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L&K Engineering Co (6139) Fair Value & Analysis

Industrials · TW · Market cap 188B TWD

LK L&K Engineering Co 6139 · TW
Price802.00 TWD
Fair Value636.93 TWD
Upside-20.6%
Quality73/100
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Healthy Growth
Thin margins · 9.9% net margin
Low debt · generates free cash flow
Mixed vs. peers (8/14)
Wide moat 69/100
Evidence: Medium Range 477.69 TWD – 1,018 TWD Share as image

Fair value as of: Jul 19, 2026

From 26 valuation models · updated 22 days ago

Share price −7.4% over the past month.

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

What matters now

  • A high-quality business (quality 73/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
  • A fairly wide model range (477.69 TWD to 1,018 TWD) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

955.00 TWD 23.41 TWD Fair Value 636.93 TWD Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 19, 2026.

How to read this chart

60‑month range 23.41 TWD – 955.00 TWD · fair‑value band 477.69 TWD – 1,018 TWD · the 802.00 TWD price screens above the 636.93 TWD fair value. Dashed = 300-day average. As of Jul 19, 2026.

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Analysis

L&K Engineering Co (6139) currently trades at 802.00 TWD, while our model-based Fair Value estimate is 636.93 TWD, implying the stock looks roughly 20.6% overvalued today. The Quality Score stands at 73/100 (solid quality), in the Industrials 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: medium).

Over the trailing twelve months, L&K Engineering Co generated revenue of 77.5B TWD at a net margin of 9.2%. Revenue grew 141.3% year over year. It earns a return on equity of 39.0%. The balance sheet holds a net cash position of 43.5B TWD. Fundamentals as of Jul 19, 2026

Our scenario range runs from 477.69 TWD (bear case) to 1,018 TWD (bull case); at 802.00 TWD, 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 6% below its 52-week high and 216% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -45% fair-value upside, at -21%, 6139 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 BearBaseBull Evidence
Highest evidence
Growth DCF 1,610 TWD 3,068 TWD 5,756 TWD 80
Residual Income 212.16 TWD 284.11 TWD 2,205 TWD 76
Rev-Margin DCF 905.62 TWD 1,389 TWD 2,086 TWD 74
All 26 models by family
DCF Models
FCF DCF 1,666 TWD 2,779 TWD 5,780 TWD 38
Owner Earnings 650.24 TWD 1,187 TWD 2,273 TWD 31
5Y Revenue Exit 905.62 TWD 1,359 TWD 2,070 TWD 39
5Y EBITDA Exit 911.68 TWD 1,373 TWD 2,052 TWD 41
5Y P/E Exit 947.86 TWD 1,494 TWD 2,151 TWD 38
10Y Revenue Exit 1,116 TWD 1,712 TWD 2,483 TWD 36
10Y EBITDA Exit 1,136 TWD 1,723 TWD 2,663 TWD 37
10Y P/E Exit 1,161 TWD 1,789 TWD 2,756 TWD 35
Earnings-Based
Graham-Dodd 206.24 TWD 1,342 TWD 1,877 TWD 54
Lynch FV 390.01 TWD 557.16 TWD 724.31 TWD 50
PEG = 1.0 390.01 TWD 557.16 TWD 724.31 TWD 46
EPV 493.13 TWD 543.10 TWD 586.81 TWD 59
Dividend Discount
Gordon GGM 127.29 TWD 264.67 TWD 419.87 TWD 70
DDM Multi-Stage 127.29 TWD 223.18 TWD 277.78 TWD 61
Multiples
P/E Multiple 477.69 TWD 636.93 TWD 796.16 TWD 63
P/S Multiple 386.70 TWD 515.61 TWD 644.51 TWD 58
P/B Multiple 278.85 TWD 371.80 TWD 464.75 TWD 55
EV/EBIT 737.72 TWD 919.18 TWD 1,101 TWD 53
EV/EBITDA 618.45 TWD 760.15 TWD 901.85 TWD 54
EV/Revenue 581.88 TWD 748.40 TWD 914.91 TWD 43
Asset-Based
NCAV (Graham) 41.31 TWD 55.36 TWD 82.62 TWD 50
Growth DCF
Growth DCF 1,610 TWD 3,068 TWD 5,756 TWD 80
Rev-Margin DCF 905.62 TWD 1,389 TWD 2,086 TWD 74
Economic Profit
Residual Income 212.16 TWD 284.11 TWD 2,205 TWD 76
ROIC Compounder 493.13 TWD 543.10 TWD 586.81 TWD 72
Growth Earnings
Growth-Adj P/E 548.07 TWD 782.96 TWD 1,018 TWD 68

Widest divergence: DCF Models (1,494 TWD) versus Asset-Based (55.36 TWD). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 77.5B TWD
Revenue growth (YoY) +141%
Net margin 9.2%
Return on equity 39.0%
Free cash flow 23.0B TWD FY2025
P/E ratio 26.6
More key figures
Operating margin 15.8%
EPS (TTM) 30.38 TWD
EPS growth (YoY) +151%
Net cash 43.5B TWD FY2025

