Young Poong is one of Korea's largest zinc smelters, refining zinc at its Seokpo smelter in Bonghwa, North Gyeongsang, and, through a subsidiary, holds 5,262,450 shares (about 25%) of Korea Zinc, the country's top non-ferrous metals company, giving it the character of an operating holding company; its 2025 revenue was about ₩2.9 trillion. In April there was a disclosure confirming criminal punishment related to a serious industrial accident, a regulatory review is underway over a structural change in which the Korea Zinc stake was contributed in kind to a subsidiary, and the May Q1 quarterly report confirmed a swing to profit. What stands out now is that the market value of its Korea Zinc stake, about ₩5.7 trillion, plus net cash of about ₩137.0 billion, gives an asset value that far exceeds the ₩726.3 billion market cap, so on an asset basis this is a very cheap stretch; but the timing for the discount typical of a stake-holding company to unwind is uncertain, and regulatory risk over the ownership-structure change and the Seokpo smelter's environmental and safety risk remain.
At-a-glance assessment financial health · growth · profitability · valuation
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 96.1%).
- The most recent full-year net result was a loss.
- Revenue rose 4.4% year over year, and the pace is quickening (3-year trend: mixed).
- Most recent quarter (Q1 2026) revenue was 48.8% higher than a year earlier.
- ROE is -0.2% (controlling-interest basis). It is below the sector average.
- Operating margin is -8.9%.
- P/E is hard to compute here, so this is read on P/B.
Ownership & governance As of 2024-12-31
Largest shareholder Jang Se-jun 16.89% (individual)
Controlling bloc incl. related parties 64.17%
With the controlling bloc holding 64%, control is very secure but the free float is thin.
🔎 In-depth analysis
- Young Poong is a company with two faces.
- The first is its direct business.
- It is one of Korea's largest zinc smelters, refining zinc at its Seokpo smelter in Bonghwa, North Gyeongsang, with 2025 revenue of about ₩2.9 trillion.
- Revenue comes from smelting products such as zinc and sulfuric acid.
- The second is its stakeholding.
- Through a subsidiary, Young Poong holds 5,262,450 shares (a stake of about 25%) of Korea Zinc, the country's top non-ferrous metals company.
- By results, smelting is the main business, but by enterprise value the Korea Zinc stake is far larger.
- By official classification it is captured as 'steel and primary metals,' but from a valuation standpoint it is closer to reality to view it as an operating holding company that owns a prized subsidiary stake.
- The latest close is ₩35,850 and market capitalization is ₩660.0 billion.
- The price sits below the 20-day line (₩41,932) and below the 60-day line (₩53,504).
- Trading beneath both the short- and medium-term moving averages, the trend is on the soft side.
- The RSI (a supplementary gauge that compares upward and downward strength over the last 14 days on a 0-100 scale) is 26.6, close to depressed territory.
- The one-month change is -21.3%, the three-month change is -37.9%, and the position versus the 52-week high is -49.6%.
- Relative strength versus the KOSPI is 15 (1-99, computed from returns against the index over the past year with recent performance weighted more heavily; higher means stronger than the market).
- That places it in roughly the top 85% of all stocks by strength.
- Over the last three months it lagged the index by 52.5%.
- Chart readings are best viewed alongside trading volume and the dates on which disclosures occur.
- The P/E ratio (how many times one year's earnings the price represents) cannot be calculated because of last year's net loss.
- So it is viewed on the asset-based P/B (how many times net assets the price represents).
- The P/B is 0.18x, so the shares trade at one-fifth the price of book equity.
- That said, even this P/B is a figure that comes out higher than reality.
- Because the Korea Zinc stake it holds is carried on the books at a low value close to acquisition cost, recalculating at market value makes net assets far larger than book.
- The financial structure is a net-cash position.
- Net debt (total borrowings minus cash; negative means net cash) is -₩137.0 billion, more cash than debt.
- On short-term metrics, the current ratio is 96%, so a point to note is that assets convertible to cash within a year are slightly less than debt due within a year.
- On profitability, 2025 was a loss with an operating margin of -8.9%.
- Results have been weak over the past few years.
- Revenue in 2025 was about ₩2.909 trillion, up 4.4% from the prior year, but the operating result widened to a loss of about -₩259.7 billion.
- The core cause of the weakness is disruption to operations at the Seokpo smelter, the main business.
- Suspensions of operation under environmental regulation and a low utilization rate weighed on 2025 results.
- But from 2026 the trend is changing.
- Q1 2026 revenue was ₩851.1 billion, up a sharp 48.8% year on year.
- Operating result in the same quarter swung to a profit of about +₩43.3 billion.
- This is a signal that normalization of operations has begun to show in results.
- That said, net profit has to be viewed carefully.
- Young Poong's net profit heavily mixes in equity-method income from Korea Zinc, and this item is non-cash and swings widely from quarter to quarter.
- So forward multiples based on its own earnings carry little meaning, and it is correct to view this company by the value of its holdings rather than by earnings.
