SKM PE Ratio & Valuation,Is SKM Overvalued

SKM Relative Valuation

SKM'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, SKM is overvalued; if below, it's undervalued.

Historical Valuation

SK Telecom Co Ltd (SKM) is now in the Fair zone, suggesting that its current forward PE ratio of 11.50 is considered Fairly compared with the five-year average of 10.06. The fair price of SK Telecom Co Ltd (SKM) is between 15.54 to 22.24 according to relative valuation methord.

Relative Value

Fair Zone

15.54-22.24

Current Price：20.30

Fair

11.50

3.98

EV/EBITDA

SK Telecom Co Ltd. (SKM) has a current EV/EBITDA of 3.98. The 5-year average EV/EBITDA is 4.20. The thresholds are as follows: Strongly Undervalued below 2.86, Undervalued between 2.86 and 3.53, Fairly Valued between 4.88 and 3.53, Overvalued between 4.88 and 5.55, and Strongly Overvalued above 5.55. The current Forward EV/EBITDA of 3.98 falls within the Historic Trend Line -Fairly Valued range.

12.85

EV/EBIT

SK Telecom Co Ltd. (SKM) has a current EV/EBIT of 12.85. The 5-year average EV/EBIT is 13.95. The thresholds are as follows: Strongly Undervalued below 7.68, Undervalued between 7.68 and 10.81, Fairly Valued between 17.08 and 10.81, Overvalued between 17.08 and 20.21, and Strongly Overvalued above 20.21. The current Forward EV/EBIT of 12.85 falls within the Historic Trend Line -Fairly Valued range.

0.65

SK Telecom Co Ltd. (SKM) has a current PS of 0.65. The 5-year average PS is 0.83. The thresholds are as follows: Strongly Undervalued below 0.32, Undervalued between 0.32 and 0.57, Fairly Valued between 1.08 and 0.57, Overvalued between 1.08 and 1.34, and Strongly Overvalued above 1.34. The current Forward PS of 0.65 falls within the Historic Trend Line -Fairly Valued range.

2.56

P/OCF

SK Telecom Co Ltd. (SKM) has a current P/OCF of 2.56. The 5-year average P/OCF is 2.60. The thresholds are as follows: Strongly Undervalued below 1.37, Undervalued between 1.37 and 1.98, Fairly Valued between 3.21 and 1.98, Overvalued between 3.21 and 3.83, and Strongly Overvalued above 3.83. The current Forward P/OCF of 2.56 falls within the Historic Trend Line -Fairly Valued range.

4.82

P/FCF

SK Telecom Co Ltd. (SKM) has a current P/FCF of 4.82. The 5-year average P/FCF is 7.81. The thresholds are as follows: Strongly Undervalued below -0.16, Undervalued between -0.16 and 3.82, Fairly Valued between 11.79 and 3.82, Overvalued between 11.79 and 15.78, and Strongly Overvalued above 15.78. The current Forward P/FCF of 4.82 falls within the Historic Trend Line -Fairly Valued range.

SK Telecom Co Ltd (SKM) has a current Price-to-Book (P/B) ratio of 0.54. Compared to its 3-year average P/B ratio of 0.81 , the current P/B ratio is approximately -33.22% higher. Relative to its 5-year average P/B ratio of 0.86, the current P/B ratio is about -36.67% higher. SK Telecom Co Ltd (SKM) has a Forward Free Cash Flow (FCF) yield of approximately 15.01%. Compared to its 3-year average FCF yield of 19.15%, the current FCF yield is approximately -21.62% lower. Relative to its 5-year average FCF yield of 17.91% , the current FCF yield is about -16.20% lower.

0.55

P/B

Median3y

0.81

Median5y

0.86

15.01

FCF Yield

Median3y

19.15

Median5y

17.91

Competitors Valuation Multiple

The average P/S ratio for SKM's competitors is 1.27, providing a benchmark for relative valuation. SK Telecom Co Ltd Corp (SKM) exhibits a P/S ratio of 0.65, which is -48.52% above the industry average. Given its robust revenue growth of -14.31%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of SKM decreased by 3.52% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 4.05 to 11.28.

The secondary factor is the Revenue Growth, contributed -14.31%to the performance.

Overall, the performance of SKM in the past 1 year is driven by P/E Change. Which is more unsustainable.

-14.31%

3.35B → 2.87B

Revenue Growth

-167.80%

6.18 → -4.19

Margin Expansion

178.59%

4.05 → 11.28

P/E Change

-3.52%

21.04 → 20.30

Mkt Cap Growth

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Frequently Asked Questions

Is SK Telecom Co Ltd (SKM) currently overvalued or undervalued?

What is SK Telecom Co Ltd (SKM) fair value?

SKM'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. The fair price of SK Telecom Co Ltd (SKM) is between 15.54 to 22.24 according to relative valuation methord.

How does SKM's valuation metrics compare to the industry average?

What is the current P/B ratio for SK Telecom Co Ltd (SKM) as of Dec 15 2025?

As of Dec 15 2025, SK Telecom Co Ltd (SKM) has a P/B ratio of 0.54. This indicates that the market values SKM at 0.54 times its book value.

What is the current FCF Yield for SK Telecom Co Ltd (SKM) as of Dec 15 2025?

As of Dec 15 2025, SK Telecom Co Ltd (SKM) has a FCF Yield of 15.01%. This means that for every dollar of SK Telecom Co Ltd’s market capitalization, the company generates 15.01 cents in free cash flow.

What is the current Forward P/E ratio for SK Telecom Co Ltd (SKM) as of Dec 15 2025?

As of Dec 15 2025, SK Telecom Co Ltd (SKM) has a Forward P/E ratio of 11.50. This means the market is willing to pay $11.50 for every dollar of SK Telecom Co Ltd’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for SK Telecom Co Ltd (SKM) as of Dec 15 2025?

As of Dec 15 2025, SK Telecom Co Ltd (SKM) has a Forward P/S ratio of 0.65. This means the market is valuing SKM at $0.65 for every dollar of expected revenue over the next 12 months.

SKM Valuation