Cho-il Aluminium is a primary-metals company that buys aluminium ingot and rolls and processes it into sheet and coil for sale, a classic materials-processing business whose results hinge on the aluminium price, the won exchange rate, and downstream demand. A February 2026 earnings-change filing and the March annual report confirmed full-year operating profit of ₩13.8 billion and net profit of ₩8.0 billion, and the May quarterly report then disclosed Q1 operating profit of ₩13.1 billion and net profit of ₩10.0 billion, pointing to improving earnings. What stands out lately is a two-sided picture: on the strong side, quarterly profit is rising again and, at a P/B of 0.57x, the stock trades cheaply relative to net assets, so valuation is not a heavy burden; on the cautious side, the core business is sensitive to aluminium prices and downstream demand, so if margin gains stall the premise behind forecast earnings could waver, and the 196.2% debt ratio could weigh on the company if industry conditions deteriorate.
At-a-glance assessment financial health · growth · profitability · valuation
- Revenue fell 84.8% year over year (3-year trend: falling).
- Most recent quarter (Q1 2026) revenue was 0.4% higher than a year earlier.
- ROE is 3.8% (total-net basis). It is above the sector average.
- Operating margin is 81226.3%.
Ownership & governance As of 2025-12-31
Largest shareholder Lee Young-ho 18.06% (individual)
Controlling bloc incl. related parties 41.98%
With the controlling bloc holding 42%, the ownership structure is stable.
🔎 In-depth analysis
- Cho-il Aluminium is a primary-metals company whose core business is rolling aluminium into thin sheet or coil.
- It buys aluminium ingot (raw metal blocks), then rolls and processes it into sheet and coil for sale, making it a classic materials-processing business whose results are driven by the aluminium price, the exchange rate, and downstream demand (materials for autos, building products, and electronics).
- As a small-to-mid-cap with a market capitalization of ₩120.3 billion, it is worth watching not only the underlying business trend but also how a single filing (a capacity expansion, a contract, or a financing) affects its finances.
- The latest close is ₩886 and the market capitalization is ₩112.2 billion.
- The price sits below both the 20-day line (₩1,012) and the 60-day line (₩1,361).
- Trading beneath both the short- and medium-term moving averages, the trend is subdued.
- The RSI (a supplementary gauge that weighs upward versus downward force over the past 14 days on a 0-100 scale) is 26.1, near oversold territory.
- The one-month change is -20.9%, the three-month change is -42.0%, and the price is -54.6% from its 52-week high.
- Relative strength versus the KOSPI is 5 (on a 1-99 scale that converts the past year's return against the index with heavier weight on recent performance; higher means stronger than the market).
- That places it in roughly the top 96% of all stocks by strength.
- Over the past three months it lagged the index by 51.5%.
- It helps to read the chart alongside trading volume and the dates of filings.
- The current P/E (how many times one year's earnings the price represents) is 14.06x and the P/B (how many times book value the price represents) is 0.54x.
- A P/B of 0.57x means the shares trade at a little over half the company's net assets (equity) — in itself not a burdensome level, but rather cheap relative to assets.
- The trailing P/E (based on last year's confirmed results) looks somewhat high because earnings are at an inflection point, bottoming out and turning up; the forward P/E, which reflects expected earnings, is clearly lower than the peer group.
- ROE (how much the company earns in a year on its equity) is 3.8%, above the peer average but not high in absolute terms, and the debt ratio (debt relative to equity) is 196.2%, reflecting the working-capital demands typical of materials processing.
- On balance, profitability is average and, on an asset and forward-earnings basis, the valuation leans toward undervalued.
- The multi-year revenue trend reads as slowing, but the more important signal lies in the most recent quarter.
- In Q1 2026, operating profit rose 9.6% and net profit rose 18.7% year on year, so earnings turned upward again.
- Revenue was almost flat while profit climbed double digits, which means the spread between raw-material cost and selling price, or cost efficiency, is improving and margins are getting better.
- This year's forecast points to operating profit of about ₩57.0 billion and net profit of about ₩42.0 billion, figures that assume the Q1 earnings trend and a recovery in aluminium-processing margins carry on.
- Measured against the current share price, that forecast earnings pulls the forward P/E down, which reads as the earnings recovery not yet being fully reflected in the price.
- That said, because the core business is sensitive to aluminium prices and downstream demand, whether the margin improvement is temporary or a genuine trend needs to be confirmed with next quarter's results.
- Recent filings center on results.
- The February 5, 2026 earnings-change filing set out full-year operating profit of ₩13.8 billion and net profit of ₩8.0 billion, and the March 12, 2026 annual report (for 2025.12) confirmed the same annual figures.
- The May 15, 2026 quarterly report (for 2026.03) then disclosed Q1 operating profit of ₩13.1 billion and net profit of ₩10.0 billion, revealing the improving earnings trend.
- When reading these filings, it helps to check whether this profit points in the same direction as the annual trend and whether any one-off factors are mixed in.
- The details can be confirmed in the original text of each filing.
- The strengths are clear.
- Quarterly profit is rising again, the P/B of 0.57x is cheap relative to net assets, and the forward P/E is low once the earnings recovery is taken into account.
- The price, too, is below half its 52-week high, so valuation is not a heavy burden.
- In other words, if the recovery in aluminium-processing margins continues and the Q1 earnings trend hardens into a trend, undervaluation becomes attractive on both an asset and a forward-earnings basis.
- The weaker condition is the business's cyclical sensitivity.
- If aluminium prices or downstream demand turn down and margin gains stall, the premise behind forecast earnings could waver, and the 196.2% debt ratio could act as a working-capital burden when industry conditions worsen.
