GS Retail (007070) 🔎 In-depth
KOSPI · Price as of 2026-08-06 · Updated 2026-08-09
GS Retail is a distribution company built around some 17,000 GS25 convenience stores nationwide, and it also runs GS The Fresh (supermarkets), GS Shop (home shopping) and the Parnas Hotel. Of its roughly ₩12 trillion in annual revenue, convenience stores account for around 70%, and quick-commerce revenue has approached 10% of the total. Preliminary results disclosed on May 7, 2026 confirmed that every segment - convenience stores, supermarkets and home shopping - improved together, and the quarterly report of May 15 formally confirmed the figures. What stands out recently is that a recovery in the core convenience-store business is lifting profit step by step, so on a forward basis the story differs from the trailing P/E, which was distorted by a depressed net profit; at the same time the debt ratio is somewhat high, liquidity is tight, and revenue growth itself is gentle, so the recovery leans more on margin improvement than on top-line expansion.
This page organises public market and filing data for information purposes. It is not a recommendation to buy or sell, nor investment advice. Metrics labelled “forward” are our own unverified estimates. Please verify with the original DART filings and decide at your own responsibility.
30-second brief
Pulled directly from the computed values below — not a separately written opinion.
What do the SourceComputedEstimateReading tags mean?
Source filings and exchange data · Computed calculated from public data · Estimate our own unverified projection · Reading drafted automatically, then rule-checked. See AI & Automation.
Core valuation metric
This stock's effective sub-sector is “Offline Retail (Asset Plays)” (Retail, Consumer Goods & Food · Distribution & Wholesale/Retail), a type typically read first through P/E.
Offline retail is a consumer-facing business that earns steady profits from running stores, so price-to-earnings (P/E) — the price against the profits it makes — is a natural starting point. Sales and margins tend to be relatively stable, which makes the earnings stream easier to read.
Price against earnings alone becomes unstable when earnings swing. Reading it together with price against assets helps gauge the downside.
This note explains how each sector is typically valued and is educational context only, not investment advice.
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 95.2%).
- Revenue rose 3.3% year over year, and the pace is slowing (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 3.8% higher than a year earlier.
- ROE is 2.5% (controlling-interest basis). It is above the sector average.
- Operating margin is 2.6%.
- A sector-metric and in-depth research verdict — see “Valuation vs peers” below for the basis.
Ownership & governance As of 2025-12-31
Largest shareholder GS 58.62% (corporate)
Controlling bloc incl. related parties 58.62%
With the controlling bloc holding 59%, control is very secure but the free float is thin.
🔎 In-depth analysis Reading
GS Retail is a distribution company that operates 'GS25,' Korea's flagship convenience-store brand. Most of its revenue comes from the roughly 17,000 GS25 stores nationwide. Added to this are the corporate-style supermarket 'GS The Fresh,' the home-shopping channel 'GS Shop,' and the Parnas Hotel business in Samseong-dong, Seoul. Annual revenue is around ₩12 trillion, of which convenience stores form the core pillar at roughly 70% of the total. Recently, 'quick-commerce' revenue - meaning delivery and immediate fulfillment - has grown rapidly to approach 10% of the total.
The latest close is ₩26,450 and the market capitalization is ₩2.2 trillion. The price sits above its 20-day moving average (₩25,350) and above its 60-day moving average (₩25,048). It holds above both its short- and medium-term moving averages, so the trend looks healthy. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 59.3, a neutral level. The one-month change is +2.5%, the three-month change is +17.8%, and the position relative to the 52-week high is -10.2%. Relative strength versus the KOSPI is 64 (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 64% of all stocks. Over the past three months it outpaced the index by 33.6%. Chart interpretation is best done alongside trading volume and the dates on which disclosures occur.
The valuation metrics look very different on the surface than underneath. On last year's results, the P/E (how many times one year's profit the share price represents) is 50.91x, which looks high. But that is because last year's net profit was heavily depressed by restructuring costs and the like. The P/B (how many times book equity the share price represents) is 0.67x, so it trades below asset value. The dividend yield is 2.4%. On the balance sheet, the debt ratio (debt relative to equity) is somewhat high at 228%, and the current ratio (assets that can be turned into cash immediately against debt due within a year) is tight at 90%. That said, actual cash-generating power is firm. The FCF yield (the ratio of cash actually earned to market cap) reaches 34%, so the cash the company brings in is abundant. The EV/EBIT (enterprise value reflecting debt divided by operating profit - a debt-adjusted version of the P/E) is around 15x.
Top-line growth is gentle, with revenue rising at low single digits on average over the past three years. The real change shows up in profitability. Last year's operating profit was ₩292.1 billion, up 14% from the prior year, and net profit rebounded off the bottom to ₩43.4 billion. The pace of that rebound steepened in 2026. First-quarter operating profit was ₩58.3 billion, a 39% surge from a year earlier. Notably, first-quarter net profit of ₩42.5 billion is on par with the entire net profit for all of last year. Years of exiting loss-making businesses and improving the cost structure are now being reflected in earnest in consolidated results. Extending this trend, this year's net profit is in a phase of normalizing to several times last year's. That is precisely why, even though last year's P/E looks high, it works out much lower on this year's profit.
The heart of recent disclosures is the first-quarter earnings turnaround. The preliminary-results disclosure on May 7 confirmed that every segment improved together. GS25 convenience stores, GS The Fresh supermarkets and GS Shop home shopping all grew profit. An investor relations (IR) briefing was also announced the same day. On May 15 the first-quarter report was filed, formally confirming the results. In June, routine disclosures such as the large-business-group status filing and the governance report followed.
