CIS sells process equipment used to make the electrodes of lithium-ion batteries, with its mainstay being electrode-process gear such as coaters that spread active material into thin, dry layers and calenders that press electrodes to raise their density. In 2025 it posted revenue of ₩407.2 billion and net profit of ₩28.7 billion, with earnings down about half from the prior year, and in the first quarter of 2026 revenue fell 50% year on year, taking a direct hit as customer requests pushed delivery of equipment for Samsung SDI's U.S. project into the second half and into 2027. What stands out lately is that net cash of ₩204.9 billion and cash generation reaching 14.8% provide a cushion, making the company strong when a resumption of EV investment and delayed deliveries flow into results; the caution is that if the customer's investment timing slips again, revenue and profit can both thin out together, as is typical of an equipment stock.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt ratio, current ratio and interest burden all look healthy.
- Revenue fell 19.9% year over year (3-year trend: mixed).
- Most recent quarter (Q1 2026) revenue was 50.5% lower than a year earlier.
- ROE is 5.7% (controlling-interest basis). It is above the sector average.
- Operating margin is 8.2%.
- The forward P/E sits above the sector median, reflecting elevated expectations.
Ownership & governance As of 2025-12-31
Largest shareholder SFA 33.23% (corporate)
Controlling bloc incl. related parties 33.68%
With the controlling bloc holding 34%, the ownership structure is stable.
🔎 In-depth analysis
- CIS sells the manufacturing equipment that goes into the process of making the 'electrodes' of lithium-ion secondary batteries.
- Its signature product is the coater — equipment that spreads battery active material thinly and evenly onto aluminum or copper foil and then dries it.
- Adding a calender that presses the electrode to raise its density, it supplies electrode-process lines.
- In other words, it earns money by selling the 'machines' a battery plant needs to stamp out electrodes, not finished batteries.
- Its main customers are large domestic battery makers, and the large contract confirmed in disclosures is electrode-process equipment for Samsung SDI's U.S. plant.
- More recently it has been developing next-generation process equipment such as a hybrid coater that shortens equipment length versus wet coaters, and a solid-state electrolyte pilot line, preparing for the next investment cycle.
- The stock is in a clear downtrend.
- The current price of ₩7,490 lies well below its 20-day line (₩9,176), 60-day line (₩12,266) and 120-day line (₩12,129).
- It is down 26.6% over one month and 36.2% over three months, a steep short-term decline.
- It sits about 59.8% below its 52-week high.
- The RSI (an indicator scoring the balance of up-force and down-force in the price over the past 14 days on a 0-100 scale) is 28.5, below the 30 line usually seen as oversold.
- That said, the six-month return is +12.3%, so the decline has been concentrated recently.
- This is a stretch pressed down by delayed deliveries, so the point at which the backlogged volume is recognized as revenue is likely to be the turning point for the price trend.
- Valuation metrics must be read against the fact that this was a year of falling earnings.
- The P/E (how many times one year's earnings the price represents) is 20.3x, which looks higher than in stronger-earnings periods.
- This is not because the stock is expensive but because the denominator — last year's earnings — fell nearly in half year on year.
- The P/B (how many times net asset value the price represents) is 1.15x, similar to comparable equipment stocks.
- Profitability is moderate: ROE (how much is earned in a year on equity) is 5.7% and the operating margin is 8.2%, both down from the peak-earnings period.
- The balance sheet is solid.
- The debt ratio (debt to equity) is a low 30%, the current ratio is 396% and interest coverage is 7.4x.
- In particular, net debt (total borrowings less cash) is -₩204.9 billion, a net-cash position with far more cash than debt.
- The FCF yield (the ratio of cash actually earned to market cap) is a high 14.8%, so while the stock looks expensive on P/E alone, on cash-generation grounds it reads closer to an undervalued signal.
- On an enterprise-value basis that reflects debt, EV/EBIT (enterprise value divided by operating profit) is 13.3x and EV/EBITDA is 10.7x, both showing a lower burden than the P/E.
- Growth is highly cyclical.
- Net profit over the past five years was -₩24.6 billion (a loss) in 2021, ₩11.7 billion in 2022, ₩28.9 billion in 2023, ₩56.2 billion in 2024 and ₩28.7 billion in 2025, rising and falling in step with the EV and battery investment boom and its correction.
- 2025 was a year of coming down from the prior year's peak, with revenue -19.9%, operating profit -43.5% and net profit -48.9%.
