Sem-CNS makes the ceramic STF (Space Transformer), a core part of the probe card used to test finished semiconductor wafers with electrical signals. The company became independent in 2016 when it took over Samsung Electro-Mechanics' ceramics division, and it sits in the inspection-component supply chain of Samsung Electronics, SK Hynix, and Micron. Preliminary results on May 6, 2026 confirmed Q1 operating profit of ₩7.7 billion (+437% year on year), and an investor briefing on May 21 laid out its results and business direction directly. On the positive side, it is one of a small number of firms mass-producing the high-barrier ceramic STF domestically, with strong earnings leverage to expanding DRAM inspection volume. On the cautionary side, its results are tied to memory customers' inspection investment, so demand could waver if the industry cycle turns, and the part driven by shifts in the competitive landscape needs to be watched for durability.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt ratio, current ratio and interest burden all look healthy.
- Revenue rose 46.3% year over year, and the pace is slowing (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 72.5% higher than a year earlier.
- ROE is 9.0% (total-net basis). It is above the sector average.
- Operating margin is 18.8%.
- The forward P/E sits above the sector median, reflecting elevated expectations.
Ownership & governance As of 2025-12-31
Largest shareholder YC 38.16% (corporate)
Controlling bloc incl. related parties 59.25%
With the controlling bloc holding 59%, control is very secure but the free float is thin.
🔎 In-depth analysis
- Sem-CNS makes the ceramic STF (Space Transformer), a core part of the 'probe card' used in semiconductor inspection.
- A probe card is the board that runs electrical signals through a finished semiconductor wafer to check whether it works properly, and within it the STF is the ceramic plate that accurately relays the tester's signals to the wafer and supports the fine inspection pins (MEMS pins).
- The company became independent in 2016 when it took over Samsung Electro-Mechanics' ceramics division, and it is one of only a few firms able to mass-produce this part domestically.
- Nearly all of its revenue comes from this ceramic STF, and it ultimately sits in the inspection-component supply chain used by memory chipmakers such as Samsung Electronics, SK Hynix, and Micron.
- The latest close is ₩10,620 and market capitalization is ₩639.5 billion.
- The price sits below the 20-day line (₩13,109) and below the 60-day line (₩13,022).
- Trading beneath both the short- and mid-term moving averages, the trend is on the soft side.
- The RSI (a gauge that measures the strength of gains versus losses over the past 14 days on a 0-100 scale) is 38.2, a neutral level.
- The one-month change is -16.8%, the three-month change is +16.4%, and the position versus the 52-week high is -34.9%.
- Relative strength against the KOSDAQ is 92 (on a 1-99 scale, computed from returns versus the index over the past year with more weight on recent periods; higher means stronger than the market).
- That places it in roughly the top 8% of all stocks by strength.
- Over the past three months it outpaced the index by 48.1%.
- Chart reading is best done alongside volume and the dates on which disclosures occurred.
- Profitability measures are clearly improving.
- With an operating margin of 18.8% and a net margin of 19.3%, the margins are high for a component maker.
- ROE (how much it earns in a year on its equity) is 9.0%.
- The balance sheet is stable: the debt ratio (debt relative to equity) is a low 52.4%, and the current ratio (short-term ability to pay) is an ample 217.9%.
- Care is needed, though, in reading the valuation measures.
- The P/E (how many times a year's earnings the shares trade at) is 42.46x and the P/B (how many times book net asset value) is 3.84x, which look high on the numbers alone.
- But this P/E is based on last year's (2025) confirmed earnings.
- As shown below, this year's earnings are rising sharply, so a multiple computed on last year's results makes the shares look more expensive than they are.
- On a debt-inclusive basis, EV/Sales (enterprise value divided by revenue) is 10.4x and net debt (total borrowings less cash) is about ₩70.0 billion.
- Enterprise value is still set high relative to the scale of revenue, which can be read as future earnings growth already being priced in.
- Growth is the heart of this stock.
- Revenue rose sharply for two straight years, from ₩30.9 billion in 2023 (a loss year) to ₩53.3 billion in 2024 and ₩78.0 billion in 2025.
