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HDC Labs Co (039570) Fair Value & Analysis

Technology · KR · Market cap 174B KRW

HL HDC Labs Co 039570 · KO
Price7,600 KRW
Fair Value9,456 KRW
Upside+24.4%
Quality67/100
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Healthy Growth
Thin margins · 2.6% net margin
Low debt · generates free cash flow
5.88% dividend yield
Ranks above peers (6/10)
Narrow moat 32/100
Evidence: High Range 6,948 KRW – 11,343 KRW Share as image

Fair value as of: Jul 24, 2026

From 26 valuation models · updated 18 days ago

Share price −0.3% over the past month.

A solid business, screening 24% undervalued on our models.

What matters now

  • Solid quality (67/100) at a price below fair value, the discount is the argument here, not the business quality.
  • Our model range runs from 6,948 KRW (bear) to 11,343 KRW (bull), base 9,456 KRW. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 67/100 (solid quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

11,511 KRW 5,926 KRW Fair Value 9,456 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 5,926 KRW – 11,511 KRW · fair‑value band 6,948 KRW – 11,343 KRW · the 7,600 KRW price screens below the 9,456 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

HDC Labs Co (039570) currently trades at 7,600 KRW, while our model-based Fair Value estimate is 9,456 KRW, implying the stock looks roughly 24.4% undervalued today. The Quality Score stands at 67/100 (solid quality), in the Technology 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, HDC Labs Co generated revenue of 631B KRW at a net margin of 2.6%. Revenue declined 8.9% year over year. It earns a return on equity of 6.3%. Net debt stands at 6.0B KRW. Fundamentals as of Jul 24, 2026

Our scenario range runs from 6,948 KRW (bear case) to 11,343 KRW (bull case); at 7,600 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 23% below its 52-week high and 2% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at -73% fair-value upside, at 24%, 039570 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 32,254 KRW 55,190 KRW 94,155 KRW 80
Residual Income 8,899 KRW 9,043 KRW 8,585 KRW 76
Rev-Margin DCF 14,529 KRW 19,734 KRW 26,553 KRW 74
All 26 models by family
DCF Models
FCF DCF 32,500 KRW 57,541 KRW 101,277 KRW 38
Owner Earnings 11,119 KRW 18,656 KRW 31,820 KRW 31
5Y Revenue Exit 14,529 KRW 19,405 KRW 25,246 KRW 39
5Y EBITDA Exit 16,219 KRW 22,899 KRW 30,703 KRW 41
5Y P/E Exit 16,722 KRW 23,941 KRW 31,796 KRW 38
10Y Revenue Exit 20,173 KRW 26,838 KRW 35,707 KRW 36
10Y EBITDA Exit 21,440 KRW 29,402 KRW 40,288 KRW 37
10Y P/E Exit 21,775 KRW 30,166 KRW 41,206 KRW 35
Earnings-Based
Graham-Dodd 3,630 KRW 17,004 KRW 23,371 KRW 54
Lynch FV 4,499 KRW 6,427 KRW 8,355 KRW 50
PEG = 1.0 4,499 KRW 6,427 KRW 8,355 KRW 46
EPV 5,265 KRW 5,824 KRW 6,313 KRW 59
Dividend Discount
Gordon GGM 4,088 KRW 8,499 KRW 13,483 KRW 70
DDM Multi-Stage 4,088 KRW 7,167 KRW 8,920 KRW 61
Multiples
P/E Multiple 8,006 KRW 10,675 KRW 13,344 KRW 63
P/S Multiple 6,806 KRW 9,074 KRW 11,343 KRW 58
P/B Multiple 6,806 KRW 9,074 KRW 11,343 KRW 55
EV/EBIT 8,162 KRW 10,245 KRW 12,329 KRW 53
EV/EBITDA 9,116 KRW 11,517 KRW 13,919 KRW 54
EV/Revenue 6,125 KRW 7,930 KRW 9,736 KRW 43
Asset-Based
NCAV (Graham) 5,808 KRW 7,783 KRW 11,616 KRW 50
Growth DCF
Growth DCF 32,254 KRW 55,190 KRW 94,155 KRW 80
Rev-Margin DCF 14,529 KRW 19,734 KRW 26,553 KRW 74
Economic Profit
Residual Income 8,899 KRW 9,043 KRW 8,585 KRW 76
ROIC Compounder 5,265 KRW 5,824 KRW 6,313 KRW 72
Growth Earnings
Growth-Adj P/E 6,948 KRW 9,925 KRW 12,903 KRW 68

Widest divergence: DCF Models (23,941 KRW) versus Economic Profit (5,824 KRW). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 631B KRW
Revenue growth (YoY) -8.9%
Net margin 2.6%
Return on equity 6.3%
Free cash flow 54.3B KRW FY2025
Operating margin 4.9%
More key figures
Dividend yield 5.9%
EPS growth (YoY) +158%
Net debt 6.0B KRW FY2025

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

Quality Score breakdown

Overall quality 67/100

Of which business quality 67 · Market factors (momentum, volatility) 45

Profitability 41
Margins and returns on capital today
Quality Growth 49
Are margins and returns improving?
Cashflow 71
Earnings quality: real cash, not paper profit
Fin. Strength 80
Balance sheet, leverage, solvency risk
Investment 91
Disciplined investing over empire-building
Low Volatility 97
Calm price path (market factor)
Momentum 29
Price trend over the last 3–12 months (market factor)
52W Momentum 14
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

HDC Labs Co., Ltd. engages in the design, manufacture, installation, and maintenance of systems for building control, industrial process control, and information processing in South Korea, Southeast Asia, and the Middle East.

