New Risk • May 28
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -₩15b This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-₩15b free cash flow). Share price has been highly volatile over the past 3 months (17% average weekly change). Earnings have declined by 51% per year over the past 5 years. New Risk • May 11
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 16% 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 (16% average weekly change). Earnings have declined by 49% per year over the past 5 years. New Risk • Apr 08
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 15% 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 49% per year over the past 5 years. Minor Risk Share price has been volatile over the past 3 months (15% average weekly change). New Risk • Mar 18
New major risk - Revenue and earnings growth Earnings have declined by 43% 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. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (16% operating cash flow to total debt). Earnings have declined by 43% per year over the past 5 years. Announcement • Mar 17
ITM Semiconductor Co., Ltd., Annual General Meeting, Mar 30, 2026 ITM Semiconductor Co., Ltd., Annual General Meeting, Mar 30, 2026, at 09:01 Tokyo Standard Time. Location: conference room, 806, jungbu-ro, cheongwon-gu, chungcheongbuk-do, cheongju South Korea New Risk • Sep 01
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 0.05x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. This is currently the only risk that has been identified for the company. New Risk • Aug 30
New minor risk - Financial data availability Less than 3 years of financial data is available. This is considered a minor risk. If the company has been trading for less than 3 years, then it has not had the opportunity to establish a long-term track record. This makes it difficult for investors to assess the true growth potential, sustainability and resilience of the business under different economic conditions. This is currently the only risk that has been identified for the company. Buy Or Sell Opportunity • Jul 17
Now 23% overvalued after recent price rise Over the last 90 days, the stock has risen 27% to ₩13,190. The fair value is estimated to be ₩10,755, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Meanwhile, the company became loss making. Buy Or Sell Opportunity • May 20
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 12% to ₩11,470. The fair value is estimated to be ₩14,547, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 3.1% over the last 3 years. Meanwhile, the company has become profitable. For the next 3 years, revenue is forecast to grow by 8.8% per annum. Earnings are also forecast to grow by 39% per annum over the same time period. Buy Or Sell Opportunity • Mar 28
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 7.8% to ₩11,520. The fair value is estimated to be ₩14,547, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 3.1% over the last 3 years. Meanwhile, the company has become profitable. For the next 3 years, revenue is forecast to grow by 10% per annum. Earnings are also forecast to grow by 39% per annum over the same time period. Reported Earnings • Mar 21
Full year 2024 earnings: EPS exceeds analyst expectations Full year 2024 results: EPS: ₩59.00 (up from ₩1,570 loss in FY 2023). Revenue: ₩647.9b (up 12% from FY 2023). Net income: ₩1.22b (up ₩34.2b from FY 2023). Profit margin: 0.2% (up from net loss in FY 2023). The move to profitability was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) exceeded analyst estimates. Revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Semiconductor industry in South Korea. Over the last 3 years on average, earnings per share has fallen by 40% per year but the company’s share price has only fallen by 30% per year, which means it has not declined as severely as earnings. Price Target Changed • Mar 19
Price target decreased by 12% to ₩21,500 Down from ₩24,500, the current price target is an average from 4 analysts. New target price is 72% above last closing price of ₩12,500. Stock is down 41% over the past year. The company is forecast to post a net loss per share of ₩65.00 next year compared to a net loss per share of ₩1,570 last year. Announcement • Mar 13
ITM Semiconductor Co., Ltd., Annual General Meeting, Mar 26, 2025 ITM Semiconductor Co., Ltd., Annual General Meeting, Mar 26, 2025, at 09:01 Tokyo Standard Time. Location: conference room, 60, yangcheong 3-gil, ochang-eup, cheongwon-gu, chungcheongbuk-do, cheongju South Korea Buy Or Sell Opportunity • Mar 07
Now 22% undervalued after recent price drop Over the last 90 days, the stock has fallen 17% to ₩11,910. The fair value is estimated to be ₩15,278, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 6.1% over the last 3 years. Meanwhile, the company became loss making. Revenue is forecast to grow by 6.3% in a year. Earnings are forecast to grow by 99% in the next year. Price Target Changed • Aug 22
Price target decreased by 13% to ₩30,750 Down from ₩35,500, the current price target is an average from 3 analysts. New target price is 60% above last closing price of ₩19,190. Stock is down 19% over the past year. The company is forecast to post a net loss per share of ₩36.50 next year compared to a net loss per share of ₩1,570 last year. Major Estimate Revision • Jun 06
