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HRS Co (036640) Fair Value & Analysis

Consumer Cyclical · KR · Market cap 76.4B KRW

HC HRS Co 036640 · KQ
Price4,900 KRW
Fair Value6,168 KRW
Upside+25.9%
Quality60/100
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Mixed Growth
Solidly profitable · 14.6% net margin
Low debt · generates free cash flow
Ranks above peers (7/9)
Moderate moat 63/100
Evidence: High Range 5,096 KRW – 9,089 KRW Share as image

Fair value as of: Jul 20, 2026

From 22 valuation models · updated 21 days ago

Fair value updated Jul 20, 2026, revised from 8,615 KRW to 6,168 KRW (−28.4%) since Jun 25, 2026. Share price +3.5% over the past month.

A solid business, screening 26% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (5,096 KRW). The market is more pessimistic than our downside scenario.
  • Solid quality (60/100) at a price below fair value, the discount is the argument here, not the business quality.
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Price vs Fair Value (5 years)

7,976 KRW 3,648 KRW Fair Value 6,168 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 3,648 KRW – 7,976 KRW · fair‑value band 5,096 KRW – 9,089 KRW · the 4,900 KRW price screens below the 6,168 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.

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Analysis

HRS Co (036640) currently trades at 4,900 KRW, while our model-based Fair Value estimate is 6,168 KRW, implying the stock looks roughly 25.9% undervalued today. The Quality Score stands at 60/100 (solid 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: high), always confirm before acting.

Over the trailing twelve months, HRS Co generated revenue of 92.0B KRW at a net margin of 14.6%. Revenue declined 3.4% year over year. Fundamentals as of Jul 20, 2026

Our scenario range runs from 5,096 KRW (bear case) to 9,089 KRW (bull case); at 4,900 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 10% below its 52-week high and 11% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at 9% fair-value upside, at 26%, 036640 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
Growth DCF 5,862 KRW 7,167 KRW 9,277 KRW 80
Residual Income 7,189 KRW 8,062 KRW 13,509 KRW 76
Rev-Margin DCF 6,458 KRW 8,753 KRW 11,439 KRW 74
All 22 models by family
DCF Models
FCF DCF 5,727 KRW 7,078 KRW 9,416 KRW 38
Owner Earnings 5,173 KRW 6,318 KRW 8,299 KRW 31
5Y Revenue Exit 6,458 KRW 8,702 KRW 11,797 KRW 39
5Y EBITDA Exit 7,180 KRW 9,941 KRW 13,393 KRW 41
5Y P/E Exit 9,292 KRW 13,569 KRW 18,352 KRW 38
10Y Revenue Exit 6,004 KRW 7,932 KRW 10,199 KRW 36
10Y EBITDA Exit 6,591 KRW 8,754 KRW 11,278 KRW 37
10Y P/E Exit 7,894 KRW 11,162 KRW 14,631 KRW 35
Earnings-Based
Graham-Dodd 5,736 KRW 10,492 KRW 12,978 KRW 54
EPV 6,084 KRW 6,748 KRW 7,330 KRW 59
Multiples
P/E Multiple 10,756 KRW 14,341 KRW 17,926 KRW 63
P/S Multiple 5,537 KRW 7,382 KRW 9,228 KRW 58
P/B Multiple 10,756 KRW 14,341 KRW 17,926 KRW 55
EV/EBIT 10,886 KRW 13,815 KRW 16,744 KRW 53
EV/EBITDA 8,964 KRW 11,253 KRW 13,541 KRW 54
EV/Revenue 7,267 KRW 9,481 KRW 11,696 KRW 43
Asset-Based
NCAV (Graham) 4,043 KRW 5,418 KRW 8,086 KRW 50
Growth DCF
Growth DCF 5,862 KRW 7,167 KRW 9,277 KRW 80
Rev-Margin DCF 6,458 KRW 8,753 KRW 11,439 KRW 74
Economic Profit
Residual Income 7,189 KRW 8,062 KRW 13,509 KRW 76
ROIC Compounder 6,084 KRW 6,748 KRW 7,330 KRW 72
Growth Earnings
Growth-Adj P/E 7,697 KRW 10,996 KRW 14,295 KRW 68

