Hanwha (000880) fair value: what the stock is really worth
We calculate from audited financials what Hanwha is really worth. The fair value tells you whether the price is too high or too low, the quality score (0 to 100) how solid the business behind it is. 26 models, 37 quality factors, updated daily, free.
Compare price with fair valuebelow fair value = cheap, above = expensive
Check the quality50 and up solid, 75 and up strong
Watch it or check another stockalert when fair value or trend changes
Below-average quality, trading 30% below our fair value of 198,658 KRW.
As of Aug 28, 2026, the fair value of Hanwha is 198,658 KRW per share against a price of 138,600 KRW, so the fair value sits 43% above the price. A model estimate from reported figures, not an analyst target.
✓Healthy Growth (revenue 5y +8.0 %/yr)
!Thin margins · 0.6% net margin
!High debt · generates free cash flow
·0.79% dividend yield
!Mixed vs. peers (6/12)
!Narrow moat 30/100
!Evidence only medium, so the estimate is less certain
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69 individual criteria per stock, every one traceable See the method →
What matters now
The large discount to fair value meets weak quality (30/100). That raises the risk this is a value trap rather than a bargain.
The price is below even our cautious bear case (147,818 KRW). The market is more pessimistic than our downside scenario.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 28, 2026.
How to read this chart
60‑month range 26,501 KRW – 193,709 KRW · fair‑value band 147,818 KRW – 246,363 KRW · the 138,600 KRW price screens below the 198,658 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 28, 2026.
Hanwha (000880) currently trades at 138,600 KRW, while our model-based Fair Value estimate is 198,658 KRW, implying the stock looks roughly 30.2% undervalued today. The Quality Score stands at 30/100 (below-average quality), in the Industrials sector. Bull case: the Growth DCF group reads highest at a median of 604,836 KRW per share, and 4 of the 10 models we run sit above the 138,600 KRW price. Bear case: the Earnings-Based group reads lowest at 54,549 KRW, and 6 of the 10 models stay below the price. Evidence for this calculation is medium.
Over the trailing twelve months, Hanwha generated revenue of 79.6T KRW at a net margin of 0.6%. Revenue grew 28.9% year over year. It earns a return on equity of 5.2%. Net debt stands at 45.5T KRW. Fundamentals as of Aug 28, 2026
Scenario range: 147,818 KRW (bear) to 246,363 KRW (bull), the price of 138,600 KRW sits below it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target. The share trades about 17% below its 52-week high and 89% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at 35% fair-value upside, at 43%, 000880 screens cheaper than that median.
Fair Value models
Each model values the company its own way; the fair value above is the evidence-weighted blend. Evidence (0 to 100) shows how complete a model's inputs are. How we calculate →
ModelBear ⓘ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 best evidence126,075 KRW123,367 KRW107,309 KRW76
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Key figures & financial health
P/S ratio0.14TTM
Dividend yield0.8%
Net margin0.5%FY2025
Return on equity5.2%TTM
Return on assets (EBIT)1.2%avg 5y
Operating margin5.9%TTM
More key figures
Growth
Revenue (TTM)79.6T KRWTTM
Revenue growth (YoY)+28.9%3y avg +13.7%
EPS growth (YoY)+78.1%
Balance sheet & cash flow
Free cash flow2.2T KRWFY2025
Net debt45.5T KRWFY2025 · ≈ 20.5 yrs of FCF
Figures from reported company fundamentals · as of Aug 28, 2026. TTM = trailing twelve months.
Quality Score breakdown
Overall quality30/100
Of which business quality 29
· Market factors (momentum, volatility) 31
Profitability15
Margins and returns on capital today
Quality Growth60
Are margins and returns improving?
Cashflow43
Earnings quality: real cash, not paper profit
Fin. Strength8
Balance sheet, leverage, solvency risk
Investment61
Disciplined investing over empire-building
Low Volatility10
Calm price path (market factor)
Momentum20
Price trend over the last 3–12 months (market factor)
52W Momentum75
Distance to the 52-week high (market factor)
Net Issuance8
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.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Hanwha Corporation engages in the manufacture and sale of explosives and industrial machinery, trading, and general construction businesses.