- Earnings were even more dramatic: operating profit went from -₩2.9 billion in 2023 to ₩14.7 billion in 2025, and net profit from -₩1.3 billion to ₩15.1 billion, surging after turning profitable.
- The inflection became clearer in Q1 2026.
- First-quarter revenue was ₩27.2 billion, up 72.5% year on year, with operating profit of ₩7.7 billion (+436.9%) and net profit of ₩7.8 billion (+561.2%).
- Q1 net profit alone already exceeded half of last year's full-year net profit (₩15.1 billion).
- The growth driver is expanding volume of ceramic STF for DRAM inspection.
- DRAM volume at a domestic probe-card customer rose, and on top of this a spillover effect was added as a U.S. rival scaled back its China business and China-bound volume shifted over.
- Looking ahead, expanded HBM4 mass production waits as the next growth axis.
- Reflecting this upward trajectory, this year's net profit is estimated at around ₩30.0 billion, in which case the P/E on this year's earnings falls to about 24.8x — nearly halving from the 49x computed on last year's results.
- Disclosures center on results-related events.
- Preliminary results on May 6, 2026 confirmed Q1 operating profit of ₩7.7 billion (+437% year on year).
- On May 21 the company held an investor briefing (IR) to explain its results and business direction directly.
- In March the CEO changed at the annual general meeting, and ahead of that, on March 4, the results of a treasury-share disposal were disclosed.
- No separate large supply-contract disclosure was confirmed, but given the revenue structure the results themselves serve as an indicator of expanding inspection volume.
- The strengths are clear.
- It is one of a small number of firms mass-producing domestically the high-barrier ceramic STF part, and earnings are actually surging on expanding DRAM inspection volume.
- Its finances are stable too, with low debt and cash headroom.
- The P/E on last year's results looks high, but on this year's earnings the multiple nearly halves, so the burden is not large relative to growth.
- There are cautions too.
- The company's results are tied to inspection investment by memory customers such as Samsung, SK Hynix, and Micron.
- If the memory cycle turns, demand for inspection components could waver along with it.
- Parts that lean on shifts in the competitive landscape, like the China-bound spillover effect, need to be watched for durability.
- In short, this is a stock with large earnings leverage while memory inspection demand holds and expands, and rising volatility if the cycle softens.
🔎 Valuation vs peers Undervalued
The peer set is the semiconductor-inspection (probe-card) value chain and precision semiconductor-inspection equipment makers. TSE makes finished probe cards, making it a direct customer and a company in the same inspection value chain, and Park Systems is a precision semiconductor metrology and inspection equipment maker.
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| TSE | 64.81x | 6.33x | 9.77% |
| Park Systems | 58.60x | 8.97x | 15.31% |
On last year's (2025) confirmed earnings alone, a P/E of 49.3x looks expensive. But this is a stock in an inflection phase of sharply rising earnings, so the multiple on last year's results overstates the burden relative to reality. Reflecting Q1 results and the upward trajectory, the P/E on this year's earnings falls to about 24.8x. That is a clear discount to TSE (71x) in the same inspection value chain and to Park Systems (54x) in precision-inspection equipment. Seen together with a growth pace (revenue +46%, Q1 net profit +561%) faster than peers, the shares look undervalued relative to growth. That said, since results are tied to memory customers' inspection investment, this picture could change if the industry cycle turns.
Price history Close · MA20 · MA60
The latest close is ₩10,620 and the market capitalization is ₩639.5 billion. The price sits below its 20-day moving average (₩13,109) and below its 60-day moving average (₩13,022). 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 38.2, a neutral level. The one-month change is -16.8%, the three-month change is +16.4%, and the position relative to the 52-week high is -34.9%. Relative strength versus the KOSDAQ is 92 (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 92% of all stocks. Over the past three months it outpaced the index by 48.1%. 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 +48.14% / 6M +80.60% / 12M +115.67%
Key metrics vs sector median
Valuation
The P/E of 42.46x is above the sector median (18.61x). The P/B of 3.84x is above the sector median (1.63x). That said, this P/E is based on last year's (trailing) results. With recent quarterly earnings up sharply, the trailing P/E can look higher than it really is, so a precise read is best done on this year's expected (forward) earnings.
