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System and Application Technologies Co (060540) Fair Value & Analysis

Technology · KR · Market cap 28.7B KRW

SA System and Application Technologies Co 060540 · KQ
Price1,159 KRW
Fair Value912.04 KRW
Upside-21.3%
Quality60/100
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Healthy Growth
Thin margins · 6.2% net margin
Low debt · generates free cash flow
3.77% dividend yield
Ranks above peers (7/10)
Narrow moat 35/100
Evidence: High Range 451.52 KRW – 1,187 KRW Share as image

Fair value as of: Jul 22, 2026

From 26 valuation models · updated 19 days ago

Share price +5.2% over the past month.

A solid business, but screening 21% overvalued on our models.

What matters now

  • The model range is unusually wide (451.52 KRW to 1,187 KRW). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Solid but not exceptional quality (60/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

3,725 KRW 1,011 KRW Fair Value 912.04 KRW Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 22, 2026.

How to read this chart

60‑month range 1,011 KRW – 3,725 KRW · fair‑value band 451.52 KRW – 1,187 KRW · the 1,159 KRW price screens above the 912.04 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 22, 2026.

Full chart & analysis →

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Analysis

System and Application Technologies Co (060540) currently trades at 1,159 KRW, while our model-based Fair Value estimate is 912.04 KRW, implying the stock looks roughly 21.3% overvalued today. The Quality Score stands at 60/100 (solid quality), in the Technology 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: high).

Over the trailing twelve months, System and Application Technologies Co generated revenue of 172B KRW at a net margin of 6.2%. Revenue declined 18.5% year over year. It earns a return on equity of -3.7%. Net debt stands at 19.7B KRW. Fundamentals as of Jul 22, 2026

Our scenario range runs from 451.52 KRW (bear case) to 1,187 KRW (bull case); at 1,159 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 28% below its 52-week high, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at -6% fair-value upside, at -21%, 060540 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
Growth DCF 4,488 KRW 7,634 KRW 12,960 KRW 80
Residual Income 2,695 KRW 2,528 KRW 1,805 KRW 76
Rev-Margin DCF 2,554 KRW 3,793 KRW 5,401 KRW 74
All 26 models by family
DCF Models
FCF DCF 4,518 KRW 7,941 KRW 13,889 KRW 38
Owner Earnings 3,308 KRW 5,754 KRW 10,004 KRW 31
5Y Revenue Exit 2,554 KRW 3,776 KRW 5,352 KRW 39
5Y EBITDA Exit 4,298 KRW 7,369 KRW 11,204 KRW 41
5Y P/E Exit 1,923 KRW 2,476 KRW 3,041 KRW 38
10Y Revenue Exit 3,134 KRW 4,515 KRW 6,486 KRW 36
10Y EBITDA Exit 4,337 KRW 7,147 KRW 11,380 KRW 37
10Y P/E Exit 2,763 KRW 3,563 KRW 4,553 KRW 35
Earnings-Based
Graham-Dodd 204.69 KRW 946.55 KRW 1,300 KRW 54
Lynch FV 249.27 KRW 356.10 KRW 462.93 KRW 50
PEG = 1.0 249.27 KRW 356.10 KRW 462.93 KRW 46
EPV 993.58 KRW 1,112 KRW 1,216 KRW 59
Dividend Discount
Gordon GGM 458.92 KRW 954.20 KRW 1,514 KRW 70
DDM Multi-Stage 458.92 KRW 804.60 KRW 1,001 KRW 61
Multiples
P/E Multiple 451.52 KRW 602.03 KRW 752.53 KRW 63
P/S Multiple 383.79 KRW 511.72 KRW 639.65 KRW 58
P/B Multiple 383.79 KRW 511.72 KRW 639.65 KRW 55
EV/EBIT 2,301 KRW 2,975 KRW 3,649 KRW 53
EV/EBITDA 4,525 KRW 5,940 KRW 7,355 KRW 54
EV/Revenue 1,643 KRW 2,227 KRW 2,810 KRW 43
Asset-Based
NCAV (Graham) 1,974 KRW 2,646 KRW 3,949 KRW 50
Growth DCF
Growth DCF 4,488 KRW 7,634 KRW 12,960 KRW 80
Rev-Margin DCF 2,554 KRW 3,793 KRW 5,401 KRW 74
Economic Profit
Residual Income 2,695 KRW 2,528 KRW 1,805 KRW 76
ROIC Compounder 993.58 KRW 1,112 KRW 1,216 KRW 72
Growth Earnings
Growth-Adj P/E 387.92 KRW 554.18 KRW 720.43 KRW 68

Widest divergence: DCF Models (4,515 KRW) versus Earnings-Based (356.10 KRW). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 172B KRW
Revenue growth (YoY) -18.5%
Net margin 6.2%
Return on equity -3.7%
Free cash flow 8.6B KRW FY2025
Operating margin 6.9%
More key figures
Dividend yield 3.8%
EPS growth (YoY) -66.4%
Net debt 19.7B KRW FY2025

Figures from reported company fundamentals · as of Jul 22, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 60/100

Of which business quality 58 · Market factors (momentum, volatility) 31

Profitability 30
Margins and returns on capital today
Quality Growth 47
Are margins and returns improving?
Cashflow 61
Earnings quality: real cash, not paper profit
Fin. Strength 54
Balance sheet, leverage, solvency risk
Investment 98
Disciplined investing over empire-building
Low Volatility 56
Calm price path (market factor)
Momentum 19
Price trend over the last 3–12 months (market factor)
52W Momentum 23
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

System and Application Technologies Co., Ltd engages in the transportation management system, mobile system, and wireless communication system businesses. It offers high and low speed weigh in motion systems; portable scale, which measures a wheel load of vehicle; and weightbridge, a system to measure the axle weight or gross weight of vehicles.

