HB Technology sells equipment that catches and fixes defects before screens and components are finished. Its core products are AOI (automated optical inspection) equipment that inspects fine defects in display panels, and laser repair equipment, and it also supplies secondary-battery and semiconductor inspection equipment as well as parts such as light guide plates. Its main customers are large firms including Samsung Display, Samsung Electronics, and BOE. Its March business report confirmed a swing to operating and net profit in 2025, and its May quarterly report confirmed 21% revenue growth in Q1, placing it in a recovery phase. Recent points worth noting: the forward P/E re-set on core-business profit is below the peer-group median and the P/B of 0.75x sits below net asset value, a clear sign of being undervalued. On the other hand, the durability of the revenue recovery and the thin 3.9% operating margin need one more quarter of confirmation.
At-a-glance assessment financial health · growth · profitability · valuation
- Operating profit barely covers the interest bill (interest coverage below 1x).
- Revenue fell 1.3% year over year (3-year trend: mixed).
- Net profit swung from a loss a year earlier back into the black (a turnaround).
- Most recent quarter (Q1 2026) revenue was 21.0% higher than a year earlier.
- ROE is 10.0% (controlling-interest basis). It is above the sector average.
- Operating margin is 3.9%.
- The P/E sits below the sector median.
Ownership & governance As of 2025-12-31
Largest shareholder HB Corp 13.54% (corporate)
Controlling bloc incl. related parties 26.67%
With the controlling bloc holding 27%, control is maintained but the free float is relatively large.
🔎 In-depth analysis
- HB Technology sells equipment that catches and fixes defects before screens and components are finished.
- Its mainstays are AOI (automated optical inspection) equipment that uses cameras to automatically inspect fine defects in display panels, and repair equipment that trims the discovered defects with lasers to salvage the panel.
- Alongside these it also supplies secondary-battery (battery) exterior inspection equipment, semiconductor inspection equipment, and parts and materials such as light guide plates and diffusers that spread light evenly behind the screen.
- Its main customers are large panel and set makers such as Samsung Display, Samsung Electronics, and China's BOE, and the structure is one where equipment orders rise together whenever customers invest in OLED or new lines.
- Recently, semiconductor glass-substrate inspection equipment is cited as a new growth axis.
- The latest close is ₩1,912 and the market cap is ₩177.3 billion.
- The price sits below the 20-day line (₩2,414) and below the 60-day line (₩3,017).
- Being under both the short- and mid-term moving averages, the trend is on the subdued side.
- The RSI (an indicator that gauges the strength of up-moves versus down-moves over the past 14 days on a 0-100 scale) is 31.7, a neutral level.
- The one-month change is -31.5%, the three-month change is -9.2%, and the position versus the 52-week high is -61.5%.
- Relative strength against the KOSDAQ is 73 (on a 1-99 scale, calculated from 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 27% of all stocks by strength.
- Over the past three months it led the index by 13.6%.
- Chart reading is best done alongside volume and the dates of disclosures.
- The P/E (how many times one year's profit the price represents) is 6.24x and the P/B (how many times the company's net assets the price represents) is 0.62x, so the price is low against both profit and assets.
- ROE (how much is earned in a year on equity) is 10.0%, above the sector average.
- One distinction is worth making here.
- The P/E of 7.54x is based on profit already confirmed last year (trailing), but a large part of the 2025 net profit (₩28.4 billion) came from outside the core business (investment, valuation, and other non-operating items).
- So last year's number alone is hard to read as a core-business price tag.
- In such cases the forward P/E, recalculated on the profit to be earned this year, is the more accurate picture, and that figure falls below the median of the same equipment peer group.
- In other words, it is not just that the surface P/E looks low; even after stripping out one-off gains and re-marking on this year's core-business profit alone, it still sits in a cheap spot versus peers.
- The debt ratio (debt against equity) is 134%, not excessive.
