Ottogi is a diversified food manufacturer that makes money from ramen and noodle products (about ₩282.6 billion in Q1), ketchup, mayonnaise and sauces, ready meals such as 3-Minute Curry and instant rice, and cooking oils and sesame oil. With annual revenue of about ₩3,674.5 billion, it is a major domestic food company, and it ranks around third by itself in ramen. Much of its revenue is based on domestic demand, making it defensive against the economic cycle, but its margins rise and fall with input costs and exchange rates; in March 2026 it voluntarily disclosed a corporate-value enhancement plan and decided a dividend of ₩9,000 per share (payout ratio 44.7%), and its May Q1 report confirmed an earnings recovery. What stands out lately is a pairing of a strength and a caution: the shares trade at 0.62x net assets, much of the trailing-P/E burden eases on forward earnings, and the value-up plan plus a 2.8% dividend support the downside, making it undervalued; against that, margins are sensitive to raw materials and exchange rates, and the absolute level of ROE is low, so the extent of the recovery depends on the stability of costs and FX and the pace at which pricing and volume recover.
At-a-glance assessment financial health · growth · profitability · valuation
- Revenue rose 3.8% year over year, and the pace is quickening (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 3.7% higher than a year earlier.
- ROE is 3.3% (controlling-interest basis). It is below the sector average.
- Operating margin is 4.8%.
- The forward P/E sits above the sector median, reflecting elevated expectations.
Ownership & governance As of 2019-12-31
Largest shareholder Ham Young-joon 27.31% (individual)
Controlling bloc incl. related parties 43.24%
With the controlling bloc holding 43%, the ownership structure is stable.
🔎 In-depth analysis
- Ottogi is a diversified food manufacturer familiar from any supermarket.
- It earns money across four main pillars.
- First, ramen and noodle products (Jin Ramen, Jin Jjambbong, and the like), about ₩282.6 billion on a Q1 basis; second, ketchup, mayonnaise, and sauces; third, ready meals (retort pouches) such as 3-Minute Curry and instant rice; and fourth, cooking oils and sesame oil.
- Added to these are affiliated businesses in logistics and catering.
- Annual revenue of about ₩3,674.5 billion places it among Korea's major food companies, and in ramen alone it ranks around third, after Nongshim and Samyang Foods.
- Much of its revenue is based on domestic demand, so it is defensive against the economic cycle, but by the same token, rather than explosive growth, its margins tend to rise and fall with input costs and exchange rates.
- The latest close is ₩331,500 and market capitalization is ₩1.3 trillion.
- The price sits above its 20-day moving average (₩315,875) and below its 60-day average (₩339,467).
- With short- and mid-term trends diverging, the direction should be read separately.
- The RSI (an auxiliary gauge that compares upward and downward strength over the past 14 days on a 0-100 scale) is 56.3, a neutral level.
- The one-month change is +4.7%, the three-month change is -6.6%, and the position versus the 52-week high is -23.4%.
- Relative strength against the KOSPI is 17 (on a 1-99 scale, converting the past year's return versus the index with more weight on recent performance; higher means stronger than the market).
- That places it in roughly the top 84% of all stocks by strength.
- Over the past three months it lagged the index by 25.3%.
- Chart reading is best done alongside trading volume and the dates of disclosures.
- In valuation, two notable figures point in opposite directions.
- One is a P/E ratio (how many times one year's earnings the share price represents) of 19.19x, which looks somewhat high; the other is a P/B (how many times book net assets the share price represents) of 0.64x, meaning the shares trade at two-thirds of net assets.
- The key to this gap is 2025 net profit.
- Operating profit fell -20.2% year over year (from rising exchange rates, higher raw-material unit costs, and promotion expenses), but net profit plunged more than twice as much at -49.4%.
- In other words, one-off and non-operating costs outside operations pressed last year's profit unusually deeply, and dividing by that lowered profit makes the trailing P/E look higher than the true earning power.
- ROE (how much is earned in a year on equity) is a low 3.3%, which should be read bearing in mind it is the figure for a year of suppressed net profit.
