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KHVATEC Co (060720) Fair Value & Analysis

Technology · KR · Market cap 228B KRW

KC KHVATEC Co 060720 · KQ
Price11,300 KRW
Fair Value17,111 KRW
Upside+51.4%
Quality58/100
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Expensive Growth
Solidly profitable · 13.6% net margin
Low debt · negative free cash flow
Ranks above peers (6/8)
Moderate moat 47/100
Evidence: Medium Range 11,977 KRW – 22,244 KRW Share as image

Fair value as of: Jul 22, 2026

From 14 valuation models · updated 19 days ago

Share price +10.5% over the past month.

A solid business, screening 51% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (11,977 KRW). The market is more pessimistic than our downside scenario.
  • Solid quality (58/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (11,977 KRW to 22,244 KRW) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

27,393 KRW 7,053 KRW Fair Value 17,111 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 7,053 KRW – 27,393 KRW · fair‑value band 11,977 KRW – 22,244 KRW · the 11,300 KRW price screens below the 17,111 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.

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Analysis

KHVATEC Co (060720) currently trades at 11,300 KRW, while our model-based Fair Value estimate is 17,111 KRW, implying the stock looks roughly 51.4% undervalued today. The Quality Score stands at 58/100 (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: medium), always confirm before acting.

Over the trailing twelve months, KHVATEC Co generated revenue of 415B KRW at a net margin of 13.6%. Revenue grew 24.5% year over year. Net debt stands at 38.0B KRW. Fundamentals as of Jul 22, 2026

Our scenario range runs from 11,977 KRW (bear case) to 22,244 KRW (bull case); at 11,300 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 43% below its 52-week high and 17% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at 22% fair-value upside, at 51%, 060720 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
Residual Income 11,731 KRW 12,507 KRW 13,918 KRW 76
ROIC Compounder 14,326 KRW 17,785 KRW 22,007 KRW 72
Growth-Adj P/E 11,977 KRW 17,111 KRW 22,244 KRW 68
All 14 models by family
DCF Models
Owner Earnings 4,748 KRW 6,934 KRW 10,243 KRW 31
Earnings-Based
Graham-Dodd 7,064 KRW 17,288 KRW 22,370 KRW 54
PEG = 1.0 3,098 KRW 4,425 KRW 5,753 KRW 46
EPV 14,290 KRW 16,758 KRW 18,951 KRW 59
Multiples
P/E Multiple 15,583 KRW 20,777 KRW 25,971 KRW 63
P/S Multiple 13,245 KRW 17,660 KRW 22,075 KRW 58
P/B Multiple 13,245 KRW 17,660 KRW 22,075 KRW 55
EV/EBIT 22,144 KRW 29,423 KRW 36,702 KRW 53
EV/EBITDA 27,549 KRW 36,629 KRW 45,710 KRW 54
EV/Revenue 15,027 KRW 21,335 KRW 27,644 KRW 43
Asset-Based
NCAV (Graham) 7,052 KRW 9,450 KRW 14,104 KRW 50
Economic Profit
Residual Income 11,731 KRW 12,507 KRW 13,918 KRW 76
ROIC Compounder 14,326 KRW 17,785 KRW 22,007 KRW 72
Growth Earnings
Growth-Adj P/E 11,977 KRW 17,111 KRW 22,244 KRW 68

Widest divergence: Multiples (20,777 KRW) versus DCF Models (6,934 KRW). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 415B KRW
Revenue growth (YoY) +24.5%
Net margin 13.6%
Return on equity 919%
Free cash flow −20.7B KRW FY2025
Operating margin 9.3%
More key figures
EPS growth (YoY) +73.1%
Net debt 38.0B KRW FY2025

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

Quality Score breakdown

Overall quality 58/100

Of which business quality 55 · Market factors (momentum, volatility) 13

Profitability 43
Margins and returns on capital today
Quality Growth 69
Are margins and returns improving?
Cashflow 10
Earnings quality: real cash, not paper profit
Fin. Strength 75
Balance sheet, leverage, solvency risk
Investment 69
Disciplined investing over empire-building
Low Volatility 3
Calm price path (market factor)
Momentum 13
Price trend over the last 3–12 months (market factor)
52W Momentum 25
Distance to the 52-week high (market factor)
Net Issuance 86
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

