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051600:KRXKEPCO Plant Service & Engineering Co.,Ltd. Analysis

Data as of 2026-07-09 - not real-time

₩43,250.00

Latest Price

6/10Risk

Risk Level: Medium

Executive Summary

KEPCO Plant Service & Engineering is trading well below its discounted cash‑flow estimate, with a forward P/E that is dramatically lower than the industry average, suggesting a sizable valuation gap. The company enjoys a strong balance sheet, boasting cash reserves that far exceed its modest debt load, and it delivers an attractive dividend yield supported by a payout ratio around the mid‑50% range. Revenue growth remains robust, driven by expanding maintenance services across conventional and renewable power assets, while operating margins indicate solid profitability.
On the technical side, the stock is in a bearish trend, with the 20‑day SMA below longer‑term averages, a bearish MACD crossover, and a decreasing volume trend that underscores weakening short‑term momentum. The RSI sits in the lower‑mid range, hinting at potential oversold conditions, yet volatility is elevated and beta suggests the share moves more aggressively than the market, amplifying short‑term risk.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 5/10

Key Factors

  • Bearish technical indicators and decreasing volume
  • Proximity to recent support level
  • High short‑term volatility

Medium Term

1–3 years
Positive
Model confidence: 7/10

Key Factors

  • Significant upside potential versus DCF fair value
  • Strong cash generation and low leverage
  • Attractive dividend yield with sustainable payout

Long Term

> 3 years
Positive
Model confidence: 8/10

Key Factors

  • Continued growth in power‑plant maintenance and renewable services
  • Strategic positioning as a KEPCO subsidiary
  • Robust balance sheet supporting dividend stability and reinvestment

Key Metrics & Analysis

Financial Health

Revenue Growth22.40%
Profit Margin8.68%
P/E Ratio11.7
ROE11.25%
ROA6.22%
Debt/Equity0.65
Op. Cash Flow₩111.9B
Free Cash Flow₩52.0B
Industry P/E31.0

Technical Analysis

TrendBearish
RSI37.6
Support₩42,350.00
Resistance₩63,900.00
MA 20₩47,732.50
MA 50₩52,011.00
MA 200₩53,924.75
MACDBearish
VolumeDecreasing
Fear & Greed Index91.25

Valuation

Fair Value₩45,507.86
Target Price₩65,090.91
Upside/Downside50.50%
GradeUndervalued
TypeBlend
Dividend Yield3.76%

Risk Assessment

Beta1.07
Volatility100.63%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskLow
Liquidity RiskMedium

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.