Daewoong is less a company that sells products directly than a holding company that controls the Daewoong Group affiliates, and its profit and loss swing heavily with the performance of listed Daewoong Pharmaceutical (about 40%) and unlisted Daewoong Bio (100%), which sell prescription drugs, the botulinum toxin Nabota, Fexuclue and Envlo. Recently, its subsidiaries have delivered a string of new-drug approvals, exports and pipeline additions, including Mexican marketing approval for Envlo Tab 0.3mg, an added indication for Fexuclue in Helicobacter eradication, and the in-licensing of a four-week sustained-release semaglutide. The strengths to note are that core subsidiary Daewoong Pharmaceutical sits in a low P/E range on projected earnings, and that earnings power is trending up on Nabota exports, indication and overseas expansion, and an obesity pipeline. The cautions are that the holding company's net profit is swayed by equity-method and subsidiary results, so quarterly swings are large, that a distribution-network overhaul depressed the first-half operating margin, and that the recovery timing and a high debt ratio should be watched together.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt is somewhat higher than equity (debt ratio 274.7%).
- Revenue rose 6.8% year over year, and the pace is slowing (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 2.3% higher than a year earlier.
- ROE is 14.9% (controlling-interest basis). It is above the sector average.
- Operating margin is 12.7%.
- Valued against the net asset value (NAV) of its listed holdings rather than a consolidated P/E — see the in-depth valuation for the detailed basis.
Ownership & governance As of 2025-12-31
Largest shareholder Yoon Jae-seung 11.64% (individual)
Controlling bloc incl. related parties 11.64%
With the controlling bloc holding 12%, ownership is dispersed, leaving room for control-related or activist dynamics.
Net asset value (NAV) assessment Fairly valued
💡 How to read a holding company · A holding company owns stakes in several subsidiaries. Its P/E swings with equity-method gains and losses on those stakes, so read it only as a rough guide. P/B is more meaningful because subsidiary stakes sit in equity, but book value carries them at low historical cost (so P/B looks higher than reality). The most accurate view is the price against the market value of those stakes (NAV) ↓
Valued against the net asset value (NAV) of its listed holdings rather than a consolidated P/E — see the in-depth valuation for the detailed basis.
Listed subsidiaries ownership
| Daewoong Pharmaceutical | 52.29% |
🔎 In-depth analysis
- Daewoong is less a company that sells products directly than a holding company that controls the Daewoong Group affiliates.
- On its own it earns money from management-support services, trademark and rental fees, and dividends from subsidiaries, while its consolidated financial statements combine the results of the subsidiaries it controls.
- Its core subsidiaries are listed Daewoong Pharmaceutical (about 40% held) and unlisted Daewoong Bio (100%), with Daewoong Pharmaceutical in turn controlling HanAll Biopharma (about 31%).
- So Daewoong's profit and loss are heavily swayed by the performance of Daewoong Pharmaceutical, which sells prescription drugs, the botulinum toxin (Nabota), the gastroesophageal reflux treatment (Fexuclue) and the diabetes treatment (Envlo), and of Daewoong Bio, which makes active pharmaceutical ingredients.
- In other words, buying one share of Daewoong is close to owning a proportional slice of this bundle of pharmaceutical and bio subsidiaries.
- The latest closing price is ₩17,030 and the market cap is ₩990.2 billion.
- The price sits below its 20-day line (₩17,496) and below its 60-day line (₩19,780).
- Trading below both its short- and mid-term moving averages, the trend is on the subdued side.
- The RSI (a supplementary gauge that weighs buying versus selling strength over the past 14 days on a 0-100 scale) is 43.1, a neutral level.
- The one-month change is -0.4%, the three-month change is -22.4%, and the position versus the 52-week high is -42.0%.
- Relative strength against the KOSPI is 9 (on a 1-99 scale, converted from returns versus the index over the past year with more weight on recent performance; higher means stronger than the market).
- That places it in roughly the top 92% of all stocks for strength.
- Over the past three months it has lagged the index by 39.5%.
- Chart readings are best viewed alongside trading volume and disclosure dates.
- Because of the nature of a holding company, reading the metrics at face value can mislead.
- On a consolidated basis, the P/E ratio (how many times one year's net profit the price is) is 5.66x and the P/B ratio (how many times book net assets the price is) is 0.84x, both of which look low.
- But a holding company's book equity tends to carry subsidiary stakes at low historical cost, understating them versus their actual holding value, so a P/B of 0.87x cannot simply be called undervalued.
- Profitability is solid, with ROE (how much is earned per year on equity) at 14.9%, above the average for peer holding companies, and an operating margin of 12.7%.
