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DaeChang Steel Co (140520) Fair Value & Analysis

Basic Materials · KR · Market cap 41.5B KRW

DS DaeChang Steel Co 140520 · KQ
Price1,949 KRW
Fair Value2,301 KRW
Upside+18.0%
Quality61/100
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Mixed Growth
Thin margins · 0.5% net margin
Low debt · generates free cash flow
7.62% dividend yield
Ranks above peers (6/10)
Narrow moat 22/100
Evidence: High Range 1,725 KRW – 2,876 KRW Share as image

Fair value as of: Jul 20, 2026

From 23 valuation models · updated 20 days ago

Share price −1.0% over the past month.

A solid business, screening 18% undervalued on our models.

What matters now

  • Our model range runs from 1,725 KRW (bear) to 2,876 KRW (bull), base 2,301 KRW. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 61/100 (solid quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

3,491 KRW 1,692 KRW Fair Value 2,301 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 1,692 KRW – 3,491 KRW · fair‑value band 1,725 KRW – 2,876 KRW · the 1,949 KRW price screens below the 2,301 KRW fair value. Dashed = 300-day average. As of Jul 20, 2026.

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Analysis

DaeChang Steel Co (140520) currently trades at 1,949 KRW, while our model-based Fair Value estimate is 2,301 KRW, implying the stock looks roughly 18.0% undervalued today. The Quality Score stands at 61/100 (solid quality), in the Basic Materials 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, DaeChang Steel Co generated revenue of 406B KRW at a net margin of 0.5%. Revenue grew 7.3% year over year. It earns a return on equity of 1.4%. Net debt stands at 46.6B KRW. Fundamentals as of Jul 20, 2026

Our scenario range runs from 1,725 KRW (bear case) to 2,876 KRW (bull case); at 1,949 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 5% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -7% fair-value upside, at 18%, 140520 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 9,682 KRW 13,661 KRW 19,174 KRW 80
Residual Income 4,961 KRW 4,695 KRW 3,672 KRW 76
Rev-Margin DCF 4,739 KRW 6,127 KRW 7,714 KRW 74
All 23 models by family
DCF Models
FCF DCF 9,448 KRW 13,795 KRW 20,123 KRW 38
Owner Earnings 2,761 KRW 3,917 KRW 5,600 KRW 31
5Y Revenue Exit 4,739 KRW 5,969 KRW 7,382 KRW 39
5Y EBITDA Exit 5,068 KRW 6,562 KRW 8,165 KRW 41
5Y P/E Exit 4,577 KRW 5,676 KRW 6,725 KRW 38
10Y Revenue Exit 6,348 KRW 7,805 KRW 9,471 KRW 36
10Y EBITDA Exit 6,609 KRW 8,209 KRW 10,050 KRW 37
10Y P/E Exit 6,301 KRW 7,605 KRW 8,986 KRW 35
Earnings-Based
Graham-Dodd 920.20 KRW 2,371 KRW 3,088 KRW 54
PEG = 1.0 446.16 KRW 637.38 KRW 828.59 KRW 46
EPV 1,320 KRW 1,484 KRW 1,628 KRW 59
Multiples
P/E Multiple 1,725 KRW 2,301 KRW 2,876 KRW 63
P/S Multiple 1,725 KRW 2,301 KRW 2,876 KRW 58
P/B Multiple 1,725 KRW 2,301 KRW 2,876 KRW 55
EV/EBIT 2,505 KRW 3,227 KRW 3,950 KRW 53
EV/EBITDA 2,933 KRW 3,798 KRW 4,663 KRW 54
EV/Revenue 2,216 KRW 3,021 KRW 3,826 KRW 43
Asset-Based
NCAV (Graham) 3,536 KRW 4,739 KRW 7,073 KRW 50
Growth DCF
Growth DCF 9,682 KRW 13,661 KRW 19,174 KRW 80
Rev-Margin DCF 4,739 KRW 6,127 KRW 7,714 KRW 74
Economic Profit
Residual Income 4,961 KRW 4,695 KRW 3,672 KRW 76
ROIC Compounder 1,320 KRW 1,484 KRW 1,628 KRW 72
Growth Earnings
Growth-Adj P/E 1,367 KRW 1,953 KRW 2,539 KRW 68

Widest divergence: DCF Models (6,562 KRW) versus Earnings-Based (1,484 KRW). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 406B KRW
Revenue growth (YoY) +7.3%
Net margin 0.5%
Return on equity 1.4%
Free cash flow 17.7B KRW FY2025
Operating margin 0.0%
More key figures
Dividend yield 7.6%
EPS growth (YoY) -65.5%
Net debt 46.6B KRW FY2025

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

Quality Score breakdown

Overall quality 61/100

Of which business quality 60 · Market factors (momentum, volatility) 43

Profitability 34
Margins and returns on capital today
Quality Growth 48
Are margins and returns improving?
Cashflow 65
Earnings quality: real cash, not paper profit
Fin. Strength 58
Balance sheet, leverage, solvency risk
Investment 97
Disciplined investing over empire-building
Low Volatility 90
Calm price path (market factor)
Momentum 25
Price trend over the last 3–12 months (market factor)
52W Momentum 19
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

DaeChang Steel Co., Ltd. engages in the manufacture, processing, and sale of steel products in South Korea. The company offers cold rolled steel products, pickled oiled coils, continuous galvanized coils, electro galvanized coils, and hot galvanized coils, as well as electro coils, color coils, stainless coils, and other steel products.

