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Hanwha Aerospace Co (012450) Fair Value & Analysis

Industrials · KR · Market cap 49.8T KRW

HA Hanwha Aerospace Co 012450 · KO
Price1,054,000 KRW
Fair Value487,447 KRW
Upside-53.8%
Quality40/100
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Healthy Growth
Thin margins · 6.0% net margin
Moderate debt · generates free cash flow
0.72% dividend yield
Mixed vs. peers (4/10)
Moderate moat 50/100
Evidence: Medium Range 365,586 KRW – 723,854 KRW Share as image

Fair value as of: Jul 12, 2026

From 24 valuation models · updated 26 days ago

Share price −6.1% over the past month.

Below-average quality, and screening another 54% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (723,854 KRW). The favourable scenario is already priced in.
  • Weak quality (40/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • A fairly wide model range (365,586 KRW to 723,854 KRW) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

1,537,000 KRW 38,009 KRW Fair Value 487,447 KRW Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 12, 2026.

How to read this chart

60‑month range 38,009 KRW – 1,537,000 KRW · fair‑value band 365,586 KRW – 723,854 KRW · the 1,054,000 KRW price screens above the 487,447 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 12, 2026.

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Analysis

Hanwha Aerospace Co (012450) currently trades at 1,054,000 KRW, while our model-based Fair Value estimate is 487,447 KRW, implying the stock looks roughly 53.8% overvalued today. We read business quality at 40/100 (below-average quality), in the Industrials 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: medium).

Over the trailing twelve months, Hanwha Aerospace Co generated revenue of 27.0T KRW at a net margin of 6.0%. Revenue grew 4.9% year over year. It earns a return on equity of 18.5%. Net debt stands at 4.7T KRW. Fundamentals as of Jul 12, 2026

Our scenario range runs from 365,586 KRW (bear case) to 723,854 KRW (bull case); at 1,054,000 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 near its 52-week high and 40% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -55% fair-value upside, at -54%, 012450 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 BearBaseBull Evidence
Highest evidence
Growth DCF 648,323 KRW 1,345,886 KRW 2,568,349 KRW 80
Residual Income 189,813 KRW 251,509 KRW 737,966 KRW 76
Rev-Margin DCF 626,467 KRW 1,160,443 KRW 1,923,052 KRW 74
All 24 models by family
DCF Models
FCF DCF 667,354 KRW 1,195,254 KRW 2,624,101 KRW 38
Owner Earnings 130,620 KRW 231,409 KRW 439,756 KRW 31
5Y Revenue Exit 626,467 KRW 1,181,074 KRW 2,002,644 KRW 39
5Y EBITDA Exit 741,157 KRW 1,439,535 KRW 2,403,361 KRW 41
5Y P/E Exit 503,876 KRW 909,591 KRW 1,406,682 KRW 38
10Y Revenue Exit 615,171 KRW 1,185,065 KRW 2,103,919 KRW 36
10Y EBITDA Exit 718,223 KRW 1,391,223 KRW 2,558,291 KRW 37
10Y P/E Exit 550,707 KRW 964,703 KRW 1,619,998 KRW 35
Earnings-Based
Graham-Dodd 185,694 KRW 1,152,955 KRW 1,609,598 KRW 54
Lynch FV 331,464 KRW 473,520 KRW 615,576 KRW 50
PEG = 1.0 331,464 KRW 473,520 KRW 615,576 KRW 46
EPV 586,016 KRW 681,539 KRW 766,449 KRW 59
Multiples
P/E Multiple 409,620 KRW 546,160 KRW 682,699 KRW 63
P/S Multiple 348,177 KRW 464,236 KRW 580,295 KRW 58
P/B Multiple 348,177 KRW 464,236 KRW 580,295 KRW 55
EV/EBIT 856,665 KRW 1,127,315 KRW 1,397,964 KRW 53
EV/EBITDA 796,516 KRW 1,047,116 KRW 1,297,716 KRW 54
EV/Revenue 592,030 KRW 826,593 KRW 1,061,156 KRW 43
Asset-Based
NCAV (Graham) 94,122 KRW 126,123 KRW 188,244 KRW 50
Growth DCF
Growth DCF 648,323 KRW 1,345,886 KRW 2,568,349 KRW 80
Rev-Margin DCF 626,467 KRW 1,160,443 KRW 1,923,052 KRW 74
Economic Profit
Residual Income 189,813 KRW 251,509 KRW 737,966 KRW 76
ROIC Compounder 684,493 KRW 932,158 KRW 1,264,906 KRW 72
Growth Earnings
Growth-Adj P/E 464,501 KRW 663,573 KRW 862,645 KRW 68

Widest divergence: DCF Models (1,181,074 KRW) versus Asset-Based (126,123 KRW). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 27.0T KRW
Revenue growth (YoY) +4.9%
Net margin 6.0%
Return on equity 18.5%
Free cash flow 2.1T KRW FY2025
Operating margin 11.1%
More key figures
Dividend yield 0.7%
EPS growth (YoY) +285%
Net debt 4.7T KRW FY2025

Figures from reported company fundamentals · as of Jul 12, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 40/100

