New Risk • Mar 29
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 16% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (17% average weekly change). Earnings have declined by 57% per year over the past 5 years. Minor Risk Shareholders have been diluted in the past year (16% increase in shares outstanding). Annonce • Feb 07
OE Solutions Co., Ltd., Annual General Meeting, Mar 27, 2026 OE Solutions Co., Ltd., Annual General Meeting, Mar 27, 2026, at 11:00 Tokyo Standard Time. Location: conference room, 53, cheomdannyeonsin-ro 30 beon-gil, buk-gu, gwangju South Korea New Risk • Dec 22
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of South Korean stocks, typically moving 12% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (12% average weekly change). Earnings have declined by 62% per year over the past 5 years. New Risk • Oct 10
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of South Korean stocks, typically moving 7.3% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 67% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (7.3% average weekly change). Market cap is less than US$100m (₩122.4b market cap, or US$86.2m). Reported Earnings • Mar 26
Full year 2024 earnings released: ₩3,215 loss per share (vs ₩3,218 loss in FY 2023) Full year 2024 results: ₩3,215 loss per share (improved from ₩3,218 loss in FY 2023). Revenue: ₩32.0b (down 30% from FY 2023). Net loss: ₩33.1b (loss narrowed 2.0% from FY 2023). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 61 percentage points per year, which is a significant difference in performance. Annonce • Feb 07
OE Solutions Co., Ltd., Annual General Meeting, Mar 28, 2025 OE Solutions Co., Ltd., Annual General Meeting, Mar 28, 2025, at 11:00 Tokyo Standard Time. Location: conference room, 53, cheomdannyeonsin-ro 30 beon-gil, buk-gu, gwangju South Korea Upcoming Dividend • Dec 20
Upcoming dividend of ₩100.00 per share Eligible shareholders must have bought the stock before 27 December 2024. Payment date: 04 April 2025. The company is not currently making a profit and is not cash flow positive. Trailing yield: 1.0%. Lower than top quartile of South Korean dividend payers (3.9%). Lower than average of industry peers (1.7%). Reported Earnings • Mar 19
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: ₩3,218 loss per share (further deteriorated from ₩567 loss in FY 2022). Revenue: ₩46.0b (down 40% from FY 2022). Net loss: ₩33.8b (loss widened 466% from FY 2022). Revenue missed analyst estimates by 15%. Earnings per share (EPS) also missed analyst estimates by 41%. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 81 percentage points per year, which is a significant difference in performance. New Risk • Mar 19
New major risk - Revenue and earnings growth Earnings have declined by 52% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. This is currently the only risk that has been identified for the company. Upcoming Dividend • Dec 20
Upcoming dividend of ₩200 per share at 1.5% yield Eligible shareholders must have bought the stock before 27 December 2023. Payment date: 12 April 2024. The company is not currently making a profit and is not cash flow positive. Trailing yield: 1.5%. Lower than top quartile of South Korean dividend payers (3.5%). Higher than average of industry peers (1.3%). New Risk • Oct 20
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: ₩130.9b (US$97.0m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Paying a dividend despite having no free cash flows. Minor Risks Share price has been volatile over the past 3 months (9.3% average weekly change). Market cap is less than US$100m (₩130.9b market cap, or US$97.0m). New Risk • Oct 02
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of South Korean stocks, typically moving 8.8% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Paying a dividend despite having no free cash flows. Minor Risk Share price has been volatile over the past 3 months (8.8% average weekly change). New Risk • Jul 27
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: ₩125.1b (US$98.4m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Paying a dividend despite having no free cash flows. Minor Risk Market cap is less than US$100m (₩125.1b market cap, or US$98.4m). Upcoming Dividend • Dec 21
Upcoming dividend of ₩300 per share Eligible shareholders must have bought the stock before 28 December 2022. Payment date: 13 April 2023. The company is paying out more than 100% of its profits and is cash flow negative. Trailing yield: 1.6%. Lower than top quartile of South Korean dividend payers (3.3%). Higher than average of industry peers (1.2%). Major Estimate Revision • Nov 24
Consensus revenue estimates fall by 31% The consensus outlook for revenues in 2022 has deteriorated. 2022 revenue forecast decreased from ₩113.5m to ₩78.2m. Forecast loss of -₩173, down from profit of ₩844 per share profit previously. Communications industry in South Korea expected to see average net income growth of 38% next year. Consensus price target down from ₩42,000 to ₩22,000. Share price fell 2.5% to ₩17,300 over the past week. Board Change • Nov 16
No independent directors Following the recent departure of a director, there are no independent directors on the board. The company's board is composed of: No independent directors. 8 non-independent directors. VP, GM of Optical Transceiver BU & Director Walter Lee was the last director to join the board, commencing their role in 2021. The company's lack of independent directors is a risk according to the Simply Wall St Risk Model. Buying Opportunity • Sep 29
