LS Materials (417200) 🔎 In-depth
KOSDAQ · Price as of 2026-08-06 · Updated 2026-08-09
LS Materials earns from two businesses: ultracapacitors (UC), which charge and discharge quickly and last long, and aluminum materials and components for automotive, power and industrial use. As of Q1 2026, aluminum made up about 81% of revenue and UC about 19%, so aluminum is still the larger axis while UC is the growth axis. In March it unveiled a high-output UC product for AI data centers, and in April it supplied large UC modules to a U.S. nuclear-fusion demonstration project for the first time, though most of these are still initial or pilot stages, and the Q1 report showed revenue growth of +21.9% together with a continued loss. The encouraging points are that the higher-margin UC is opening structural new demand in data centers and renewables and that financial strength holds up with a current ratio of 375%. The caution is that earnings stayed at breakeven to a loss through 2025 and Q1, so a quarterly swing to profit needs to be confirmed for the P/B of 5.3x growth premium to be justified.
This page organises public market and filing data for information purposes. It is not a recommendation to buy or sell, nor investment advice. Metrics labelled “forward” are our own unverified estimates. Please verify with the original DART filings and decide at your own responsibility.
30-second brief
Pulled directly from the computed values below — not a separately written opinion.
What do the SourceComputedEstimateReading tags mean?
Source filings and exchange data · Computed calculated from public data · Estimate our own unverified projection · Reading drafted automatically, then rule-checked. See AI & Automation.
Core valuation metric
This stock's effective sub-sector is “Passive Components (MLCC, etc.)” (Semiconductors & IT Components · Electronic Components), a type typically read first through P/E.
Passive components such as MLCCs see volumes and prices move with device demand, but their recurring-demand model lets earnings accumulate fairly steadily. That is why trailing P/E, built on actually reported profit, is the first lens.
Price against earnings alone becomes unstable when earnings swing. Reading it together with price against assets helps gauge the downside.
That said, earnings are swinging with the industry cycle right now, so this metric is best viewed alongside asset value and the demand backdrop.
This note explains how each sector is typically valued and is educational context only, not investment advice.
At-a-glance assessment financial health · growth · profitability · valuation
- Debt ratio, current ratio and interest burden all look healthy.
- Revenue rose 8.1% year over year, and the pace is quickening (3-year trend: rising).
- Most recent quarter (Q1 2026) revenue was 21.9% higher than a year earlier.
- ROE is 0.2% (controlling-interest basis). It is below the sector average.
- Operating margin is -0.1%.
- A sector-metric and in-depth research verdict — see “Valuation vs peers” below for the basis.
Ownership & governance As of 2025-12-31
Largest shareholder LS Cable & System 43.51% (corporate)
Controlling bloc incl. related parties 43.51%
With the controlling bloc holding 44%, the ownership structure is stable.
🔎 In-depth analysis Reading
LS Materials earns from two main businesses. One is ultracapacitors (UC), components that store energy like a battery but charge and discharge far faster and last longer, used where strong power is needed instantly. The other is aluminum materials and components (extruded and machined products for automotive, power and industrial use). As of Q1 2026, the revenue mix was about 81% aluminum materials and components and about 19% ultracapacitors, so aluminum is still the larger axis of revenue while UC is the growth axis. The company sets applying UC to new demand sources such as supplementing instantaneous power in data centers (AIDC) and stabilizing renewable-energy grids as its medium-to-long-term growth driver.
The latest close is ₩11,950 and the market capitalization is ₩808.4 billion. The price sits above its 20-day moving average (₩11,322) and below its 60-day moving average (₩15,900). Short-term and medium-term trends are diverging, so the direction is best read separately. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 47.7, a neutral level. The one-month change is -8.6%, the three-month change is -60.4%, and the position relative to the 52-week high is -61.8%. Relative strength versus the KOSDAQ is 61 (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 61% of all stocks. Over the past three months it lagged the index by 33.6%. Chart interpretation is best done alongside trading volume and the dates on which disclosures occur.
In valuation, this stock shows a P/E ratio (how many times a year's profit the price represents) of 1867.19x, which is not because the company is expensive but because 2025 net profit of ₩0.44 billion converged near zero, distorting the division. In other words, the P/E figure itself carries little meaning. Instead, the P/B (how many times book equity the price represents) is 4.41x and the P/S (how many times a year's revenue the price represents) is 6.4x, showing that growth expectations are considerably reflected in the price even though earnings are not yet coming through. On profitability, 2025 ROE (how much the company earns in a year on its equity) was 0.2% and the operating margin -0.1%, essentially breakeven. Financially, the debt ratio (debt against equity) is 148%, not heavy, and the current ratio of 375% means ample short-term payment capacity. In sum, this is a phase where finances can hold up but the company is not yet earning much.