The observation points are clear. This company is at the very start of an earnings-recovery phase. Its strength is that as the stable core convenience-store business recovers, profit is climbing step by step. The P/E on last year's results is high, but that owes to a depressed net profit, and on this year's basis the story differs. Cash-generating power is also ample. The point to watch is that the debt ratio is somewhat high and liquidity is tight. Revenue growth itself is also gentle, so the engine of the recovery leans toward margin improvement rather than top-line expansion. In short, the structure is strong if profit normalization continues and weak if the core convenience-store recovery loses momentum.
🔎 Valuation vs peers Undervalued
Compared against listed large-cap Korean distributors - department stores, hypermarkets and general retailers - whose business structure overlaps.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| E-Mart | 16.49x | 0.19x | 1.14% |
| Hyundai Department Store | 11.05x | 0.50x | 4.03% |
| Lotte Shopping | 62.83x | 0.21x | 1.16% |
On last year's results, the P/E of 48x looks higher than peer distributors. But that is because last year's net profit was temporarily depressed by restructuring costs. The fact that first-quarter 2026 net profit (₩42.5 billion) is nearly equal to last year's full-year net profit (₩43.4 billion) makes this clear. On this year's basis, as profit normalizes, the earnings multiple actually falls to a range below E-Mart (17x) and Hyundai Department Store (19x). The P/B is also low relative to asset value at 0.64x, and actual cash-generating power is ample. Given that the profit recovery is now confirmed in the financial statements, it is hard to conclude the stock is overvalued from last year's metrics alone; on a forward basis it is closer to undervalued territory.
Price history Close · MA20 · MA60
The latest close is ₩26,450 and the market capitalization is ₩2.2 trillion. The price sits above its 20-day moving average (₩25,350) and above its 60-day moving average (₩25,048). It holds above both its short- and medium-term moving averages, so the trend looks healthy. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 59.3, a neutral level. The one-month change is +2.5%, the three-month change is +17.8%, and the position relative to the 52-week high is -10.2%. Relative strength versus the KOSPI is 64 (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 64% of all stocks. Over the past three months it outpaced the index by 33.6%. 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 +33.61% / 6M -6.34% / 12M -16.48%
Key metrics Computed vs sector median
Valuation
The P/E of 50.91x is above the sector median (11.05x). The P/B of 0.67x is above the sector median (0.47x). 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 2.5%, above the sector average (1.0%). The operating margin is 2.6%. The debt ratio is 125.5%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $7.8B | $8.1B | $8.4B | +3.26% ↓ slower |
| Operating profit | $220.9M | $179.9M | $205.2M | +14.05% ↑ faster |
| Net profit | $12.4M | $1.8M | $30.5M | +1604.87% ↑ faster |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $6.8B | $7.9B | $7.8B | $8.1B | $8.4B |
| Operating profit | $154.2M | $172.2M | $220.9M | $179.9M | $205.2M |
| Net profit | $562.9M | $33.4M | $12.4M | $1.8M | $30.5M |
| Revenue CAGR | 4-yr avg 5.40% | ||||
Revenue rose 3.3% year over year (2023 ₩11.1 trillion → 2024 ₩11.6 trillion → 2025 ₩12.0 trillion), and the three-year trend is 'rising'. That said, the pace of growth slowed from the prior year. Operating profit rose 14.1% year over year. Profit is growing at an accelerating pace. Over the 5 years on record, revenue compound annual growth (CAGR) is 5.4%. The two-year revenue CAGR is 3.9%. In the most recent quarter (Q1 2026), revenue was 3.8% higher than the same period a year earlier.
Latest quarterly results Source Q1 2026 · vs year-ago
Technical indicators Computed
What stands out
- —
Points to watch
- Revenue rose 3.3% year over year, and the pace is slowing (3-year trend: rising).
Recent news & events searched · sourced
- 2026-05-07EarningsFirst-quarter 2026 preliminary-results disclosure. Revenue of ₩2,854.9 billion (+3.8% year on year), operating profit of ₩58.3 billion (+39.4%). Profit improved across all segments - convenience stores, supermarkets and home shopping.Restructuring effects reflected in earnest in consolidated results confirm entry into a profit-turnaround phase. A factor for raising the medium-term earnings outlook. Source
- 2026-05-15FilingFirst-quarter 2026 quarterly report filed. Cumulative net profit of ₩42.5 billion, up about eightfold from a year earlier, on par with all of last year's net profit.Net-profit normalization confirmed in the financial statements. Grounds that show the limitation of valuation on last year's trailing basis. Source
- 2026-05-07IRNotice of an investor relations (IR) briefing. A venue arranged to explain first-quarter results and business conditions to the market directly.The company officially communicates the earnings-improvement trend. Strengthened short-term investor communication. Source
- 2026-03-11Filing2025 business report filed. Full-year operating profit of ₩292.1 billion (+14%) and net profit of ₩43.4 billion, rebounding off the bottom.Confirms the wind-down phase of restructuring. The starting point for the subsequent acceleration in quarterly results. Source
Figure cross-check computed ↔ external
Recent filings Source
- 2026-06-01Large-business-group status disclosure
- 2026-05-29Corporate governance report
- 2026-05-15PeriodicQuarterly report
- 2026-05-11Disclosure
- 2026-05-07Disclosure
- 2026-05-07EarningsFair-disclosure notice
- 2026-04-30EarningsEarnings disclosure
- 2026-03-20Disclosure
- 2026-03-19Disclosure
- 2026-03-19Shareholders' meeting notice
- 2026-03-11PeriodicAnnual business report
- 2026-03-11Audit 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.