Valuation Update With 7 Day Price Move • 22h
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to ₩6,430, the stock trades at a trailing P/E ratio of 60.8x. Average forward P/E is 6x in the Auto Components industry in South Korea. Valuation Update With 7 Day Price Move • Jun 26
Investor sentiment deteriorates as stock falls 21% After last week's 21% share price decline to ₩8,340, the stock trades at a trailing P/E ratio of 78.8x. Average forward P/E is 6x in the Auto Components industry in South Korea. New Risk • May 24
New major risk - Financial position The company's debt is not well covered by operating cash flow. Currently running at an operating cash loss. This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). High level of non-cash earnings (27% accrual ratio). Minor Risks Share price has been volatile over the past 3 months (15% average weekly change). Profit margins are more than 30% lower than last year (2.5% net profit margin). New Risk • Mar 29
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 2.3% Last year net profit margin: 7.1% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (15% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (2.3% net profit margin). Valuation Update With 7 Day Price Move • Mar 04
Investor sentiment deteriorates as stock falls 26% After last week's 26% share price decline to ₩13,290, the stock trades at a trailing P/E ratio of 69.8x. Average forward P/E is 6x in the Auto Components industry in South Korea. 공고 • Mar 04
Hallacast Co.,Ltd, Annual General Meeting, Mar 30, 2026 Hallacast Co.,Ltd, Annual General Meeting, Mar 30, 2026, at 09:00 Tokyo Standard Time. Location: conference room, 59, eunbong-ro 105beon-gil, namdong-gu, incheon South Korea New Risk • Nov 30
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 29% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (18% average weekly change). High level of non-cash earnings (29% accrual ratio). Valuation Update With 7 Day Price Move • Nov 24
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to ₩11,200, the stock trades at a trailing P/E ratio of 57.7x. Average forward P/E is 5x in the Auto Components industry in South Korea. Valuation Update With 7 Day Price Move • Nov 05
Investor sentiment deteriorates as stock falls 17% After last week's 17% share price decline to ₩10,650, the stock trades at a trailing P/E ratio of 54.9x. Average forward P/E is 5x in the Auto Components industry in South Korea. Valuation Update With 7 Day Price Move • Oct 15
Investor sentiment improves as stock rises 42% After last week's 42% share price gain to ₩10,940, the stock trades at a trailing P/E ratio of 56.4x. Average forward P/E is 5x in the Auto Components industry in South Korea. Valuation Update With 7 Day Price Move • Sep 29
Investor sentiment improves as stock rises 26% After last week's 26% share price gain to ₩8,850, the stock trades at a trailing P/E ratio of 45.6x. Average forward P/E is 5x in the Auto Components industry in South Korea. New Risk • Aug 30
New major risk - Financial data availability The company's latest financial reports are more than a year old. Last reported fiscal period ended December 2023. This is considered a major risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. In the worst case scenario, it may be facing other major going concern issues jeopardizing its viability as a listed company. Currently, the following risks have been identified for the company: Major Risks Latest financial reports are more than 1 year old (reported December 2023 fiscal period end). Shares are highly illiquid. Board Change • Aug 27
High number of new and inexperienced directors There are 5 new directors who have joined the board in the last 3 years. The company's board is composed of: 5 new directors. No experienced directors. No highly experienced directors. President, COO & Executive Director Soo Kwon Lee is the most experienced director on the board, commencing their role in 2023. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of board continuity. Lack of experienced directors. 
