Are Investors Undervaluing Foosung Co., Ltd. (KRX:093370) By 46%?
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Foosung Co., Ltd...
Has the South Korean Chemicals Industry valuation changed over the past few years?
|Tue, 30 Nov 2021||₩156.7t||₩154.2t||₩12.1t||17x|
|Thu, 28 Oct 2021||₩165.9t||₩137.3t||₩9.6t||19.2x|
|Sat, 25 Sep 2021||₩169.3t||₩137.3t||₩9.6t||20.3x|
|Mon, 23 Aug 2021||₩158.9t||₩139.1t||₩9.6t||18.8x|
|Sat, 10 Jul 2021||₩163.8t||₩139.1t||₩9.6t||19.6x|
|Fri, 02 Apr 2021||₩143.3t||₩124.5t||₩6.8t||18x|
|Mon, 04 Jan 2021||₩135.3t||₩118.3t||₩3.9t||17.1x|
|Thu, 08 Oct 2020||₩107.4t||₩113.9t||₩2.8t||14.4x|
|Wed, 01 Jul 2020||₩79.1t||₩112.7t||₩2.5t||10.3x|
|Sat, 04 Apr 2020||₩58.2t||₩114.4t||₩1.8t||9.5x|
|Tue, 07 Jan 2020||₩70.7t||₩113.3t||₩2.5t||13.3x|
|Mon, 30 Sep 2019||₩67.9t||₩115.0t||₩3.0t||11.8x|
|Thu, 04 Jul 2019||₩75.4t||₩114.7t||₩3.6t||13.9x|
|Sun, 07 Apr 2019||₩78.6t||₩116.7t||₩4.6t||14x|
|Wed, 09 Jan 2019||₩74.4t||₩118.2t||₩5.9t||13x|
Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 14.7x. It appears they believe that earnings will grow in-line with historical growth rates.
Past Earnings Growth: The earnings for companies in the Chemicals industry have grown 21% per year over the last three years, and revenues for these companies have grown 11% per year. This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Which industries have driven the changes within the South Korean Chemicals industry?
|Fertilizers and Agricultural Chemicals||-6.91%|
Industry PE: Investors are most optimistic about the Commodity Chemicals industry which is trading above its 3-year average PE ratio of 14.2x. However analysts are expecting annual earnings decline of 0.2%, which is lower than the prior year's growth of 39% per year. So the market might believe that analysts are underestimating future growth or they expect the Commodity Chemicals industry's earnings to deteriorate the least compared to other industries. Meanwhile, investors are most pessimistic about the Diversified Chemicals industry, which is trading below its 3-year average of 7.1x.
Forecasted Growth: Analysts are most optimistic on the Specialty Chemicals industry, expecting annual earnings growth of 28% over the next 5 years. This is better than it's past earnings growth rate of 19% per year. Meanwhile, the Diversified Chemicals industry is expected to see its earnings decline by 7.2% per year over the next few years.
Which companies have driven the market over the last 7 days?
Hyosung Advanced Materials
Advanced Nano Products