Valuation Update With 7 Day Price Move • May 20
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to ₩3,530, the stock trades at a trailing P/E ratio of 11x. Average trailing P/E is 28x in the Semiconductor industry in South Korea. Total returns to shareholders of 28% over the past three years. New Risk • May 06
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 14% 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 11% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (14% average weekly change). Valuation Update With 7 Day Price Move • May 06
Investor sentiment improves as stock rises 39% After last week's 39% share price gain to ₩4,020, the stock trades at a trailing P/E ratio of 12.6x. Average trailing P/E is 30x in the Semiconductor industry in South Korea. Total returns to shareholders of 78% over the past three years. Valuation Update With 7 Day Price Move • Apr 14
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to ₩2,450, the stock trades at a trailing P/E ratio of 7.7x. Average trailing P/E is 27x in the Semiconductor industry in South Korea. Total loss to shareholders of 5.8% over the past three years. Reported Earnings • Mar 21
Full year 2025 earnings released: EPS: ₩320 (vs ₩581 loss in FY 2024) Full year 2025 results: EPS: ₩320 (up from ₩581 loss in FY 2024). Revenue: ₩160.3b (down 1.3% from FY 2024). Net income: ₩28.4b (up ₩80.0b from FY 2024). Profit margin: 18% (up from net loss in FY 2024). The move to profitability was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 61% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Announcement • Mar 04
HB Technology CO.,LTD., Annual General Meeting, Mar 24, 2026 HB Technology CO.,LTD., Annual General Meeting, Mar 24, 2026, at 09:00 Tokyo Standard Time. Location: conference room, 87, sandong-ro, eumbong-myun, chungcheongnam-do, asan South Korea New Risk • Dec 24
New minor risk - Dividend sustainability The dividend is not well covered by earnings. The company is paying a dividend despite being loss-making. Dividend yield: 1.1% This is considered a minor risk. Companies that pay out too much of their earnings are at risk of having to reduce or cut their dividend in future. If earnings growth slows or earnings fall, then there may not be enough earnings to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. However, this risk is mitigated by the fact the dividend is covered by cash flows. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 14% per year over the past 5 years. Minor Risk Paying a dividend despite being loss-making. Upcoming Dividend • Dec 22
Upcoming dividend of ₩20.00 per share Eligible shareholders must have bought the stock before 29 December 2025. Payment date: 27 April 2026. The company is not currently making a profit but it is cash flow positive. Trailing yield: 1.1%. Lower than top quartile of South Korean dividend payers (3.6%). Higher than average of industry peers (0.4%). Declared Dividend • Nov 08
Dividend of ₩20.00 announced Dividend of ₩20.00 is the same as last year. Ex-date: 29th December 2025 Payment date: 27th April 2026 Dividend yield will be 1.0%, which is about the same as the industry average. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is well covered by cash flows (23% cash payout ratio). The dividend has not increased over the past 6 years but payments have been stable during that time. Announcement • Nov 07
HB Technology CO.,LTD. announces Annual dividend, payable on April 27, 2026 HB Technology CO.,LTD. announced Annual dividend of KRW 20.0000 per share payable on April 27, 2026, ex-date on December 29, 2025 and record date on December 31, 2025. New Risk • Jul 16
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. The company is paying a dividend despite being loss-making. The company is paying a dividend despite having no free cash flows. Dividend yield: 1.1% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risks 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. Earnings have declined by 0.1% per year over the past 5 years. New Risk • May 29
New major risk - Revenue and earnings growth Earnings have declined by 0.1% 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. Reported Earnings • Mar 21
Full year 2024 earnings released: ₩581 loss per share (vs ₩983 profit in FY 2023) Full year 2024 results: ₩581 loss per share (down from ₩983 profit in FY 2023). Revenue: ₩162.4b (up 45% from FY 2023). Net loss: ₩51.6b (down 165% from profit in FY 2023). Over the last 3 years on average, earnings per share has fallen by 20% per year but the company’s share price has only fallen by 2% per year, which means it has not declined as severely as earnings. Announcement • Feb 27
HB Technology CO.,LTD., Annual General Meeting, Mar 25, 2025 HB Technology CO.,LTD., Annual General Meeting, Mar 25, 2025, at 09:00 Tokyo Standard Time. Location: conference room, 87, sandong-ro, eumbong-myun, chungcheongnam-do, asan South Korea Valuation Update With 7 Day Price Move • Feb 10
Investor sentiment improves as stock rises 21% After last week's 21% share price gain to ₩2,665, the stock trades at a trailing P/E ratio of 10.2x. Average trailing P/E is 17x in the Semiconductor industry in South Korea. Total returns to shareholders of 24% over the past three years. New Risk • Feb 06