- With a debt ratio (debt against equity) of 175% and interest coverage of 4.9x, financial stability is reasonable, and shareholder returns are steady with a dividend yield of 2.8% (₩9,000 per share, payout ratio 44.7%).
- Over five years, revenue rose gently from ₩2.74 trillion to ₩3.67 trillion (about +7.6% a year), and in 2025 it grew +3.8% — a stable growth pace befitting a mature domestic-demand company.
- The issue is the amplitude of profit.
- Net profit came down from ₩274.5 billion in 2022 (including unusual gains such as asset sales) to ₩160.3 billion in 2023, ₩136.7 billion in 2024, and ₩69.2 billion in 2025; the sharp drop in 2025 in particular resulted from a combination of exchange rates, costs, and non-operating expenses.
- An important turn signal appears in Q1 2026.
- Alongside revenue of ₩955.2 billion (+3.7%) and operating profit of ₩59.4 billion (+3.3%), net profit rose again to ₩35.0 billion (+5.5%), and above all the net-to-operating-profit ratio recovered to 59%, back to the usual level (62-63%).
- As the non-operating burdens that pressed last year's profit lift, this year's net profit is on a path to restore toward normal.
- Carrying this recovery trajectory forward, this year's earning power is clearly higher than last year's suppressed ₩69.2 billion, so the 'looks expensive' impression from the current trailing P/E is considerably eased on a forward basis.
- On March 27, 2026, the company voluntarily disclosed a 'corporate-value enhancement plan,' formalizing its intent to address the low P/B and strengthen shareholder returns.
- On February 20 it decided a cash dividend of ₩9,000 per share (payout ratio 44.7%), maintaining a dividend yield around 2.8%, and on March 26 it completed its annual shareholders' meeting and the appointment of outside directors.
- The May 15 Q1 report confirmed an earnings recovery, and on May 29 it disclosed a corporate governance report, updating governance information.
- Overall, rather than large new orders, the recent disclosure narrative centers on shareholder returns and governance housekeeping.
- There are three watch points.
- First, 2025's low profit strongly resembles a trough shaped by a coincidence of exchange rates, costs, and non-operating one-offs, and with the net-to-operating-profit ratio restored to normal in Q1, this year's profit is likely to recover from last year.
- Second, the shares trade at 0.62x net assets (the lowest against peers Nongshim at 0.78x and Samyang Foods at 6.95x), and on forward earnings much of the trailing-P/E burden eases, reading as undervalued from an asset-value and dividend perspective.
- Third, the corporate-value enhancement plan and a 2.8% dividend support the downside.
- The caution is that margins are sensitive to raw materials and exchange rates and the absolute level of ROE is low, so the extent of the recovery depends on the stability of costs and FX and the pace of pricing and volume recovery in ramen and sauces.
- In other words, when costs and exchange rates stabilize, profit normalization and a re-valuation of the low P/B gain strength together; conversely, if a renewed rise in costs and weak domestic demand coincide, the recovery could be delayed.
🔎 Valuation vs peers Undervalued
Compared against Korea's three ramen and diversified-food manufacturers (on the similarity of ramen, sauce, and ready-meal businesses).
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Nongshim | 12.50x | 0.75x | 6.01% |
| Samyang Foods | 21.34x | 6.62x | 31.02% |
The trailing P/E of 18.5x on the surface is higher than peer Nongshim (12.9x), but this is the figure for a year in which 2025 net profit was pressed down nearly by half by exchange rates, costs, and non-operating one-offs, overstating the true earning power. This is supported by the fact that operating profit fell only -20.2% while net profit dropped further at -49.4%, and by the net-to-operating-profit ratio recovering in Q1 to the usual level (about 59%). If this year's profit returns to a normal track, the forward P/E falls to around 12x, similar to or below Nongshim. Added to this, a P/B of 0.62x is the lowest among the comparison set, a clear discount from a net-asset-value perspective. The low absolute level of ROE is a weakness, but it is already deeply reflected in the P/B, and with profit in a normalizing phase, all three perspectives — asset value, dividend, and forward earnings — read as undervalued.
