Sambo Motors is an auto-parts company that makes automotive transmission and engine parts and modules for eco-friendly vehicles and supplies them to carmakers such as Hyundai and Kia, and it also has an overseas-subsidiary structure for local supply beyond the domestic market. Revenue and operating profit have grown steadily, and over July-December 2025 it kept reducing its share-dilution burden through pre-maturity acquisitions of its convertible bonds (conversion prices of ₩5,117 and ₩4,591); at a P/E of 4.6x and a P/B of 0.22x, both earnings and assets are valued below peers. What stands out is that if carmaker demand holds up and quarterly profitability settles back in, the low valuation can come to the fore, whereas with a debt ratio of 319%, a current ratio of 89.7%, and an interest-coverage ratio of 1.1x, its financial headroom is not ample, and the -40.7% year-on-year drop in Q1 2026 operating profit shows large quarterly volatility that must be watched together.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt far exceeds equity (debt ratio 319.0%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 89.7%).
- Revenue rose 7.3% year over year, and the pace is slowing (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 4.2% higher than a year earlier.
- ROE is 4.8% (controlling-interest basis). It is below the sector average.
- Operating margin is 3.7%.
- The P/E sits below the sector median.
Ownership & governance As of 2025-12-31
Largest shareholder Lee Jae-ha 9.61% (individual)
Controlling bloc incl. related parties 38.74%
With the controlling bloc holding 39%, the ownership structure is stable.
🔎 In-depth analysis
- Sambo Motors is an auto-parts company that makes automotive transmission parts, engine-related parts, and modules for eco-friendly vehicles and supplies them to carmakers.
- Most of its income comes from supplying parts to finished-vehicle customers including Hyundai and Kia, and it also has a structure for producing and supplying parts locally through overseas subsidiaries, not just domestically.
- With a market cap of ₩97.5 billion it is not a large-cap stock, so it is worth watching not only the business trend itself but also how each disclosure, such as fundraising or a change in the share count, affects the stock price.
- The latest close is ₩3,700 and the market cap is ₩98.8 billion.
- The price sits below the 20-day line (₩4,005) and below the 60-day line (₩5,072).
- Trading under both its short- and mid-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 34.4, a neutral level.
- The one-month change is -17.6%, the three-month change is -32.9%, and the position versus the 52-week high is -59.9%.
- Relative strength versus the KOSDAQ is 62 (1-99, converting the past year's return relative to the index with more weight on recent performance; higher means stronger than the market).
- That places it in roughly the top 38% of all stocks by strength.
- Over the past three months it lagged the index by 14.5%.
- Chart reading is best done alongside trading volume and disclosure dates.
- For the most recent full year, revenue was ₩1.7 trillion, operating profit was ₩61.7 billion, and net profit was ₩20.3 billion.
- The operating margin was 3.7% and ROE (how much is earned in a year on equity) was 4.8%, around the parts-industry average.
- The P/E (how many times a year's earnings the price is) is 4.65x and the P/B (how many times book value the price is) is 0.22x, so it trades at about a quarter of book value.
- That said, the debt ratio of 319% means debt exceeds equity, and the current ratio of 89.7% means assets that can be turned into cash immediately are tight against debt due within a year, points to check together on the financial side.
- Revenue grew steadily from ₩1.44 trillion in 2023 to ₩1.57 trillion in 2024 and ₩1.68 trillion in 2025 (+7.3% year on year), and operating profit rose 13.7% to ₩61.7 billion in 2025, so the pace of increase actually accelerated.
- The top line and operating-level profitability of the core business are on an upward path.
- Net profit fell to ₩20.3 billion in 2025 from ₩43.8 billion the year before, but this was driven more by non-operating items than by weakness in the operations themselves, and the 2026 outlook net profit of ₩24.2 billion points to a recovery.
- On this year's outlook basis, revenue of about ₩1.8 trillion and net profit of ₩24.2 billion are projected, and setting these against the current price gives the forward P/E.
- In other words, this looks like a phase where the top line keeps growing while net profit, pressed for one year, turns back toward recovery, and there is no evidence that the outlook for next year and beyond falls below this year.
- Recent disclosures were pre-maturity acquisitions of convertible bonds (including overseas convertible bonds) across July, September, and December 2025 (₩1.3 billion in July at a conversion price of ₩5,117; ₩1.4 billion in September and ₩6.3 billion in December at a conversion price of ₩4,591).
- A pre-maturity acquisition is the company buying back convertible bonds it issued earlier, which can work to reduce the volume that would later convert into shares, easing the share-dilution burden.
- However, it also requires the company to spend cash, so it is worth checking subsequent disclosures while viewing the cash situation and the change in share count together.
- The strengths are clear.
- Revenue and operating profit are growing steadily, and at a P/E of 4.6x, a P/B of 0.22x, and a forward P/E below peers, both earnings and assets are valued cheaply, so the undervaluation is pronounced.
- Net profit, which fell last year, is expected to recover this year, and the pre-maturity acquisition of convertible bonds adds a move to reduce the dilution burden.
- On the other hand, with a debt ratio of 319%, a current ratio of 89.7%, and an interest-coverage ratio of 1.1x, the financial headroom is not ample, and the -40.7% year-on-year drop in Q1 2026 operating profit shows large quarter-to-quarter volatility, points to examine.
- In short, if carmaker demand holds up and quarterly profitability settles back in, the low valuation can come to the fore, while conversely, if quarterly profit swings continue or the financial burden grows, the undervaluation appeal can be buried.
