MCNEX's largest revenue source is camera modules for smartphones, and it also makes automotive cameras used in rear-view, surround-view and ADAS applications, as well as biometric modules and actuators; its results are driven by its downstream customers' smartphone shipments and the pace at which vehicle cameras are adopted. On June 2 the company decided to buy back its own shares, signalling a commitment to shareholder returns, and its May 15 first-quarter report confirmed a quarter of softer profit. Even so, with a P/B of 0.87x, an ROE of 13.4% and a dividend yield of 4.7%, and with forward metrics (a P/E of 6.55x and P/B of 0.8x) roughly equal to or lower than the trailing figures, the cheap-looking valuation is shown not to be a temporary illusion. What stands out most recently is that the discount looks clearer when the growing share of vehicle cameras and a full-year recovery in quarterly profit are confirmed, whereas because revenue is heavily tied to smartphone-customer volumes, a prolonged downturn in downstream demand can shake quarterly results.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt ratio, current ratio and interest burden all look healthy.
- Revenue rose 21.0% year over year, and the pace is quickening (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 12.8% lower than a year earlier.
- ROE is 13.4% (controlling-interest basis). It is above the sector average.
- Operating margin is 4.1%.
- The forward P/E sits below the sector median.
Ownership & governance As of 2025-12-31
Largest shareholder Min Dong-wook 27.15% (individual)
Controlling bloc incl. related parties 30.48%
With the controlling bloc holding 30%, the ownership structure is stable.
🔎 In-depth analysis
- MCNEX is a components company that makes and sells camera modules.
- Its largest revenue source is camera modules for smartphones (a part that bundles the lens, image sensor and drive unit into one), covering single, dual, triple and quad cameras as well as ToF cameras used for distance measurement.
- Its second pillar is automotive cameras: it supplies vehicle cameras used in rear-view and surround-view (SVM) and driver assistance (ADAS), an area the company is growing.
- On top of this it makes biometric modules such as fingerprint, iris and facial recognition, plus actuators that adjust camera focus.
- In short, rather than a 'finished product', it earns money by supplying camera parts to phone and automotive manufacturers, so its results are driven by downstream customers' smartphone shipments and the pace of vehicle-camera adoption.
- Having a stable base of large customers is therefore the foundation of the business.
- The latest close is ₩18,290 and market capitalization is ₩318.3 billion.
- The price sits below its 20-day line (₩19,848) and below its 60-day line (₩21,616).
- Trading below both the short- and mid-term moving averages, the trend is on the softer side.
- The RSI (a supplementary gauge that scores upward versus downward strength over the past 14 days on a 0-100 scale) is 38.7, a neutral level.
- The one-month change is -11.0%, the three-month change is -14.1%, and the position versus the 52-week high is -43.0%.
- Relative strength against the KOSPI is 6 (1-99, converting return versus the index over the past year with more recent periods weighted more heavily; higher means stronger than the market).
- That places it in roughly the top 95% of all stocks by strength.
- Over the past three months it lagged the index by 34.1%.
- Chart reading is best done alongside trading volume and disclosure dates.
- On a confirmed annual (2025) basis the P/E (how many times one year's profit the price is) is 6.17x and the P/B (how many times net asset value the price is) is 0.83x.
- A P/B below 1 means the price is set lower than the company's book net asset value, so on an asset-value basis alone it sits in cheap territory.
- ROE (how much is earned in a year on shareholders' equity) is a healthy 13.4%, and the 4.1% operating margin is a natural level given the nature of parts processing.
- A debt ratio (debt to equity) of 144.3% is within the normal range for a parts maker, and with a current ratio of 181.5% and interest coverage of 25.9x, short-term liquidity and the ability to cover interest are ample.
- One more point: even on a forward basis reflecting this year's profit flow, the P/E is 6.55x and P/B is 0.83x, roughly equal to or lower than the trailing figures.
- In other words, last year's numbers did not just happen to look cheap; recomputed on this year's picture, the same valuation band holds.
- Over five years revenue ran ₩1.0 trillion in 2021, ₩1.1 trillion in 2022, ₩932.5 billion in 2023, ₩1.06 trillion in 2024 and ₩1.28 trillion in 2025, bottoming in 2023 before turning back up.