- Financially, the debt ratio (debt versus equity) is a somewhat high 274.7%, but with an interest coverage ratio of 6.2x, earnings are coming through to cover the interest burden.
- The 2025 net profit of ₩175.1 billion is a big recovery from the prior year's weak ₩57.9 billion, so looking only at trailing metrics based on last year's low earnings makes it easy to miss the substance.
- Revenue rose steadily from ₩1.5 trillion in 2021 to ₩2.07 trillion in 2025, about 8% annual average over five years.
- Net profit was pressed down sharply once, to ₩57.9 billion in 2024, then regained a normal footing at ₩175.1 billion in 2025, driven by large swings in subsidiary results and equity-method gains and losses.
- First-quarter 2026 consolidated revenue was ₩492.7 billion, up 2.3% year on year, and net profit rose 54% to ₩53.3 billion, continuing the earnings recovery.
- In the same quarter, however, operating profit fell 21.8%, as an overhaul of Daewoong Pharmaceutical's distribution network (base wholesalers) temporarily depressed domestic prescription-drug revenue such as gastroesophageal treatments.
- Conversely, the botulinum toxin Nabota is driving growth as U.S.-led exports rise by double digits, and Envlo is undergoing global expansion, including its Mexican approval.
- Going forward, earnings shape up as a mix of depressed operating profitability in the first half and a recovery in prescription-drug and toxin exports in the second half; given the subsidiaries' double-digit revenue growth, there is room to step up one level above the recovered 2025 earnings.
- Recent disclosures are mostly news of new drugs and overseas entry at the subsidiary (Daewoong Pharmaceutical).
- Mexican marketing approval for Envlo Tab 0.3mg was granted, widening the overseas market for the diabetes drug, and domestically it applied for marketing approval of the Envlozem combination drug.
- Fexuclue gained an added indication for combination therapy in Helicobacter eradication, broadening its prescription range.
- On the pipeline side, it in-licensed a four-week sustained-release semaglutide (an obesity-treatment injection) to step into the obesity market, and brought in a 15PGDH inhibitor (INV008) and mRNA aging-reversal (ERA) technology to dip into next-generation areas.
- On governance, the corporate governance report was disclosed and the annual shareholders' meeting proceeded as scheduled.
- Taken together, the subsidiaries' new-drug approvals, exports and pipeline additions are accumulating as material that lifts the holding company's value.
- Daewoong is a holding company that holds a bundle of profitable pharmaceutical subsidiaries in proportion to its stakes, and its core listed subsidiary Daewoong Pharmaceutical sits in a low P/E range on projected earnings, so undervalued asset value lies beneath it.
- The strengths are that earnings power is trending up on Nabota export growth, the indication and overseas expansion of Envlo and Fexuclue, and pipeline additions in obesity and next-generation areas.
- There are three cautions.
- First, the holding company's net profit is swayed by equity-method and subsidiary results, so quarterly swings are large and simple annualization is hard.
- Second, the distribution-network overhaul depressed the operating margin in the first half of this year, and the recovery timing will color results.
- Third, the debt ratio is on the high side, requiring management of interest rates and cash flow.
- In the end, if the subsidiaries' revenue and exports rise as planned and the first-half margin pressure gives way to a second-half recovery, the discount to NAV narrows; conversely, if the distribution-overhaul fallout drags on, the earnings recovery is delayed.
🔎 Valuation vs peers Fairly valued
Compared against pharmaceutical holding companies and the core listed subsidiary. Because Daewoong is a holding company controlling Daewoong Pharmaceutical, Daewoong Bio and HanAll Biopharma, it is placed alongside peer holding companies.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Daewoong Pharmaceutical | 7.79x | 1.52x | 19.47% |
| Dong-A Socio Holdings | 6.14x | 0.49x | 8.00% |
| Chong Kun Dang Holdings | 4.76x | 0.30x | 6.35% |
| JW Holdings | 4.68x | 1.03x | 21.92% |
| Hanmi Science | 18.75x | 2.31x | 12.31% |
As a holding company, valuation is more accurate through the market value of its held stakes (NAV) than through the P/E or P/B. The value of its listed-subsidiary stakes explains about 70% of the market cap, with the rest filled by unlisted Daewoong Bio (100%) and its own business value. A consolidated P/E of 5.9x is mid-range among peer holding companies (4.6-7.4x), and a 14.9% ROE is higher than most of them. That said, a structural discount attaches to holding companies and the debt ratio is on the high side, so the listed portion alone does not make it clearly undervalued. Trailing earnings, pressed down by a weak 2024, recovered in 2025, and on a forward basis the P/E falls further to around 5x, so if subsidiary results rise as planned, this looks like a spot where the discount to NAV could narrow.