- Recent disclosures run along two threads.
- First, governance and ownership.
- Disclosure of the large business group status and reports of executive and major-shareholder ownership followed.
- There was a structural change in which the Korea Zinc stake Young Poong held was contributed in kind to a subsidiary, and the fact that a regulatory review of this structure is underway is a variable to watch from the standpoint of realizing the value of the stake.
- Second, main-business risk.
- In April there was a disclosure confirming criminal punishment related to a serious industrial accident.
- The environmental and safety issues surrounding the Seokpo smelter are a long-standing challenge for this company.
- The company continues to make large ongoing investments in environmental facilities.
- In May the Q1 2026 quarterly report was disclosed, confirming the swing to profit.
- Young Poong is a company hard to understand by its own earnings alone.
- One must not conclude that it is over- or undervalued from the P/E and P/B alone.
- The strength is clear.
- The market value of its Korea Zinc stake is about ₩5.7 trillion, while the company's entire market cap is only ₩726.3 billion.
- Adding net cash of about ₩137.0 billion, the company trades at a tiny fraction of the value of the assets it holds.
- Its main business, the Seokpo smelter, also normalized operations into 2026 and swung back to profit.
- The points to note are also clear.
- A company that holds a subsidiary stake tends to trade at a discount to net asset value in the first place, and when this discount will narrow is not predetermined.
- Regulatory variables surrounding the ownership-structure change and the Seokpo smelter's environmental and safety risk also remain.
- In summary, this is a very cheap stretch relative to asset value, but for that value to be realized in the share price, the conditions of main-business normalization and the resolution of stake-related uncertainty are needed.
🔎 Valuation vs peers Undervalued
Comparison was made against companies whose business substance overlaps in the domestic non-ferrous and primary-metals industry, and in particular Korea Zinc, the subject of the stakeholding.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Korea Zinc | 27.01x | 1.91x | 7.09% |
| Namsun Aluminum | 36.67x | 0.47x | 1.28% |
This company cannot be judged by the P/E. Last year's net loss means the P/E cannot be calculated, and net profit itself is heavily swayed by equity-method income from Korea Zinc. Instead it must be viewed by the market value of the stake it holds. The market value of Young Poong's Korea Zinc stake is about ₩5.70 trillion, while the company's entire market cap is only ₩726.3 billion. Adding net cash of about ₩137.0 billion, the market cap is at a tiny fraction of the prized asset value. A P/B of 0.2x also looks cheap on the surface, but it is in fact cheaper than this. Because the Korea Zinc stake is carried on the books at a low value close to acquisition cost, recalculating at market value makes net asset value far larger than book. On an asset-value basis it is a clearly undervalued stretch. That said, it must be considered alongside the fact that a company holding a subsidiary stake generally trades at a discount to net asset value, and the timing at which the discount narrows is not predetermined.
Price history Close · MA20 · MA60
The latest close is ₩35,850 and the market capitalization is ₩660.0 billion. The price sits below its 20-day moving average (₩41,932) and below its 60-day moving average (₩53,504). It is under both its short- and medium-term moving averages, so the trend looks subdued. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 26.6, near oversold territory. The one-month change is -21.3%, the three-month change is -37.9%, and the position relative to the 52-week high is -49.6%. Relative strength versus the KOSPI is 15 (on a 1-99 scale, converted from returns against the index over the past year with more weight on recent performance; higher means stronger than the market). It is stronger than roughly 15% of all stocks. Over the past three months it lagged the index by 52.5%. Chart interpretation is best done alongside trading volume and the dates on which disclosures occur.
Relative performance stock vs index · start = 100
Excess return vs index · 3M -52.52% / 6M -51.31% / 12M -65.73%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 0.18x is below the sector median (0.50x).
Enterprise value (EV)
EV = market cap + net debt. It reflects cash and debt, so it captures the real cost of the whole business that market cap alone misses; lower multiples are cheaper relative to earnings or sales.
Profitability & financials
Return on equity (ROE) is -0.2%, below the sector average (2.0%). The operating margin is -8.9%. The debt ratio is 166.9%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $2.5B | $1.8B | $1.9B | +4.36% ↑ faster |
| Operating profit | -$112.5M | -$106.5M | -$172.1M | — |
| Net profit | -$40.3M | -$167.1M | -$5.5M | — |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $2.4B | $2.9B | $2.5B | $1.8B | $1.9B |
| Operating profit | -$17.8M | $45.6M | -$112.5M | -$106.5M | -$172.1M |
| Net profit | $82.3M | $243.3M | -$40.3M | -$167.1M | -$5.5M |
| Revenue CAGR | 4-yr avg -5.07% | ||||
Revenue rose 4.4% year over year (2023 ₩3.8 trillion → 2024 ₩2.8 trillion → 2025 ₩2.9 trillion), and the three-year trend is 'mixed'. The pace of growth also quickened from the prior year. Operating results are in the red, so a swing back to profit matters more than the growth rate here. Over the 5 years on record, revenue compound annual growth (CAGR) is -5.1%. The two-year revenue CAGR is -12.1%. In the most recent quarter (Q1 2026), revenue was 48.8% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- P/E and P/B are both low versus peers, so the price looks inexpensive relative to earnings and assets.
