KEC mainly makes non-memory power semiconductors such as transistors and diodes that switch or regulate electric current; as basic devices used broadly across home appliances and automotive electronics, its revenue is tied to overall appliance and vehicle production volumes rather than any single product. Full-year 2025 results were a loss, with revenue of ₩229.6 billion, operating profit of -₩21.8 billion, and net profit of -₩26.6 billion, but Q1 2026 revenue began to grow again, and against shareholders' equity of ₩325.9 billion the market capitalization is around ₩141.1 billion. What stands out recently is that if revenue grows again and quarterly losses narrow so a swing to profit comes into view, the asset undervaluation of a P/B of 0.43x and a current ratio of 203% is strongly highlighted; but because the bottom line has swung between improvement and setback over 2023-2025, the swing to profit is something to be confirmed, and if losses deepen again or capital-expenditure and financing burdens grow, undervaluation alone offers weaker defense.
At-a-glance assessment financial health · growth · profitability · valuation
- The most recent full-year net result was a loss.
- Revenue fell 5.6% year over year (3-year trend: mixed).
- Most recent quarter (Q1 2026) revenue was 1.1% higher than a year earlier.
- ROE is -8.2% (controlling-interest basis). It is below the sector average.
- Operating margin is -9.5%.
- P/E is hard to compute here, so this is read on P/B.
Ownership & governance As of 2025-12-31
Largest shareholder Korea Electronics Holdings 29.59% (corporate)
Controlling bloc incl. related parties 31.29%
With the controlling bloc holding 31%, the ownership structure is stable.
🔎 In-depth analysis
- KEC mainly makes non-memory power semiconductors.
- Rather than memory (chips that store data), it handles components such as transistors and diodes that switch electric current on and off or regulate its flow.
- These components are basic devices used broadly across home appliances such as TVs and washing machines and across automotive electronics, so revenue is tied to overall appliance and vehicle production volumes rather than to the popularity of any single product.
- The company has long worked with leading domestic appliance and automobile makers and, as it raises its export weighting to China, Japan, the U.S. and elsewhere, supplies its products through 11 local subsidiaries and an overseas sales network.
- That said, with a market capitalization of ₩141.1 billion it is not on the large side, so it is worth watching not only the business trend but also the effect an individual disclosure can have on earnings and share count.
- The latest close is ₩3,120 and market capitalization is ₩125.3 billion.
- The price sits below its 20-day line (₩3,675) and its 60-day line (₩3,226).
- Trading below both the short-term and medium-term moving averages, the trend is on the subdued side.
- The RSI (an auxiliary gauge that weighs upward against downward momentum over the past 14 days on a 0-100 scale) is 39.2, a neutral reading.
- The stock is down 24.9% over one month and up 130.9% over three months, and sits 54.0% below its 52-week high.
- Relative strength against the KOSPI is 94 (1-99, computed from returns versus the index over the past year with more weight on recent performance; higher means stronger than the market), placing it in roughly the top 5% of all stocks by strength.
- Over the past three months it has outperformed the index by 71.4%.
- Chart readings are best considered together with trading volume and disclosure dates.
- For the most recent full year (2025), revenue was ₩229.6 billion, operating profit -₩21.8 billion, and net profit -₩26.6 billion, still a loss-making phase.
- The operating margin was -9.5% and the ROE (how much a company earns in a year on its equity) was -8.2%.
- The debt ratio (debt against equity) is 137.8%, but the current ratio (assets that can be converted to cash within a year against debt due within a year) is 203%, so there is headroom in short-term payment ability and financial soundness is viewed as "moderate." What stands out is valuation.
- Because of the losses, no P/E (how many times one year's profit the share price represents) can be derived, but the P/B (how many times book value) is 0.43x, trading at a market capitalization that is less than half of shareholders' equity of ₩325.9 billion.
- Set against peers such as ABOV Semiconductor (P/B 1.21x) and Wavice (2.09x), it is clearly in cheap territory on an asset-value basis.
- It is only that the losses make the P/E yardstick unusable; on an asset basis the undervaluation signal is distinct.
- Annual revenue was ₩206.9 billion in 2023, ₩243.2 billion in 2024, and ₩229.6 billion in 2025, fluctuating around ₩230 billion.