Price history Close · MA20 · MA60
The latest close is ₩17,030 and the market capitalization is ₩990.2 billion. The price sits below its 20-day moving average (₩17,496) and below its 60-day moving average (₩19,780). 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 43.1, a neutral level. The one-month change is -0.4%, the three-month change is -22.4%, and the position relative to the 52-week high is -42.0%. Relative strength versus the KOSPI is 9 (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 8% of all stocks. Over the past three months it lagged the index by 39.5%. 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 -39.45% / 6M -51.52% / 12M -69.16%
Key metrics vs sector median
Valuation
The P/E of 5.66x is below the sector median (15.98x). The P/B of 0.84x is below the sector median (1.37x). Both metrics are low versus peers, so the price is not expensive relative to earnings and assets. That said, this P/E is based on last year's (trailing) results. With recent quarterly earnings up sharply, the trailing P/E can look higher than it really is, so a precise read is best done on this year's expected (forward) earnings.
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 14.9%, above the sector average (3.0%). The operating margin is 12.7%. The debt ratio is 274.7%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $1.2B | $1.3B | $1.4B | +6.79% ↓ slower |
| Operating profit | $129.6M | $186.8M | $173.5M | -7.14% ↓ slower |
| Net profit | $101.2M | $38.4M | $116.0M | +202.43% ↑ faster |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $1.0B | $1.1B | $1.2B | $1.3B | $1.4B |
| Operating profit | $120.9M | $137.4M | $129.6M | $186.8M | $173.5M |
| Net profit | $52.2M | $68.0M | $101.2M | $38.4M | $116.0M |
| Revenue CAGR | 4-yr avg 8.16% | ||||
Revenue rose 6.8% year over year (2023 ₩1.8 trillion → 2024 ₩1.9 trillion → 2025 ₩2.1 trillion), and the three-year trend is 'rising'. That said, the pace of growth slowed from the prior year. Operating profit fell 7.1% year over year. The decline widened. Over the 5 years on record, revenue compound annual growth (CAGR) is 8.2%. The two-year revenue CAGR is 6.8%. In the most recent quarter (Q1 2026), revenue was 2.3% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- ROE of 14.9% points to solid profitability.
Points to watch
- Revenue rose 6.8% year over year, and the pace is slowing (3-year trend: rising).
Recent news & events searched · sourced
- 2026-05-26FilingSubsidiary Daewoong Pharmaceutical received Mexican marketing approval for the diabetes drug Envlo Tab 0.3mg.Overseas market expansion for the diabetes drug. A medium- to long-term contributor to subsidiary exports and royalties. Source
- 2026-05-21FilingSubsidiary Daewoong Pharmaceutical signed an in-licensing agreement for a semaglutide obesity treatment (a four-week sustained-release injection).Secures a pipeline for entry into the obesity-treatment market. Expands medium- to long-term growth options. Source
- 2026-04-30FilingSubsidiary Daewoong Pharmaceutical received domestic marketing approval for an added indication of Fexuclue Tab in combination therapy for Helicobacter eradication.Broadens the prescription range for the gastroesophageal treatment. Strengthens the domestic revenue base. Source
- 2026-05-26FilingSubsidiary Daewoong Pharmaceutical applied for domestic marketing approval of the Envlozem combination drug.Preparing to widen the diabetes combination-drug lineup. Room to expand domestic prescriptions if approved. Source
- 2026-06-01FilingCorporate governance report disclosed.A regular report on holding-company governance transparency. Direct profit-and-loss impact is limited. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| First-quarter 2026 consolidated revenue (Daewoong holding, cumulative) | ₩492.7 billion | (2026.03) | Confirmed | link |
| Ownership stake in core subsidiary Daewoong Pharmaceutical | approx. 40% | — | Confirmed | link |
| 2026 full-year net profit (in-house estimate) | approx. ₩200.0 billion (forward PER≈5.1) | — | Unverified | link |
Recent filings
- 2026-06-01Corporate governance report
- 2026-05-26Disclosure
- 2026-05-26Disclosure
- 2026-05-21Disclosure
- 2026-05-20Amended filing
- 2026-05-15PeriodicQuarterly report
- 2026-05-12Disclosure
- 2026-05-07Disclosure
- 2026-04-30Disclosure
- 2026-04-10Disclosure
- 2026-03-26Shareholders' meeting notice
- 2026-03-26OwnershipLargest-shareholder ownership change 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.