Widest divergence: Multiples (11,253 KRW) versus Asset-Based (5,418 KRW). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 92.0B KRW
Revenue growth (YoY) -3.4%
Net margin 14.6%
Return on equity 1,223%
Free cash flow 5.7B KRW FY2025
Operating margin 18.8%
More key figures
EPS growth (YoY) -36.6%

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

Quality Score breakdown

Overall quality 60/100

Of which business quality 59 · Market factors (momentum, volatility) 44

Profitability 49
Margins and returns on capital today
Quality Growth 29
Are margins and returns improving?
Cashflow 40
Earnings quality: real cash, not paper profit
Fin. Strength 96
Balance sheet, leverage, solvency risk
Investment 58
Disciplined investing over empire-building
Low Volatility 69
Calm price path (market factor)
Momentum 29
Price trend over the last 3–12 months (market factor)
52W Momentum 41
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

HRS Co., Ltd engages in the manufacture and sale of silicone products in South Korea. The company offers high consistency silicone rubber, liquid silicone rubber, room temperature vulcanizing silicone rubber, silicon sheets, pressure sensitive adhesives, silicone rubber articles, silicone emulsion, and fluorine silicone.

Full company description

HRS Co., Ltd engages in the manufacture and sale of silicone products in South Korea. The company offers high consistency silicone rubber, liquid silicone rubber, room temperature vulcanizing silicone rubber, silicon sheets, pressure sensitive adhesives, silicone rubber articles, silicone emulsion, and fluorine silicone. Its products are used in keypads, O/A rolls, industrial rolls, interconnectors, spark plug boots, jar packing, jar heaters, UL and high voltage wires, deforest heater codes, EMI shielding, thermal conductive pads, silicon sheets, close cell sponges, medical products, pacifiers, swimming caps/goggles, profile tubings, metal castings, high voltage insulators, bakeware, fabrics, and personal care products. The company was formerly known as Hae Ryong Silicoone Company Limited and changed its name to HRS Co., Ltd in March 2007. HRS Co., Ltd was founded in 1978 and is based in Seoul, South Korea.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

HRS Co reported revenue of 78.9B KRW in FY2025 versus 84.1B KRW in FY2021, a compound −1.6%/yr. Reported net income was 13.5B KRW in FY2025, compounding −10.2%/yr from FY2021.

Growth Quality 54/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
78.9B KRW
Latest YoY
−1.7%
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.
−2.9%
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.
+3.2%
Avg. growth/yr (14Y) 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.
+2.2%
Revenue −1.6%/yr
FY21 84.1B KRW
FY22 86.1B KRW
FY23 78.2B KRW
FY24 80.2B KRW
FY25 78.9B KRW
Net income −10.2%/yr
FY21 20.8B KRW
FY22 10.0B KRW
FY23 12.1B KRW
FY24 15.1B KRW
FY25 13.5B KRW

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Cite: Fair Value Calculator (2026). "HRS Co Fair Value". https://www.fairvalue-calculator.com/stock/036640

Peer Group

Materials · 3496 stocks

How this stock ranks against its sector: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median. (Industry “Automobiles & Auto Parts” was too small, so the broader sector is used.)

Quality Score 60 · Top 25%
Fair Value upside +26% · Top 25%
Return on assets 9% · Top 25%
Net margin (TTM) 15% · Top 25%
Operating margin (TTM) 19% · Top 25%
Revenue growth -3% · Below median
Dividend yield (TTM) 0.0% · Bottom 25%

Valuation Multiples vs Materials 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 68 · sector 3
FUTURE 0 · sector 8
PAST 0 · sector 11
HEALTH 100 · sector 95
DIVIDEND 0 · sector 27

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.

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Frequently asked questions

Is HRS Co (036640) overvalued or undervalued?
As of Jul 20, 2026, our model estimates a fair value of 6,168 KRW versus a price of 4,900 KRW, about +26% (undervalued).
What is the fair value of 036640?
Our model-based fair value for HRS Co is 6,168 KRW (as of Jul 20, 2026), built from audited fundamentals. The current price is 4,900 KRW.
What is the quality score of 036640?
HRS Co has a Quality Score of 60/100. 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 HRS Co (036640)?
HRS Co reported trailing-twelve-month revenue of about 92.0B KRW (latest available figure, as of Jul 20, 2026).
What is the net profit margin of 036640?
The net profit margin of HRS Co is about 14.6%, meaning it keeps roughly 14.6% of revenue as net income. Based on the latest reported figures.

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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