Hanon Systems (018880) Fair Value & Analysis

Consumer Cyclical · KR · Market cap 3.6T KRW

Below-average quality, screening 37% undervalued on our models.

What matters now

• The large discount to fair value meets weak quality (27/100). That raises the risk this is a value trap rather than a bargain.
• The model range is unusually wide (2,606 KRW to 7,348 KRW). The outcome hinges heavily on assumptions, so read the point estimate with caution.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 15, 2026.

How to read this chart

60‑month range 2,675 KRW – 15,266 KRW · fair‑value band 2,606 KRW – 7,348 KRW · the 3,625 KRW price screens below the 4,977 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 15, 2026.

Full chart & analysis →

Which stocks are undervalued right now? Check free Discover now →

Analysis

Hanon Systems (018880) currently trades at 3,625 KRW, while our model-based Fair Value estimate is 4,977 KRW, implying the stock looks roughly 37.3% undervalued today. The Quality Score stands at 27/100 (below-average quality), in the Consumer Cyclical 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: medium), always confirm before acting.

Over the trailing twelve months, Hanon Systems generated revenue of 11.0T KRW at a net margin of -1.0%. Revenue grew 5.0% year over year. It earns a return on equity of -3.0%. Net debt stands at 2.3T KRW. Fundamentals as of Jul 15, 2026

Our scenario range runs from 2,606 KRW (bear case) to 7,348 KRW (bull case); at 3,625 KRW, the current price sits within 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 39% below its 52-week high and 32% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -44% fair-value upside, at 37%, 018880 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.

Widest divergence: Multiples (4,138 KRW) versus Dividend Discount (31.38 KRW). Highest evidence: ROIC Compounder (72).

Key figures & financial health

Quality Score breakdown

About the company

Hanon Systems provides automotive thermal management solutions in Korea. The company offers heating, ventilation, and air conditioning technologies, such as omnifarious HVAC designs, high-efficiency blower scrolls, visible (VR) LED photocatalyst, co2 sensor, and fragrance system; compressors, including fixed swash plate, rotary suction, variable swash …

Full company description

Hanon Systems provides automotive thermal management solutions in Korea. The company offers heating, ventilation, and air conditioning technologies, such as omnifarious HVAC designs, high-efficiency blower scrolls, visible (VR) LED photocatalyst, co2 sensor, and fragrance system; compressors, including fixed swash plate, rotary suction, variable swash plate, and electric; and fluid transport products includes refrigerant lines, coolant lines, transmission oil cooler lines, accumulators, receiver driers, and internal heat exchangers FT. In addition, the company provides ionizers; cooling module; and condenser. The company was formerly known as Halla Visteon Climate Control Corporation and changed its name to Hanon Systems in August 2015. Hanon Systems was founded in 1986 and is headquartered in Daejeon, South Korea. Hanon Systems is a subsidiary of Hankook Tire & Technology Co., Ltd.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hanon Systems reported revenue of 10.9T KRW in FY2025 versus 7.4T KRW in FY2021, a compound +10.3%/yr. Reported net income was −199B KRW in FY2025.

Watch 018880: get an alert when its fair value changes →

Peer Group

Auto Parts · 642 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 Multiples vs Auto Parts median · lower = cheaper

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.

Values & ESG

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

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

Similar stocks

10 more Auto Parts stocks, each showing price versus our Fair Value estimate (as of Jul 15, 2026).

Explore undervalued stocks

More undervalued Consumer Cyclical stocks →

Frequently asked questions

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.