Full company description
Hanwha Corporation engages in the manufacture and sale of explosives and industrial machinery, trading, and general construction businesses. The company operates through Gunpowder Manufacturing; Wholesale and Retail; Chemical Manufacturing; Shipbuilding Industry; Construction Industry; Leisure/Service Industry; Solar Power Business; Financial Industry; And Other Sectors segments. It is involved in manufacturing and sales of explosives, such as defense products, industrial explosives, etc.; trade and wholesale/retail business; ship design, manufacturing and construction; construction industry, such as architecture, civil engineering, plant, environment, housing business, etc.; sports facility operation and tourism accommodation, IT outsourcing; manufacturing and sales of solar energy-related products and solar power generation; insurance business, deposit income business, securities brokerage business; and other manufacturing and sales business. The company also produces and sells military equipment, such as self-propelled guns, armored vehicles, precision-guided weapons, conventional ammunition, and radars; gas turbine engines and engine parts, aircraft machinery parts, etc.; and CCTVs, storage devices, monitors, etc. In addition, it engages in the trade, department stores, and wholesale and retail of petroleum/petrochemical, steel/non-ferrous, machinery, agricultural, livestock, fishery products, mineral resources, etc. Further, the company is involved in the production and maintenance of parts for aircraft, launch vehicles, and various engines; satellite systems, electro-optical cameras, satellite ground stations, etc.; and building ships and special vessels. Additionally, it engages golf course; hotel; and real estate industry. The company was formerly known as Korea Explosives Corp. and changed its name to Hanwha Corporation in March 1993. Hanwha Corporation was founded in 1952 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
Hanwha reported revenue of 74.8T KRW in FY2025 versus 52.8T KRW in FY2021, a compound +9.1%/yr. Reported net income was 372B KRW in FY2025, compounding −19.8%/yr from FY2021.
Growth Quality 71/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
74.8T KRW
Latest YoY
+34.4%
Avg. revenue 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.
+13.7%
Avg. revenue 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.
+8.0%
Avg. revenue growth/yr (25Y) ⓘ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.
+12.2%
Value creation/yr (5Y, in KRW) ⓘEarnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year. Measured in KRW: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+7.0%
Earnings growth per share plus dividend yield: the value created per share and year.
Earnings growth per share+6.2%
Dividend yield0.8%
Operating margin (EBIT) ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.3.1% (2020) → 5.5% (2025) · rising
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Hanwha Fair Value". https://www.fairvalue-calculator.com/stock/000880
Peer Group
Conglomerates · 378 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.
Valuation
Quality Score30 · Bottom 25%
Fair Value upside+45% · Above median
Profitability
Return on equity (TTM)5% · Above median
Return on assets1% · Below median
Net margin (TTM)1% · Below median
Operating margin (TTM)6% · Below median
Growth and dividend
Revenue growth29% · Top 25%
Dividend yield (TTM)0.8% · Below median
Balance sheet
Debt / equity1.98× · Highest 25%
Valuation Multiples vs Conglomerates median · lower = cheaper
P/FCF0.0× · Cheapest 25%
EV/EBITDA1.3× · Cheapest 25%
PEG0.21× · Cheapest 25%
What the price implies (reverse DCF)
The inverse question: what free-cash-flow growth must Hanwha deliver for ten years so that today's price is fair in our DCF model? Same formula, same discount rate as the fair value.
Implied FCF growth, 10 years+14.6 % per year
Achieved revenue growth, 5 years+8.0 % p.a.
Sector median revenue growth+4.6 %
FCF yield on price18.03 %
Discount rate (WACC) in the models11.4 %
The price demands an acceleration versus past growth: a high bar the company still has to clear. Ranking of the largest stocks →
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.
This stockSector peers
VALUE91· sector 29
FUTURE100· sector 16
PAST21· sector 17
HEALTH1· sector 89
DIVIDEND16· sector 41
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
Similar stocks
10 more Conglomerates stocks, each showing price versus our Fair Value estimate (as of Aug 28, 2026).
As of Aug 28, 2026, our model estimates a fair value of 198,658 KRW versus a price of 138,600 KRW, about +43% upside (undervalued).
What is the fair value of 000880?
Our model-based fair value for Hanwha is 198,658 KRW (as of Aug 28, 2026), built from audited fundamentals. The current price: 138,600 KRW.
