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Heungkuk Fire&Marine Insurance Co (000540) Fair Value & Analysis

Financial Services · KR · Market cap 204B KRW

HF Heungkuk Fire&Marine Insurance Co 000540 · KO
Price3,315 KRW
Fair Value2,530 KRW
Upside-23.7%
Quality67/100
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Weak Growth
Thin margins · 2.9% net margin
Low debt · generates free cash flow
Mixed vs. peers (5/9)
Moderate moat 45/100
Evidence: High Range 1,898 KRW – 3,163 KRW Share as image

Fair value as of: Jul 23, 2026

From 4 valuation models · updated 17 days ago

Fair value updated Jul 23, 2026, revised from 2,624 KRW to 2,530 KRW (−3.6%) since Jun 26, 2026. Share price +0.3% over the past month.

A solid business, but screening 24% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (3,163 KRW). The favourable scenario is already priced in.
  • Solid but not exceptional quality (67/100) and above fair value, neither a clear bargain nor a standout compounder.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (5 years)

6,590 KRW 2,835 KRW Fair Value 2,530 KRW Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 23, 2026.

How to read this chart

60‑month range 2,835 KRW – 6,590 KRW · fair‑value band 1,898 KRW – 3,163 KRW · the 3,315 KRW price screens above the 2,530 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 23, 2026.

Full chart & analysis →

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Analysis

Heungkuk Fire&Marine Insurance Co (000540) currently trades at 3,315 KRW, while our model-based Fair Value estimate is 2,530 KRW, implying the stock looks roughly 23.7% overvalued today. The Quality Score stands at 67/100 (solid quality), in the Financial Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Heungkuk Fire&Marine Insurance Co generated revenue of 3.1T KRW at a net margin of 2.9%. Revenue grew 12.0% year over year. It earns a return on equity of 15.2%. Net debt stands at 125B KRW. Fundamentals as of Jul 23, 2026

Our scenario range runs from 1,898 KRW (bear case) to 3,163 KRW (bull case); at 3,315 KRW, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 56% below its 52-week high and 1% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 8% fair-value upside, at -24%, 000540 screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income 16,065 KRW 21,144 KRW 77,376 KRW 76
P/E Multiple 23,022 KRW 30,695 KRW 38,369 KRW 63
P/B Multiple 13,678 KRW 18,237 KRW 22,797 KRW 55
All 4 models by family
Multiples
P/E Multiple 23,022 KRW 30,695 KRW 38,369 KRW 63
P/B Multiple 13,678 KRW 18,237 KRW 22,797 KRW 55
Asset-Based
NCAV (Graham) 6,513 KRW 8,728 KRW 13,027 KRW 50
Economic Profit
Residual Income 16,065 KRW 21,144 KRW 77,376 KRW 76

Widest divergence: Economic Profit (21,144 KRW) versus Asset-Based (8,728 KRW). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 3.1T KRW
Revenue growth (YoY) +12.0%
Net margin 2.9%
Return on equity 15.2%
Free cash flow 728B KRW FY2025
Operating margin 14.1%
More key figures
EPS growth (YoY) +363%
Net debt 125B KRW FY2025

Figures from reported company fundamentals · as of Jul 23, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 67/100

Of which business quality 57 · Market factors (momentum, volatility) 23

Profitability 28
Margins and returns on capital today
Quality Growth 66
Are margins and returns improving?
Cashflow 96
Earnings quality: real cash, not paper profit
Fin. Strength 4
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 15
Price trend over the last 3–12 months (market factor)
52W Momentum 4
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Heungkuk Fire&Marine Insurance Co., Ltd. engages in non-life insurance business. The company offers medical/health, children's, driver/accident, pension/savings, fire/property, car, and travel insurance products; and marine and special insurance, as well as long-term damage such as disease, injury, and property damage.

