Nexen Corporation (005720) fair value: what the stock is really worth
As of Oct 28, 2026: fair value (intrinsic value) of Nexen Corporation stock KRW 15,460, price KRW 6,040, upside +156.0%, quality 49 out of 100. Rating: strongly undervalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Oct 28, 2026.
How to read this chart
60‑month range 2,977 KRW – 7,838 KRW · fair‑value band 6,614 KRW – 22,500 KRW · the 6,040 KRW price screens below the 15,460 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Oct 28, 2026.
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Nexen Corporation manufactures and sells rubber products in South Korea. The company offers tubes and flaps, solid tires, golf balls, and bladders for tires, and carbon masterbatch related products.
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It provides logistics services comprising of sea, bulk, air, inland transport and distribution, warehouse, and knock down. The company exports and distributes its products to approximately 140 countries. Nexen Corporation was founded in 1968 and is headquartered in Gimhae-si, South Korea.
Stock analysis
Nexen Corporation (005720) currently trades at 6,040 KRW, while our model-based Fair Value estimate is 15,460 KRW, implying the stock looks roughly 60.9% undervalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of 52,009 KRW per share, and 24 of the 26 models we run sit above the 6,040 KRW price.
Bear case: the Dividend Discount group reads lowest at 1,863 KRW, and 2 of the 26 models stay below the price. Data coverage for this calculation is low.
Scenario range: 6,614 KRW (bear) to 22,500 KRW (bull), the price of 6,040 KRW sits below it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 49/100 (below-average quality), in the Consumer Cyclical sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Nexen Corporation reported revenue of 3.6T KRW in FY2025 versus 2.4T KRW in FY2021, a compound +10.5%/yr. Reported net income was 91.2B KRW in FY2025, compounding +33.3%/yr from FY2021.
Key figures
Market cap 293B KRW (≈ $219M) Micro · P/E ratio 2.9 · P/S ratio 0.08 · EPS (TTM) 2,048 KRW · Dividend yield 2.9% · Net margin 3.1% · Return on equity 7.8% · Return on assets (EBIT) 2.4%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 33 out of 100 (low confidence).
What moves the price
The share trades about 23% below its 52-week high and 23% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Consumer Cyclical peers we cover trades at −25% fair-value upside, at 156%, 005720 screens cheaper than that median.
Fair Value models
Bear6,614 KRWFair Value 15,460 KRWBull22,500 KRW
Price 6,040 KRW · Upside +156.0%
Capped: our models arrive at a very high value here. We deliberately show a more cautious Fair Value.
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then (1,549 KRW per share) are deliberately not added.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. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.82/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+11.6%
Revenue growth 3 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+6.1%
Revenue growth 5 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+12.7%
Start year 2020 (pandemic)
Revenue growth 9 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+34.9%
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What shareholders gained per year (last 5 years), in KRW ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Basis: EBIT basis. 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.
≈ +31.8%
Earnings growth per share plus dividend.
Earnings per share, growth per year+28.9%
Dividend (yield on the price)2.9%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.base effect: 27.6% / 0.3%
Profit margin 2020 to 2025 ⓘ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% → 6%
Pace: the 5-year rate starts in 2020 (pandemic)
⚠ Rate on operating basis: 2025 sits 125% above its own trend.
Growth Forecast
Little optimism in the price
The price assumes less growth than the company has delivered so far.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+6.8%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect
n/a
No analyst forecast available.
After inflation (South Korea: IMF forecast 2.1% a year to 2030, 2.1% from 2016 to 2025) that is about +4.7% a year for the price.
Price, fair value, quality and upside side by side.
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Peer Groupⓘ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.Auto Parts · 660 stocks
Beats the industry median on 10/14 measures
Overall it ranks above its industry peers.
Valuation
Quality Score49 · Below median
Fair Value upside+156.0% · Top 25%
Profitability
Return on equity (12 months)7.8% · Above median
Return on assets3.2% · Below median
Net margin (12 months)6.0% · Above median
Operating margin (12 months)4.9% · Below median
Growth and dividend
Revenue growth (quarter YoY)11.5% · Above median
Dividend yield (12 months)2.9% · Above median
Balance sheet
Debt / equity0.76× · Highest 25%
Valuation Multiplesvs Auto Parts median · lower = cheaper
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). "Nexen Corporation Fair Value". https://www.fairvalue-calculator.com/stock/005720
Frequently asked questions
Is Nexen Corporation (005720) overvalued or undervalued?
As of Oct 28, 2026, our model estimates a fair value of 15,460 KRW versus a price of 6,040 KRW, about +156% upside (undervalued).
What is the fair value of 005720?
Our model-based fair value for Nexen Corporation is 15,460 KRW (as of Oct 28, 2026), built from audited fundamentals. The current price: 6,040 KRW.
What is the quality score of 005720?
Nexen Corporation has a Quality Score of 49/100. 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 Nexen Corporation (005720)?
Our model-based price target is the fair value of 15,460 KRW (as of Oct 28, 2026) from 26 valuation models. Cautious scenario 6,614 KRW, optimistic scenario 22,500 KRW. It is a calculation from audited fundamentals, not an analyst target.
What is the Nexen Corporation stock forecast for 2026?
Our models put fair value at 15,460 KRW, about +156% upside versus a price of 6,040 KRW (undervalued). Cautious scenario 6,614 KRW, optimistic scenario 22,500 KRW. The calculation is refreshed regularly with new filings.
What is the revenue of Nexen Corporation (005720)?
Nexen Corporation reported trailing-twelve-month revenue of about 3.8T KRW (latest available figure, as of Oct 28, 2026).
Does Nexen Corporation pay a dividend?
