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Hanwha Systems Co Ltd (272210) Fair Value & Analysis

Industrials · KR · Market cap 11.4T KRW (≈ $8.0B) · ISIN KR7272210006

What is Hanwha Systems Co Ltd really worth?

HS Hanwha Systems Co Ltd 272210 · KO
Price68,800 KRW
Fair Value31,356 KRW
Upside−54.4%
Quality31/100

Below-average quality, and trading another 119% above our fair value of 31,356 KRW.

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Risks

!Expensive Growth (revenue 5y +17.4 %/yr)
!Thin margins · 4.2% net margin
!Low debt · negative free cash flow
!Trails peers (2/10)
!Narrow moat 32/100
!Evidence only medium, so the estimate is less certain
!Weak on past: 9 out of 100
!Weak on dividend: 15 out of 100

For context

·0.73% dividend yield
Evidence: Medium Range 23,105 KRW – 38,509 KRW

Fair value as of: Aug 30, 2026

From 17 valuation models · updated 6 days ago

Fair value updated Aug 30, 2026, revised from 19,134 KRW to 31,356 KRW (+63.9%) since Aug 13, 2026. Share price +9.0% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits above even our optimistic bull case (38,509 KRW). The favourable scenario is already priced in.
  • Weak quality (31/100) and above fair value at the same time, the margin of safety is missing on both counts.

Price vs Fair Value (5 years)

162,104 KRW 9,669 KRW Fair Value 31,356 KRW Apr 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 30, 2026.

How to read this chart

60‑month range 9,669 KRW – 162,104 KRW · fair‑value band 23,105 KRW – 38,509 KRW · the 68,800 KRW price screens above the 31,356 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 30, 2026.

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Analysis

Hanwha Systems Co Ltd (272210) currently trades at 68,800 KRW, while our model-based Fair Value estimate is 31,356 KRW, implying the stock looks roughly 119.4% overvalued today. The Quality Score stands at 31/100 (below-average quality), in the Industrials sector. Bull case: the Growth Earnings group reads highest at a median of 31,783 KRW per share, and 0 of the 17 models we run sit above the 68,800 KRW price. Bear case: the Dividend Discount group reads lowest at 6,021 KRW, and 17 of the 17 models stay below the price. Evidence for this calculation is medium.

Over the trailing twelve months, Hanwha Systems Co Ltd generated revenue of 3.8T KRW at a net margin of 4.2%. Revenue grew 17.0% year over year. It earns a return on equity of 2.2%. Net debt stands at 1.1T KRW. Fundamentals as of Aug 30, 2026

Our scenario range runs from 23,105 KRW (bear case) to 38,509 KRW (bull case); at 68,800 KRW, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 60% below its 52-week high and 66% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at −44% fair-value upside, at −54%, 272210 screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income best evidence 20,183 KRW 20,515 KRW 20,004 KRW 76
EPV 1,144 KRW 2,051 KRW 2,858 KRW 71
ROIC Compounder 1,144 KRW 2,051 KRW 2,858 KRW 70
All 17 models by family
DCF Models
Owner Earnings 4,398 KRW 14,085 KRW 33,966 KRW 68
Earnings-Based
Graham-Dodd 8,809 KRW 53,882 KRW 75,169 KRW 63
Lynch FV 15,433 KRW 22,048 KRW 28,662 KRW 61
PEG = 1.0 15,433 KRW 22,048 KRW 28,662 KRW 57
EPV 1,144 KRW 2,051 KRW 2,858 KRW 71
Dividend Discount
Gordon GGM 3,367 KRW 7,350 KRW 12,367 KRW 65
DDM Multi-Stage 3,367 KRW 6,021 KRW 7,660 KRW 66
Multiples
P/E Multiple 20,403 KRW 27,203 KRW 34,004 KRW 63
P/S Multiple 16,516 KRW 22,022 KRW 27,527 KRW 58
P/B Multiple 16,516 KRW 22,022 KRW 27,527 KRW 55
EV/EBIT 4,176 KRW 6,902 KRW 9,627 KRW 64
EV/EBITDA 11,664 KRW 16,885 KRW 22,105 KRW 67
EV/Revenue 1,836 KRW 4,337 KRW 6,837 KRW 50
Asset-Based
NCAV (Graham) 12,966 KRW 17,375 KRW 25,933 KRW 54
Economic Profit
Residual Income best evidence 20,183 KRW 20,515 KRW 20,004 KRW 76
ROIC Compounder 1,144 KRW 2,051 KRW 2,858 KRW 70
Growth Earnings
Growth-Adj P/E 22,248 KRW 31,783 KRW 41,317 KRW 67

Widest divergence: Growth Earnings (31,783 KRW) versus Economic Profit (2,051 KRW). Highest evidence: Residual Income (76).

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Key figures & financial health

P/S ratio 4.68 TTM
Dividend yield 0.7%
Net margin 6.6% FY2025
Return on equity 2.2% TTM
Return on assets (EBIT) 2.2% avg 5y
Operating margin 4.3% TTM
More key figures
Growth
Revenue (TTM) 3.8T KRW TTM
Revenue growth (YoY) +17.0% 3y avg +18.8%
EPS growth (YoY) −96.7%
Balance sheet & cash flow
Free cash flow −242B KRW FY2025
Net debt 1.1T KRW FY2025

Figures from reported company fundamentals · as of Aug 30, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 31/100