Price history Close · MA20 · MA60
The latest close is ₩331,500 and the market capitalization is ₩1.3 trillion. The price sits above its 20-day moving average (₩315,875) and below its 60-day moving average (₩339,467). Short-term and medium-term trends are diverging, so the direction is best read separately. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 56.3, a neutral level. The one-month change is +4.7%, the three-month change is -6.6%, and the position relative to the 52-week high is -23.4%. Relative strength versus the KOSPI is 17 (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 16% of all stocks. Over the past three months it lagged the index by 25.3%. 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 -25.32% / 6M -45.93% / 12M -65.23%
Key metrics vs sector median
Valuation
The P/E of 19.19x is above the sector median (8.80x). The P/B of 0.64x is above the sector median (0.51x).
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 3.3%, below the sector average (4.0%). The operating margin is 4.8%. The debt ratio is 175.5%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $2.3B | $2.3B | $2.4B | +3.83% ↑ faster |
| Operating profit | $168.9M | $147.1M | $117.5M | -20.16% ↓ slower |
| Net profit | $106.3M | $90.6M | $45.9M | -49.36% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $1.8B | $2.1B | $2.3B | $2.3B | $2.4B |
| Operating profit | $110.4M | $123.0M | $168.9M | $147.1M | $117.5M |
| Net profit | $85.8M | $182.0M | $106.3M | $90.6M | $45.9M |
| Revenue CAGR | 4-yr avg 7.62% | ||||
Revenue rose 3.8% year over year (2023 ₩3.5 trillion → 2024 ₩3.5 trillion → 2025 ₩3.7 trillion), and the three-year trend is 'rising'. The pace of growth also quickened from the prior year. Operating profit fell 20.2% year over year. The decline widened. Over the 5 years on record, revenue compound annual growth (CAGR) is 7.6%. The two-year revenue CAGR is 3.1%. In the most recent quarter (Q1 2026), revenue was 3.7% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- —
Points to watch
- The price is high versus peers, so expectations already appear priced in.
Recent news & events searched · sourced
- 2026-03-27FilingCorporate-value enhancement plan (voluntary disclosure) - formalizing a direction to address the low P/B and strengthen shareholder returns.Mid-term, it raises the predictability of dividend and capital-allocation policy, providing a re-valuation catalyst for a low-P/B stock. Source
- 2026-02-20DividendCash dividend of ₩9,000 per share decided (payout ratio 44.7%, dividend yield about 2.8%).Short-term, it maintains a stable dividend appeal and supports the share-price downside. Source
- 2026-05-15EarningsQ1 2026 report - revenue ₩955.2 billion (+3.7%), operating profit ₩59.4 billion (+3.3%), net profit ₩35.0 billion (+5.5%), with the net-to-operating-profit ratio restored to the usual level.Short-term, it confirms the normalization of last year's suppressed net profit, supporting the earnings-recovery case. Source
- 2026-05-29FilingCorporate governance report disclosed - updating governance information such as the board and shareholder returns.Mid-term, a document read alongside the value-up plan from the standpoint of improving governance transparency. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Q1 2026 revenue and operating profit | revenue ₩955.2 billion / operating profit ₩59.4 billion | revenue ₩955.2 billion / operating profit ₩59.4 billion | Confirmed | link |
| 2025 full-year revenue and operating profit | revenue 3₩674.5 billion / operating profit ₩177.3 billion(operating profit YoY -20.2%) | revenue 3₩674.5 billion / operating profit ₩177.3 billion | Confirmed | link |
| Dividend per share (2025 year-end) | ₩9,000 / 44.7% | ₩9,000 | Confirmed | link |
| 2026 net-profit normalization estimate (forward) | approx. ₩102.0 billion | — | Unverified | link |
Recent filings
- 2026-05-29Corporate governance report
- 2026-05-15PeriodicQuarterly report
- 2026-04-08OwnershipLargest-shareholder ownership change report
- 2026-03-27Disclosure
- 2026-03-26Disclosure
- 2026-03-26Shareholders' meeting notice
- 2026-03-18PeriodicAnnual business report
- 2026-03-18Audit report
- 2026-02-25Shareholders' meeting notice
- 2026-02-20DividendCash/stock dividend decision
- 2026-02-20DividendCash/stock dividend decision
- 2026-02-20Shareholders' meeting notice
📖 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.