🔎 Valuation vs peers Undervalued
A peer set within auto parts that is adjacent in market capitalization.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Neo Auto | 8.65x | 0.94x | 10.82% |
| Dowool | 3.55x | 0.37x | 10.44% |
| Hwaseung Corporation | 1.68x | 0.46x | 27.54% |
We looked first at a public-data peer set within auto parts that is close in market capitalization. The current P/E (how many times a year's earnings the price is) is 4.65x and the P/B (how many times book value the price is) is 0.22x. That said, smaller-cap names are heavily affected by earnings swings and fundraising disclosures, so we did not draw a firm conclusion from last year's confirmed-results metrics alone. The outlook box is based on a DART seasonality approximation.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| This year | 2026 | ₩1.8 trillion | ₩43.5 billion | ₩24.2 billion |
| Next quarter | Q2 2026 | ₩462.9 billion | ₩12.8 billion | ₩2.5 billion |
Price history Close · MA20 · MA60
The latest close is ₩3,700 and the market capitalization is ₩98.8 billion. The price sits below its 20-day moving average (₩4,005) and below its 60-day moving average (₩5,072). 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 34.4, a neutral level. The one-month change is -17.6%, the three-month change is -32.9%, and the position relative to the 52-week high is -59.9%. Relative strength versus the KOSDAQ is 62 (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 62% of all stocks. Over the past three months it lagged the index by 14.5%. 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 -14.50% / 6M -36.81% / 12M -16.36%
Key metrics vs sector median
Valuation
The P/E of 4.65x is below the sector median (7.76x). The P/B of 0.22x is below the sector median (0.56x). Both metrics are low versus peers, so the price is not expensive relative to earnings and assets.
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 4.8%, below the sector average (7.0%). The operating margin is 3.7%. The debt ratio is 319.0%, so the financial structure is somewhat high.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $954.8M | $1.0B | $1.1B | +7.26% ↓ slower |
| Operating profit | $34.2M | $36.0M | $40.9M | +13.74% ↑ faster |
| Net profit | $19.8M | $29.0M | $13.4M | -53.76% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $682.5M | $795.2M | $954.8M | $1.0B | $1.1B |
| Operating profit | $11.0M | $15.2M | $34.2M | $36.0M | $40.9M |
| Net profit | $8.5M | $14.2M | $19.8M | $29.0M | $13.4M |
| Revenue CAGR | 4-yr avg 13.09% | ||||
Revenue rose 7.3% year over year (2023 ₩1.4 trillion → 2024 ₩1.6 trillion → 2025 ₩1.7 trillion), and the three-year trend is 'rising'. That said, the pace of growth slowed from the prior year. Operating profit rose 13.7% year over year. Profit is growing at an accelerating pace. Over the 5 years on record, revenue compound annual growth (CAGR) is 13.1%. The two-year revenue CAGR is 8.1%. In the most recent quarter (Q1 2026), revenue was 4.2% 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 far exceeds equity (debt ratio 319.0%).
- Assets that can be turned to cash within a year fall short of near-term liabilities (current ratio 89.7%).
- Revenue rose 7.3% year over year, and the pace is slowing (3-year trend: rising).
Recent news & events searched · sourced
- 2025-12-01UpdateAcquisition of convertible bonds (including overseas convertible bonds) before maturity after issuance: bond-related amount ₩6.3 billion, conversion price ₩4,591A disclosure where the purpose of the capital inflow and the change in share count must be viewed together. When facility or operating purposes are stated, the key is whether the investment is actually carried out and connects to revenue. Source
- 2025-09-01UpdateAcquisition of convertible bonds (including overseas convertible bonds) before maturity after issuance: bond-related amount ₩1.4 billion, conversion price ₩4,591A disclosure where the purpose of the capital inflow and the change in share count must be viewed together. When facility or operating purposes are stated, the key is whether the investment is actually carried out and connects to revenue. Source
- 2025-07-15UpdateAcquisition of convertible bonds (including overseas convertible bonds) before maturity after issuance: bond-related amount ₩1.3 billion, conversion price ₩5,117A disclosure where the purpose of the capital inflow and the change in share count must be viewed together. When facility or operating purposes are stated, the key is whether the investment is actually carried out and connects to revenue. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Closing price | ₩3,700 | ₩3,700 | Confirmed | link |
| Latest quarterly results | revenue ₩429.3 billion, operating profit ₩13.8 billion | revenue ₩429.3 billion, operating profit ₩13.8 billion | Confirmed | link |
| Annual results | revenue ₩1.7 trillion, operating profit ₩61.7 billion | revenue ₩1.7 trillion, operating profit ₩61.7 billion | Confirmed | link |
| Fundraising disclosure (original text) | : ₩6.3 billion · ₩4,591 | : ₩6.3 billion · ₩4,591 | Confirmed | link |
| Fundraising disclosure (original text) | : ₩1.4 billion · ₩4,591 | : ₩1.4 billion · ₩4,591 | Confirmed | link |
| Fundraising disclosure (original text) | : ₩1.3 billion · ₩5,117 | : ₩1.3 billion · ₩5,117 | Confirmed | link |
| Outlook box basis | DART | DART | Confirmed | link |
Recent filings
- 2026-05-29Disclosure
- 2026-05-15PeriodicQuarterly report
- 2026-03-26Shareholders' meeting notice
- 2026-03-26Disclosure
- 2026-03-23PeriodicAnnual business report (amended)
- 2026-03-18Audit report
- 2026-03-18PeriodicAnnual business report
- 2026-03-18Amended filing
- 2026-03-11Shareholders' meeting notice
- 2026-02-25DividendCash/stock dividend decision (amended)
- 2026-02-24DividendCash/stock dividend decision
- 2026-02-24EarningsEarnings 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.