The Discounted Cash Flow (DCF) valuation of SG Corp (004060.KS) is 189.61 KRW. With the latest stock price at 350.00 KRW, the upside of SG Corp based on DCF is -45.8%.

Is 004060.KS a buy or a sell?

Based on the latest price of 350.00 KRW and our DCF valuation, SG Corp (004060.KS) is a sell. Selling 004060.KS stocks now will result in a potential gain of 45.8%.

	Range	Selected
WACC / Discount Rate	5.4% - 7.3%	6.3%
Long-term Growth Rate	1.0% - 3.0%	2.0%
Fair Price	127.67 - 352.74	189.61
Upside	-63.5% - 0.8%	-45.8%

350.00 KRW

Stock Price

189.61 KRW

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

004060.KS DCF Valuation: Revenue & Expenses Forecast

(KRW in millions)		Projections

	12-2024	12-2025	12-2026	12-2027	12-2028	12-2029

Revenue	138,802	128,387	130,955	133,574	136,246	140,505
% Growth	3%	-8%	2%	2%	2%	3%

Cost of goods sold	(77,248)	(70,023)	(69,995)	(69,967)	(69,939)	(70,683)
% of Revenue	56%	55%	53%	52%	51%	50%

Selling, G&A expenses	(60,737)	(56,180)	(57,304)	(58,450)	(59,619)	(61,483)
% of Revenue	44%	44%	44%	44%	44%	44%

Research & Development	(1,336)	(1,236)	(1,261)	(1,286)	(1,311)	(1,352)
% of Revenue	1%	1%	1%	1%	1%	1%

Net interest & other expenses	6,435	5,952	6,071	6,193	6,316	6,514
% of Revenue	5%	5%	5%	5%	5%	5%

Tax expense	(558)	(2,136)	(2,621)	(3,116)	(3,620)	(4,180)
Tax rate	9%	31%	31%	31%	31%	31%

Net profit	5,358	4,764	5,846	6,948	8,073	9,321
% Margin	4%	4%	4%	5%	6%	7%