Shinsung E&G earns money through a 'clean-environment' segment that designs and builds cleanrooms and supplies clean equipment such as FFU/EFU for semiconductor, display, secondary-battery, and data-center plants, and a renewable-energy segment making solar cells and modules, with results tracking the capital-investment flow of front-end industries. It secured work with a ₩5.07 billion cleanroom order for a Samsung Electronics subsidiary on May 7 and a ₩10.05 billion order for Wavice on June 5, and Q1 revenue grew more than 30% while the loss narrowed by more than half, while a 10-for-1 stock consolidation, treasury-share cancellation, and a pre-announced value-up plan for August also showed shareholder-return intent. The point to watch: if front-end CAPEX revives and a swing to profit is confirmed from Q2 onward, the recovery momentum works strongly, whereas the swing to profit was not complete as of Q1 and, with a debt ratio of 257% and a current ratio of 98.5%, financial capacity is tight.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt is somewhat higher than equity (debt ratio 257.3%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 98.5%).
- Operating profit barely covers the interest bill (interest coverage below 1x).
- The most recent full-year net result was a loss.
- Revenue fell 2.5% year over year (3-year trend: mixed).
- Most recent quarter (Q1 2026) revenue was 32.1% higher than a year earlier.
- ROE is -3.0% (controlling-interest basis). It is below the sector average.
- Operating margin is 0.2%.
- P/E is hard to compute here, so this is read on P/B.
Ownership & governance As of 2025-12-31
Largest shareholder Lee Ji-seon 8.11% (individual)
Controlling bloc incl. related parties 20.76%
With the controlling bloc holding 21%, control is maintained but the free float is relatively large.
🔎 In-depth analysis
- Shinsung E&G earns money through two businesses.
- The first is the 'clean-environment' segment, which designs and builds cleanrooms (highly filtered clean workspaces) for semiconductor, display, secondary-battery, and data-center plants, and supplies the FFU/EFU (blower equipment that filters and circulates air) and constant-temperature-and-humidity equipment that go inside them.
- The second is the renewable-energy segment, which makes and installs solar cells, modules, and generation systems.
- In short, the company is not a place that makes semiconductor chips directly but one that lays the 'clean infrastructure' so chip plants can run.
- Because revenue builds up as order backlog when a plant-expansion order comes in and is recognized as construction proceeds, results track the capital-investment (CAPEX) flow of front-end industries.
- Recently, demand for AI data-center cooling and clean environments has been added as a new end-market.
- The latest closing price is ₩15,730 and the market cap is ₩319.4 billion.
- The price sits below the 20-day line (₩19,208) and above the 60-day line (₩15,563).
- With the short- and mid-term trends diverging, direction should be read separately.
- The RSI (a supplementary gauge that compares upward and downward strength over the past 14 days on a 0-100 scale) is 41.0, a neutral level.
- The one-month change is -19.4%, the three-month change is +357.9%, and the position versus the 52-week high is -60.6%.
- Relative strength against the KOSPI is 98 (1-99, converting return versus the index over the past year with more weight on recent moves; higher means stronger than the market).
- That places it in roughly the top 1% of all stocks by strength.
- Over the past three months it outpaced the index by 277.6%.
- Chart reading is best done alongside trading volume and disclosure dates.
- On a confirmed annual basis (2025), net profit was a loss, so a P/E ratio (the price divided by net profit per share) cannot be derived.
- That said, entering 2026 the company is at an inflection where the loss is narrowing quickly and profit is turning, and a forward P/E reflecting this flow is derivable.
- For a stock whose profit is recovering, it is future profit — not a single past year's number — that is the real picture, so it is hard to conclude 'expensive or cheap' from last year's loss-making number alone.
- The P/B (how many times its asset value the price is) is 1.39x, or 1.56x on a forward basis, so relative to asset value the level is not greatly burdensome.
- Profitability is mid-recovery.
- 2025 ROE (return earned on equity in a year) was -3.0% and the operating margin 0.2%, both low, but in Q1 2026 both operating and net losses narrowed sharply.
- The financial structure needs attention.
- With a debt ratio (debt to equity) of 257.3% and a current ratio of 98.5%, debt due within a year slightly exceeds assets that can be turned into cash right away, and with a low interest-coverage ratio, covering interest from operating profit is tight.
- Given the nature of the construction business, debt can swing with construction progress, but this burden should ease as the profit recovery takes hold.
- Over five years, revenue jumped from ₩454.5 billion in 2021 to ₩664.1 billion in 2022, then moved within the ₩500-billion range at ₩576.5 billion in 2023, ₩582.3 billion in 2024, and ₩567.5 billion in 2025 (a two-year average of -0.8%).
- Operating profit thinned from ₩21.0 billion in 2022 to ₩1.3 billion in 2025, and net profit posted a loss in 2024 and 2025.