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 10% 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: Minor Risks Share price has been volatile over the past 3 months (10% average weekly change). Large one-off items impacting financial results. Valuation Update With 7 Day Price Move • Jan 07
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to ₩2,380, the stock trades at a trailing P/E ratio of 9.1x. Average trailing P/E is 17x in the Semiconductor industry in South Korea. Total loss to shareholders of 2.0% over the past three years. New Risk • Dec 09
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: ₩137.2b (US$95.8m) 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: Minor Risks Large one-off items impacting financial results. Market cap is less than US$100m (₩137.2b market cap, or US$95.8m). Valuation Update With 7 Day Price Move • Dec 09
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to ₩1,544, the stock trades at a trailing P/E ratio of 5.9x. Average trailing P/E is 14x in the Semiconductor industry in South Korea. Total loss to shareholders of 37% over the past three years. Valuation Update With 7 Day Price Move • Nov 13
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to ₩1,890, the stock trades at a forward P/E ratio of 2x. Average forward P/E is 13x in the Semiconductor industry in South Korea. Total loss to shareholders of 18% over the past three years. Valuation Update With 7 Day Price Move • Aug 01
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to ₩3,395, the stock trades at a forward P/E ratio of 3x. Average forward P/E is 16x in the Semiconductor industry in South Korea. Total returns to shareholders of 11% over the past three years. Valuation Update With 7 Day Price Move • Jul 09
Investor sentiment improves as stock rises 25% After last week's 25% share price gain to ₩4,550, the stock trades at a forward P/E ratio of 4x. Average forward P/E is 19x in the Semiconductor industry in South Korea. Total returns to shareholders of 54% over the past three years. Valuation Update With 7 Day Price Move • Jun 20
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to ₩3,490, the stock trades at a forward P/E ratio of 3x. Average forward P/E is 18x in the Semiconductor industry in South Korea. Total returns to shareholders of 30% over the past three years. Valuation Update With 7 Day Price Move • Mar 28
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to ₩2,825, the stock trades at a trailing P/E ratio of 3.2x. Average trailing P/E is 25x in the Semiconductor industry in South Korea. Total loss to shareholders of 9.9% over the past three years. Reported Earnings • Mar 21
Full year 2023 earnings released: EPS: ₩983 (vs ₩358 in FY 2022) Full year 2023 results: EPS: ₩983 (up from ₩358 in FY 2022). Revenue: ₩111.6b (down 25% from FY 2022). Net income: ₩79.3b (up 191% from FY 2022). Profit margin: 71% (up from 18% in FY 2022). Over the last 3 years on average, earnings per share has increased by 65% per year but the company’s share price has fallen by 9% per year, which means it is significantly lagging earnings. Upcoming Dividend • Dec 20
Upcoming dividend of ₩20.00 per share at 0.8% yield Eligible shareholders must have bought the stock before 27 December 2023. Payment date: 25 April 2024. The company is not currently making a profit and is not cash flow positive. Trailing yield: 0.8%. Lower than top quartile of South Korean dividend payers (3.5%). Lower than average of industry peers (1.0%). New Risk • Nov 30
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 24% 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 Risk High level of non-cash earnings (24% accrual ratio). Minor Risks Share price has been volatile over the past 3 months (12% average weekly change). Profit margins are more than 30% lower than last year (1.0% net profit margin). Shareholders have been diluted in the past year (18% increase in shares outstanding). Valuation Update With 7 Day Price Move • Sep 07
Investor sentiment improves as stock rises 26% After last week's 26% share price gain to ₩3,780, the stock trades at a trailing P/E ratio of 6.6x. Average trailing P/E is 15x in the Semiconductor industry in South Korea. Total returns to shareholders of 84% over the past three years. New Risk • Jun 28
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 7.7% 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 Risk High level of non-cash earnings (40% accrual ratio). Minor Risk Shareholders have been diluted in the past year (7.7% increase in shares outstanding). Valuation Update With 7 Day Price Move • May 17
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to ₩2,685, the stock trades at a trailing P/E ratio of 7.4x. Average trailing P/E is 11x in the Semiconductor industry in South Korea. Total returns to shareholders of 7.6% over the past three years. Valuation Update With 7 Day Price Move • Mar 28
Investor sentiment improves as stock rises 33% After last week's 33% share price gain to ₩2,640, the stock trades at a trailing P/E ratio of 7.3x. Average trailing P/E is 12x in the Semiconductor industry in South Korea. Total returns to shareholders of 24% over the past three years. Upcoming Dividend • Dec 21