- That said, the operating margin is still not thick at 3.9%, and the interest coverage ratio (capacity to cover interest with operating profit) is below 1.0x, so whether the core-business margin thickens is worth watching alongside.
- The top line is turning toward recovery.
- Annual revenue went ₩111.6 billion in 2023, ₩162.4 billion in 2024, and ₩160.3 billion in 2025; after jumping sharply in 2024 it eased 1.3% in 2025 to catch its breath, but on a two-year average the trend is growth of nearly 20%.
- On the profit side the direction is clearer.
- Operating profit swung from losses in 2023 and 2024 (-₩22.1 billion and -₩16.5 billion respectively) to a ₩6.2 billion profit in 2025, and net profit swung from -₩51.6 billion in 2024 to +₩28.4 billion in 2025.
- Q1 2026 revenue was ₩36.3 billion, up 21% from the same period a year earlier, showing that the recovery out of the loss-making tunnel is gathering pace.
- The forward P/E on this year's profit already reflects this core-business recovery.
- With customers' OLED and new-line investment plus the newly cited glass-substrate inspection equipment feeding into equipment orders, and coming right after crossing from a year of losses into profit, the company is entering a phase where this year's core-business profit thickens relative to last year.
- It takes one more quarter to conclude the top line has fully escaped stagnation, but the direction of revenue and profit and the double-digit Q1 growth point toward recovery.
- Recent disclosures fall into two strands.
- One relates to shareholder returns and supply/demand: in May 2026 the company disclosed a decision to dispose of treasury shares via a material-event report, and it continues to pay an annual dividend of ₩20 (a dividend yield of about 0.7%).
- Treasury-share disposal is a variable that can increase the volume coming to market in the short term.
- The other is the earnings trend: the March 2025 business report confirmed a joint swing to operating and net profit, and the May quarterly report confirmed 21% revenue growth in Q1.
- There were also governance and operations disclosures in March, including the regular general meeting, appointment of an outside director, and a change in the head-office location.
- The strengths are clear.
- In the single field of display, secondary-battery, and semiconductor inspection equipment, it holds large customers such as Samsung Display, Samsung Electronics, and BOE; on top of a 2025 that swung to both operating and net profit, Q1 2026 revenue grew double digits, placing it in a recovery phase.
- Above all, the price sits in a cheap spot.
- After stripping out one-off gains and re-marking on this year's core-business profit, the forward P/E is below the median of the same equipment peer group, so the sign of being undervalued is clear not on the surface but on a core-business basis.
- The P/B, at 0.75x, is also below net asset value.
- There are points to watch as well.
- Whether revenue has fully escaped stagnation needs one more quarter of confirmation, and the core operating margin (3.9%) is still thin, leaving interest coverage below 1.0x.
- In short, this stock is strong when customers' OLED, new-line, and glass-substrate investment feeds into equipment orders and the core-business margin thickens, and weak when the panel investment cycle cools, orders stall, and only the thin core-business margin remains.
🔎 Valuation vs peers Inconclusive
We chose the comparison set by business substance as display and semiconductor inspection and process equipment. Jusung Engineering, in the same equipment space, and Simmtech, a semiconductor substrate and parts maker adjacent to the glass-substrate inspection theme, are used as reference names.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Jusung Engineering | 208.36x | 12.60x | 6.05% |
| Simmtech | 0.00x | 7.67x | -28.52% |
Jusung Engineering, in the same equipment space, carries high multiples of a 276x P/E and 16.7x P/B, and Simmtech, tied to the glass-substrate theme, also carries a P/B in the 8x range. Against those, HB Technology's 8.96x P/E and 0.89x P/B are a deep discount on the surface. However, this trailing P/E uses profit already confirmed last year in the denominator, and a large share of that profit was one-off in nature, coming from outside operations (investment, valuation, and the like), so it is limited as a core-business price tag. Looking at core operating profit alone (₩6.2 billion), the felt multiple rises much higher, and the forward basis adjusted for this year's profit is also somewhat higher than trailing. The surface multiple looks cheap, but the quality and durability of the profit must be confirmed for the discount to be justified, so rather than concluding it is cheap, we leave it inconclusive.
