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Shinhan Financial Group (055550) Fair Value & Analysis

Financial Services · KR · Market cap 50.8T KRW

SF Shinhan Financial Group 055550 · KO
Price107,400 KRW
Fair Value137,259 KRW
Upside+27.8%
Quality68/100
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Weak Growth
Highly profitable · 32.0% net margin
High debt · generates free cash flow
2.56% dividend yield
Ranks above peers (7/11)
Wide moat 65/100
Evidence: High Range 102,944 KRW – 171,574 KRW Share as image

Fair value as of: Jul 17, 2026

From 20 valuation models · updated 21 days ago

Share price −1.1% over the past month.

A solid business, screening 28% undervalued on our models.

What matters now

  • Solid quality (68/100) at a price below fair value, the discount is the argument here, not the business quality.
  • 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)

109,200 KRW 26,855 KRW Fair Value 137,259 KRW Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 17, 2026.

How to read this chart

60‑month range 26,855 KRW – 109,200 KRW · fair‑value band 102,944 KRW – 171,574 KRW · the 107,400 KRW price screens below the 137,259 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 17, 2026.

Full chart & analysis →

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Analysis

Shinhan Financial Group (055550) currently trades at 107,400 KRW, while our model-based Fair Value estimate is 137,259 KRW, implying the stock looks roughly 27.8% undervalued today. We read business quality at 68/100 (solid quality), in the Financial Services 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, Shinhan Financial Group generated revenue of 16.0T KRW at a net margin of 32.0%. Revenue grew 6.6% year over year. It earns a return on equity of 8.6%. Net debt stands at 99.4T KRW. Fundamentals as of Jul 17, 2026

Our scenario range runs from 102,944 KRW (bear case) to 171,574 KRW (bull case); at 107,400 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 2% below its 52-week high and 92% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 65% fair-value upside, at 28%, 055550 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 BearBaseBull Evidence
Highest evidence
Growth DCF 16,120 KRW 119,346 KRW 269,572 KRW 80
Residual Income 105,736 KRW 115,357 KRW 158,436 KRW 76
Gordon GGM 26,431 KRW 53,019 KRW 95,580 KRW 70
All 20 models by family
DCF Models
FCF DCF 9,418 KRW 120,982 KRW 291,157 KRW 38
Owner Earnings 99,867 KRW 31
5Y EBITDA Exit 9,148 KRW 84,672 KRW 41
5Y P/E Exit 36,764 KRW 117,190 KRW 38
10Y Revenue Exit 37,366 KRW 36
10Y EBITDA Exit 26,796 KRW 103,448 KRW 37
10Y P/E Exit 46,026 KRW 127,986 KRW 35
Earnings-Based
Graham-Dodd 71,797 KRW 182,317 KRW 237,023 KRW 54
PEG = 1.0 33,850 KRW 48,357 KRW 62,865 KRW 46
Dividend Discount
Gordon GGM 26,431 KRW 53,019 KRW 95,580 KRW 70
DDM Multi-Stage 26,431 KRW 41,006 KRW 57,505 KRW 61
Multiples
P/E Multiple 158,376 KRW 211,167 KRW 263,959 KRW 63
P/S Multiple 73,233 KRW 97,644 KRW 122,055 KRW 58
P/B Multiple 134,619 KRW 179,492 KRW 224,365 KRW 55
EV/EBIT 31,226 KRW 53
EV/EBITDA 8,638 KRW 54
Asset-Based
NCAV (Graham) 61,546 KRW 82,471 KRW 123,091 KRW 50
Growth DCF
Growth DCF 16,120 KRW 119,346 KRW 269,572 KRW 80
Economic Profit
Residual Income 105,736 KRW 115,357 KRW 158,436 KRW 76
Growth Earnings
Growth-Adj P/E 123,105 KRW 175,864 KRW 228,624 KRW 68

Widest divergence: Multiples (179,492 KRW) versus DCF Models (36,764 KRW). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 16.0T KRW
Revenue growth (YoY) +6.6%
Net margin 32.0%
Return on equity 8.6%
Free cash flow 9.1T KRW FY2025
Operating margin 51.5%
More key figures
Dividend yield 2.6%
EPS growth (YoY) +14.0%
Net debt 99.4T KRW FY2025

Figures from reported company fundamentals · as of Jul 17, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 68/100

Of which business quality 61 · Market factors (momentum, volatility) 76

Profitability 33
Margins and returns on capital today
Quality Growth 57
Are margins and returns improving?
Cashflow 99
Earnings quality: real cash, not paper profit
Fin. Strength 18
Balance sheet, leverage, solvency risk
Investment 78
Disciplined investing over empire-building
Low Volatility 69
Calm price path (market factor)
Momentum 72
Price trend over the last 3–12 months (market factor)
52W Momentum 92
Distance to the 52-week high (market factor)
Net Issuance 100
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

Shinhan Financial Group Co., Ltd. provides financial products and services in South Korea, Vietnam, and Japan. The company operates in six segments: Banking, Credit card, Securities, Insurance, Credit, and Others.