Upcoming dividend of ₩20.00 per share Eligible shareholders must have bought the stock before 28 December 2022. Payment date: 25 April 2023. Payout ratio is a comfortable 1.5% but the company is not cash flow positive. Trailing yield: 1.0%. Lower than top quartile of South Korean dividend payers (3.3%). Lower than average of industry peers (1.8%). Board Change • Nov 16
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. No independent directors (5 non-independent directors). was the last director to join the board, commencing their role in . The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Insufficient board refreshment. Announcement • Jul 15
HB Technology CO.,LTD. (KOSDAQ:A078150) announces an Equity Buyback for KRW 2,000 million worth of its shares. HB Technology CO.,LTD. (KOSDAQ:A078150) announces a share repurchase program. Under the program, the company will repurchase up to $2,000 million worth of its shares according to the contract with Shinhan Investment Corp. The purpose of the program is stock price stability and shareholder value enhancement. The program will expire on January 14, 2023. As of July 13, 2022, the company had 2,499,557 and 330,035 treasury stock holdings in acquisition within the scope of allotment and through other acquisition, respectively. Valuation Update With 7 Day Price Move • Jul 11
Investor sentiment improved over the past week After last week's 16% share price gain to ₩2,025, the stock trades at a trailing P/E ratio of 10.2x. Average trailing P/E is 10x in the Semiconductor industry in South Korea. Total loss to shareholders of 31% 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 16% share price decline to ₩1,765, the stock trades at a trailing P/E ratio of 8.9x. Average trailing P/E is 10x in the Semiconductor industry in South Korea. Total loss to shareholders of 47% over the past three years. Board Change • Apr 27
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 5 experienced directors. No highly experienced directors. No independent directors (5 non-independent directors). was the last director to join the board, commencing their role in . The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Insufficient board refreshment. Upcoming Dividend • Dec 22
Upcoming dividend of ₩20.00 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 18 April 2022. The company is not currently making a profit but it is cash flow positive. Trailing yield: 0.8%. Lower than top quartile of South Korean dividend payers (2.4%). In line with average of industry peers (0.9%). Valuation Update With 7 Day Price Move • May 13
Investor sentiment deteriorated over the past week After last week's 22% share price decline to ₩2,770, the stock trades at a trailing P/E ratio of 58.9x. Average trailing P/E is 24x in the Semiconductor industry in South Korea. Total returns to shareholders of 3.3% over the past three years. Valuation Update With 7 Day Price Move • Apr 05
Investor sentiment improved over the past week After last week's 18% share price gain to ₩3,530, the stock trades at a trailing P/E ratio of 75.1x. Average forward P/E is 13x in the Semiconductor industry in South Korea. Total returns to shareholders of 23% over the past three years. Valuation Update With 7 Day Price Move • Feb 17
Investor sentiment improved over the past week After last week's 20% share price gain to ₩3,000, the stock is trading at a trailing P/E ratio of 13.8x, up from the previous P/E ratio of 11.4x. This compares to an average P/E of 22x in the Semiconductor industry in South Korea. Total return to shareholders over the past three years is a loss of 26%. Is New 90 Day High Low • Feb 15
New 90-day high: ₩2,645 The company is up 34% from its price of ₩1,970 on 17 November 2020. The South Korean market is up 21% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Semiconductor industry, which is up 26% over the same period. Is New 90 Day High Low • Jan 26
New 90-day high: ₩2,500 The company is up 35% from its price of ₩1,850 on 28 October 2020. The South Korean market is up 36% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor industry, which is up 55% over the same period. Is New 90 Day High Low • Jan 07
New 90-day high: ₩2,430 The company is up 22% from its price of ₩2,000 on 08 October 2020. The South Korean market is up 23% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor industry, which is up 40% over the same period. Is New 90 Day High Low • Dec 03
New 90-day high: ₩2,140 The company is up 6.0% from its price of ₩2,020 on 04 September 2020. The South Korean market is up 11% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor industry, which is up 25% over the same period. Is New 90 Day High Low • Oct 26
New 90-day low: ₩1,895 The company is down 18% from its price of ₩2,300 on 28 July 2020. The South Korean market is up 6.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor industry, which is flat over the same period. Is New 90 Day High Low • Sep 22
New 90-day low: ₩1,945 The company is down 16% from its price of ₩2,305 on 24 June 2020. The South Korean market is up 13% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor industry, which is up 6.0% over the same period.