Full company description

DaeChang Steel Co., Ltd. engages in the manufacture, processing, and sale of steel products in South Korea. The company offers cold rolled steel products, pickled oiled coils, continuous galvanized coils, electro galvanized coils, and hot galvanized coils, as well as electro coils, color coils, stainless coils, and other steel products. It also develops, manufactures, and installs raised floor products, such as OA floors, access floors, aluminum panels, wood core panels, clean room products, and C-frame type products, as well as accessories and air conditioning panels. In addition, the company is involved in the real estate leasing, trading, roof plating and building assembling, interior construction, and storage and warehousing businesses. The company was founded in 1980 and is headquartered in Incheon, South Korea.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

DaeChang Steel Co reported revenue of 399B KRW in FY2025 versus 296B KRW in FY2021, a compound +7.7%/yr. Reported net income was 2.9B KRW in FY2025, compounding −32.9%/yr from FY2021.

Growth Quality 79/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
399B KRW
Latest YoY
−1.0%
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.
+0.0%
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.
+18.4%
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.
+3.7%
Revenue +7.7%/yr
FY21 296B KRW
FY22 399B KRW
FY23 420B KRW
FY24 402B KRW
FY25 399B KRW
Net income −32.9%/yr
FY21 14.1B KRW
FY22 55.7B KRW
FY23 2.6B KRW
FY24 763M KRW
FY25 2.9B KRW

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Cite: Fair Value Calculator (2026). "DaeChang Steel Co Fair Value". https://www.fairvalue-calculator.com/stock/140520

Peer Group

Steel · 378 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 61 · Top 25%
Fair Value upside +18% · Above median
Return on equity (TTM) 1% · Below median
Return on assets 1% · Below median
Net margin (TTM) 1% · Below median
Operating margin (TTM) -0% · Bottom 25%
Revenue growth 7% · Above median
Dividend yield (TTM) 7.6% · Top 25%
Debt / equity 0.03× · Lower than median

Valuation Multiples vs Steel 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 57 · sector 19
FUTURE 37 · sector 4
PAST 6 · sector 15
HEALTH 98 · sector 95
DIVIDEND 100 · 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 Steel stocks, each showing price versus our Fair Value estimate (as of Jul 20, 2026).

Stock Price Fair Value vs Fair Value
Tata Steel Limited TTST $0.2010 $0.2000 -0%
JSW Steel Limited JSWSTEEL ₹1,227 ₹1,140 -7%
Baoshan Iron & Steel Co 600019 ¥5.89 ¥8.07 +37%
China Steel Corporation 2002A 38.55 TWD 8.74 TWD -77%
POSCO Holdings 005490 313,500 KRW 155,270 KRW -50%
Companhia Siderúrgica Nacional, SID 13,670 ARS 15,940 ARS +17%
Jindal Steel Limited JINDALSTEL ₹1,028 ₹545.12 -47%
Lloyds Metals and Energy Limited LLOYDSME ₹1,844 ₹1,098 -40%
Gerdau S.A GGBN 83.50 MXN 42.64 MXN -49%
Ternium S.A TXR 17,780 ARS 27,210 ARS +53%

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Frequently asked questions

Is DaeChang Steel Co (140520) overvalued or undervalued?
As of Jul 20, 2026, our model estimates a fair value of 2,301 KRW versus a price of 1,949 KRW, about +18% (undervalued).
What is the fair value of 140520?
Our model-based fair value for DaeChang Steel Co is 2,301 KRW (as of Jul 20, 2026), built from audited fundamentals. The current price is 1,949 KRW.
What is the quality score of 140520?
DaeChang Steel Co has a Quality Score of 61/100. 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 DaeChang Steel Co (140520)?
DaeChang Steel Co reported trailing-twelve-month revenue of about 406B KRW (latest available figure, as of Jul 20, 2026).
What is the net profit margin of 140520?
The net profit margin of DaeChang Steel Co is about 0.5%, meaning it keeps roughly 0.5% of revenue as net income. Based on the latest reported figures.
Does DaeChang Steel Co pay a dividend?
DaeChang Steel Co currently shows a dividend yield of about 7.60% 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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