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Korea Ratings Corporation (034950) Fair Value & Analysis

Financial Services · KR · Market cap 451B KRW

KR Korea Ratings Corporation 034950 · KQ
Price102,100 KRW
Fair Value41,505 KRW
Upside-59.4%
Quality82/100
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Healthy Growth
Highly profitable · 23.2% net margin
generates free cash flow
7.92% dividend yield
Ranks above peers (6/9)
Wide moat 80/100
Evidence: Medium Range 31,129 KRW – 51,882 KRW Share as image

Fair value as of: Jul 20, 2026

From 12 valuation models · updated 21 days ago

Share price −0.1% over the past month.

A strong business, but screening 59% overvalued on our models.

What matters now

  • A high-quality business (quality 82/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
  • The price sits above even our optimistic bull case (51,882 KRW). The favourable scenario is already priced in.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (5 years)

111,200 KRW 50,448 KRW Fair Value 41,505 KRW Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 20, 2026.

How to read this chart

60‑month range 50,448 KRW – 111,200 KRW · fair‑value band 31,129 KRW – 51,882 KRW · the 102,100 KRW price screens above the 41,505 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 20, 2026.

Full chart & analysis →

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Analysis

Korea Ratings Corporation (034950) currently trades at 102,100 KRW, while our model-based Fair Value estimate is 41,505 KRW, implying the stock looks roughly 59.4% overvalued today. The Quality Score stands at 82/100 (high quality), in the Financial Services 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, Korea Ratings Corporation generated revenue of 110B KRW at a net margin of 23.2%. Revenue grew 2.8% year over year. It earns a return on equity of 26.2%. Fundamentals as of Jul 20, 2026

Our scenario range runs from 31,129 KRW (bear case) to 51,882 KRW (bull case); at 102,100 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 about 10% below its 52-week high and 17% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 11% fair-value upside, at -59%, 034950 screens richer 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 36,583 KRW 44,165 KRW 103,106 KRW 76
Growth DCF 102,467 KRW 136,678 KRW 186,387 KRW 72
Gordon GGM 51,343 KRW 101,221 KRW 178,602 KRW 70
All 12 models by family
DCF Models
Owner Earnings 89,288 KRW 120,716 KRW 168,549 KRW 31
5Y P/E Exit 83,846 KRW 111,583 KRW 139,296 KRW 38
10Y P/E Exit 89,042 KRW 113,934 KRW 141,959 KRW 35
Earnings-Based
Graham-Dodd 38,458 KRW 96,662 KRW 125,504 KRW 54
Dividend Discount
Gordon GGM 51,343 KRW 101,221 KRW 178,602 KRW 70
DDM Multi-Stage 51,343 KRW 79,354 KRW 111,145 KRW 61
Multiples
P/E Multiple 55,142 KRW 73,522 KRW 91,903 KRW 63
P/B Multiple 31,129 KRW 41,505 KRW 51,882 KRW 55
Asset-Based
NCAV (Graham) 14,823 KRW 19,863 KRW 29,647 KRW 50
Growth DCF
Growth DCF 102,467 KRW 136,678 KRW 186,387 KRW 72
Rev-Margin DCF 73,359 KRW 93,726 KRW 116,250 KRW 67
Economic Profit
Residual Income 36,583 KRW 44,165 KRW 103,106 KRW 76

Widest divergence: DCF Models (113,934 KRW) versus Asset-Based (19,863 KRW). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 110B KRW
Revenue growth (YoY) +2.8%
Net margin 23.2%
Return on equity 26.2%
Free cash flow 28.8B KRW FY2025
Operating margin 20.8%
More key figures
Dividend yield 7.9%
EPS growth (YoY) +8.6%

Figures from reported company fundamentals · as of Jul 20, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 82/100

Of which business quality 80 · Market factors (momentum, volatility) 63

Profitability 76
Margins and returns on capital today
Quality Growth 44
Are margins and returns improving?
Cashflow 85
Earnings quality: real cash, not paper profit
Fin. Strength 100
Balance sheet, leverage, solvency risk
Investment 81
Disciplined investing over empire-building
Low Volatility 99
Calm price path (market factor)
Momentum 46
Price trend over the last 3–12 months (market factor)
52W Momentum 49
Distance to the 52-week high (market factor)
Net Issuance 82
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

Korea Ratings Corporation, together with its subsidiaries, provides credit rating and business valuation services in South Korea. The company offers credit evaluation of commercial papers, corporate bonds, financial bonds and ABS, business feasibility review, business valuation, as well as SOC and financial consulting; and information services.