Full company description

Shinhan Financial Group Co., Ltd. provides financial products and services in South Korea, Vietnam, and Japan. The company operates in six segments: Banking, Credit card, Securities, Insurance, Credit, and Others. It offers credit, lending and receiving deposits; credit cards, short-term and long-term card loan services, installment financing, and leases; securities trading, consignment trading, and underwriting; life and non-life insurance business; facility rental and new technology business financing; and real estate trust, investment advisory services, venture business investment, and other businesses. Shinhan Financial Group Co., Ltd. was founded in 1982 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

Shinhan Financial Group reported revenue of 18.4T KRW in FY2025 versus 21.9T KRW in FY2021, a compound −4.2%/yr. Reported net income was 5.0T KRW in FY2025, compounding +5.5%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
18.4T KRW
Latest YoY
+4.7%
Avg. growth/yr (3Y)
−6.6%
Avg. growth/yr (5Y)
−2.5%
Avg. growth/yr (25Y)
+5.7%
Revenue −4.2%/yr
FY21 21.9T KRW
FY22 22.6T KRW
FY23 17.1T KRW
FY24 17.6T KRW
FY25 18.4T KRW
Net income +5.5%/yr
FY21 4.0T KRW
FY22 4.6T KRW
FY23 4.4T KRW
FY24 4.5T KRW
FY25 5.0T KRW

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Cite: Fair Value Calculator (2026). "Shinhan Financial Group Fair Value". https://www.fairvalue-calculator.com/stock/055550

Peer Group

Banks - Regional · 1082 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 70 · Top 25%
Fair Value upside +28% · Above median
Return on equity (TTM) 9% · Below median
Return on assets 1% · Below median
Net margin (TTM) 32% · Above median
Operating margin (TTM) 51% · Top 25%
Revenue growth 7% · Below median
Dividend yield (TTM) 2.6% · Above median
Debt / equity 2.43× · Higher than 75% of peers

Valuation Multiples vs Banks - Regional median · lower = cheaper

P/FCF 0.0× · Cheaper than 75% of peers
PEG 0.99× · 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 70 · sector 39
FUTURE 33 · sector 44
PAST 35 · sector 41
HEALTH 0 · sector 85
DIVIDEND 51 · sector 49

Insider activity: 40/100

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 Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Jul 17, 2026).

Stock Price Fair Value vs Fair Value
PT Bank Central Asia Tbk BBCA 6,175 IDR 6,087 IDR -1%
KB Financial Group 105560 184,400 KRW 213,797 KRW +16%
PT Bank Rakyat Indonesia (Persero) Tbk BBRI 2,970 IDR 4,891 IDR +65%
PT Bank Mandiri (Persero) Tbk BMRI 4,310 IDR 7,841 IDR +82%
Banco Bradesco S.A BBD 5,120 ARS 10,240 ARS +100%
Hana Financial Group 086790 136,800 KRW 193,969 KRW +42%
Lloyds Banking Group LYG 4,138 ARS 8,275 ARS +100%
Banco de Chile, CHILE 193.10 CLP 152.55 CLP -21%
Joint Stock Commercial Bank for Foreign Trade of Vietnam, VCB 59,400 VND 84,201 VND +42%
Woori Financial Group 316140 31,500 KRW 55,811 KRW +77%

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Frequently asked questions

Is Shinhan Financial Group (055550) overvalued or undervalued?
As of Jul 17, 2026, our model estimates a fair value of 137,259 KRW versus a price of 107,400 KRW, about +28% (undervalued).
What is the fair value of 055550?
Our model-based fair value for Shinhan Financial Group is 137,259 KRW (as of Jul 17, 2026), built from audited fundamentals. The current price is 107,400 KRW.
What is the quality score of 055550?
Shinhan Financial Group has a Quality Score of 68/100. 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 Shinhan Financial Group (055550)?
Shinhan Financial Group reported trailing-twelve-month revenue of about 16.0T KRW (latest available figure, as of Jul 17, 2026).
What is the net profit margin of 055550?
The net profit margin of Shinhan Financial Group is about 32.0%, meaning it keeps roughly 32.0% of revenue as net income. Based on the latest reported figures.
Does Shinhan Financial Group pay a dividend?
Shinhan Financial Group currently shows a dividend yield of about 2.57% relative to its recent price (as of Jul 17, 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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