Of which business quality 32 · Market factors (momentum, volatility) 24

Profitability 24
Margins and returns on capital today
Quality Growth 22
Are margins and returns improving?
Cashflow 5
Earnings quality: real cash, not paper profit
Fin. Strength 46
Balance sheet, leverage, solvency risk
Investment 21
Disciplined investing over empire-building
Low Volatility 15
Calm price path (market factor)
Momentum 20
Price trend over the last 3–12 months (market factor)
52W Momentum 41
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Hanwha Systems Co., Ltd. manufacture and sell various military equipments in South Korea and internationally. The company offers electro-optics, infra-red, and synthetic aperture radar (SAR) payloads to be mounted on mid-to-large sized satellites, as well as the system and payload development solutions for micro-satellites; avionics solutions for fixed …

Full company description

Hanwha Systems Co., Ltd. manufacture and sell various military equipments in South Korea and internationally. The company offers electro-optics, infra-red, and synthetic aperture radar (SAR) payloads to be mounted on mid-to-large sized satellites, as well as the system and payload development solutions for micro-satellites; avionics solutions for fixed wing, rotary wing, and unmanned aircrafts; and terminals for military satellite communication networks, including network controllers. It also provides radars, electro-optics, and space object surveillance systems; tactical communication, command and control, and cyber battlefield management systems; naval combat, unmanned maritime, SONAR, naval vessel weapon, and engineering control systems; integrated vetronics systems, warrior platforms, dronebot combat systems, and mobilized integrated surveillance systems; and integrated product support solutions. In addition, the company offers system integration and IT solutions for manufacturing and construction, finance, and leisure industries; application, IT infrastructure, cloud, and systems management services; smart building, insurance, manufacturing execution system, and enterprise resource planning (ERP) solutions; H-Chain, a blockchain platform; and artificial intelligence, cloud, and smart factory solutions. Further, it provides Urban Air Mobility, a 3-dimentional urban air transportation system that connects ground and air transports; and electronically steerable antennas for space internet services. The company was formerly known as Hanwa Thales Co., Ltd. and changed its name to Hanwha Systems Co., Ltd. in October 2016. Hanwha Systems Co., Ltd. was founded in 1977 and is headquartered in Seoul, South Korea.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hanwha Systems Co Ltd reported revenue of 3.7T KRW in FY2025 versus 2.1T KRW in FY2021, a compound +15.1%/yr. Reported net income was 242B KRW in FY2025, compounding +25.3%/yr from FY2021.

Growth Quality 58/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
3.7T KRW
Latest YoY
+30.7%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+18.8%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+17.4%
Avg. revenue growth/yr (9Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+17.5%
Value creation/yr (5Y, in KRW) Earnings growth per share (CAGR 5 years, EBIT basis) plus dividend yield: value created per share and year. Measured in KRW: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
−0.8% (−1.5 + 0.7)
Revenue +15.1%/yr
FY21 2.1T KRW
FY22 2.2T KRW
FY23 2.5T KRW
FY24 2.8T KRW
FY25 3.7T KRW
Net income +25.3%/yr
FY21 98.3B KRW
FY22 −76.6B KRW
FY23 349B KRW
FY24 454B KRW
FY25 242B KRW

272210 screens 119% overvalued. Compare with General Electric Company →

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Cite: Fair Value Calculator (2026). "Hanwha Systems Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/272210

Peer Group

Aerospace & Defense · 229 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 31 · Bottom 25%
Fair Value upside −54% · Below median
Return on equity (TTM) 2% · Below median
Return on assets 1% · Bottom 25%
Net margin (TTM) 4% · Below median
Operating margin (TTM) 4% · Bottom 25%
Revenue growth 17% · Above median
Dividend yield (TTM) 0.7% · Below median
Debt / equity 0.22× · Higher than median

Valuation Multiples vs Aerospace & Defense median · lower = cheaper

EV/EBITDA 2.5× · Cheaper than 75% of peers

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 0
FUTURE85 · sector 50
PAST9 · sector 38
HEALTH89 · sector 93
DIVIDEND15 · sector 16

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

Weapons Defense

Similar stocks

10 more Aerospace & Defense stocks, each showing price versus our Fair Value estimate (as of Aug 30, 2026).

Stock Price Fair Value vs Fair Value
General Electric Company GE $335.71 $116.71 −65%
RTX Corporation RTX $212.08 $88.37 −58%
Airbus SE AIR €213.00 €117.01 −45%
Lockheed Martin Corporation LMT $565.89 $419.01 −26%
Howmet Aerospace Inc HWM $264.85 $50.43 −81%
General Dynamics Corporation GD $379.32 $274.32 −28%
Northrop Grumman Corporation NOC $545.57 $356.59 −35%
TransDigm Group TDG $1,235 $571.03 −54%
L3Harris Technologies, Inc LHX $262.82 $146.55 −44%
Thales S.A HO €243.70 €171.13 −30%

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Frequently asked questions

Is Hanwha Systems Co Ltd (272210) overvalued or undervalued?
As of Aug 30, 2026, our model estimates a fair value of 31,356 KRW versus a price of 68,800 KRW, about −54% upside (overvalued).
What is the fair value of 272210?
Our model-based fair value for Hanwha Systems Co Ltd is 31,356 KRW (as of Aug 30, 2026), built from audited fundamentals. The current price: 68,800 KRW.
What is the quality score of 272210?
Hanwha Systems Co Ltd has a Quality Score of 31/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Hanwha Systems Co Ltd (272210)?
Hanwha Systems Co Ltd reported trailing-twelve-month revenue of about 3.8T KRW (latest available figure, as of Aug 30, 2026).
What is the net profit margin of 272210?
The net profit margin of Hanwha Systems Co Ltd is about 4.2%, meaning it keeps roughly 4.2% of revenue as net income. Based on the latest reported figures.
Does Hanwha Systems Co Ltd pay a dividend?
Hanwha Systems Co Ltd currently shows a dividend yield of about 0.73% relative to its recent price (as of Aug 30, 2026).
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