- But in the most recent quarter the flow clearly changed.
- Q1 2026 revenue was ₩153.7 billion, up 32.1% from the same period a year earlier; the operating loss of -₩2.2 billion narrowed 57% from -₩5.2 billion a year earlier; and the net loss of -₩3.8 billion improved 59% from -₩7.0 billion a year earlier (per the 2026-05-07 quarterly report).
- Revenue rising double digits while the loss narrows quickly reads as a signal that front-end cleanroom-equipment orders are reviving and that orders are starting to be recognized as revenue.
- This year's forward P/E reflects the profit that will recover in this very process of turning from loss to surplus.
- That is, it is a value based on this year's turning profit rather than last year's weak numbers, meaning the scale and speed of the recovery are that much anticipated.
- That said, as of Q1 operating and net profit had not yet fully swung to surplus, so whether a swing to profit is actually confirmed from Q2 onward is the key checkpoint.
- Recent disclosures split two ways.
- First, cleanroom orders in the core business continue.
- It secured new work with a ₩5.07 billion cleanroom construction order for a Samsung Electronics subsidiary on 2026-05-07 and a ₩10.05 billion cleanroom and utility-equipment order for Wavice on 2026-06-05 (1.77% of 2025 revenue).
- Second, shareholder-return and capital policy.
- A 10-for-1 stock consolidation on 2026-02-20 changed the trading unit from ₩5,000 to ₩500, and on 2026-05-18 it cancelled a total of about 279,000 treasury shares (a step that improves the quality of capital).
- It also pre-announced on 2026-04-01 that it would disclose a 'shareholder-value enhancement plan' during August 2026.
- The orders show core-business recovery, the capital policy shows shareholder-return intent, and the concrete content of the value-up plan due in August is the next checkpoint.
- The key to this stock is that it is 'at the outset of a results turnaround.' The strengths are clear.
- With cleanroom orders continuing, Q1 2026 revenue grew more than 30% and the loss narrowed by more than half, heading toward a swing to profit; the value reflecting forward profit is not excessive relative to asset value (forward P/B 1.56x); and shareholder-return intent is showing through the stock consolidation, treasury-share cancellation, and pre-announced value-up plan.
- If capital investment in the core cleanroom end-markets (semiconductors, displays, secondary batteries, data centers) is reviving, the recovery pace can quicken.
- The cautions are also distinct.
- As of Q1 the swing to profit was not yet complete, and with a debt ratio of 257% and a current ratio of 98.5%, financial capacity is tight; after a steep short-term rise, volatility is high.
- In sum, on conditions where front-end CAPEX revives, a swing to profit is confirmed from Q2 onward, and the financial burden eases, the recovery momentum works strongly; conversely, if the swing to profit is delayed or front-end orders cool again, the financial burden can come into focus.
🔎 Valuation vs peers Inconclusive
Because the core business is building cleanrooms and equipment for semiconductor, display, and secondary-battery plants, a simple comparison with chip makers is difficult; similar-scale stocks within the semiconductor supply chain with confirmed data on the site were used as a supplementary peer set, on the premise that the true peers (cleanroom and equipment builders) may lie outside the sample.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| SFA Semicon | — | 1.73x | -4.05% |
| Hana Materials | 26.13x | 2.16x | 8.28% |
| Mecaro | 28.04x | 1.73x | 6.16% |
(a) Position versus peers: Shinsung E&G's P/B of 1.78x is lower than SFA Semicon (2.4), Hana Materials (2.89), and Mecaro (1.99). (b) The nature of the discount: however, this low P/B is less 'cheap' than a reflection of the loss (ROE -3.0%), the thin operating margin (0.2%), and the high debt ratio (257%). Unlike the profit-making Hana Materials and Mecaro, profitability does not yet provide support. (c) Limits of trailing and the forward basis: because net profit is a loss, last year's confirmed P/E cannot be calculated at all, so a P/E comparison is of limited meaning. Instead, there is an inflection signal in this year's Q1 revenue +32.1% and a 57% narrower loss, so it is hard to conclude from the trailing alone. The company's official forward figures (the value-up plan) are due only in August 2026, so for now only a seasonality approximation of DART confirmed quarterly results can be used as a supplement. All told, it is too early to call it undervalued because a profitability recovery is not confirmed, and it is not overvalued because the price is not heavy relative to assets, so Inconclusive is appropriate.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| Next quarter | Q2 2026 | approx. ₩182.9 billion | — | — |
Price history Close · MA20 · MA60
The latest close is ₩15,730 and the market capitalization is ₩319.4 billion. The price sits below its 20-day moving average (₩19,208) and above its 60-day moving average (₩15,563). 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 41.0, a neutral level. The one-month change is -19.4%, the three-month change is +357.9%, and the position relative to the 52-week high is -60.6%. Relative strength versus the KOSPI is 98 (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 99% of all stocks. Over the past three months it outpaced the index by 277.6%. 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 +277.58% / 6M +487.03% / 12M +335.39%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 1.39x is below the sector median (2.10x).