- The first quarter of 2026 was steeper still, with revenue down 50.5% year on year and operating profit down 87.3%.
- The cause is clear: per disclosures, delivery of equipment for Samsung SDI's U.S. project was pushed to the second half and early 2027 at the customer's request, so the volume to be recognized as revenue was deferred.
- In other words, the contract was not canceled but the timing was deferred.
- So this year, results are more likely to land in the second half than the first.
- Still, taking 2026 as a whole, with delayed deliveries and a weakened first quarter mixed together, in-house estimates put net profit below last year's (₩28.7 billion).
- In that case the forward P/E comes out higher than the trailing P/E, showing that this year is a 'pressed-down year' rather than a 'cheaper year.' The keys to recovery are the point at which the delayed deliveries pass inspection and the final payments are booked, and the second-half-2026 to 2027 phase in which hybrid-coater volume orders actually materialize.
- Most recent disclosures concern changes to the delivery schedule of the Samsung SDI U.S. project equipment contract.
- On two occasions, in March and May 2026, the completion date of an electrode-process manufacturing equipment supply contract worth ₩21.95 billion each was pushed back at the customer's request (to end-September 2026 and end-February 2027, respectively).
- These directly confirm, via disclosure, the basis for the revenue deferral.
- In May there were a large-holding report and a disclosure convening an extraordinary shareholders' meeting.
- In March, the 2025 business report, the audit report and the results of the regular shareholders' meeting were filed.
- No new disclosures on dividends or treasury stock were confirmed.
- Overall, disclosures adjusting the schedule of existing contracts, rather than new large-order disclosures, dominate the recent flow.
- In sum, CIS is a battery electrode-equipment maker passing through a cyclical correction.
- Its strong points are its balance sheet and cash.
- Net cash of ₩204.9 billion exceeds a third of its market cap, and a 14.8% FCF yield means it generates cash well even in a pressed-earnings year.
- With a 30% debt ratio, it has the stamina to withstand a downturn.
- Its weak point is earnings visibility.
- Because revenue hinges on the investment timing of a few large customers, a single customer request can push deliveries back several quarters.
- This quarter's plunge is an example.
- So both trailing and forward P/E look high — not because it is expensive, but because this year's earnings thinned out on deferral.
- The watch points are clear: whether the delayed deliveries pass inspection in the second half, and whether the hybrid coater leads to volume orders.
- If both are confirmed, there is room for the pressed-down earnings to widen again; conversely, if the customer's investment slips again, the earnings recovery is pushed back with it.
🔎 Valuation vs peers Inconclusive
Domestic listed peers in battery electrode-process equipment (coaters, calenders, assembly, mixing, and the like).
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| PNT | 9.74x | 1.04x | 10.73% |
| M-Plus | 5.58x | 1.13x | 20.23% |
| Nine Tech | — | 1.25x | -19.29% |
| Yunsung F&C | — | 0.69x | -10.81% |
The peer group is split between recovery and correction. PNT (P/E 9.7x, ROE 10.7%) and M+ (P/E 5.6x, ROE 20.2%) are still profitable, while Nine Tech and Yoonsung F&C are loss-making. CIS remains profitable but at a shrunken scale (net profit ₩28.7 billion, ROE 5.7%), so its trailing P/E of 20.3x looks higher than profitable peers. But this is not because the stock is expensive; it is because the denominator — 2025 earnings — fell roughly in half from the peak, and with the delivery deferral, 2026 earnings are also pressed, so the forward P/E comes out higher than the trailing P/E. On the other hand, net cash, a high FCF yield and a peer-level P/B support the downside. Because the direction of earnings hinges heavily on the timing of delayed deliveries and new orders, it is hard to conclude firmly either way, so it is treated as Inconclusive.
Price history Close · MA20 · MA60
The latest close is ₩7,490 and the market capitalization is ₩582.6 billion. The price sits below its 20-day moving average (₩9,176) and below its 60-day moving average (₩12,266). 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 28.5, near oversold territory. The one-month change is -26.6%, the three-month change is -36.2%, and the position relative to the 52-week high is -59.8%. Relative strength versus the KOSDAQ is 79 (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 80% of all stocks. Over the past three months it lagged the index by 18.3%. 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 -18.34% / 6M +29.01% / 12M +3.37%
Key metrics vs sector median
Valuation
The P/E of 20.28x is above the sector median (14.44x). The P/B of 1.15x is below the sector median (1.44x).