Consensus EPS estimates fall by 29%, revenue upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from ₩646.1m to ₩665.0m. Forecast EPS reduced from -₩266 to -₩344 per share. Semiconductor industry in South Korea expected to see average net income growth of 69% next year. Consensus price target up from ₩28,500 to ₩31,500. Share price was steady at ₩22,750 over the past week. Major Estimate Revision • May 03
Consensus EPS estimates fall from profit to ₩262 loss The consensus outlook for fiscal year 2024 has been updated. Expected to report loss instead of -₩262 instead of ₩112 per share profit previously forecast. Revenue forecast unchanged at ₩637.1m Semiconductor industry in South Korea expected to see average net income growth of 58% next year. Consensus price target down from ₩33,000 to ₩28,000. Share price was steady at ₩19,520 over the past week. Reported Earnings • Mar 20
Full year 2023 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2023 results: ₩1,570 loss per share (further deteriorated from ₩966 loss in FY 2022). Revenue: ₩580.5b (down 8.4% from FY 2022). Net loss: ₩33.0b (loss widened 55% from FY 2022). Revenue exceeded analyst estimates by 1.9%. Earnings per share (EPS) missed analyst estimates by 69%. Revenue is forecast to grow 14% p.a. on average during the next 2 years, compared to a 24% growth forecast for the Semiconductor industry in South Korea. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 94 percentage points per year, which is a significant difference in performance. Major Estimate Revision • Jan 30
Consensus revenue estimates fall by 12% The consensus outlook for revenues in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from ₩645.0m to ₩569.7m. Forecast losses increased from -₩582 to -₩927 per share. Semiconductor industry in South Korea expected to see average net income growth of 86% next year. Consensus price target of ₩33,000 unchanged from last update. Share price was steady at ₩26,500 over the past week. Reported Earnings • Nov 17
Third quarter 2023 earnings released: EPS: ₩308 (vs ₩370 in 3Q 2022) Third quarter 2023 results: EPS: ₩308 (down from ₩370 in 3Q 2022). Revenue: ₩198.8b (down 11% from 3Q 2022). Net income: ₩5.78b (down 31% from 3Q 2022). Profit margin: 2.9% (down from 3.7% in 3Q 2022). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 23% growth forecast for the Semiconductor industry in South Korea. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 100 percentage points per year, which is a significant difference in performance. Announcement • Nov 03
ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces an Equity Buyback for KRW 5,000 million worth of its shares. ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces a share repurchase program. Under the program, the company will repurchase up to KRW 5,000 million worth of its shares, pursuant to a contract with Daishin Securities Co., Ltd. The purpose of the share repurchase program is to stabilize the share price and to enhance shareholders value. The repurchase program will continue until May 2, 2024. As of November 1, 2023, the company had 1,550,729 shares in treasury within scope available for dividend and had 204,813 shares in treasury through other repurchase. New Risk • Jul 07
New minor risk - Dividend sustainability The dividend is not well covered by cash flows. The company is paying a dividend despite having no free cash flows. Dividend yield: 1.0% This is considered a minor risk. Dividends are ultimately paid out of the company's available cash reserves. Companies that pay out too much of their cash flow are at risk of having to reduce or cut their dividend in future. If cash flow growth slows or cash flows fall, then there may not be enough cash reserves to maintain the same dividend. Or in extreme cases, companies may opt to take on debt to maintain the dividend. This risk is mitigated by the fact the dividend is covered by earnings, however, cash flows are generally more important. 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 Debt is not well covered by operating cash flow (currently running at an operating cash loss). Earnings have declined by 82% per year over the past 5 years. Minor Risk Paying a dividend despite having no free cash flows. Reported Earnings • May 20
First quarter 2023 earnings released: ₩638 loss per share (vs ₩148 loss in 1Q 2022) First quarter 2023 results: ₩638 loss per share (further deteriorated from ₩148 loss in 1Q 2022). Revenue: ₩103.1b (down 12% from 1Q 2022). Net loss: ₩13.6b (loss widened 307% from 1Q 2022). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 101 percentage points per year, which is a significant difference in performance. Reported Earnings • Mar 23
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: ₩966 loss per share (down from ₩275 profit in FY 2021). Revenue: ₩633.5b (up 24% from FY 2021). Net loss: ₩21.3b (down 441% from profit in FY 2021). Revenue missed analyst estimates by 1.8%. Earnings per share (EPS) were also behind analyst expectations. Revenue is forecast to grow 9.4% p.a. on average during the next 2 years, compared to a 5.2% growth forecast for the Semiconductor industry in South Korea. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 100 percentage points per year, which is a significant difference in performance. Buying Opportunity • Mar 10
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 10.0%. The fair value is estimated to be ₩33,659, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 20% over the last 3 years. Earnings per share has declined by 97%. Revenue is forecast to grow by 8.8% in 2 years. Earnings is forecast to grow by 218% in the next 2 years. Upcoming Dividend • Dec 21