- Operating profit, which had been squeezed to ₩10.7 billion in 2022, recovered to ₩52.0 billion in 2025.
- On an annual basis revenue rose +21.0% and operating profit +17.2%, a clear growth trend, and the pace of revenue growth (last year +21.0% versus +13.4% the year before) is actually accelerating.
- The drivers behind revenue are the sophistication of the company's core smartphone camera adoption toward high-resolution, multi-camera setups, and the growing share of vehicle cameras riding the spread of ADAS.
- The forward P/E of 6.55x and P/B of 0.8x, reflecting this year's earnings power, rest on the premise that this revenue recovery and double-digit ROE continue this year too, and they sit low even against peer camera-module makers.
- On a quarterly basis, however, Q1 2026 saw revenue of ₩303.5 billion (-12.8% year over year), operating profit of ₩11.4 billion (-45.4%) and net profit of ₩14.6 billion (-27.2%), a single quarter of negative growth, so the flow is to watch through quarterly results whether this softness is a temporary seasonal lull or continues into a full-year recovery.
- The recent flow centers on shareholder returns and results checks.
- On June 2, 2026 the company decided to buy back its own shares (including a same-day amendment), choosing to purchase its own stock with its own funds, and earlier, on May 14, it reported the result of disposing of previously held treasury shares.
- A buyback is usually read as a signal of price stabilization and shareholder returns, and can also be interpreted as the company viewing its own shares as cheap.
- On May 15 the Q1 2026 report was released, confirming a quarter of softer profit.
- In May there were also filings on changes in the holdings of the largest shareholder and executives, and large-holding reports.
- The dividend is ₩1,000 per share with a payout ratio of 31.4%, giving a dividend yield of about 4.7% at the current price.
- This stock's strengths are clear.
- The price trades below net asset value (P/B 0.87x), ROE of 13.4% turns capital efficiently, and a 4.7% dividend yield adds cash returns.
- Above all, the forward metrics reflecting this year's profit (P/E 6.55x, P/B 0.8x) are roughly equal to or lower than the trailing figures, so the key point is that the cheap-looking valuation is not a temporary illusion.
- The earnings multiple sits low even against peer camera-module makers, so it reads as undervalued relative to worth.
- On top of this comes the commitment to shareholder returns shown by the buyback.
- The point to watch is the structure in which revenue is heavily tied to smartphone-customer volumes: when downstream demand is strong, utilization and margins rise together, but if volume weakness drags on, quarterly results can be shaken.
- The negative growth in Q1 2026 is one example of that sensitivity.
- In sum, the discount grows clearer when the rising share of vehicle cameras and a full-year recovery in quarterly profit are confirmed, and it weakens if smartphone downstream demand falls away for a long stretch.
🔎 Valuation vs peers Undervalued
The base classification is 'imaging and audio equipment', but the actual business is smartphone and automotive camera modules, so Partron and Namuga, in the same camera-module and mobile-parts space, were taken as the true peer set.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Partron | 8.49x | 0.56x | 6.60% |
| Namuga | 6.81x | 1.00x | 14.63% |
Compared with camera-module peers Partron (P/E 9.66, P/B 0.64, ROE 6.6%) and Namuga (P/E 9.24, P/B 1.35, ROE 14.6%), MCNEX has a lower earnings multiple (P/E 7.2x) than either while sitting near the top for capital efficiency with an ROE of 13.4%. In other words, within the same business group it sits in a discount zone on an earnings basis. The limits are clear, however. This P/E is a trailing figure dividing the current price by last year's confirmed profit, and with Q1 2026 operating profit down 45.4%, an earnings inflection is underway. Using an approximation of this year's operating profit derived from DART quarterly ratios (about ₩30.6 billion) pushes the multiple somewhat higher than the prior-year basis. So the observation of a discount versus peers holds, but until a full-year recovery in quarterly profit is confirmed, 'conditionally undervalued' is more appropriate than a firm conclusion.
