Jinsung T.E.C makes undercarriage components that let construction and mining machinery such as excavators and bulldozers roll across the ground, and it draws on both new-equipment (OEM) volume and replacement demand for worn parts as an export-focused company. Last year it rebounded to full-year revenue of ₩463.8 billion and operating profit of ₩47.9 billion, kept up a dividend of ₩330 per share (payout ratio of about 20%), and with first-quarter recovery results confirmed it is priced at a P/E of 5.9x and a P/B of 0.87x on this year's basis, below its peer set. What stands out most is that when replacement demand for wear parts underpins the base and the downstream construction and mining cycle plus exchange rates are favorable, the recovered earnings and low valuation shine together, whereas if the downstream cycle turns down the cyclical nature widens the swings in earnings and exercise of exchange rights could increase the share count.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt ratio, current ratio and interest burden all look healthy.
- Revenue rose 18.8% year over year, and the pace is quickening (3-year trend: mixed).
- Most recent quarter (Q1 2026) revenue was 28.0% higher than a year earlier.
- ROE is 11.0% (controlling-interest basis). It is above the sector average.
- Operating margin is 10.3%.
- The forward P/E sits below the sector median.
Ownership & governance As of 2025-12-31
Largest shareholder Yoon Woo-seok 14.98% (individual)
Controlling bloc incl. related parties 37.28%
With the controlling bloc holding 37%, the ownership structure is stable.
🔎 In-depth analysis
- Jinsung T.E.C makes undercarriage components that let construction and mining machinery such as excavators and bulldozers roll across the ground.
- Its main products include track rollers that act as the wheels of tracked (crawler) machines, idlers that support the track at the front, and track chains that link the track.
- Because these parts wear quickly and must be replaced on a regular basis, demand comes not only from new-equipment volume (OEM) but also steadily from replacement work when in-service machines are serviced.
- A large share of revenue is exports to major overseas construction-equipment makers, so results move up in step whenever the global construction and mining investment cycle and exchange rates are favorable.
- The latest close is ₩13,020 and market capitalization is ₩286.9 billion.
- The price sits below both the 20-day line (₩14,308) and the 60-day line (₩15,960).
- Trading below both its short- and medium-term moving averages, the trend is on the soft side.
- The RSI (an indicator that gauges upward versus downward momentum over the last 14 days on a 0-100 scale) is 39.6, a neutral level.
- The one-month change is -9.7%, the three-month change is -17.8%, and the price is -36.6% from its 52-week high.
- Relative strength against the KOSDAQ is 76 (on a 1-99 scale, computed from returns over the past year against the index with more weight on recent performance; higher means stronger than the market).
- Among all listed names it sits in roughly the top 24% by strength.
- Over the last three months it lagged the index by 0.2%.
- Chart readings are best viewed alongside trading volume and disclosure dates.
- On confirmed full-year figures (2025), the P/E (how many times one year's earnings the price is worth) is 8.79x and the P/B (price relative to net assets) is 0.96x, meaning the price is set at almost exactly the value of net assets.
- The ROE (how much is earned in a year on shareholders' equity) is 11.0%, above the peer average, while an operating margin of 10.3% and a net margin of 7.0% point to solid profitability.
- The debt ratio is 172.8%, which looks high on the number alone, but with a current ratio of 172% and interest coverage of 3.3x there is room to cover short-term obligations and interest.
- One point to note is that the P/E above is on a trailing (last-year) basis.
- Since first-quarter earnings this year rose sharply, the forward P/E on a this-year basis comes down to 5.9x.
- In a phase where earnings are recovering quickly, the this-year basis shows the company's real worth better than last year's number, and at 5.9x it is on the low side even versus the peer set, closer to a signal that it is cheaply priced than a 'burden'.
- Over five years revenue moved up and down with the construction-equipment cycle: ₩438.3 billion in 2021, ₩541.0 billion in 2022, ₩485.1 billion in 2023, ₩390.5 billion in 2024 and ₩463.8 billion in 2025.
- Operating profit likewise fell from ₩66.3 billion in 2022 to ₩24.4 billion in 2024 before recovering to ₩47.9 billion (+96%) in 2025.
- The starting point is that this is not a company that grows smoothly in one direction but a cyclical business tied to the downstream cycle.