Revenue rose for three straight years, from ₩136.9 billion in 2023 to ₩142.1 billion in 2024 and ₩153.6 billion in 2025, with the growth rate accelerating from 3.8% to 8.1%. Q1 2026 revenue jumped 21.9% year on year to ₩43.05 billion, so top-line growth is clear. The issue is profit. Operating profit fell sharply from ₩13.6 billion in 2023 to ₩6.2 billion in 2024 and -₩0.14 billion (operating loss) in 2025, and net profit from ₩12.2 billion to ₩5.7 billion to ₩0.44 billion; in Q1 2026 there was still a loss, with an operating loss of -₩1.15 billion and a net loss of -₩1.74 billion. Revenue growing while profit collapsed can be read as the aluminum business's margins being pressed alongside upfront costs for new UC lines and market development. Future profit recovery hinges on how fast the higher-margin UC's data-center and renewable orders scale beyond initial revenue. That said, with Q1 still in the red and the company not officially presenting a specific target figure for this year's profit, this is a transitional phase where pinning down a particular number for full-year net profit is difficult.
The direction of the growth story is clear from official company announcements. In March 2026 the company unveiled a high-output UC product for AI data centers. Increasing charge-discharge life to about six times that of existing products, it is designed to handle the instantaneous power peaks of GPU servers, and the company said it is in supply discussions with server-equipment makers. In April it announced it would supply large UC modules to a U.S. nuclear-fusion demonstration project for the first time. This is meaningful as a case where a new application led to an actual supply. However, most of these are still initial or pilot stages, so more confirmation is needed before they solidify into large-scale repeat orders. The disclosure that formalized the direction is the corporate-value enhancement plan voluntarily disclosed on March 24. It covers securing UC orders and initial revenue in data centers and renewables, raising the share of high-value North American and European markets to strengthen profitability, and maintaining stable dividends (a payout of around 25% for 2025). However, it did not include specific annual revenue or profit target figures. Among results disclosures, the March 16 2025 business report confirmed a swing to operating loss despite revenue growth, and the May 15 Q1 report showed revenue growth of +21.9% together with a continued loss.
The strong conditions are clear. Revenue is nearing double-digit growth for three straight years, the higher-margin ultracapacitor is opening structural new demand sources in data centers and renewables, and financial strength (current ratio 375%, debt ratio 48%) is ample to endure. That is why the market attaches a P/B of 5.3x growth premium. Conversely, the weak conditions are equally clear. Earnings stayed at breakeven to a loss through 2025 and Q1 2026, so 'growth expectations' have not yet been confirmed as 'actual profit.' Ultimately, the point to watch is one: if new UC orders grow beyond initial revenue to a profit-generating scale and a quarterly swing to profit is confirmed, the current valuation is justified, but if that swing is delayed, a premium without profit can turn into a burden.
🔎 Valuation vs peers Inconclusive
As an ultracapacitor and power/materials growth company, compared against materials-and-components growth names at an earnings inflection. On-site peers are approximated by secondary-battery materials/cell and electronic-component materials companies (exact same-business listed peers are limited).
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| EcoPro BM | 254.72x | 5.61x | 2.28% |
| Lotte Energy Materials | 0.00x | 0.95x | -9.51% |
| PNT | 10.12x | 1.04x | 11.66% |
(a) As an earnings-inflection stock, the P/E of 2,262x is a distorted value arising from near-zero net profit and cannot be used as a valuation basis. The substantive bases are a P/B of 5.29x and a P/S of 6.4x. (b) This P/B is far higher than Lotte Energy Materials (1.24x) and lower than EcoPro BM (7.1x), so among growth-materials names it carries an upper-middle premium. (c) However, since the basis for the premium, UC profitability, has not yet been confirmed through 2025 to Q1 2026, it is accurate to withhold judgment on whether this premium is justified until a swing to profit. If a swing to profit is confirmed, the valuation relative to revenue growth has room for re-assessment; if delayed, it becomes a burden.
Price history Close · MA20 · MA60
The latest close is ₩11,950 and the market capitalization is ₩808.4 billion. The price sits above its 20-day moving average (₩11,322) and below its 60-day moving average (₩15,900). Short-term and medium-term trends are diverging, so the direction is best read separately. The RSI (a supplementary indicator that gauges the strength of gains versus losses over the past 14 days on a 0-100 scale) is 47.7, a neutral level. The one-month change is -8.6%, the three-month change is -60.4%, and the position relative to the 52-week high is -61.8%. Relative strength versus the KOSDAQ is 61 (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 61% of all stocks. Over the past three months it lagged the index by 33.6%. 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 -33.55% / 6M +2.65% / 12M +9.60%
Key metrics Computed vs sector median
Valuation
The P/E of 1867.19x is above the sector median (15.45x). The P/B of 4.41x is above the sector median (0.86x).