Full company description

Korea Ratings Corporation, together with its subsidiaries, provides credit rating and business valuation services in South Korea. The company offers credit evaluation of commercial papers, corporate bonds, financial bonds and ABS, business feasibility review, business valuation, as well as SOC and financial consulting; and information services. It also provides withersful services, electronic procurement system, and payment-type e-marketplace services for business. The company was formerly known as Korea Management Consulting Credit Rating Corporation and changed its name to Korea Ratings Corporation in January 2003. The company was founded in 1983 and is headquartered in Seoul, South Korea. Korea Ratings Corporation operates as a subsidiary of Fitch Ratings, Ltd.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Korea Ratings Corporation reported revenue of 110B KRW in FY2025 versus 105B KRW in FY2021, a compound +1.2%/yr. Reported net income was 25.2B KRW in FY2025, compounding +3.2%/yr from FY2021.

Growth Quality 73/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
110B KRW
Latest YoY
+5.5%
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.
+2.6%
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.
+2.7%
Avg. growth/yr (16Y) 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.
+4.3%
Revenue +1.2%/yr
FY21 105B KRW
FY22 102B KRW
FY23 95.6B KRW
FY24 104B KRW
FY25 110B KRW
Net income +3.2%/yr
FY21 22.3B KRW
FY22 20.4B KRW
FY23 20.4B KRW
FY24 24.4B KRW
FY25 25.2B KRW

034950 screens 59% overvalued. Compare with Huatai Securities Co →

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Cite: Fair Value Calculator (2026). "Korea Ratings Corporation Fair Value". https://www.fairvalue-calculator.com/stock/034950

Peer Group

Capital Markets · 423 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 82 · Top 25%
Fair Value upside −59% · Bottom 25%
Return on equity (TTM) 26% · Top 25%
Return on assets 12% · Top 25%
Net margin (TTM) 23% · Above median
Operating margin (TTM) 21% · Below median
Revenue growth 3% · Below median
Dividend yield (TTM) 7.9% · Top 25%

Valuation Multiples vs Capital Markets 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 9
FUTURE 14 · sector 96
PAST 100 · sector 30
HEALTH 0 · sector 93
DIVIDEND 100 · sector 36

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

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 Capital Markets stocks, each showing price versus our Fair Value estimate (as of Jul 20, 2026).

Stock Price Fair Value vs Fair Value
Huatai Securities Co HTSC $0.2700 $0.0400 -85%
Mirae Asset Securities Co 006800 38,750 KRW 31,645 KRW -18%
Meritz Financial Group 138040 117,000 KRW 87,706 KRW -25%
Korea Investment Holdings 071050 239,000 KRW 318,825 KRW +33%
NH Investment & Securities Co 005940 31,000 KRW 37,133 KRW +20%
Samsung Securities Co 016360 107,700 KRW 126,487 KRW +17%
Motilal Oswal Financial Services Limited MOTILALOFS ₹967.00 ₹299.65 -69%
Kiwoom Securities Co 039490 322,000 KRW 358,091 KRW +11%
SSI Securities Corporation SSI 24,250 VND 28,021 VND +16%
Bolsas y Mercados Argentinos S.A BYMA 313.75 ARS 120.22 ARS -62%

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Frequently asked questions

Is Korea Ratings Corporation (034950) overvalued or undervalued?
As of Jul 20, 2026, our model estimates a fair value of 41,505 KRW versus a price of 102,100 KRW, about −59% (overvalued).
What is the fair value of 034950?
Our model-based fair value for Korea Ratings Corporation is 41,505 KRW (as of Jul 20, 2026), built from audited fundamentals. The current price is 102,100 KRW.
What is the quality score of 034950?
Korea Ratings Corporation has a Quality Score of 82/100. 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 Korea Ratings Corporation (034950)?
Korea Ratings Corporation reported trailing-twelve-month revenue of about 110B KRW (latest available figure, as of Jul 20, 2026).
What is the net profit margin of 034950?
The net profit margin of Korea Ratings Corporation is about 23.2%, meaning it keeps roughly 23.2% of revenue as net income. Based on the latest reported figures.
Does Korea Ratings Corporation pay a dividend?
Korea Ratings Corporation currently shows a dividend yield of about 8.00% relative to its recent price (as of Jul 20, 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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