Upcoming dividend of ₩200 per share Eligible shareholders must have bought the stock before 28 December 2022. Payment date: 10 April 2023. Payout ratio is a comfortable 67% but the company is not cash flow positive. Trailing yield: 0.7%. Lower than top quartile of South Korean dividend payers (3.3%). Lower than average of industry peers (1.8%). Price Target Changed • Nov 16
Price target decreased to ₩43,000 Down from ₩48,000, the current price target is an average from 2 analysts. New target price is 39% above last closing price of ₩30,850. Stock is down 28% over the past year. The company is forecast to post earnings per share of ₩23.00 for next year compared to ₩275 last year. Announcement • Nov 05
ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces an Equity Buyback for KRW 5,000 million worth of its shares. ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces a share repurchase program. Under the program, the company will repurchase up to KRW 5,000 million worth of its shares, pursuant to a contract with Daishin Securities Co., Ltd. The purpose of the share repurchase program is to stabilize the share price and to enhance shareholders value. The repurchase program will continue until May 3, 2023. As of November 3, 2022, the company had 1,369,434 shares in treasury within scope available for dividend and had 204,813 shares in treasury through other repurchase. Price Target Changed • Sep 21
Price target decreased to ₩43,000 Down from ₩48,000, the current price target is an average from 2 analysts. New target price is 40% above last closing price of ₩30,800. Stock is down 30% over the past year. The company is forecast to post earnings per share of ₩23.00 for next year compared to ₩275 last year. Major Estimate Revision • Sep 21
Consensus revenue estimates fall by 16% The consensus outlook for revenues in 2022 has deteriorated. 2022 revenue forecast decreased from ₩766.0m to ₩645.0m. EPS estimate fell from ₩1,464 to ₩23.00 per share. Net income forecast to grow 1,424% next year vs 30% growth forecast for Semiconductor industry in South Korea. Consensus price target down from ₩48,000 to ₩43,000. Share price was steady at ₩30,800 over the past week. Announcement • Sep 19
ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces an Equity Buyback for KRW 5,000 million worth of its shares. ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces a share repurchase program. Under the program, the company will repurchase up to KRW 5,000 million worth of its shares, pursuant to a contract with Daishin Securities Co., Ltd. The purpose of the share repurchase program is to stabilize the share price and to enhance shareholders value. The repurchase program will continue until March 20, 2023. As of September 18, 2022, the company had 1,184,634 shares in treasury within scope available for dividend and had 204,813 shares in treasury through other repurchase. Buying Opportunity • Jul 11
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 11%. The fair value is estimated to be ₩39,636, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 17% over the last 3 years. Earnings per share has declined by 77%. Revenue is forecast to grow by 42% in a year. Earnings is forecast to grow by 2,212% in the next year. Announcement • Jul 07
ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces an Equity Buyback for KRW 10,000 million worth of its shares. ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces a share repurchase program. Under the program, the company will repurchase up to KRW 10,000 million worth of its shares, pursuant to a contract with Daishin Securities Co., Ltd. The purpose of the share repurchase program is to stabilize the share price and to enhance shareholders value. The repurchase program will continue until January 5, 2023. As of July 5, 2022, the company had 871,042 shares in treasury within scope available for dividend and had 204,813 shares in treasury through other repurchase. Price Target Changed • Apr 27
Price target decreased to ₩58,333 Down from ₩67,667, the current price target is an average from 3 analysts. New target price is 64% above last closing price of ₩35,550. Stock is down 20% over the past year. The company is forecast to post earnings per share of ₩1,453 for next year compared to ₩275 last year. Buying Opportunity • Mar 28
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 18%. The fair value is estimated to be ₩45,776, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 14% per annum over the last 3 years. Earnings per share has declined by 74% per annum over the last 3 years. Buying Opportunity • Mar 11
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 15%. The fair value is estimated to be ₩44,830, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 14% per annum over the last 3 years. Earnings per share has declined by 74% per annum over the last 3 years. Reported Earnings • Mar 04
Full year 2021 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2021 results: EPS: ₩275 (down from ₩641 in FY 2020). Revenue: ₩512.5b (up 31% from FY 2020). Net income: ₩6.25b (down 57% from FY 2020). Profit margin: 1.2% (down from 3.8% in FY 2020). The decrease in margin was driven by higher expenses. Revenue exceeded analyst estimates by 1.1%. Earnings per share (EPS) missed analyst estimates by 100%. Over the next year, revenue is forecast to grow 50%, compared to a 34% growth forecast for the industry in South Korea. Price Target Changed • Feb 26