Full company description

HDC Labs Co., Ltd. engages in the design, manufacture, installation, and maintenance of systems for building control, industrial process control, and information processing in South Korea, Southeast Asia, and the Middle East. The company offers smart home systems, including home control systems, smart LED lighting, connected systems (DC distribution), smart parking systems, and home ventilation. It also provides smart building systems comprising FRONNIX and Smartstruxure, which are building management systems; security systems; room management systems; and iCos, a central monitoring device for air conditioning systems, power, lighting, access control, IS, and CCTV integration. In addition, the company offers infrastructure solutions, such as smart road, smart rail, and smart port systems, as well as landscape architecture management systems. Further, it provides real estate management, real estate asset management consulting, and interior services. The company was formerly known as HDC I-Controls Co., Ltd. and changed its name to HDC Labs Co., Ltd. in December 2021. HDC Labs Co., Ltd. was founded in 1999 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

HDC Labs Co reported revenue of 646B KRW in FY2025 versus 275B KRW in FY2021, a compound +23.8%/yr. Reported net income was 12.3B KRW in FY2025, compounding +7.8%/yr from FY2021.

Growth Quality 90/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
646B KRW
Latest YoY
+2.7%
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.
+1.9%
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.
+19.9%
Avg. growth/yr (11Y) 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.
+15.5%
Revenue +23.8%/yr
FY21 275B KRW
FY22 611B KRW
FY23 606B KRW
FY24 629B KRW
FY25 646B KRW
Net income +7.8%/yr
FY21 9.1B KRW
FY22 12.4B KRW
FY23 13.2B KRW
FY24 19.0B KRW
FY25 12.3B KRW

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Cite: Fair Value Calculator (2026). "HDC Labs Co Fair Value". https://www.fairvalue-calculator.com/stock/039570

Peer Group

Electronic Components · 625 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 67 · Top 25%
Fair Value upside +24% · Top 25%
Return on equity (TTM) 6% · Above median
Return on assets 2% · Below median
Net margin (TTM) 3% · Below median
Operating margin (TTM) 5% · Below median
Revenue growth -9% · Bottom 25%
Dividend yield (TTM) 5.9% · Top 25%

Valuation Multiples vs Electronic Components 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 66 · sector 0
FUTURE 0 · sector 32
PAST 25 · sector 24
HEALTH 100 · sector 95
DIVIDEND 100 · sector 25

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 Electronic Components stocks, each showing price versus our Fair Value estimate (as of Jul 24, 2026).

Stock Price Fair Value vs Fair Value
Delta Electronics, Inc 2308 1,880 TWD 515.23 TWD -73%
Hon Hai Precision Industry Co 2317 242.50 TWD 270.47 TWD +12%
Luxshare Precision Industry Co 002475 ¥62.14 ¥38.44 -38%
Samsung Electro-Mechanics Co 009150 1,260,000 KRW 166,421 KRW -87%
Elite Material Co 2383 4,990 TWD 714.36 TWD -86%
Yageo Corporation 2327 699.00 TWD 216.55 TWD -69%
Shengyi Technology Co 600183 ¥132.29 ¥27.45 -79%
Shennan Circuits Co 002916 ¥364.00 ¥93.50 -74%
Victory Giant Technology (HuiZhou) Co 2476 HK$297.00 HK$103.98 -65%
Wus Printed Circuit (Kunshan) Co 002463 ¥127.80 ¥31.95 -75%

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Frequently asked questions

Is HDC Labs Co (039570) overvalued or undervalued?
As of Jul 24, 2026, our model estimates a fair value of 9,456 KRW versus a price of 7,600 KRW, about +24% (undervalued).
What is the fair value of 039570?
Our model-based fair value for HDC Labs Co is 9,456 KRW (as of Jul 24, 2026), built from audited fundamentals. The current price is 7,600 KRW.
What is the quality score of 039570?
HDC Labs Co has a Quality Score of 67/100. 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 HDC Labs Co (039570)?
HDC Labs Co reported trailing-twelve-month revenue of about 631B KRW (latest available figure, as of Jul 24, 2026).
What is the net profit margin of 039570?
The net profit margin of HDC Labs Co is about 2.6%, meaning it keeps roughly 2.6% of revenue as net income. Based on the latest reported figures.
Does HDC Labs Co pay a dividend?
HDC Labs Co currently shows a dividend yield of about 5.78% 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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