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 2.0%→terminal 2.0%, 10-yr forecast, free-cash-flow basis, forward earnings power normalized 0.835x. A reference range that shifts materially with assumptions.
Profitability & financials
Return on equity (ROE) is 5.7%, in line with the sector average (5.0%). The operating margin is 8.2%. The debt ratio is 30.0%, so the financial structure is stable.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $205.6M | $337.0M | $269.9M | -19.93% ↓ slower |
| Operating profit | $25.8M | $39.3M | $22.2M | -43.53% ↓ slower |
| Net profit | $19.2M | $37.3M | $19.0M | -48.91% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $88.0M | $105.6M | $205.6M | $337.0M | $269.9M |
| Operating profit | $10.8M | $5.2M | $25.8M | $39.3M | $22.2M |
| Net profit | -$16.3M | $7.7M | $19.2M | $37.3M | $19.0M |
| Revenue CAGR | 4-yr avg 32.34% | ||||
Revenue fell 19.9% year over year (2023 ₩310.2 billion → 2024 ₩508.5 billion → 2025 ₩407.2 billion), and the three-year trend is 'mixed'. The rate of decline widened from the prior year. Operating profit fell 43.5% year over year. The decline widened. Over the 5 years on record, revenue compound annual growth (CAGR) is 32.3%. The two-year revenue CAGR is 14.6%. In the most recent quarter (Q1 2026), revenue was 50.5% lower than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- The balance sheet is stable in terms of debt and liquidity.
Points to watch
- Revenue fell 19.9% year over year (3-year trend: mixed).
- The price is high versus peers, so expectations already appear priced in.
Recent news & events searched · sourced
- 2026-05-19UpdateCompletion date of the ₩21.95 billion secondary-battery electrode-process manufacturing equipment supply contract for the Samsung SDI U.S. project changed from 2026-05-22 to 2027-02-28 at the customer's requestA delivery deferral rather than a cancellation, so recognition of that revenue slips into 2027, a burden on near-term results, though over the medium term the volume is retained. Source
- 2026-03-23UpdateCompletion date of the ₩21.95 billion secondary-battery electrode-process manufacturing equipment supply contract for Samsung SDI's U.S. destination changed from 2026-03-31 to 2026-09-30 at the customer's requestRevenue recognition is deferred from the first half to the second half, providing the backdrop for the sharp drop in first-quarter results. Source
- 2026-05-12FilingFirst-quarter 2026 quarterly report filed — revenue ₩53.4 billion (-50.5% year on year), operating profit ₩2.2 billion, net profit ₩5.9 billion, with the delivery-deferral impact confirmed in figuresConfirms the first-half earnings trough; the question is whether the delayed second-half deliveries are recognized as revenue. Source
- 2026-03-20Filing2025 business report filed — full-year revenue ₩407.2 billion, operating profit ₩33.5 billion, net profit ₩28.7 billion, confirming the earnings decline from the prior-year peakConfirms a year corrected from the 2024 high; a subsequent recovery depends on the delayed deliveries and new orders. Source
- 2026-05-29FilingLarge-holding report (simplified) filed — notice of a change in a major shareholder's stakeA reference point on supply and demand, with limited direct effect on the substance of earnings or the business. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Samsung SDI U.S.-destination supply contract amount | approx. ₩21.9 billion | ₩21,950,100,000 · approx. SDI · · 2 | Confirmed | link |
| 2025 net profit | ₩28.7 billion | 2025 net profit | Confirmed | link |
| First-quarter 2026 revenue decline rate | -50.5% | 2026 1 revenue ₩53.4 billion | Confirmed | link |
| 2026 in-house estimated net profit and forward P/E | net profit approx. ₩24.0 billion · forward PER approx. 24x | — | Unverified | — |
Recent filings
- 2026-05-29OwnershipOwnership-change filing
- 2026-05-22Shareholders' meeting notice
- 2026-05-22Shareholders' meeting notice
- 2026-05-19Single supply/sales contract (amended)
- 2026-05-12PeriodicQuarterly report
- 2026-04-30Disclosure
- 2026-03-31Shareholders' meeting notice
- 2026-03-31Disclosure
- 2026-03-23Single supply/sales contract (amended)
- 2026-03-20PeriodicAnnual business report
- 2026-03-20Audit report
- 2026-03-17Amended 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.