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 10.4%, initial growth 10.0%→terminal 2.0%, 10-yr forecast, free-cash-flow basis, forward earnings power normalized 1.99x. A reference range that shifts materially with assumptions.
Profitability & financials
Return on equity (ROE) is 9.0%, above the sector average (7.0%). The operating margin is 18.8%. The debt ratio is 52.4%, so the financial structure is stable.
Growth FY2025 · annual report (separate)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $20.5M | $35.3M | $51.7M | +46.27% ↓ slower |
| Operating profit | -$1.9M | $3.4M | $9.7M | +182.01% |
| Net profit | -$868,475 | $2.2M | $10.0M | +353.96% |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $31.5M | $33.2M | $20.5M | $35.3M | $51.7M |
| Operating profit | $9.0M | $9.9M | -$1.9M | $3.4M | $9.7M |
| Net profit | $7.9M | $10.0M | -$868,475 | $2.2M | $10.0M |
| Revenue CAGR | 4-yr avg 13.15% | ||||
Revenue rose 46.3% year over year (2023 ₩30.9 billion → 2024 ₩53.3 billion → 2025 ₩78.0 billion), and the three-year trend is 'rising'. That said, the pace of growth slowed from the prior year. Operating profit rose 182.0% year over year. Over the 5 years on record, revenue compound annual growth (CAGR) is 13.2%. The two-year revenue CAGR is 58.8%. In the most recent quarter (Q1 2026), revenue was 72.5% higher than the same period a year earlier.
Latest quarterly results Q1 2026 · vs year-ago
Technical indicators
What stands out
- Revenue grew 46.3% year over year, a sign of growth.
- The balance sheet is stable in terms of debt and liquidity.
Points to watch
- The price is high versus peers, so expectations already appear priced in.
Recent news & events searched · sourced
- 2026-05-06EarningsQ1 2026 preliminary results disclosed. Revenue of ₩27.2 billion (+72.5% year on year), operating profit of ₩7.7 billion (+436.9%), and net profit of ₩7.8 billion (+561.2%) show a surge in earnings.An inflection point confirming that expanding ceramic STF volume for DRAM inspection is showing up in results. A near- and medium-term catalyst that sharply lowers valuation on this year's earnings. Source
- 2026-05-21IRInvestor briefing (IR) held. The company explained Q1 results and its future business direction directly.A forum for hearing the company's explanation of the drivers behind the earnings surge and future growth axes such as HBM4, useful for judging medium-term direction. Source
- 2026-03-25FilingAGM results and change of CEO. Agenda items were processed at the annual general meeting and the CEO changed.A change in management affects medium- and long-term business direction and execution, so continuity of strategy afterward is a point to watch. Source
- 2026-03-04FilingReport on the results of a treasury-share disposal. The process of disposing of held treasury shares was completed.A treasury-share disposal can affect the free float and shareholder composition, a reference point for near-term supply-demand. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| Q1 2026 revenue and operating profit | revenue ₩27.2 billion / operating profit ₩7.7 billion / net profit ₩7.8 billion | revenue ₩27.2 billion / operating profit ₩7.7 billion | Confirmed | link |
| 2025 annual net profit | ₩15.1 billion | (2025.12) | Confirmed | link |
| 2026 estimated net profit and forward P/E | net profit approx. ₩30.0 billion / forward PER approx. 24.8x | — | Unverified | link |
Recent filings
- 2026-05-21Disclosure
- 2026-05-15PeriodicQuarterly report
- 2026-05-06EarningsFair-disclosure notice
- 2026-04-30Disclosure
- 2026-03-25Disclosure
- 2026-03-25Disclosure
- 2026-03-25Shareholders' meeting notice
- 2026-03-16PeriodicAnnual business report
- 2026-03-16Audit report
- 2026-03-11Disclosure
- 2026-03-10Shareholders' meeting notice
- 2026-03-04TreasuryTreasury-stock disposal decision
📖 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.