Full company description

Heungkuk Fire&Marine Insurance Co., Ltd. engages in non-life insurance business. The company offers medical/health, children's, driver/accident, pension/savings, fire/property, car, and travel insurance products; and marine and special insurance, as well as long-term damage such as disease, injury, and property damage. It also provides loan products; and engages in reinsurance business. The company was formerly known as Heungkuk Ssangyong Fire & Marine Insurance Co., Ltd. and changed its name to Heungkuk Fire&Marine Insurance Co., Ltd. in 2009. Heungkuk Fire&Marine Insurance Co., Ltd. was founded in 1948 and is headquartered in Seoul, South Korea.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Heungkuk Fire&Marine Insurance Co reported revenue of 3.0T KRW in FY2025 versus 2.9T KRW in FY2021, a compound +1.1%/yr. Reported net income was 152B KRW in FY2025, compounding +25.0%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
3.0T KRW
Latest YoY
+9.4%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+5.7%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+0.8%
Avg. growth/yr (22Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+7.8%
Revenue +1.1%/yr
FY21 2.9T KRW
FY22 2.6T KRW
FY23 2.9T KRW
FY24 2.8T KRW
FY25 3.0T KRW
Net income +25.0%/yr
FY21 62.0B KRW
FY22 207B KRW
FY23 296B KRW
FY24 107B KRW
FY25 152B KRW

000540 screens 24% overvalued. Compare with The Progressive Corporation →

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Cite: Fair Value Calculator (2026). "Heungkuk Fire&Marine Insurance Co Fair Value". https://www.fairvalue-calculator.com/stock/000540

Peer Group

Insurance - Property & Casualty · 120 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 62 · Above median
Fair Value upside −24% · Bottom 25%
Return on equity (TTM) 15% · Above median
Return on assets 2% · Bottom 25%
Net margin (TTM) 3% · Bottom 25%
Operating margin (TTM) 14% · Above median
Revenue growth 12% · Above median
Debt / equity 0.32× · Higher than median

Valuation Multiples vs Insurance - Property & Casualty median · lower = cheaper

P/FCF 0.0× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 2 · sector 42
FUTURE 60 · sector 31
PAST 61 · sector 56
HEALTH 84 · sector 92
DIVIDEND 0 · sector 48

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Insurance - Property & Casualty stocks, each showing price versus our Fair Value estimate (as of Jul 23, 2026).

Stock Price Fair Value vs Fair Value
The Progressive Corporation PGR $234.48 $252.50 +8%
Chubb Limited CB $337.44 $345.56 +2%
The Travelers Companies, Inc TRV $368.98 $384.42 +4%
The Allstate Corporation ALL $251.61 $503.22 +100%
The People's Insurance Company 601319 ¥7.06 ¥13.71 +94%
Intact Financial Corporation IFC C$294.02 C$247.44 -16%
Fairfax Financial Holdings FFH C$2,327 C$3,252 +40%
QBE Insurance Group QBE A$25.47 A$19.42 -24%
Samsung Fire & Marine Insurance Co 000810 648,000 KRW 658,771 KRW +2%
Powszechny Zaklad Ubezpieczen SA PZU 69.80 PLN 100.85 PLN +44%

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Frequently asked questions

Is Heungkuk Fire&Marine Insurance Co (000540) overvalued or undervalued?
As of Jul 23, 2026, our model estimates a fair value of 2,530 KRW versus a price of 3,315 KRW, about −24% (overvalued).
What is the fair value of 000540?
Our model-based fair value for Heungkuk Fire&Marine Insurance Co is 2,530 KRW (as of Jul 23, 2026), built from audited fundamentals. The current price is 3,315 KRW.
What is the quality score of 000540?
Heungkuk Fire&Marine Insurance Co has a Quality Score of 67/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Heungkuk Fire&Marine Insurance Co (000540)?
Heungkuk Fire&Marine Insurance Co reported trailing-twelve-month revenue of about 3.1T KRW (latest available figure, as of Jul 23, 2026).
What is the net profit margin of 000540?
The net profit margin of Heungkuk Fire&Marine Insurance Co is about 2.9%, meaning it keeps roughly 2.9% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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