event in August 2026. No recent news headlines were provided.

What to watch

• The next filings and results, and whether revenue and margins stabilise after the decline from the 2024 level.
• Whether free cash flow turns positive, since trailing free cash flow is currently negative.
• The data gives a DCF fair value range of ₩5,591 to ₩10,901 (base ₩7,595), well below the current price; this is a model output, not a forecast, and the reasons for the gap are not explained in the data.