Price target decreased to ₩58,333 Down from ₩67,667, the current price target is an average from 3 analysts. New target price is 65% above last closing price of ₩35,250. Stock is down 23% over the past year. The company is forecast to post earnings per share of ₩419 for next year compared to ₩641 last year. Announcement • Feb 10
ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces an Equity Buyback for KRW 10,000 million worth of its shares. ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces a share repurchase program. Under the program, the company will repurchase up to KRW 10,000 million worth of its shares, pursuant to a contract with Daishin Securities Co., Ltd. The purpose of the share repurchase program is to stabilize the share price and to enhance shareholders value. The repurchase program will continue until August 8, 2022. As of February 8, 2022, the company had 753,569 shares in treasury within scope available for dividend and had 204,813 shares in treasury through other repurchase. Major Estimate Revision • Jan 28
Consensus EPS estimates fall by 42% The consensus outlook for earnings per share (EPS) in 2021 has deteriorated. 2021 revenue forecast decreased from ₩525.3m to ₩507.0m. EPS estimate also fell from ₩718 per share to ₩419 per share. Net income forecast to grow 2,308% next year vs 45% growth forecast for Semiconductor industry in South Korea. Consensus price target down from ₩67,667 to ₩65,000. Share price fell 4.4% to ₩38,700 over the past week. Upcoming Dividend • Dec 22
Inaugural dividend of ₩200 per share Eligible shareholders must have bought the stock before 29 December 2021. Payment date: 11 April 2022. The company is not currently making a profit and is not cash flow positive. This is the first dividend for ITM Semiconductor since going public. The average dividend yield among industry peers is 0.9%. Major Estimate Revision • Aug 19
Consensus forecasts updated The consensus outlook for 2021 has been updated. 2021 revenue forecast increased from ₩505.0m to ₩526.3m. EPS estimate fell from ₩1,255 to ₩926 per share. Net income forecast to grow 572% next year vs 68% growth forecast for Semiconductor industry in South Korea. Consensus price target of ₩62,333 unchanged from last update. Share price fell 2.5% to ₩44,050 over the past week. Announcement • May 04
ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces an Equity Buyback for KRW 10,000 million worth of its shares. ITM Semiconductor Co., Ltd. (KOSDAQ:A084850) announces a share repurchase program. Under the program, the company will repurchase up to KRW 10,000 million worth of its shares, pursuant to a contract with Daishin Securities Co., Ltd. The purpose of the share repurchase program is to stabilize the share price and to enhance shareholders value. The repurchase program will continue until November 2, 2021. As of May 2, 2021, the company had 307,492 shares in treasury within scope available for dividend and had 204,813 shares in treasury through other repurchase. Price Target Changed • Feb 26
Price target lowered to ₩70,000 Down from ₩78,333, the current price target is an average from 3 analysts. The new target price is 53% above the current share price of ₩45,800. As of last close, the stock is down 8.8% over the past year. Is New 90 Day High Low • Feb 15
New 90-day low: ₩50,800 The company is down 2.0% from its price of ₩52,100 on 17 November 2020. The South Korean market is up 21% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor industry, which is up 26% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is ₩36,539 per share. Major Estimate Revision • Dec 17
Analysts lower EPS estimates to ₩1,814 The 2020 consensus revenue estimate was lowered from ₩467.7m to ₩445.0m. Earning per share (EPS) estimate was also lowered from ₩2,386 to ₩1,814 for the same period. Net income is expected to grow by 230% next year compared to 51% growth forecast for the Semiconductor industry in South Korea. The consensus price target was lowered from ₩81,000 to ₩78,333. Share price is up 4.6% to ₩59,100 over the past week. Valuation Update With 7 Day Price Move • Nov 05
Market bids up stock over the past week After last week's 17% share price gain to ₩55,800, the stock is trading at a trailing P/E ratio of 29.2x, up from the previous P/E ratio of 25x. This compares to an average P/E of 19x in the Semiconductor industry in South Korea. Total returns to shareholders over the past year are 126%. Valuation Update With 7 Day Price Move • Oct 26
Market pulls back on stock over the past week After last week's 16% share price decline to ₩45,600, the stock is trading at a trailing P/E ratio of 23.9x, down from the previous P/E ratio of 28.6x. This compares to an average P/E of 19x in the Semiconductor industry in South Korea. Is New 90 Day High Low • Oct 16
New 90-day low: ₩53,500 The company is down 12% from its price of ₩60,500 on 17 July 2020. The South Korean market is up 8.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Semiconductor 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 ₩27,477 per share. Is New 90 Day High Low • Sep 24
New 90-day low: ₩53,900 The company is down 16% from its price of ₩63,900 on 26 June 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 5.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is ₩25,507 per share.