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 26%. The fair value is estimated to be ₩21,082, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 27% over the last 3 years. Earnings per share has declined by 52%. Revenue is forecast to grow by 83% in 2 years. Earnings is forecast to grow by 343% in the next 2 years. Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment deteriorated over the past week After last week's 16% share price decline to ₩18,050, the stock trades at a forward P/E ratio of 15x. Average forward P/E is 17x in the Communications industry in Asia. Total loss to shareholders of 58% over the past three years. Valuation Update With 7 Day Price Move • Jun 23
Investor sentiment deteriorated over the past week After last week's 17% share price decline to ₩22,000, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 20x in the Communications industry in Asia. Total loss to shareholders of 47% over the past three years. Major Estimate Revision • May 18
Consensus revenue estimates fall by 14% The consensus outlook for revenues in 2022 has deteriorated. 2022 revenue forecast decreased from ₩137.0m to ₩117.4m. EPS estimate fell from ₩1,361 to ₩1,081 per share. Net income forecast to shrink 20% next year vs 47% growth forecast for Communications industry in South Korea . Consensus price target of ₩42,000 unchanged from last update. Share price fell 6.6% to ₩28,950 over the past week. Price Target Changed • Apr 27
Price target decreased to ₩42,000 Down from ₩59,000, the current price target is provided by 1 analyst. New target price is 49% above last closing price of ₩28,250. Stock is down 36% over the past year. The company is forecast to post earnings per share of ₩1,361 for next year compared to ₩1,354 last year. Board Change • Apr 27
No independent directors Following the recent departure of a director, there are no independent directors on the board. The company's board is composed of: No independent directors. 8 non-independent directors. VP, GM of Optical Transceiver BU & Director Walter Lee was the last director to join the board, commencing their role in 2021. The company's lack of independent directors is a risk according to the Simply Wall St Risk Model. Upcoming Dividend • Dec 22
Upcoming dividend of ₩300 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 12 April 2022. Payout ratio is a comfortable 21% and this is well supported by cash flows. Trailing yield: 0.9%. Lower than top quartile of South Korean dividend payers (2.4%). In line with average of industry peers (0.8%). Price Target Changed • Nov 17
Price target decreased to ₩50,500 Down from ₩59,000, the current price target is an average from 2 analysts. New target price is 60% above last closing price of ₩31,550. Stock is down 37% over the past year. The company is forecast to post earnings per share of ₩1,244 for next year compared to ₩1,164 last year. Major Estimate Revision • Aug 18
Consensus revenue estimates fall to ₩124.7m The consensus outlook for revenues in 2021 has deteriorated. 2021 revenue forecast decreased from ₩155.8m to ₩124.7m. EPS estimate fell from ₩2,114 to ₩1,639 per share. Net income forecast to grow 27% next year vs 105% growth forecast for Communications industry in South Korea. Consensus price target of ₩59,000 unchanged from last update. Share price fell 5.5% to ₩39,000 over the past week. Price Target Changed • Jun 19
Price target increased to ₩72,000 Up from ₩63,000, the current price target is provided by 1 analyst. New target price is 49% above last closing price of ₩48,300. Stock is up 18% over the past year. Major Estimate Revision • May 22
Consensus revenue estimates fall to ₩142.8m The consensus outlook for revenues in 2021 has deteriorated. 2021 revenue forecast decreased from ₩167.2m to ₩142.8m. EPS estimate fell from ₩2,420 to ₩1,735 per share. Net income forecast to grow 49% next year vs 149% growth forecast for Communications industry in South Korea. Consensus price target down from ₩67,667 to ₩63,000. Share price was steady at ₩39,700 over the past week. Is New 90 Day High Low • Feb 24
New 90-day low: ₩47,500 The company is down 7.0% from its price of ₩51,300 on 26 November 2020. The South Korean market is up 17% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is up 5.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is ₩113,318 per share. Is New 90 Day High Low • Feb 08
New 90-day low: ₩48,850 The company is down 6.0% from its price of ₩52,000 on 10 November 2020. The South Korean market is up 25% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is up 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is ₩109,566 per share. Annonce • Feb 06
OE Solutions Co., Ltd., Annual General Meeting, Mar 26, 2021 OE Solutions Co., Ltd., Annual General Meeting, Mar 26, 2021, at 11:00 Korea Standard Time. Is New 90 Day High Low • Jan 08
New 90-day high: ₩57,600 The company is up 1.0% from its price of ₩57,000 on 08 October 2020. The South Korean market is up 25% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is up 4.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is ₩107,375 per share. Valuation Update With 7 Day Price Move • Nov 06
Market bids up stock over the past week After last week's 15% share price gain to ₩50,500, the stock is trading at a trailing P/E ratio of 17.6x, up from the previous P/E ratio of 15.3x. This compares to an average P/E of 23x in the Communications industry in South Korea. Total returns to shareholders over the past three years are 643%. Is New 90 Day High Low • Oct 30
New 90-day low: ₩43,750 The company is down 27% from its price of ₩59,800 on 31 July 2020. The South Korean market is up 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is down 7.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is ₩147,417 per share. Is New 90 Day High Low • Oct 15
New 90-day low: ₩52,200 The company is down 15% from its price of ₩61,300 on 17 July 2020. The South Korean market is up 9.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Communications industry, which is up 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is ₩147,790 per share.