Points to watch
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 96.1%).
- The most recent full-year net result was a loss.
- The most recent full year was a loss, so it is worth checking whether profitability recovers.
Recent news & events searched · sourced
- 2026-06-01FilingDisclosure of the large business group status. A periodic disclosure carrying the affiliate and ownership structure and governance status, a document that lets one confirm the Korea Zinc stakeholding structure.Serves as a basis for grasping the ownership structure and the Korea Zinc holding relationship through the subsidiary. Source
- 2026-05-15EarningsQ1 2026 quarterly report. Revenue ₩851.1 billion (+48.8% year on year), operating profit about +₩43.3 billion, confirming a swing to profit.A medium-term positive signal that normalization of operations at the Seokpo smelter, the main business, has begun to be reflected in results. Source
- 2026-04-28UpdateDisclosure confirming criminal punishment related to a serious industrial accident. A disclosure showing that the environmental and safety issues surrounding the Seokpo smelter are continuing.A near-term burden factor confirming that environmental and safety regulatory risk in the main business remains a variable. Source
- 2026-05-27FilingReport of large-holding status of shares and report of executive and major-shareholder ownership. A disclosure carrying changes related to the ownership structure.A document for tracking changes in the stakeholding structure, requiring observation from the standpoint of realizing the value of the stake. Source
Figure cross-check computed ↔ external
Recent filings
- 2026-06-01Large-business-group status disclosure
- 2026-06-01Large-business-group status disclosure
- 2026-05-29Corporate governance report
- 2026-05-27OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-27OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-27OwnershipOwnership-change filing
- 2026-05-15PeriodicQuarterly report
- 2026-05-15Disclosure
- 2026-04-28Disclosure
- 2026-04-21OwnershipOfficers'/major-shareholders' holdings report
- 2026-04-10OwnershipOfficers'/major-shareholders' holdings report
- 2026-04-10OwnershipOfficers'/major-shareholders' holdings report
📖 Plain-language glossary — expand if you are new to this
- P/E
- How many times a year's net profit the price is worth (lower is cheaper relative to earnings). The P/E here is on trailing (last full-year) results; for companies whose earnings swing fast (memory chips and other cyclicals/high-growth), a forward P/E on this year's expected earnings is more accurate.
- P/B
- Price relative to net assets (equity). Around 1x means it trades near book value; below 1x means below book.
- P/S
- Price relative to a year's revenue — useful for growth companies with thin earnings.
- Net debt / EV
- Net debt = interest-bearing debt − cash. Negative means more cash than debt (net cash). EV (enterprise value) = market cap + net debt, closer to what it would cost to buy the whole business.
- EV/EBIT · EV/EBITDA · EV/Sales
- Enterprise value against operating profit (EBIT), EBITDA, or revenue. Unlike P/E these reflect debt and cash; lower is cheaper relative to earnings power or sales.
- FCF / FCF yield
- Free cash flow = operating cash − capex, the cash actually left over. FCF yield = FCF ÷ market cap; higher means more cash generated per unit of market value.
- Intrinsic value (DCF)
- Future free cash flow (or, for some capex-heavy but profitable names, forecast earnings) discounted to today to estimate per-share value. Because it shifts a lot with the discount-rate and growth assumptions, it is shown as a bear/base/bull range, and the basis and assumptions are disclosed in one line beneath it.
- ROE
- How much profit the company earns in a year on its equity (%). Higher means better returns on capital.
- EPS / BPS
- Earnings per share / net assets (book value) per share.
- Operating / net margin
- Profit left from the core business / final profit after tax and interest, per unit of revenue.
- Debt ratio
- Debt relative to equity (%). Higher means more reliance on borrowing (norms vary by sector).
- Current ratio
- Assets convertible to cash within a year against debt due within a year. Above 100% leaves some short-term headroom.
- Interest coverage
- How many times operating profit covers the interest owed. Below 1x means operating profit alone struggles to cover interest.
- Dividend yield / payout ratio
- The year's dividend as a % of today's price / the share of earnings paid out as dividends.
- Revenue CAGR
- Multi-year growth expressed as a single yearly average (compound annual growth rate).
- RSI (short-term signal)
- Whether recent price action is overheated or beaten down. Above 70 is overbought, below 30 oversold.
- MA20 / MA60 (moving averages)
- The 20- and 60-day average price. Price above them signals a firmer short-term trend.
- vs 52-week high
- How far below the past year's peak the price sits now (%).
All figures are for reference only; how they read varies by sector and over time.
Sources: Korea FSC market-price API (data.go.kr), OpenDART, KRX/KIND — public data only.
Bong Stocks presents public-data-based information for reference only. It is not investment advice and contains no target prices, ratings, or buy/sell recommendations. Verify independently before making any decision.