KHVATEC Co.,Ltd. manufactures and sells ICT components and modules worldwide. The company offers precision parts, including aluminum, magnesium, zinc, copper, and stamping parts, as well as CNC machining parts; multiple motion hinge products and sliding modules; foldable hinges; mobile accessories; and flexible printed circuit boards, as well as value …

Full company description

KHVATEC Co.,Ltd. manufactures and sells ICT components and modules worldwide. The company offers precision parts, including aluminum, magnesium, zinc, copper, and stamping parts, as well as CNC machining parts; multiple motion hinge products and sliding modules; foldable hinges; mobile accessories; and flexible printed circuit boards, as well as value adding assembly for mechanism, and value adding sub-assembly products. It also provides bracket parts; and neckband type 360-degree camera. The company was formerly known as KEUMHO Co., Ltd. and changed its name to KHVATEC Co.,Ltd. in 2001. KHVATEC Co.,Ltd. was founded in 1992 and is headquartered in Gumi-si, South Korea.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

KHVATEC Co reported revenue of 425B KRW in FY2025 versus 340B KRW in FY2021, a compound +5.7%/yr. Reported net income was 20.4B KRW in FY2025, compounding −11.6%/yr from FY2021.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
425B KRW
Latest YoY
+36.6%
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.
+8.1%
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.
+18.1%
Avg. growth/yr (19Y) 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.
+6.8%
Revenue +5.7%/yr
FY21 340B KRW
FY22 336B KRW
FY23 364B KRW
FY24 311B KRW
FY25 425B KRW
Net income −11.6%/yr
FY21 33.4B KRW
FY22 24.8B KRW
FY23 30.9B KRW
FY24 21.3B KRW
FY25 20.4B KRW

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Cite: Fair Value Calculator (2026). "KHVATEC Co Fair Value". https://www.fairvalue-calculator.com/stock/060720

Peer Group

Electronic Equipment & Parts · 21 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 58 · Top 25%
Fair Value upside +51% · Above median
Return on assets 5% · Top 25%
Net margin (TTM) 14% · Top 25%
Operating margin (TTM) 9% · Top 25%
Revenue growth 25% · Top 25%
Dividend yield (TTM) 0.0% · Bottom 25%
Debt / equity 0.15× · Higher 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 100 · sector 35
FUTURE 100 · sector 0
PAST 0 · sector 0
HEALTH 93 · sector 98
DIVIDEND 0 · sector 65

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

Stock Price Fair Value vs Fair Value
STCube, Inc 052020 7,000 KRW 850.56 KRW -88%
VINATech Co 126340 55,700 KRW 9,538 KRW -83%
Partron Co 091700 5,650 KRW 11,424 KRW +102%
Amotech Co 052710 15,560 KRW 9,214 KRW -41%
MNTech Co 095500 6,820 KRW 8,280 KRW +21%
Namuga Co 190510 12,630 KRW 33,453 KRW +165%
Powerlogics. Co 047310 2,820 KRW 3,441 KRW +22%
e-LITECOM CO., Ltd 041520 8,910 KRW 11,520 KRW +29%
Ajinextek Co 059120 4,315 KRW 1,177 KRW -73%
CoAsia Corporation 045970 2,585 KRW 7,146 KRW +176%

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Frequently asked questions

Is KHVATEC Co (060720) overvalued or undervalued?
As of Jul 22, 2026, our model estimates a fair value of 17,111 KRW versus a price of 11,300 KRW, about +51% (undervalued).
What is the fair value of 060720?
Our model-based fair value for KHVATEC Co is 17,111 KRW (as of Jul 22, 2026), built from audited fundamentals. The current price is 11,300 KRW.
What is the quality score of 060720?
KHVATEC Co has a Quality Score of 58/100. 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 KHVATEC Co (060720)?
KHVATEC Co reported trailing-twelve-month revenue of about 415B KRW (latest available figure, as of Jul 22, 2026).
What is the net profit margin of 060720?
The net profit margin of KHVATEC Co is about 13.6%, meaning it keeps roughly 13.6% 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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