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Dongbu Corporation (005965) Fair Value & Analysis

Industrials · KR · Market cap 377B KRW

DC Dongbu Corporation 005965 · KO
Price17,160 KRW
Fair Value26,077 KRW
Upside+52.0%
Quality52/100
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Expensive Growth
Thin margins · 2.9% net margin
Low debt · negative free cash flow
2.17% dividend yield
Ranks above peers (6/10)
Narrow moat 31/100
Evidence: High Range 21,545 KRW – 48,238 KRW Share as image

Fair value as of: Jul 24, 2026

From 17 valuation models · updated 18 days ago

Fair value updated Jul 24, 2026, revised from 26,190 KRW to 26,077 KRW (−0.4%) since Jul 22, 2026. Share price +2.1% over the past month.

A solid business, screening 52% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (21,545 KRW). The market is more pessimistic than our downside scenario.
  • Solid quality (52/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (21,545 KRW to 48,238 KRW) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

73,438 KRW 12,960 KRW Fair Value 26,077 KRW Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 24, 2026.

How to read this chart

60‑month range 12,960 KRW – 73,438 KRW · fair‑value band 21,545 KRW – 48,238 KRW · the 17,160 KRW price screens below the 26,077 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 24, 2026.

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Analysis

Dongbu Corporation (005965) currently trades at 17,160 KRW, while our model-based Fair Value estimate is 26,077 KRW, implying the stock looks roughly 52.0% undervalued today. The Quality Score stands at 52/100 (solid quality), in the Industrials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Dongbu Corporation generated revenue of 1.8T KRW at a net margin of 2.9%. Revenue grew 4.4% year over year. It earns a return on equity of 8.5%. Net debt stands at 306B KRW. Fundamentals as of Jul 24, 2026

Our scenario range runs from 21,545 KRW (bear case) to 48,238 KRW (bull case); at 17,160 KRW, the current price sits below 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 69% below its 52-week high and 38% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -45% fair-value upside, at 52%, 005965 screens cheaper 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 21,337 KRW 23,635 KRW 39,362 KRW 76
ROIC Compounder 10,570 KRW 13,279 KRW 15,686 KRW 72
Gordon GGM 1,945 KRW 4,246 KRW 7,143 KRW 70
All 17 models by family
DCF Models
Owner Earnings 31,035 KRW 55,445 KRW 96,344 KRW 31
Earnings-Based
Graham-Dodd 15,460 KRW 56,242 KRW 75,877 KRW 54
Lynch FV 13,368 KRW 19,098 KRW 24,827 KRW 50
PEG = 1.0 13,368 KRW 19,098 KRW 24,827 KRW 46
EPV 10,570 KRW 13,279 KRW 15,686 KRW 59
Dividend Discount
Gordon GGM 1,945 KRW 4,246 KRW 7,143 KRW 70
DDM Multi-Stage 1,945 KRW 3,478 KRW 4,425 KRW 61
Multiples
P/E Multiple 35,808 KRW 47,744 KRW 59,680 KRW 63
P/S Multiple 28,988 KRW 38,650 KRW 48,313 KRW 58
P/B Multiple 28,988 KRW 38,650 KRW 48,313 KRW 55
EV/EBIT 21,058 KRW 29,669 KRW 38,281 KRW 53
EV/EBITDA 21,404 KRW 30,131 KRW 38,858 KRW 54
EV/Revenue 13,662 KRW 21,565 KRW 29,467 KRW 43
Asset-Based
NCAV (Graham) 12,213 KRW 16,366 KRW 24,427 KRW 50
Economic Profit
Residual Income 21,337 KRW 23,635 KRW 39,362 KRW 76
ROIC Compounder 10,570 KRW 13,279 KRW 15,686 KRW 72
Growth Earnings
Growth-Adj P/E 25,240 KRW 36,056 KRW 46,873 KRW 68

Widest divergence: DCF Models (55,445 KRW) versus Dividend Discount (3,478 KRW). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 1.8T KRW
Revenue growth (YoY) +4.4%
Net margin 2.9%
Return on equity 8.5%
Free cash flow −23.6B KRW FY2025
Operating margin 1.9%
More key figures
Dividend yield 2.2%
EPS growth (YoY) +9.2%
Net debt 306B KRW FY2025

Figures from reported company fundamentals · as of Jul 24, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 52/100

Of which business quality 48 · Market factors (momentum, volatility) 28

Profitability 39
Margins and returns on capital today
Quality Growth 59
Are margins and returns improving?
Cashflow 12
Earnings quality: real cash, not paper profit
Fin. Strength 37
Balance sheet, leverage, solvency risk
Investment 96
Disciplined investing over empire-building
Low Volatility 36
Calm price path (market factor)
Momentum 31
Price trend over the last 3–12 months (market factor)
52W Momentum 15
Distance to the 52-week high (market factor)
Net Issuance 83
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