- Then in the first quarter of 2026 the tone of the recovery grew clearer still, with revenue of ₩136.4 billion (+28.0% year on year), operating profit of ₩12.9 billion (+42.8%) and net profit of ₩13.9 billion (+110.5%).
- There are grounds to read this recovery as a trend rather than a one-off bounce.
- Replacement demand for wear parts underpins the base and cushions revenue swings; new-equipment volume is attaching again as the 2024 trough passes; and profitability (a double-digit operating margin restored) is improving faster than revenue, so operating leverage is coming back to life.
- As this demand, pricing and utilization flow combines, this-year (forward) earnings form a step above last year's, and the forward P/E reflecting it comes down to 5.9x.
- On the five-year path this year is a phase recovering from the 2024 trough rather than a point that could be called a cycle peak, and thanks to the base of replacement demand there is at present no basis to view next year's earnings as bending down from this year's.
- Recent disclosures center on periodic reporting and shareholder returns.
- The May quarterly report confirmed the first-quarter recovery results, and the March business report wrapped up last year's rebound to full-year revenue of ₩463.8 billion and operating profit of ₩47.9 billion.
- In March the company decided on a cash dividend (₩330 per share, payout ratio of about 20%), keeping up shareholder returns even past a year of lower earnings.
- Meanwhile, from last year into this year there were several disclosures of exercise of exchange rights on exchangeable bonds; because bonds turning into shares can increase the share count, it is worth watching for any dilution of existing holders' stakes.
- Disclosures that directly show future revenue, such as order wins or forward business plans, were not confirmed in this period.
- This is a name with clear strengths.
- Undercarriage parts are wear consumables, so replacement demand underpins the base; on top of a supply base to global equipment makers, an ROE of 11% and a dividend are added; and with first-quarter earnings recovering quickly, on a this-year basis the P/E is 5.9x and the P/B 0.87x, below the peer set.
- Earnings are improving while the share price sits 34% below its high, so this reads as a phase where the gap between worth and price has widened.
- There are points to watch alongside this.
- Revenue is a cyclical structure tied to the downstream construction and mining cycle and exchange rates, so the swings in quarterly results are large, and exercise of exchange rights could increase the share count.
- In sum, in a phase where replacement demand underpins the base and the downstream equipment cycle and exchange rates are favorable, it is a strong structure where recovered earnings and low valuation shine together; conversely, if the downstream cycle turns down, it also carries a weaker phase in which the swings in earnings widen.
🔎 Valuation vs peers Undervalued
Rather than a simple industry code (machinery and equipment), peers were chosen as companies actually adjacent within the construction-equipment value chain, viewing DY Power (hydraulic cylinders), which makes the same excavator parts, alongside HD Hyundai Construction Equipment, the finished-machine side to which Jinsung T.E.C supplies parts.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| DY Power | 4.81x | 0.39x | 8.04% |
| HD Hyundai Construction Equipment | 58.44x | 3.22x | 5.51% |
Within the same construction-equipment value chain, its multiple is somewhat higher than that of the component peer DY Power, but its higher ROE (11.0% vs. 8.0%) and stronger revenue growth give grounds for that premium. Conversely, compared with HD Hyundai Construction Equipment, which makes finished machines, both P/E and P/B are much lower, placing it in discount territory. That said, it matters that the displayed P/E of 10.4x is on a 'confirmed last-year (2025) results' basis. Since first-quarter earnings this year rose sharply, on a forward basis applying this year's operating profit gauged from seasonality (about ₩44.7 billion) it comes down to roughly the 7x range (an approximation, not the company's official outlook). All told, its position versus peers tilts toward undervalued, but given the cyclical nature of the business, if the cycle turns down earnings fall with it and the multiple could climb back up, so rather than declaring it 'cheap' the durability of the recovery should be watched alongside.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| Next quarter | Q2 2026 | approx. ₩134.0 billion | approx. ₩12.3 billion | approx. ₩10.7 billion |