Of which business quality 41 · Market factors (momentum, volatility) 41

Profitability 33
Margins and returns on capital today
Quality Growth 46
Are margins and returns improving?
Cashflow 57
Earnings quality: real cash, not paper profit
Fin. Strength 43
Balance sheet, leverage, solvency risk
Investment 23
Disciplined investing over empire-building
Low Volatility 41
Calm price path (market factor)
Momentum 36
Price trend over the last 3–12 months (market factor)
52W Momentum 50
Distance to the 52-week high (market factor)
Net Issuance 39
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

Hanwha Aerospace Co., Ltd. engages in the development, production, and maintenance of aircraft engines worldwide. The company offers Korea space launch vehicle; satellite services, such as earth observation and satellite communication; fixed and rotary wing engines, guided missile engines, electric propulsion systems, aircraft and missile components, and …

Full company description

Hanwha Aerospace Co., Ltd. engages in the development, production, and maintenance of aircraft engines worldwide. The company offers Korea space launch vehicle; satellite services, such as earth observation and satellite communication; fixed and rotary wing engines, guided missile engines, electric propulsion systems, aircraft and missile components, and aircraft engine modules and parts; and artillery systems, armored vehicles, air defense systems, missile and ammunition, manned-unmanned teaming systems, and navigation systems. It also provides marine gas turbine engines and gensets; lithium battery systems; specialty and commercial ships; and offshore plants. In addition, the company offers maintenance, repair, and overhaul services for military engines; and assembly services for engines. Further, it provides energy storage systems; electromechanical actuators; and hydrogen fuel cell for aircrafts. The company was founded in 1977 and is headquartered in Changwon-Si, South Korea.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hanwha Aerospace Co reported revenue of 26.7T KRW in FY2025 versus 6.4T KRW in FY2021, a compound +42.8%/yr. Reported net income was 1.4T KRW in FY2025, compounding +53.6%/yr from FY2021.

Growth Quality 90/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
26.7T KRW
Latest YoY
+137.6%
Avg. growth/yr (3Y)
+55.8%
Avg. growth/yr (5Y)
+38.1%
Avg. growth/yr (25Y)
+12.4%
Revenue +42.8%/yr
FY21 6.4T KRW
FY22 7.1T KRW
FY23 7.9T KRW
FY24 11.2T KRW
FY25 26.7T KRW
Net income +53.6%/yr
FY21 253B KRW
FY22 195B KRW
FY23 818B KRW
FY24 2.3T KRW
FY25 1.4T KRW

012450 screens 54% overvalued. Compare with General Electric Company →

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Cite: Fair Value Calculator (2026). "Hanwha Aerospace Co Fair Value". https://www.fairvalue-calculator.com/stock/012450

Peer Group

Aerospace & Defense · 227 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 40 · Bottom 25%
Fair Value upside −54% · Above median
Return on equity (TTM) 18% · Top 25%
Return on assets 4% · Below median
Net margin (TTM) 6% · Below median
Operating margin (TTM) 11% · Above median
Revenue growth 5% · Below median
Dividend yield (TTM) 0.7% · Below median
Debt / equity 0.56× · Higher than 75% of peers

Valuation Multiples vs Aerospace & Defense 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 0 · sector 0
FUTURE 25 · sector 47
PAST 74 · sector 39
HEALTH 72 · sector 93
DIVIDEND 14 · sector 15

VALUE 0: the price sits above our fair-value range.

Insider activity: 40/100

Values & ESG

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

Weapons Defense

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

Similar stocks

10 more Aerospace & Defense stocks, each showing price versus our Fair Value estimate (as of Jul 12, 2026).

Stock Price Fair Value vs Fair Value
General Electric Company GE $381.22 $116.71 -69%
RTX Corporation RTX $195.93 $88.37 -55%
Airbus SE 1AIR €206.30 €92.85 -55%
The Boeing Company BA $217.11 $48.20 -78%
China CSSC Holdings 600150 ¥34.31 ¥21.90 -36%
HD Hyundai Heavy Industries Co 329180 466,000 KRW 272,966 KRW -41%
ASELSAN Elektronik Sanayi ve Ticaret Anonim Sirketi ASELS 337.50 TRY 130.70 TRY -61%
Saab AB SAABB kr 520.40 kr 212.84 -59%
Kongsberg Gruppen ASA KOG kr 277.50 kr 106.93 -61%
HD Korea Shipbuilding & Offshore Engineering Co 009540 354,000 KRW 643,950 KRW +82%

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Frequently asked questions

Is Hanwha Aerospace Co (012450) overvalued or undervalued?
As of Jul 12, 2026, our model estimates a fair value of 487,447 KRW versus a price of 1,054,000 KRW, about −54% (overvalued).
What is the fair value of 012450?
Our model-based fair value for Hanwha Aerospace Co is 487,447 KRW (as of Jul 12, 2026), built from audited fundamentals. The current price is 1,054,000 KRW.
What is the quality score of 012450?
Hanwha Aerospace Co has a Quality Score of 40/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Hanwha Aerospace Co (012450)?
Hanwha Aerospace Co reported trailing-twelve-month revenue of about 27.0T KRW (latest available figure, as of Jul 12, 2026).
What is the net profit margin of 012450?
The net profit margin of Hanwha Aerospace Co is about 6.0%, meaning it keeps roughly 6.0% of revenue as net income. Based on the latest reported figures.
Does Hanwha Aerospace Co pay a dividend?
Hanwha Aerospace Co currently shows a dividend yield of about 0.67% relative to its recent price (as of Jul 12, 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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