Dongbu Corporation operates as a construction company in South Korea. The company undertakes various civil works, such as roads, bridges, tunnels, port facilities, expressway, railway, subway, water treatment, sewage, airport, leisure facility, and other related services; architecture works, including building of medical facilities, government offices, …

Full company description

Dongbu Corporation operates as a construction company in South Korea. The company undertakes various civil works, such as roads, bridges, tunnels, port facilities, expressway, railway, subway, water treatment, sewage, airport, leisure facility, and other related services; architecture works, including building of medical facilities, government offices, education and research centers, commercial buildings, logistics and sales, and sports facilities, as well as remodeling; residential works for apartment building, apartment houses, rental housing, and remodeling; and plant works for environmental, energy, industrial, other plant facilities. It is also involved in the mine development, rental business, power generation, and real estate activities. The company was formerly known as Miryung Engineering & Construction Co. Ltd and changed its name to Dongbu Corporation in March 1989. Dongbu Corporation was founded in 1969 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

Dongbu Corporation reported revenue of 1.8T KRW in FY2025 versus 1.1T KRW in FY2021, a compound +11.3%/yr. Reported net income was 52.2B KRW in FY2025, compounding −18.3%/yr from FY2021.

Growth Quality 43/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
1.8T KRW
Latest YoY
+4.2%
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.
+6.4%
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.
+7.7%
Avg. growth/yr (9Y) 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.
+13.0%
Revenue +11.3%/yr
FY21 1.1T KRW
FY22 1.5T KRW
FY23 1.9T KRW
FY24 1.7T KRW
FY25 1.8T KRW
Net income −18.3%/yr
FY21 117B KRW
FY22 40.1B KRW
FY23 −4.4B KRW
FY24 −106B KRW
FY25 52.2B KRW

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Cite: Fair Value Calculator (2026). "Dongbu Corporation Fair Value". https://www.fairvalue-calculator.com/stock/005965

Peer Group

Engineering & Construction · 841 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 52 · Above median
Fair Value upside +52% · Top 25%
Return on equity (TTM) 9% · Above median
Return on assets 1% · Below median
Net margin (TTM) 3% · Below median
Operating margin (TTM) 2% · Below median
Revenue growth 4% · Above median
Dividend yield (TTM) 2.2% · Above median
Debt / equity 0.39× · Higher than median

Valuation Multiples vs Engineering & Construction median · lower = cheaper

EV/EBITDA 2.8× · 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 100 · sector 15
FUTURE 22 · sector 17
PAST 34 · sector 26
HEALTH 81 · sector 94
DIVIDEND 43 · sector 33

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 Engineering & Construction stocks, each showing price versus our Fair Value estimate (as of Jul 24, 2026).

Stock Price Fair Value vs Fair Value
Larsen & Toubro Limited LT ₹3,815 ₹1,994 -48%
Samsung C&T Corporation 028260 346,000 KRW 268,779 KRW -22%
Hyundai Engineering & Construction Co 000720 99,000 KRW 63,993 KRW -35%
United Integrated Services Co 2404 1,250 TWD 925.62 TWD -26%
Samsung E&A Co 028050 42,550 KRW 44,840 KRW +5%
Rail Vikas Nigam Limited RVNL ₹232.67 ₹61.46 -74%
Daewoo Engineering & Construction Co 047040 16,240 KRW 6,507 KRW -60%
NBCC (India) Limited NBCC ₹96.32 ₹48.22 -50%
Cemindia Projects Limited CEMPRO ₹1,330 ₹730.69 -45%
KEPCO Engineering & Construction Company 052690 92,700 KRW 20,172 KRW -78%

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Frequently asked questions

Is Dongbu Corporation (005965) overvalued or undervalued?
As of Jul 24, 2026, our model estimates a fair value of 26,077 KRW versus a price of 17,160 KRW, about +52% (undervalued).
What is the fair value of 005965?
Our model-based fair value for Dongbu Corporation is 26,077 KRW (as of Jul 24, 2026), built from audited fundamentals. The current price is 17,160 KRW.
What is the quality score of 005965?
Dongbu Corporation has a Quality Score of 52/100. 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 Dongbu Corporation (005965)?
Dongbu Corporation reported trailing-twelve-month revenue of about 1.8T KRW (latest available figure, as of Jul 24, 2026).
What is the net profit margin of 005965?
The net profit margin of Dongbu Corporation is about 2.9%, meaning it keeps roughly 2.9% of revenue as net income. Based on the latest reported figures.
Does Dongbu Corporation pay a dividend?
Dongbu Corporation currently shows a dividend yield of about 2.06% relative to its recent price (as of Jul 24, 2026).

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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