Price history Close · MA20 · MA60
The latest close is ₩13,020 and the market capitalization is ₩286.9 billion. The price sits below its 20-day moving average (₩14,308) and below its 60-day moving average (₩15,960). 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 39.6, a neutral level. The one-month change is -9.7%, the three-month change is -17.8%, and the position relative to the 52-week high is -36.6%. Relative strength versus the KOSDAQ is 76 (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 76% of all stocks. Over the past three months it lagged the index by 0.2%. 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 -0.16% / 6M +13.18% / 12M +18.59%
Key metrics vs sector median
Valuation
The P/E of 8.79x is below the sector median (14.44x). The P/B of 0.96x is below the sector median (1.44x). 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 11.0%, above the sector average (5.0%). The operating margin is 10.3%. The debt ratio is 172.8%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $321.5M | $258.8M | $307.4M | +18.77% ↑ faster |
| Operating profit | $26.2M | $16.2M | $31.8M | +96.15% ↑ faster |
| Net profit | $18.8M | $13.9M | $21.6M | +55.73% ↑ faster |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $290.5M | $358.6M | $321.5M | $258.8M | $307.4M |
| Operating profit | $16.8M | $44.0M | $26.2M | $16.2M | $31.8M |
| Net profit | $11.3M | $30.1M | $18.8M | $13.9M | $21.6M |
| Revenue CAGR | 4-yr avg 1.42% | ||||
Revenue rose 18.8% year over year (2023 ₩485.1 billion → 2024 ₩390.5 billion → 2025 ₩463.8 billion), and the three-year trend is 'mixed'. The pace of growth also quickened from the prior year. Operating profit rose 96.2% year over year. Profit is growing at an accelerating pace. Over the 5 years on record, revenue compound annual growth (CAGR) is 1.4%. The two-year revenue CAGR is -2.2%. In the most recent quarter (Q1 2026), revenue was 28.0% 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.
- ROE of 11.0% points to solid profitability.
- Revenue grew 18.8% year over year, a sign of growth.
- The balance sheet is stable in terms of debt and liquidity.
Points to watch
- The figures shown are based on the last annual report as of the writing date, so it is best to review the latest quarterly results and filings alongside them.
Recent news & events searched · sourced
- 2026-05-15UpdateFiling of the Q1 2026 quarterly report — revenue ₩136.4 billion, operating profit ₩12.9 billion, a recovery versus the same period last yearShort term: the first-quarter earnings recovery is confirmed in the numbers, backing the improving results trend. Medium term: whether this pace carries through to the full year is the crux. Source
- 2026-03-16UpdateFiling of the 2025 business report — full-year revenue ₩463.8 billion and operating profit ₩47.9 billion, confirming a rebound versus the prior yearMedium term: officially confirms a full-year recovery out of the 2024 weakness. A baseline for gauging whether the trough of the five-year cyclical path has been passed. Source
- 2026-03-06DividendCash-dividend decision — ₩330 per share, payout ratio of about 20%, maintaining shareholder returnsShort term: a cash return at a dividend yield of about 2.1%. Medium term: whether it has the capacity to keep paying dividends even in years when earnings decline needs to be checked. Source
- 2026-05-19UpdateExercise of exchange rights on exchangeable bonds — possible increase in the share count (dilution) from bonds converting to sharesShort term: scope for per-share dilution as the number of issued shares rises. Medium term: uncertainty narrows once the remaining exercisable balance is cleared. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| 2025 full-year revenue (confirmed) | ₩463.8 billion | ₩463.8 billion | Confirmed | link |
| Q1 2026 operating profit (confirmed) | ₩12.9 billion | ₩12.9 billion | Confirmed | link |
| Cash dividend per share | ₩330 | ₩330 | Confirmed | link |
| 2026 full-year operating profit (seasonality approximation) | approx. ₩44.7 billion | — | Unverified | link |
Recent filings
- 2026-05-19Disclosure
- 2026-05-15PeriodicQuarterly report
- 2026-05-08Disclosure
- 2026-04-01OwnershipOwnership-change filing
- 2026-03-26Shareholders' meeting notice
- 2026-03-16PeriodicAnnual business report
- 2026-03-12Audit report
- 2026-03-12Disclosure
- 2026-03-11Shareholders' meeting notice
- 2026-03-06DividendCash/stock dividend decision
- 2026-03-06Shareholders' meeting notice
- 2026-02-20OwnershipOwnership-change filing
📖 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.