Earnings outlook company-stated · verified
| Type | Period | Revenue | Operating profit | Net profit |
|---|---|---|---|---|
| Next quarter | Q2 2026 | approx. ₩251.8 billion | approx. ₩7.4 billion | approx. ₩10.6 billion |
Price history Close · MA20 · MA60
The latest close is ₩18,290 and the market capitalization is ₩318.3 billion. The price sits below its 20-day moving average (₩19,848) and below its 60-day moving average (₩21,616). 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 38.7, a neutral level. The one-month change is -11.0%, the three-month change is -14.1%, and the position relative to the 52-week high is -43.0%. Relative strength versus the KOSPI is 6 (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 5% of all stocks. Over the past three months it lagged the index by 34.1%. 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 -34.10% / 6M -61.91% / 12M -71.16%
Key metrics vs whole-market median
Valuation
The P/E of 6.17x is below the whole-market median (13.81x). The P/B of 0.83x is below the whole-market median (1.15x). 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 9.2%, initial growth 2.0%→terminal 2.0%, 10-yr forecast, free-cash-flow basis, forward earnings power normalized 0.905x. A reference range that shifts materially with assumptions.
Profitability & financials
Return on equity (ROE) is 13.4%, above the whole-market average (5.0%). The operating margin is 4.1%. The debt ratio is 144.3%, so the financial structure is moderate.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $618.0M | $700.6M | $847.8M | +21.02% ↑ faster |
| Operating profit | $12.1M | $29.4M | $34.5M | +17.19% ↓ slower |
| Net profit | $18.5M | $42.2M | $34.2M | -18.95% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $668.9M | $734.8M | $618.0M | $700.6M | $847.8M |
| Operating profit | $15.8M | $7.1M | $12.1M | $29.4M | $34.5M |
| Net profit | $26.2M | $15.2M | $18.5M | $42.2M | $34.2M |
| Revenue CAGR | 4-yr avg 6.10% | ||||
Revenue rose 21.0% year over year (2023 ₩932.5 billion → 2024 ₩1.1 trillion → 2025 ₩1.3 trillion), and the three-year trend is 'rising'. The pace of growth also quickened from the prior year. Operating profit rose 17.2% year over year. The pace of that profit growth is gradually easing. Over the 5 years on record, revenue compound annual growth (CAGR) is 6.1%. The two-year revenue CAGR is 17.1%. In the most recent quarter (Q1 2026), revenue was 12.8% lower 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.
- The dividend yield, at 5.5%, is on the high side.
- ROE of 13.4% points to solid profitability.
- Revenue grew 21.0% 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
- 2026-06-02UpdateTreasury share buyback decision - the company resolved to purchase its own shares with its own funds (including a same-day amendment)Short term: inflow of demand for treasury shares and a shareholder-return signal. Mid term: cash outflows equal to the purchase amount follow, so it should be checked alongside cash flow. Source
- 2026-05-15EarningsQ1 2026 quarterly report filed - revenue ₩303.5 billion (-12.8%), operating profit ₩11.4 billion (-45.4%), net profit ₩14.6 billion (-27.2%) confirmedShort term: confirmation of double-digit profit decline weakens near-term momentum. Mid term: a reference point for checking real earnings power against last year's trailing metrics. Source
- 2026-05-14UpdateTreasury share disposal result report - reporting the result of disposing previously held treasury sharesShort term: disposed volume adds to shares in circulation. Mid term: read together with the June buyback decision as the direction of shareholder-return policy. Source
- 2026-05-20UpdateLarge-holding report and change-of-holdings filing by the largest shareholder and executives - reporting on the 5% holding line and changes in the largest shareholder's stakeShort term: a reference on the trading direction of key shareholders. Mid term: material for confirming the stability of governance and supply-demand. Source
Figure cross-check computed ↔ external
Recent filings
- 2026-06-02TreasuryMaterial-fact report (amended)
- 2026-06-02TreasuryMaterial-fact report
- 2026-05-29Corporate governance report
- 2026-05-20OwnershipLargest-shareholder ownership change report
- 2026-05-20OwnershipOwnership-change filing
- 2026-05-20OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-15PeriodicQuarterly report
- 2026-05-14TreasuryTreasury-stock disposal decision
- 2026-05-14OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-14OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-14OwnershipOfficers'/major-shareholders' holdings report
- 2026-05-14OwnershipOfficers'/major-shareholders' holdings report
📖 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.