Full company description

System and Application Technologies Co., Ltd engages in the transportation management system, mobile system, and wireless communication system businesses. It offers high and low speed weigh in motion systems; portable scale, which measures a wheel load of vehicle; and weightbridge, a system to measure the axle weight or gross weight of vehicles. The company also provides automatic vehicle classification system that measures traffic volume, road occupation rate, speed, etc.; vehicle detection system, which collects traffic information and transmits the information to center; variable message sign system that provides drivers with real-time information on the status of traffic, road, weather and road control due to constructions, etc.; and CCTV solution for traffic, crime prevention, and surveillance, as well as various application services. In addition, it offers die-cutting products for mobile products; films and tapes for printing; communication repeater and platform screen doors control systems; recycles construction wastes; produces and sells recycled aggregates; and produces mobile printouts, etc. System and Application Technologies Co., Ltd was founded in 1994 and is based in Gunpo-si, South Korea.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

System and Application Technologies Co reported revenue of 160B KRW in FY2025 versus 163B KRW in FY2021, a compound −0.5%/yr. Reported net income was 787M KRW in FY2025, compounding −41.3%/yr from FY2021.

Growth Quality 64/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
160B KRW
Latest YoY
+3.0%
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.
+5.0%
Avg. growth/yr (18Y) 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.
+9.0%
Revenue −0.5%/yr
FY21 163B KRW
FY22 174B KRW
FY23 152B KRW
FY24 155B KRW
FY25 160B KRW
Net income −41.3%/yr
FY21 6.6B KRW
FY22 9.1B KRW
FY23 1.6B KRW
FY24 2.5B KRW
FY25 787M KRW

060540 screens 21% overvalued. Compare with Intellian Technologies, Inc →

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Cite: Fair Value Calculator (2026). "System and Application Technologies Co Fair Value". https://www.fairvalue-calculator.com/stock/060540

Peer Group

Information Technology · 3403 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 “Communications & Networking” was too small, so the broader sector is used.)

Quality Score 60 · Above median
Fair Value upside −21% · Above median
Return on assets 5% · Above median
Net margin (TTM) 6% · Above median
Operating margin (TTM) 7% · Above median
Revenue growth -19% · Bottom 25%
Dividend yield (TTM) 3.8% · Top 25%
Debt / equity 0.06× · Higher than median

Valuation Multiples vs Information Technology 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 5 · sector 0
FUTURE 0 · sector 38
PAST 0 · sector 22
HEALTH 97 · sector 97
DIVIDEND 75 · sector 28

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 Communications & Networking stocks, each showing price versus our Fair Value estimate (as of Jul 22, 2026).

Stock Price Fair Value vs Fair Value
Intellian Technologies, Inc 189300 60,200 KRW 14,983 KRW -75%
SOLiD, Inc 050890 8,870 KRW 9,956 KRW +12%
ANS ANS 17.00 PHP 65.65 PHP +286%
Innowireless Co 073490 26,650 KRW 14,939 KRW -44%
Ubiquoss Holdings 078070 8,160 KRW 16,320 KRW +100%
Ace Technologies corp. 088800 1,655 KRW 1,562 KRW -6%
Telefield Inc 091440 2,915 KRW 796.09 KRW -73%
Kaonmedia Co 078890 3,600 KRW 7,816 KRW +117%
Wave Electronics Co 095270 3,625 KRW 1,966 KRW -46%
Nable Communications, Inc 153460 5,940 KRW 5,093 KRW -14%

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Frequently asked questions

Is System and Application Technologies Co (060540) overvalued or undervalued?
As of Jul 22, 2026, our model estimates a fair value of 912.04 KRW versus a price of 1,159 KRW, about −21% (overvalued).
What is the fair value of 060540?
Our model-based fair value for System and Application Technologies Co is 912.04 KRW (as of Jul 22, 2026), built from audited fundamentals. The current price is 1,159 KRW.
What is the quality score of 060540?
System and Application Technologies 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 System and Application Technologies Co (060540)?
System and Application Technologies Co reported trailing-twelve-month revenue of about 172B KRW (latest available figure, as of Jul 22, 2026).
What is the net profit margin of 060540?
The net profit margin of System and Application Technologies Co is about 6.2%, meaning it keeps roughly 6.2% of revenue as net income. Based on the latest reported figures.
Does System and Application Technologies Co pay a dividend?
System and Application Technologies Co currently shows a dividend yield of about 3.77% relative to its recent price (as of Jul 22, 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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