What is the quality score of 000880?
Hanwha has a Quality Score of 30/100. 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 price target for Hanwha (000880)?
Our model-based price target is the fair value of 198,658 KRW (as of Aug 28, 2026) from 10 valuation models. Cautious scenario 147,818 KRW, optimistic scenario 246,363 KRW. It is a calculation from audited fundamentals, not an analyst target.
What is the Hanwha stock forecast for 2026?
Our models put fair value at 198,658 KRW, about +43% upside versus a price of 138,600 KRW (undervalued). Cautious scenario 147,818 KRW, optimistic scenario 246,363 KRW. The calculation is refreshed regularly with new filings.
What is the revenue of Hanwha (000880)?
Hanwha reported trailing-twelve-month revenue of about 79.6T KRW (latest available figure, as of Aug 28, 2026).
What is the net profit margin of 000880?
The net profit margin of Hanwha is about 0.6%, meaning it keeps roughly 0.6% of revenue as net income. Based on the latest reported figures.
Does Hanwha pay a dividend?
Hanwha currently shows a dividend yield of about 0.79% relative to its recent price (as of Aug 28, 2026).
What growth is priced into Hanwha (000880)?
For today's price to be fair in a discounted-cash-flow model, Hanwha would have to grow free cash flow by +14.6 % per year for ten years (discount rate 11.4 %, then 2 % perpetual growth). Over the last 5 years revenue grew +8.0 % per year. As of Aug 28, 2026.
What discount rate (WACC) does the fair value of 000880 use?
Our models discount Hanwha at 11.4 %: a base by market capitalisation (mid), damped by beta 1.51, country premium for South Korea. The same rate applies in all 26 models.
What is the intrinsic value of Hanwha (000880)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Hanwha it is 198,658 KRW per share (as of Aug 28, 2026), against a price of 138,600 KRW. It is the blended result of 10 valuation models (cash flow, earnings, asset, dividend).
Is Hanwha stock overvalued or undervalued in 2026?
As of Aug 28, 2026, 000880 trades below its calculated fair value: price 138,600 KRW, fair value 198,658 KRW, a gap of about +43% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of 000880?
No. The price is what the market pays today (138,600 KRW); the fair value is what the company's own numbers justify (198,658 KRW). For Hanwha the two are 60,058 KRW per share apart. That gap is exactly why we show both numbers side by side.
How much is Hanwha worth?
The market values Hanwha at about 12.3T KRW (market capitalisation, as of Aug 28, 2026). Per share that is 138,600 KRW; our models calculate a fair value of 198,658 KRW per share.
What do the bullish and bearish scenarios say about 000880?
Our models span a range for Hanwha: cautious scenario 147,818 KRW, base 198,658 KRW, optimistic 246,363 KRW per share (as of Aug 28, 2026, price 138,600 KRW). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the PEG ratio of 000880?
The PEG ratio of Hanwha is 0.21 (P/E divided by earnings growth, as of Aug 28, 2026). That is below 1, so growth is priced more cheaply than the earnings multiple alone suggests.
How solid is the balance sheet of Hanwha (000880)?
Balance-sheet figures for Hanwha (as of Aug 28, 2026): return on equity 5.2%, debt of 1.98 per unit of equity. They feed the Quality Score of 30/100, which measures business quality independently of the share price.
How far is 000880 from its 52-week high?
Hanwha trades at 138,600 KRW, about 17% below its 52-week high of 166,400 KRW and 89% above the low of 73,369 KRW (as of Aug 28, 2026). Distance from the high says nothing about value: that is what the fair value of 198,658 KRW is for.
Which stocks are comparable to Hanwha?
From the same area (Industrials) we also value ITOCHU Corporation, 3M Company, Honeywell International Inc, CITIC Limited, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Hanwha stock attractive at the current price?
The data as of Aug 28, 2026: price 138,600 KRW, calculated fair value 198,658 KRW (+43%), Quality Score 30/100, from 10 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of 000880 calculated?
We run Hanwha through 10 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of 198,658 KRW, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 32.6 % above its aggregate fair value. Hanwha currently trades 43 % below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on <a href="/is-it-worth-investing-now/">is it worth investing now</a>.
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