company background image
A051

LG ChemKOSE:A051910 Stock Report

Last Price

₩696.00k

Market Cap

₩51.4t

7D

-2.8%

1Y

-28.6%

Updated

20 Jan, 2022

Data

Company Financials +
A051910 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance4/6
Financial Health4/6
Dividends4/6

A051910 Stock Overview

LG Chem, Ltd., together with its subsidiaries, engages in the petrochemicals, energy solutions, advanced materials, life sciences, and common and others businesses in South Korea, China, Asia, the United States, Europe, and internationally.

LG Chem Competitors

Kumho Petrochemical

KOSE:A011780

₩4.3t

Tesla

NasdaqGS:TSLA

US$1.0t

Samsung Electronics

KOSE:A005930

₩514.1t

Exxon Mobil

NYSE:XOM

US$310.2b

Price History & Performance

Summary of all time highs, changes and price drops for LG Chem
Historical stock prices
Current Share Price₩696,000.00
52 Week High₩1,043,000.00
52 Week Low₩611,000.00
Beta1.2
1 Month Change11.36%
3 Month Change-14.91%
1 Year Change-28.62%
3 Year Change86.35%
5 Year Change157.78%
Change since IPO5,380.32%

Recent News & Updates

Shareholder Returns

A051910KR ChemicalsKR Market
7D-2.8%-7.9%-4.2%
1Y-28.6%-15.5%-9.7%

Return vs Industry: A051910 underperformed the KR Chemicals industry which returned -15.5% over the past year.

Return vs Market: A051910 underperformed the KR Market which returned -9.7% over the past year.

Price Volatility

Is A051910's price volatile compared to industry and market?
A051910 volatility
A051910 Average Weekly Movement6.1%
Chemicals Industry Average Movement5.6%
Market Average Movement5.8%
10% most volatile stocks in KR Market11.1%
10% least volatile stocks in KR Market3.4%

Stable Share Price: A051910 is not significantly more volatile than the rest of KR stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: A051910's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1947n/aH.C. Shinhttps://www.lgchem.com

LG Chem, Ltd., together with its subsidiaries, engages in the petrochemicals, energy solutions, advanced materials, life sciences, and common and others businesses in South Korea, China, Asia, the United States, Europe, and internationally. It provides olefin petrochemicals, including ethylene, propylene, butadiene from Naphtha; synthetic resin and synthetic components from olefin, and aromatic petrochemicals, such as benzene; propylene, polypropylene, bisphenol A, acrylonitrile butadiene styrenes, EP, polyvinyl chloride, plasticizers, acrylics, super absorbent polymers, synthetic rubber, and others. The company also manufactures and supplies IT and new application batteries for mobile phones and laptop computers; automotive batteries for electric vehicles; and energy storage system batteries.

LG Chem Fundamentals Summary

How do LG Chem's earnings and revenue compare to its market cap?
A051910 fundamental statistics
Market Cap₩51.36t
Earnings (TTM)₩2.31t
Revenue (TTM)₩40.62t

23.4x

P/E Ratio

1.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
A051910 income statement (TTM)
Revenue₩40.62t
Cost of Revenue₩29.78t
Gross Profit₩10.84t
Expenses₩8.53t
Earnings₩2.31t

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)29.71k
Gross Margin26.69%
Net Profit Margin5.70%
Debt/Equity Ratio60.7%

How did A051910 perform over the long term?

See historical performance and comparison

Dividends

1.4%

Current Dividend Yield

31%

Payout Ratio

Valuation

Is LG Chem undervalued compared to its fair value and its price relative to the market?

20.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: A051910 (₩696000) is trading below our estimate of fair value (₩874910.6)

Significantly Below Fair Value: A051910 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: A051910 is poor value based on its PE Ratio (23.4x) compared to the KR Chemicals industry average (16.4x).

PE vs Market: A051910 is poor value based on its PE Ratio (23.4x) compared to the KR market (15.7x).


Price to Earnings Growth Ratio

PEG Ratio: A051910's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: A051910 is overvalued based on its PB Ratio (2.5x) compared to the KR Chemicals industry average (1.2x).


Future Growth

How is LG Chem forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?

-2.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: A051910's earnings are forecast to decline over the next 3 years (-2.1% per year).

Earnings vs Market: A051910's earnings are forecast to decline over the next 3 years (-2.1% per year).

High Growth Earnings: A051910's earnings are forecast to decline over the next 3 years.

Revenue vs Market: A051910's revenue (13.5% per year) is forecast to grow faster than the KR market (10.5% per year).

High Growth Revenue: A051910's revenue (13.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: A051910's Return on Equity is forecast to be low in 3 years time (13.5%).


Past Performance

How has LG Chem performed over the past 5 years?

-8.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: A051910 has high quality earnings.

Growing Profit Margin: A051910's current net profit margins (5.7%) are higher than last year (2.9%).


Past Earnings Growth Analysis

Earnings Trend: A051910's earnings have declined by 8.1% per year over the past 5 years.

Accelerating Growth: A051910's earnings growth over the past year (175.5%) exceeds its 5-year average (-8.1% per year).

Earnings vs Industry: A051910 earnings growth over the past year (175.5%) exceeded the Chemicals industry 27.4%.


Return on Equity

High ROE: A051910's Return on Equity (12.9%) is considered low.


Financial Health

How is LG Chem's financial position?


Financial Position Analysis

Short Term Liabilities: A051910's short term assets (₩20,531.0B) exceed its short term liabilities (₩14,865.4B).

Long Term Liabilities: A051910's short term assets (₩20,531.0B) exceed its long term liabilities (₩12,277.9B).


Debt to Equity History and Analysis

Debt Level: A051910's net debt to equity ratio (41.5%) is considered high.

Reducing Debt: A051910's debt to equity ratio has increased from 23.7% to 60.7% over the past 5 years.

Debt Coverage: A051910's debt is well covered by operating cash flow (42.1%).

Interest Coverage: A051910's interest payments on its debt are well covered by EBIT (38.3x coverage).


Balance Sheet


Dividend

What is LG Chem current dividend yield, its reliability and sustainability?

1.44%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: A051910's dividend (1.44%) is higher than the bottom 25% of dividend payers in the KR market (0.78%).

High Dividend: A051910's dividend (1.44%) is low compared to the top 25% of dividend payers in the KR market (2.47%).


Stability and Growth of Payments

Stable Dividend: A051910's dividend payments have been volatile in the past 10 years.

Growing Dividend: A051910's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.1%), A051910's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: A051910's dividends in 3 years are forecast to be well covered by earnings (24% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average board tenure


CEO

H.C. Shin (64 yo)

2.83yrs

Tenure

Mr. Hak-Cheol Shin, also known as H.C., serves Chief Executive Officer of LG Chem, Ltd. since March 15, 2019 and served as its Vice Chairman since March 15, 2019. He serves as Director at LG Chem, Ltd.sin...


Board Members

Experienced Board: A051910's board of directors are considered experienced (4.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

LG Chem, Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: LG Chem, Ltd.
  • Ticker: A051910
  • Exchange: KOSE
  • Founded: 1947
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Implied Market Cap: ₩51.362t
  • Shares outstanding: 77.89m
  • Website: https://www.lgchem.com

Number of Employees


Location

  • LG Chem, Ltd.
  • LG Twin Towers
  • 128, Yeoui-daero
  • Seoul
  • South Korea

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/20 15:52
End of Day Share Price2022/01/20 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.