- In short, this is a materials-type stock that is strong when margins and demand hold up and weaker when the aluminium cycle cools.
🔎 Valuation vs peers Undervalued
A comparison set within steel and primary metals whose market capitalizations are close to the company's.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Dongkuk Industries | — | 0.33x | -2.69% |
| KBI Dongyang Steel Pipe | — | 0.81x | -2.19% |
| Korea Cast Iron Pipe Ind. | 8.63x | 0.40x | 4.69% |
We looked first at a public-data comparison set within steel and primary metals whose market capitalizations are close. The current P/E (how many times one year's earnings the price represents) is 14.06x and the P/B (how many times book value the price represents) is 0.54x. That said, because lower-market-cap stocks are heavily affected by earnings swings and financing filings, we did not draw firm conclusions from last year's confirmed-results metrics alone. The basis for the forecast box is a DART seasonality approximation.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| This year | 2026 | 1,368 | ₩57.0 billion | ₩42.0 billion |
| Next quarter | Q2 2026 | 458 | ₩17.1 billion | ₩12.1 billion |
Price history Close · MA20 · MA60
The latest close is ₩886 and the market capitalization is ₩112.2 billion. The price sits below its 20-day moving average (₩1,012) and below its 60-day moving average (₩1,361). 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 26.1, near oversold territory. The one-month change is -20.9%, the three-month change is -42.0%, and the position relative to the 52-week high is -54.6%. Relative strength versus the KOSPI is 5 (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 4% of all stocks. Over the past three months it lagged the index by 51.5%. 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 -51.53% / 6M -58.47% / 12M -75.38%
Key metrics vs sector median
Valuation
The P/E of 14.06x is in line with the sector median (16.39x). The P/B of 0.54x is in line with 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 3.8%, above the sector average (2.0%). The operating margin is 81226.3%. The debt ratio is 196.2%, so the financial structure is moderate.
Growth FY2025 · annual report (separate)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $74,878 | $74,017 | $11,256 | -84.79% ↓ slower |
| Operating profit | $5.6M | $13.3M | $9.1M | -31.39% ↓ slower |
| Net profit | -$89,015 | $7.3M | $5.3M | -27.38% |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $309.5M | $372.7M | $74,878 | $74,017 | $11,256 |
| Operating profit | $12.1M | $10.5M | $5.6M | $13.3M | $9.1M |
| Net profit | $10.4M | $11.8M | -$89,015 | $7.3M | $5.3M |
| Revenue CAGR | 4-yr avg -92.23% | ||||
Revenue fell 84.8% year over year (2023 ₩112,976,563 → 2024 ₩111,678,079 → 2025 ₩16,983,726), and the three-year trend is 'falling'. The rate of decline widened from the prior year. Operating profit fell 31.4% year over year. The decline widened. Over the 5 years on record, revenue compound annual growth (CAGR) is -92.2%. The two-year revenue CAGR is -61.2%. In the most recent quarter (Q1 2026), revenue was 0.4% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- —
Points to watch
- Revenue fell 84.8% year over year (3-year trend: falling).
Recent news & events searched · sourced
- 2026-02-05EarningsChange of 30% or more in revenue or profit structure (15% for large corporations): full-year revenue ₩169.8 million, operating profit ₩13.8 billion, net profit ₩8.0 billionThis is recent confirmed or preliminary earnings material. Check whether it points in the same direction as the annual trend and whether any one-off factors are present. Source
- 2026-05-15EarningsQuarterly report (2026.03): Q1 2026 revenue ₩3.86 million, operating profit ₩13.1 billion, net profit ₩10.0 billionThis is recent confirmed or preliminary earnings material. Check whether it points in the same direction as the annual trend and whether any one-off factors are present. Source
- 2026-03-12EarningsAnnual report (2025.12): revenue ₩419, operating profit ₩13.8 billion, net profit ₩8.0 billionThis is recent confirmed or preliminary earnings material. Check whether it points in the same direction as the annual trend and whether any one-off factors are present. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Closing price | ₩886 | ₩886 | Confirmed | link |
| Latest quarterly results | revenue 386, operating profit ₩13.1 billion | revenue 386, operating profit ₩13.1 billion | Confirmed | link |
| Annual results | revenue 1,698, operating profit ₩13.8 billion | revenue 1,698, operating profit ₩13.8 billion | Confirmed | link |
| Earnings filing (original text) | revenue30%: revenue 1,698 · operating profit ₩13.8 billion · net profit ₩8.0 billion | revenue30%: revenue 1,698 · operating profit ₩13.8 billion · net profit ₩8.0 billion | Confirmed | link |
| Earnings filing (original text) | (2026.03): 2026 1 revenue 386 · operating profit ₩13.1 billion · net profit ₩10.0 billion | (2026.03): 2026 1 revenue 386 · operating profit ₩13.1 billion · net profit ₩10.0 billion | Confirmed | link |
| Earnings filing (original text) | (2025.12): revenue ₩419 · operating profit ₩13.8 billion · net profit ₩8.0 billion | (2025.12): revenue ₩419 · operating profit ₩13.8 billion · net profit ₩8.0 billion | Confirmed | link |
| Forecast box basis | DART | DART | Confirmed | link |
Recent filings
- 2026-05-29Corporate governance report
- 2026-05-15PeriodicQuarterly report
- 2026-03-20Disclosure
- 2026-03-20Shareholders' meeting notice
- 2026-03-12PeriodicAnnual business report
- 2026-03-12Audit report
- 2026-03-05Shareholders' meeting notice
- 2026-03-05Shareholders' 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.