KT Valuation

KT Corp

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19.420

+0.03(0.155%)1D

Overview
Forecast
Valuation
Earnings

KT Relative Valuation

KT's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, KT is overvalued; if below, it's undervalued.

Historical Valuation

KT Corp (KT) is now in the Undervalued zone, suggesting that its current forward PE ratio of 5.27 is considered Undervalued compared with the five-year average of 6.99. The fair price of KT Corp (KT) is between 40.98 to 47.18 according to relative valuation methord. Compared to the current price of 19.42 USD , KT Corp is Undervalued By 52.61%.

Relative Value

Fair Zone

40.98-47.18

Current Price：19.42

52.61%

Undervalued

5.27

Trailing

Forward

3.33

EV/EBITDA

KT Corp. (KT) has a current EV/EBITDA of 3.33. The 5-year average EV/EBITDA is 3.00. The thresholds are as follows: Strongly Undervalued below 2.21, Undervalued between 2.21 and 2.60, Fairly Valued between 3.39 and 2.60, Overvalued between 3.39 and 3.79, and Strongly Overvalued above 3.79. The current Forward EV/EBITDA of 3.33 falls within the Historic Trend Line -Fairly Valued range.

13.23

EV/EBIT

KT Corp. (KT) has a current EV/EBIT of 13.23. The 5-year average EV/EBIT is 12.11. The thresholds are as follows: Strongly Undervalued below 1.40, Undervalued between 1.40 and 6.75, Fairly Valued between 17.47 and 6.75, Overvalued between 17.47 and 22.83, and Strongly Overvalued above 22.83. The current Forward EV/EBIT of 13.23 falls within the Historic Trend Line -Fairly Valued range.

0.64

KT Corp. (KT) has a current PS of 0.64. The 5-year average PS is 0.46. The thresholds are as follows: Strongly Undervalued below 0.24, Undervalued between 0.24 and 0.35, Fairly Valued between 0.56 and 0.35, Overvalued between 0.56 and 0.67, and Strongly Overvalued above 0.67. The current Forward PS of 0.64 falls within the Overvalued range.

2.21

P/OCF

KT Corp. (KT) has a current P/OCF of 2.21. The 5-year average P/OCF is 1.74. The thresholds are as follows: Strongly Undervalued below 1.16, Undervalued between 1.16 and 1.45, Fairly Valued between 2.02 and 1.45, Overvalued between 2.02 and 2.31, and Strongly Overvalued above 2.31. The current Forward P/OCF of 2.21 falls within the Overvalued range.

5.36

P/FCF

KT Corp. (KT) has a current P/FCF of 5.36. The 5-year average P/FCF is 5.24. The thresholds are as follows: Strongly Undervalued below 4.28, Undervalued between 4.28 and 4.76, Fairly Valued between 5.71 and 4.76, Overvalued between 5.71 and 6.19, and Strongly Overvalued above 6.19. The current Forward P/FCF of 5.36 falls within the Historic Trend Line -Fairly Valued range.

KT Corp (KT) has a current Price-to-Book (P/B) ratio of 0.38. Compared to its 3-year average P/B ratio of 0.49 , the current P/B ratio is approximately -21.46% higher. Relative to its 5-year average P/B ratio of 0.50, the current P/B ratio is about -22.82% higher. KT Corp (KT) has a Forward Free Cash Flow (FCF) yield of approximately 6.40%. Compared to its 3-year average FCF yield of 14.18%, the current FCF yield is approximately -54.89% lower. Relative to its 5-year average FCF yield of 17.32% , the current FCF yield is about -63.06% lower.

0.38

P/B

Median3y

0.49

Median5y

0.50

6.40

FCF Yield

Median3y

14.18

Median5y

17.32

Competitors Valuation Multiple

The average P/S ratio for KT's competitors is 1.49, providing a benchmark for relative valuation. KT Corp Corp (KT) exhibits a P/S ratio of 0.64, which is -56.78% above the industry average. Given its robust revenue growth of 11.10%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Chunghwa Telecom Co Ltd

Frontier Communications Parent Inc

Loss

3.99%

9.33B

Performance Decomposition

Market capitalization of KT increased by 26.07% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 6.27 to 9.87.

The secondary factor is the Revenue Growth, contributed 11.10%to the performance.

Overall, the performance of KT in the past 1 year is driven by Margin Expansion. Which is more sustainable.

11.10%

4.78B → 5.31B

Revenue Growth

57.42%

6.27 → 9.87

Margin Expansion

-42.45%

12.47 → 7.18

P/E Change

26.07%