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
Return on equity (ROE) is 0.2%, below the sector average (4.0%). The operating margin is -0.1%. The debt ratio is 41.8%, so the financial structure is stable.
Growth FY2025 · annual report (consolidated)
| Item | 2023 | 2024 | 2025 | YoY |
|---|---|---|---|---|
| Revenue | $96.2M | $99.8M | $107.9M | +8.10% ↑ faster |
| Operating profit | $9.5M | $4.4M | -$99,481 | -102.29% ↓ slower |
| Net profit | $8.5M | $4.0M | $305,857 | -92.33% ↓ slower |
| 5-year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | — | — | $96.2M | $99.8M | $107.9M |
| Operating profit | — | — | $9.5M | $4.4M | -$99,481 |
| Net profit | — | — | $8.5M | $4.0M | $305,857 |
| Revenue CAGR | 2-yr avg 5.92% | ||||
Revenue rose 8.1% year over year (2023 ₩136.9 billion → 2024 ₩142.1 billion → 2025 ₩153.6 billion), and the three-year trend is 'rising'. The pace of growth also quickened from the prior year. Operating profit fell 102.3% year over year. The decline widened. Over the 3 years on record, revenue compound annual growth (CAGR) is 5.9%. The two-year revenue CAGR is 5.9%. In the most recent quarter (Q1 2026), revenue was 21.9% higher than the same period a year earlier.
Latest quarterly results Source Q1 2026 · vs year-ago
Technical indicators Computed
What stands out
- 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
- 2026-04-23UpdateOfficially announced that it would supply large ultracapacitor modules to a U.S. nuclear-fusion commercialization demonstration project for the first time. As its first entry into the fusion field, it is a case where a new application connected to an actual supply.An event that, if it leads to follow-on and commercialization orders in the medium term, could become a new axis of higher-margin UC revenue. However, still at the demonstration stage, so whether it solidifies into repeat orders needs confirmation. Source
- 2026-03-24FilingCorporate-value enhancement plan (voluntary disclosure) - presenting the securing of new UC orders and initial revenue in AIDC and renewable energy, expanding the share of high-value North American and European markets, and maintaining stable dividends at a payout of around 25% (no annual quantitative targets presented).Formalized the growth direction of expanding new UC demand sources in the medium term, but the absence of specific profit targets keeps expectations running ahead until actual orders and margins are confirmed. Source
- 2026-03-11IRUnveiled a high-output UC product for AI data centers - charge-discharge life about six times that of existing products (over 6 million cycles), for handling instantaneous power peaks of GPU servers. Said it is in supply discussions with server-equipment makers.A product targeting the new demand source of AI power infrastructure. Whether discussions convert into actual orders is the key to profit recovery. Source
- 2026-05-15EarningsQ1 2026 report - revenue ₩43.05 billion (+21.9% year on year) so the top line grew, but an operating loss of -₩1.15 billion and a net loss of -₩1.74 billion, a continued loss.In the near term, confirms that revenue growth and weak profit coexist. Reconfirms that the timing of the swing to profit is the key variable for justifying the valuation. Source
- 2026-03-16Earnings2025 business report - revenue ₩153.6 billion (+8.1% year on year) grew, but a swing to operating loss of -₩0.14 billion, with net profit plunging to ₩0.44 billion (from ₩5.7 billion a year earlier).Confirms the phase where profit collapsed despite revenue growth. Reveals a transitional phase reflecting aluminum-margin pressure and upfront costs for the UC business. Source
- 2026-06-01FilingLarge-scale enterprise group status disclosure (once a year, for Q1) - reconfirmed as an affiliate of the LS Group large enterprise group.Governance information confirming group-level linkage in power and materials businesses and the conditions for affiliate support. Source
Figure cross-check computed ↔ external
| Metric | Computed | External | Status | Source |
|---|---|---|---|---|
| 2025 net profit | ₩0.4 billion | approx. ₩0.4 billion | Confirmed | link |
| Q1 2026 revenue / profit and loss | revenue 430.5· -11.5· -17.4 | revenue 430.5 | Confirmed | link |
| Dividend (DPS / payout ratio) | DPS ₩22· 0.15% | 2025 approx. 14.88· 25% | Confirmed | link |
| 2026 net profit (in-house estimate) | — | — | Unverified | — |
Recent filings Source
- 2026-06-04PeriodicAnnual business report (amended)
- 2026-06-01Large-business-group status disclosure
- 2026-05-15PeriodicQuarterly report
- 2026-03-24Disclosure
- 2026-03-24Disclosure
- 2026-03-24Shareholders' meeting notice
- 2026-03-19PeriodicAnnual business report (amended)
- 2026-03-16PeriodicAnnual business report
- 2026-03-16Audit report
- 2026-02-27Disclosure
- 2026-02-27Shareholders' meeting notice
- 2026-02-27Large-business-group status disclosure
📖 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.