Nexen Corporation currently shows a dividend yield of 2.90% relative to its recent price (as of Oct 28, 2026).
What growth is priced into Nexen Corporation (005720)?
For today's price to be fair in a discounted-cash-flow model, Nexen Corporation would have to grow free cash flow by +6.8 % per year for five years (discount rate 11.6 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +12.8 % per year. As of Oct 28, 2026.
What discount rate (WACC) does the fair value of 005720 use?
Our models discount Nexen Corporation at 11.6 %: a base by market capitalisation (micro), damped by beta 0.39, country premium for South Korea. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Nexen Corporation that is +6.8 % per year a year over ten years, using the same discount rate (11.6 %) and the same formula as our fair value.
How much growth has Nexen Corporation (005720) delivered so far?
Over the past 5 years revenue at Nexen Corporation grew +12.8 % a year. The price currently implies +6.8 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Nexen Corporation (005720) growing?
The median revenue growth in the sector is +4.6 % a year. That is the yardstick for the growth priced into Nexen Corporation (+6.8 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Nexen Corporation (005720)?
The free-cash-flow yield on the price is 42.99 %: that much free cash flow Nexen Corporation produces per unit of market value. When it exceeds the discount rate of our models (11.6 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Nexen Corporation (005720)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Nexen Corporation it is 15,460 KRW per share (as of Oct 28, 2026), against a price of 6,040 KRW. It is the blended result of 26 valuation models (cash flow, earnings, asset, dividend).
Is Nexen Corporation stock overvalued or undervalued in 2026?
As of Oct 28, 2026, 005720 trades below its calculated fair value: price 6,040 KRW, fair value 15,460 KRW, a gap of about +156% (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 005720?
No. The price is what the market pays today (6,040 KRW); the fair value is what the company's own numbers justify (15,460 KRW). For Nexen Corporation the two are 9,420 KRW per share apart. That gap is exactly why we show both numbers side by side.
How much is Nexen Corporation worth?
The market values Nexen Corporation at about 293B KRW (market capitalisation, as of Oct 28, 2026). Per share that is 6,040 KRW; our models calculate a fair value of 15,460 KRW per share.
What do the bullish and bearish scenarios say about 005720?
Our models span a range for Nexen Corporation: cautious scenario 6,614 KRW, base 15,460 KRW, optimistic 22,500 KRW per share (as of Oct 28, 2026, price 6,040 KRW). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of 005720?
Nexen Corporation trades at a price-to-earnings ratio of 2.9 (as of Oct 28, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of 15,460 KRW is built from several models across several years. Other multiples: P/B 0.2, P/S 0.2, EV/EBITDA 4.1.
How solid is the balance sheet of Nexen Corporation (005720)?
Balance-sheet figures for Nexen Corporation (as of Oct 28, 2026): return on equity 7.8%, debt of 0.76 per unit of equity. They feed the Quality Score of 49/100, which measures business quality independently of the share price.
How far is 005720 from its 52-week high?
Nexen Corporation trades at 6,040 KRW, about 23% below its 52-week high of 7,838 KRW and 23% above the low of 4,908 KRW (as of Oct 28, 2026). Distance from the high says nothing about value: that is what the fair value of 15,460 KRW is for.
Which stocks are comparable to Nexen Corporation?
From the same area (Consumer Cyclical) we also value O'Reilly Automotive, Inc, AutoZone, Inc, Hyundai Mobis Co, Fuyao Glass Industry Group, 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 Nexen Corporation stock attractive at the current price?
The data as of Oct 28, 2026: price 6,040 KRW, calculated fair value 15,460 KRW (+156%), Quality Score 49/100, from 26 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 005720 calculated?
We run Nexen Corporation through 26 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 15,460 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 13.4 % above its aggregate fair value. Nexen Corporation currently trades 61 % 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 is it worth investing now.
What is the share price of Nexen Corporation (005720)?
The closing price on Oct 28, 2026 was 6,040 KRW. Our model-based fair value is 15,460 KRW, about +156% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Nexen Corporation right now?
The price is below even our cautious bear case (6,614 KRW). The market is more pessimistic than our downside scenario. The model range is unusually wide (6,614 KRW to 22,500 KRW). The outcome hinges heavily on assumptions, so read the point estimate with caution. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution. Solid quality (49/100) at a price below fair value, the discount is the argument here, not the business quality.
Key figures of Nexen Corporation
How large is the market capitalisation of Nexen Corporation (005720)?
The market capitalisation of Nexen Corporation is 293B KRW (≈ $219M). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Nexen Corporation (005720)?
The price-to-sales ratio of Nexen Corporation is 0.08 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Nexen Corporation (005720)?
Earnings per share at Nexen Corporation are 2,048 KRW (price ÷ EPS = P/E 2.9). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Nexen Corporation (005720)?
The dividend yield of Nexen Corporation is 2.9% (payout 8.5%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Nexen Corporation (005720)?
The net margin of Nexen Corporation is 3.1% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Nexen Corporation (005720)?
The return on equity (ROE) of Nexen Corporation is 7.8% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Nexen Corporation (005720)?
On an EBIT basis the return on assets of Nexen Corporation is 2.4% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Nexen Corporation (005720)?
The operating margin of Nexen Corporation is 4.9% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Nexen Corporation (005720)?
Revenue at Nexen Corporation is growing +11.5% versus a year earlier (3y avg +6.1%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Nexen Corporation (005720)?
Earnings per share at Nexen Corporation are growing +67.0% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Nexen Corporation (005720) carry?
The net debt of Nexen Corporation is 1.4T KRW (fiscal year 2025, ≈ 11.3 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Thin data
Oct 28, 2026