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
The operating margin is 0.2%. The debt ratio is 257.3%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $382.1M | $385.9M | $376.1M | -2.55% ↓ slower |
| Operating profit | $4.9M | $3.3M | $849,220 | -74.33% ↓ slower |
| Net profit | $10.8M | -$9.3M | -$4.6M | — |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $301.2M | $440.2M | $382.1M | $385.9M | $376.1M |
| Operating profit | $1.6M | $13.9M | $4.9M | $3.3M | $849,220 |
| Net profit | -$10.5M | $22.6M | $10.8M | -$9.3M | -$4.6M |
| Revenue CAGR | 4-yr avg 5.70% | ||||
Revenue fell 2.5% year over year (2023 ₩576.5 billion → 2024 ₩582.3 billion → 2025 ₩567.5 billion), and the three-year trend is 'mixed'. The rate of decline widened from the prior year. Operating profit fell 74.3% year over year. The decline widened. Over the 5 years on record, revenue compound annual growth (CAGR) is 5.7%. The two-year revenue CAGR is -0.8%. In the most recent quarter (Q1 2026), revenue was 32.1% 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
- Debt is somewhat higher than equity (debt ratio 257.3%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 98.5%).
- The most recent full year was a loss, so it is worth checking whether profitability recovers.
- Revenue fell 2.5% year over year (3-year trend: mixed).
Recent news & events searched · sourced
- 2026-06-05Update₩10.05 billion cleanroom and utility-facility construction order for Wavice (1.77% of 2025 revenue, construction period 2026-10-01 to 2027-03-31, Cheonan)A signal that orders for the core clean-environment equipment continue. With the construction period in Q4 2026 to Q1 2027, whether revenue recognition is reflected at that time needs confirmation. Source
- 2026-05-18FilingDecision to cancel a total of about 279,000 shares, including 50,418 fractional shares from the stock consolidation and previously acquired treasury shares (no reduction in capital stock)A shareholder-return step reducing the number of shares outstanding. With capital stock unchanged, it is slightly favorable to per-share value, but the scale is limited. Source
- 2026-05-07EarningsQ1 2026 preliminary results (fair disclosure): revenue of ₩153.7 billion (+32.1%), operating loss of -₩2.2 billion (narrowed 57% from -₩5.2 billion a year earlier), controlling-interest net loss of -₩2.9 billion (improved 59% from -₩7.0 billion a year earlier)A quarter in which top-line growth and a narrower loss appeared together. That said, it is not yet a swing to profit, so whether a swing to profit occurs from Q2 onward is the crux. Source
- 2026-05-07Update₩5.07 billion cleanroom expansion construction order for SEMCNS (0.89% of 2025 revenue, construction period 2026-05-07 to 2026-07-31, Cheongju)A cleanroom-expansion order from a semiconductor-component customer, in a stretch recognized as revenue in the short term over June-July. Source
- 2026-04-01IRPre-announced (board resolution) that a value-up plan would be disclosed during August 2026Concrete plans related to shareholder return and capital efficiency are due in August. With no quantitative targets at present, confirming that content is a future point. Source
- 2026-02-20Filing10-for-1 stock consolidation decision (par value ₩500 → ₩5,000, shares outstanding 206 million → 20.58 million, trading suspension 2026-04-09 to 04-30, new-share listing 2026-05-01)A consolidation to maintain an appropriate number of floating shares (not a capital reduction). Because the price notation changes tenfold, price and return metrics before and after the consolidation should not be compared directly. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Q1 2026 revenue | ₩153.7 billion | 153,688 | Confirmed | link |
| Q1 2026 operating profit/loss | -₩2.2 billion | -2,234 | Confirmed | link |
| Stock-consolidation ratio and shares outstanding | 20,584,815 | 20,584,815 | Confirmed | link |
| This year's annual revenue (seasonality approximation) | approx. ₩714.1 billion | — | Unverified | link |
Recent filings
- 2026-06-05Single supply/sales contract
- 2026-05-28Corporate governance report
- 2026-05-26OwnershipOwnership-change filing
- 2026-05-19OwnershipLargest-shareholder ownership change report
- 2026-05-18Disclosure
- 2026-05-18Amended filing
- 2026-05-14Disclosure
- 2026-05-14PeriodicQuarterly report
- 2026-05-07Single supply/sales contract
- 2026-05-07EarningsFair-disclosure notice
- 2026-05-06Disclosure
- 2026-05-06Disclosure
📖 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.