Risk factor
Very poor trading liquidity
Profitability factor
Greatly undervalued vs peers
About
Headquartered in Dangjin-Si, South Korea, Korea Refractories Co., Ltd is a leading company in the nation's refractories industry. It manufactures a diverse range of refractory materials, encompassing shaped, monolithic, and functional varieties. The company also provides extensive engineering and construction services, which include designing, building, and managing heating and heat treatment systems. Furthermore, it specializes in the design, construction, and supervision of refractory structures for industrial facilities in sectors such as metallurgy, chemicals, power generation, and environmental management. Its construction capabilities also extend to raw material storage units, gravity tanks, chimneys, and steel framework constructions. Additionally, the company engages in powder processing and delivers both installation and ongoing maintenance services. Its advanced refractory solutions are crucial for various industrial applications, including iron and steel manufacturing, power plants, incinerators, cement and lime production, glassmaking, nonferrous metal processing, chemical plants, and different types of furnaces like heating and reheating units, alongside stacks. Founded in 1973, the company changed its name from Korea Special Refractories Co. Ltd to its present form in January 1995.
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. In particular, the stock is underpriced on P/E, 'cheap' on EV/EBIT