Price history Close · MA20 · MA60
The latest close is ₩1,912 and the market capitalization is ₩177.3 billion. The price sits below its 20-day moving average (₩2,414) and below its 60-day moving average (₩3,017). 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 31.7, a neutral level. The one-month change is -31.5%, the three-month change is -9.2%, and the position relative to the 52-week high is -61.5%. Relative strength versus the KOSDAQ is 73 (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 73% of all stocks. Over the past three months it outpaced the index by 13.6%. 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 +13.61% / 6M +10.15% / 12M -0.45%
Key metrics vs sector median
Valuation
The P/E of 6.24x is below the sector median (14.44x). The P/B of 0.62x is below the sector median (1.44x). 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.
Intrinsic value (DCF estimate)
DCF (discounted cash flow) estimate — discount rate 10.1%, initial growth 4.0%→terminal 2.0%, 10-yr forecast, earnings-based. A reference range that shifts materially with assumptions.
Profitability & financials
Return on equity (ROE) is 10.0%, above the sector average (5.0%). The operating margin is 3.9%. The debt ratio is 134.1%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $74.0M | $107.6M | $106.2M | -1.27% ↓ slower |
| Operating profit | -$14.6M | -$10.9M | $4.1M | — |
| Net profit | $52.6M | -$34.2M | $18.8M | — |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $105.3M | $98.1M | $74.0M | $107.6M | $106.2M |
| Operating profit | -$14.9M | $4.5M | -$14.6M | -$10.9M | $4.1M |
| Net profit | $7.6M | $18.0M | $52.6M | -$34.2M | $18.8M |
| Revenue CAGR | 4-yr avg 0.22% | ||||
Revenue fell 1.3% year over year (2023 ₩111.6 billion → 2024 ₩162.4 billion → 2025 ₩160.3 billion), and the three-year trend is 'mixed'. The rate of decline widened from the prior year. Over the 5 years on record, revenue compound annual growth (CAGR) is 0.2%. The two-year revenue CAGR is 19.8%. In the most recent quarter (Q1 2026), revenue was 21.0% 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.
Points to watch
- Revenue fell 1.3% year over year (3-year trend: mixed).
Recent news & events searched · sourced
- 2026-05-27FilingDisclosed a decision to dispose of treasury shares via a material-event report (a shareholder-return and supply/demand matter)A variable that can increase market float in the short term and thereby affect supply and demand. Source
- 2026-05-15EarningsQ1 2026 quarterly report filed — revenue of ₩36.3 billion, up 21% year on yearA signal that the top-line recovery is gaining pace (mid-term positive); however, Q1 operating profit was in the ₩0.5 billion range, so the core-business margin is still thin. Source
- 2026-03-16Earnings2025 business report filed — a joint swing to operating and net profit confirmedA turn in the direction of profit as it emerges from losses (mid-term positive); note that a large part of net profit arose outside operations. Source
- 2026-03-24DividendRegular general meeting approved an annual dividend of ₩20 and other agenda items (dividend yield about 0.7%)Though small, maintaining a dividend alongside the swing to profit confirms a commitment to shareholder returns. Source
Figure cross-check computed ↔ external
Recent filings
- 2026-05-27OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-27TreasuryMaterial-fact report
- 2026-05-15PeriodicQuarterly report
- 2026-03-24Disclosure
- 2026-03-24Disclosure
- 2026-03-24Shareholders' meeting notice
- 2026-03-16PeriodicAnnual business report
- 2026-03-16Audit report
- 2026-03-04Disclosure
- 2026-03-04Shareholders' meeting notice
- 2026-02-27Shareholders' 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.