- On the bottom line, the operating loss narrowed by more than half from -₩33.0 billion in 2023 to -₩13.3 billion in 2024, then widened again to -₩21.8 billion in 2025, so rather than a single direction it is a mixed phase of recovery and setback.
- In the most recent quarter, Q1 2026 revenue of ₩64.3 billion was up 1.1% year on year, with a quarterly operating loss of -₩4.8 billion.
- In other words, revenue has started to grow again, if slightly, off the bottom, and the quarterly loss is smaller than simply dividing the annual loss into four, leaving room for the bottom line to move toward improvement.
- This year's revenue is gauged at around ₩248.1 billion by applying typical quarterly weightings to the Q1 result, pointing to revenue growing again versus last year.
- That said, whether the annual bottom line turns to profit has not yet been confirmed in results, so whether the revenue recovery flows through into earnings improvement is this year's point to watch.
- Recent disclosures center on earnings corrections and a facility-investment plan.
- Changes in revenue and profit/loss structure were disclosed on March 4 and February 6, 2026, confirming and reflecting full-year revenue of ₩229.6 billion, operating profit of -₩21.8 billion, and net profit of -₩26.6 billion.
- These are materials to check for whether they point in the same direction as the annual trend and whether one-off factors are mixed in.
- On December 31, 2025 there was a disclosure amending a new facility-investment plan, adjusting the investment period on grounds of changes in internal and external conditions and efficient operation of existing facilities.
- Since this is planning material presented directly by the company, treat it as a primary basis for the outlook if it contains concrete figures, and as directional reference material otherwise.
- KEC's clearest strength is undervaluation against assets.
- A company with shareholders' equity of ₩325.9 billion trades at a market capitalization of ₩141.1 billion, a P/B of 0.43x, so the share price is in cheap territory both versus peers and against book value.
- Headroom in short-term payment ability (current ratio 203%), Q1 2026 revenue beginning to grow again, and this year's revenue pointing toward recovery versus last year are also favorable.
- On the other side, what must clearly be confirmed is profitability.
- Operating and net profit are still losses, so value cannot be set by P/E, and because the bottom line swung between improvement and setback over 2023-2025, the swing to profit is a matter to be "confirmed," not "expected." In sum, in a phase where revenue grows again and quarterly losses narrow so a swing to profit comes into view, the asset undervaluation is strongly highlighted, while in a phase where losses deepen again or capital-expenditure and financing burdens grow, undervaluation alone offers weaker defense.
- That is, asset value is already priced cheap, and the remaining variable is whether earnings set course toward profit.
🔎 Valuation vs peers Undervalued
A peer set of semiconductor companies close in market capitalization.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Y2 Solution | — | 1.09x | -9.69% |
| Wavice | 53.15x | 1.86x | 3.51% |
| ABOV Semiconductor | 12.65x | 1.08x | 8.50% |
Within semiconductors, publicly available peers close in market capitalization were the primary reference. The current P/E (how many times one year's profit the share price represents) cannot be determined, and the P/B (how many times book value) is 0.38x. That said, because smaller-cap names are heavily affected by earnings swings and financing disclosures, we did not draw firm conclusions from last year's confirmed-results metrics alone. The basis for the outlook box is a DART seasonality approximation.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| This year | 2026 | ₩248.1 billion | — | — |
| Next quarter | Q2 2026 | ₩67.4 billion | — | — |
Price history Close · MA20 · MA60
The latest close is ₩3,120 and the market capitalization is ₩125.3 billion. The price sits below its 20-day moving average (₩3,675) and below its 60-day moving average (₩3,226). 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 39.2, a neutral level. The one-month change is -24.9%, the three-month change is +130.9%, and the position relative to the 52-week high is -54.0%. Relative strength versus the KOSPI is 94 (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 95% of all stocks. Over the past three months it outpaced the index by 71.4%. 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 +71.39% / 6M +162.37% / 12M +62.01%
Key metrics vs sector median
Valuation
A net loss makes the P/E an unreliable valuation gauge. The P/B of 0.38x 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 -9.5%. The debt ratio is 137.8%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $137.2M | $161.2M | $152.2M | -5.57% ↓ slower |
| Operating profit | -$21.9M | -$8.8M | -$14.4M | — |
| Net profit | -$25.3M | -$7.5M | -$17.6M | — |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $177.3M | $169.8M | $137.2M | $161.2M | $152.2M |
| Operating profit | $17.6M | $11.9M | -$21.9M | -$8.8M | -$14.4M |
| Net profit | $6.4M | $14.5M | -$25.3M | -$7.5M | -$17.6M |
| Revenue CAGR | 4-yr avg -3.74% | ||||
Revenue fell 5.6% year over year (2023 ₩206.9 billion → 2024 ₩243.2 billion → 2025 ₩229.6 billion), and the three-year trend is 'mixed'. The rate of decline widened from the prior year. Operating results are in the red, so a swing back to profit matters more than the growth rate here. Over the 5 years on record, revenue compound annual growth (CAGR) is -3.7%. The two-year revenue CAGR is 5.3%. In the most recent quarter (Q1 2026), revenue was 1.1% 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
- The most recent full year was a loss, so it is worth checking whether profitability recovers.