Figures from reported company fundamentals · as of Jul 19, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 73/100

Of which business quality 74 · Market factors (momentum, volatility) 70

Profitability 59
Margins and returns on capital today
Quality Growth 59
Are margins and returns improving?
Cashflow 100
Earnings quality: real cash, not paper profit
Fin. Strength 84
Balance sheet, leverage, solvency risk
Investment 34
Disciplined investing over empire-building
Low Volatility 33
Calm price path (market factor)
Momentum 85
Price trend over the last 3–12 months (market factor)
52W Momentum 86
Distance to the 52-week high (market factor)
Net Issuance 87
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

L&K Engineering Co., Ltd. provides turnkey engineering services in Taiwan, Hongkong, and internationally. It installs pipes, heating and air conditioning systems; wholesale and retail of medical equipment; imports, exports, customer development and after sales services.L&K Engineering Co., Ltd. was incorporated in 1978 and is headquartered in Taipei, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

L&K Engineering Co reported revenue of 77.5B TWD in FY2025 versus 23.8B TWD in FY2021, a compound +34.4%/yr. Reported net income was 7.1B TWD in FY2025, compounding +117.1%/yr from FY2021.

Growth Quality 95/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
77.5B TWD
Latest YoY
+19.0%
Avg. growth/yr (3Y)
+29.4%
Avg. growth/yr (5Y)
+41.0%
Avg. growth/yr (24Y)
+14.2%
Revenue +34.4%/yr
FY21 23.8B TWD
FY22 35.7B TWD
FY23 56.9B TWD
FY24 65.1B TWD
FY25 77.5B TWD
Net income +117.1%/yr
FY21 321M TWD
FY22 999M TWD
FY23 2.9B TWD
FY24 4.3B TWD
FY25 7.1B TWD

6139 screens 21% overvalued. Compare with Larsen & Toubro Limited →

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Cite: Fair Value Calculator (2026). "L&K Engineering Co Fair Value". https://www.fairvalue-calculator.com/stock/6139

Peer Group

Engineering & Construction · 837 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 73 · Top 25%
Fair Value upside −21% · Below median
Return on equity (TTM) 43% · Top 25%
Return on assets 10% · Top 25%
Net margin (TTM) 10% · Top 25%
Operating margin (TTM) 17% · Top 25%
Revenue growth 69% · Top 25%
Dividend yield (TTM) 0.0% · Bottom 25%
Debt / equity 0.02× · Lower than median

Valuation Multiples vs Engineering & Construction median · lower = cheaper

P/E (TTM) 26.2× · Pricier than median
P/B 9.67× · Pricier than 75% of peers
P/S (TTM) 2.20× · Pricier than 75% of peers
P/FCF 0.3× · Cheaper than 75% of peers
EV/EBITDA 11.4× · Pricier than median

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 6 · sector 16
FUTURE 100 · sector 18
PAST 100 · sector 26
HEALTH 99 · sector 94
DIVIDEND 0 · sector 33

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 Engineering & Construction stocks, each showing price versus our Fair Value estimate (as of Jul 19, 2026).

Stock Price Fair Value vs Fair Value
Larsen & Toubro Limited LT ₹3,815 ₹1,994 -48%
Samsung C&T Corporation 028260 346,000 KRW 268,779 KRW -22%
Hyundai Engineering & Construction Co 000720 99,000 KRW 63,993 KRW -35%
United Integrated Services Co 2404 1,250 TWD 925.62 TWD -26%
Samsung E&A Co 028050 42,550 KRW 44,840 KRW +5%
Rail Vikas Nigam Limited RVNL ₹232.67 ₹61.46 -74%
Daewoo Engineering & Construction Co 047040 16,240 KRW 6,507 KRW -60%
NBCC (India) Limited NBCC ₹96.32 ₹48.22 -50%
Cemindia Projects Limited CEMPRO ₹1,330 ₹730.69 -45%
KEPCO Engineering & Construction Company 052690 92,700 KRW 20,172 KRW -78%

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Frequently asked questions

Is L&K Engineering Co (6139) overvalued or undervalued?
As of Jul 19, 2026, our model estimates a fair value of 636.93 TWD versus a price of 802.00 TWD, about −21% (overvalued).
What is the fair value of 6139?
Our model-based fair value for L&K Engineering Co is 636.93 TWD (as of Jul 19, 2026), built from audited fundamentals. The current price is 802.00 TWD.
What is the quality score of 6139?
L&K Engineering Co has a Quality Score of 73/100. 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 L&K Engineering Co (6139)?
L&K Engineering Co reported trailing-twelve-month revenue of about 77.5B TWD (latest available figure, as of Jul 19, 2026).
What is the net profit margin of 6139?
The net profit margin of L&K Engineering Co is about 9.2%, meaning it keeps roughly 9.2% 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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