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STO Co (098660) Fair Value & Analysis

Consumer Cyclical · KR · Market cap 19.9B KRW

SC STO Co 098660 · KQ
Price1,750 KRW
Fair Value2,811 KRW
Upside+60.6%
Quality48/100
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Weak Growth
Thin margins · 2.1% net margin
Low debt · generates free cash flow
2.26% dividend yield
Mixed vs. peers (5/11)
Narrow moat 23/100
Evidence: Medium Range 1,535 KRW – 4,088 KRW Share as image

Fair value as of: Jul 20, 2026

From 10 valuation models · updated 21 days ago

Fair value updated Jul 20, 2026, revised from 2,708 KRW to 2,811 KRW (+3.8%) since Jul 5, 2026. Share price +1.3% over the past month.

Below-average quality, screening 61% undervalued on our models.

What matters now

  • The model range is unusually wide (1,535 KRW to 4,088 KRW). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Solid quality (48/100) 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)

3,594 KRW 1,287 KRW Fair Value 2,811 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 1,287 KRW – 3,594 KRW · fair‑value band 1,535 KRW – 4,088 KRW · the 1,750 KRW price screens below the 2,811 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

STO Co (098660) currently trades at 1,750 KRW, while our model-based Fair Value estimate is 2,811 KRW, implying the stock looks roughly 60.6% undervalued today. The Quality Score stands at 48/100 (below-average 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: medium), always confirm before acting.

Over the trailing twelve months, STO Co generated revenue of 70.5B KRW at a net margin of 2.1%. Revenue grew 16.7% year over year. Net debt stands at 27.8B KRW. Fundamentals as of Jul 20, 2026

Our scenario range runs from 1,535 KRW (bear case) to 4,088 KRW (bull case); at 1,750 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 31% below its 52-week high and 41% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at 31% fair-value upside, at 61%, 098660 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 2,761 KRW 3,947 KRW 5,976 KRW 80
Rev-Margin DCF 2,345 KRW 3,703 KRW 5,369 KRW 74
EV/EBITDA 3,333 KRW 4,609 KRW 5,886 KRW 54
All 10 models by family
DCF Models
FCF DCF 2,616 KRW 3,838 KRW 6,102 KRW 38
5Y Revenue Exit 2,345 KRW 3,630 KRW 5,495 KRW 39
5Y EBITDA Exit 2,717 KRW 4,273 KRW 6,334 KRW 41
10Y Revenue Exit 2,351 KRW 3,318 KRW 4,353 KRW 36
10Y EBITDA Exit 2,653 KRW 3,716 KRW 4,845 KRW 37
Multiples
EV/EBITDA 3,333 KRW 4,609 KRW 5,886 KRW 54
EV/Revenue 2,418 KRW 3,668 KRW 4,917 KRW 43
Asset-Based
NCAV (Graham) 922.81 KRW 1,237 KRW 1,846 KRW 50
Growth DCF
Growth DCF 2,761 KRW 3,947 KRW 5,976 KRW 80
Rev-Margin DCF 2,345 KRW 3,703 KRW 5,369 KRW 74

Widest divergence: DCF Models (3,716 KRW) versus Asset-Based (1,237 KRW). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 70.5B KRW
Revenue growth (YoY) +16.7%
Net margin 2.1%
Return on equity -391%
Free cash flow 3.9B KRW FY2025
Operating margin 2.5%
More key figures
Dividend yield 2.3%
EPS growth (YoY) -47.2%
Net debt 27.8B KRW FY2025

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

Quality Score breakdown

Overall quality 48/100

Of which business quality 46 · Market factors (momentum, volatility) 40

Profitability 35
Margins and returns on capital today
Quality Growth 33
Are margins and returns improving?
Cashflow 43
Earnings quality: real cash, not paper profit
Fin. Strength 25
Balance sheet, leverage, solvency risk
Investment 89
Disciplined investing over empire-building
Low Volatility 67
Calm price path (market factor)
Momentum 29
Price trend over the last 3–12 months (market factor)
52W Momentum 30
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

STO Co., Ltd. engages in the manufacture, distribution, and sale of men's clothing, leather, and accessories. The company was founded in 2003 and is headquartered in Seoul, South Korea.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

STO Co reported revenue of 71.5B KRW in FY2025 versus 64.5B KRW in FY2021, a compound +2.6%/yr. Reported net income was −4.8B KRW in FY2025.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
71.5B KRW
Latest YoY
+1.8%
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.
−0.8%
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.
+0.9%
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.
−2.4%
Revenue +2.6%/yr
FY21 64.5B KRW
FY22 73.2B KRW
FY23 74.0B KRW
FY24 70.2B KRW
FY25 71.5B KRW
Net income
FY21 337M KRW
FY22 1.6B KRW
FY23 2.0B KRW
FY24 −996M KRW
FY25 −4.8B KRW

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Cite: Fair Value Calculator (2026). "STO Co Fair Value". https://www.fairvalue-calculator.com/stock/098660

Peer Group

Consumer Discretionary · 3552 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 “Textiles & Apparel” was too small, so the broader sector is used.)

Quality Score 48 · Below median
Fair Value upside +61% · Top 25%
Return on assets 2% · Below median
Net margin (TTM) 2% · Below median
Operating margin (TTM) 2% · Below median
Revenue growth 17% · Top 25%
Dividend yield (TTM) 2.3% · Above median
Debt / equity 0.31× · Higher than median

Valuation Multiples vs Consumer Discretionary median · lower = cheaper

P/FCF 0.0× · Cheaper than 75% of peers
EV/EBITDA 1.3× · 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 100 · sector 22
FUTURE 84 · sector 14
PAST 0 · sector 21
HEALTH 85 · sector 96
DIVIDEND 45 · sector 41

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 Textiles & Apparel stocks, each showing price versus our Fair Value estimate (as of Jul 20, 2026).

Stock Price Fair Value vs Fair Value
GAMSUNG Corporation 036620 3,885 KRW 6,675 KRW +72%
The Bombay Dyeing and Manufacturing Company 500020 ₹121.35 ₹43.19 -64%
Codes Combine Co 047770 2,510 KRW 1,325 KRW -47%
AztechWB Co 032080 1,067 KRW 1,569 KRW +47%
Gold Pacific Co 038530 761.00 KRW 1,869 KRW +146%
HYUNGJI INNOVATION & CREATIVE Co 011080 2,135 KRW 276.33 KRW -87%
Wonpung Mulsan Co 008290 625.00 KRW 262.88 KRW -58%
542862 542862 ₹27.51 ₹36.09 +31%
SBFL SBFL ₹21.96 ₹39.88 +82%
538890 538890 ₹60.99 ₹51.30 -16%

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Frequently asked questions

Is STO Co (098660) overvalued or undervalued?
As of Jul 20, 2026, our model estimates a fair value of 2,811 KRW versus a price of 1,750 KRW, about +61% (undervalued).
What is the fair value of 098660?
Our model-based fair value for STO Co is 2,811 KRW (as of Jul 20, 2026), built from audited fundamentals. The current price is 1,750 KRW.
What is the quality score of 098660?
STO Co has a Quality Score of 48/100. 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 STO Co (098660)?
STO Co reported trailing-twelve-month revenue of about 70.5B KRW (latest available figure, as of Jul 20, 2026).
What is the net profit margin of 098660?
The net profit margin of STO Co is about 2.1%, meaning it keeps roughly 2.1% of revenue as net income. Based on the latest reported figures.
Does STO Co pay a dividend?
STO Co currently shows a dividend yield of about 2.26% relative to its recent price (as of Jul 20, 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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