- Revenue fell 5.6% year over year (3-year trend: mixed).
Recent news & events searched · sourced
- 2026-03-04Earnings[Amendment] Change in revenue or profit/loss structure of 30% or more (15% for large corporations): full-year revenue ₩229.6 billion, operating profit -₩21.8 billion, net profit -₩26.6 billionThis is recently confirmed or preliminary earnings data. Check whether it points in the same direction as the annual trend and whether any one-off factors are present. Source
- 2026-02-06EarningsChange in revenue or profit/loss structure of 30% or more (15% for large corporations): full-year revenue ₩229.6 billion, operating profit -₩21.8 billion, net profit -₩26.6 billionThis is recently confirmed or preliminary earnings data. Check whether it points in the same direction as the annual trend and whether any one-off factors are present. Source
- 2025-12-31Update[Amendment] New facility investment, etc.: new facility investment / (2025.12.31) amended filing of new facility investment, amendment date 2025-12-31 1. Disclosure document amended: new facility investment 2. Filing date of the amended document 2024-03-05 3. Reason for amendment: change of investment period due to changes in internal and external conditions and efficient operation of existing facilities 4. Amended item, before/after amendmentThis is planning material presented directly by the company. If it contains figures, treat it as a primary basis for the outlook box; if not, treat it only as directional material. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Closing price | ₩3,120 | ₩3,120 | Confirmed | link |
| Latest quarterly results | revenue ₩64.3 billion, operating profit -₩4.8 billion | revenue ₩64.3 billion, operating profit -₩4.8 billion | Confirmed | link |
| Annual results | revenue ₩229.6 billion, operating profit -₩21.8 billion | revenue ₩229.6 billion, operating profit -₩21.8 billion | Confirmed | link |
| Earnings disclosure source text | []revenue30%: revenue ₩229.6 billion · operating profit -₩21.8 billion · net profit -₩26.6 billion | []revenue30%: revenue ₩229.6 billion · operating profit -₩21.8 billion · net profit -₩26.6 billion | Confirmed | link |
| Earnings disclosure source text | revenue30%: revenue ₩229.6 billion · operating profit -₩21.8 billion · net profit -₩26.6 billion | revenue30%: revenue ₩229.6 billion · operating profit -₩21.8 billion · net profit -₩26.6 billion | Confirmed | link |
| Outlook/plan disclosure source text | []: /(2025.12.31) 2025-12-31 1. 2. 2024-03-05 3. 4. | []: /(2025.12.31) 2025-12-31 1. 2. 2024-03-05 3. 4. | Confirmed | link |
| Outlook box basis | DART | DART | Confirmed | link |
Recent filings
- 2026-05-29Corporate governance report
- 2026-05-14PeriodicQuarterly report
- 2026-04-30OwnershipLargest-shareholder ownership change report
- 2026-04-30Amended filing
- 2026-04-30Amended filing
- 2026-04-30OwnershipOfficers'/major-shareholders' holdings report
- 2026-04-27OwnershipOfficers'/major-shareholders' holdings report
- 2026-04-27OwnershipLargest-shareholder ownership change report
- 2026-03-27Disclosure
- 2026-03-27Disclosure
- 2026-03-27Shareholders' meeting notice
- 2026-03-19PeriodicAnnual business report (amended)
📖 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.