# Korean Air Lines (003490.KO)

Canonical: https://gigainvestors.com/s/003490.KO

Analysis as of: 2026-10-16T07:36:29.562Z. Financial observations: FY2000–FY2026.

Listing currency: KRW. Reporting currency: KRW.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: KRW 29,450.00 per share; close as of 2026-10-15.

Estimated value: low KRW 22,105.68 per share, central KRW 23,283.47 per share, high KRW 24,851.35 per share. Buy at or below the central value KRW 23,283.47 per share. Valuation as of 2026-10-16T07:36:29.562Z; scenarios are not confidence intervals.

Expected annual return: 7.2% at the stated quote. About 7.2% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; KR 10-year bond 4.2% + 4 points).

## Checklist

### understandable: fail

- 2 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 4

- Operating margin variation: 0.74×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.08×

- FY2018: 0.05×

- FY2019: 0.02×

- FY2020: 0.01×

- FY2021: 0.16×

- FY2022: 0.20×

- FY2023: 0.11×

- FY2024: 0.12×

- FY2025: 0.04×

- LTM to Jun 2026: 0.02×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 4.6%

- ROIC, second-lowest year: 1.1%

- Typical minus recent gross margin: 3.9 pp

- Typical gross margin (annual median): 18.5%

- Recent gross margin (lower of latest and 3-year median): 14.6%

- Years with nonpositive capital: 0

- Capital spending / revenue: 9.8%

- ROIC including acquisitions, ten-year median: 3.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 5.3%

- FY2017: 3.9%

- FY2018: 3.0%

- FY2019: 1.1%

- FY2020: 0.5%

- FY2021: 6.4%

- FY2022: 14.0%

- FY2023: 9.3%

- FY2024: 7.4%

- FY2025: 3.3%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: -0.01×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: KRW -65B

- Net income, five-year total: KRW 5.46T

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: -0.4 pp

- Working capital / revenue, change between three-year averages: -2.6 pp

- Working capital / revenue, final three-year average: 10.0%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.40×

- FY2022: 0.95×

- FY2023: 0.16×

- FY2024: -0.66×

- FY2025: -2.34×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 3.9% vs 7.4%

- Per-share earnings: -2003.73 to 2866.00 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 10.9%

- Market cap gain: KRW 6.63T

- Cumulative retained earnings: KRW 4.14T

- Diluted shares, 5-year annual growth: 10.9%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value change: KRW 5K

- Per-share value, starting three-year median: KRW -2K

- Per-share value, ending three-year median: KRW 3K

- Buybacks concentrated in cheaper years (correlation): -1.00

- Average buyback yield: 0.6%

- Buyback history: 2 years

- Debt-funded buybacks: No

- Acquisition spending: KRW 3.04T

- Cumulative net income, 10 years: KRW 4.64T

- ROIC, first three-year median: 3.9%

- ROIC, last three-year median: 7.4%

Chart: Earnings per share; fiscal year observations.

- FY2016: KRW -6K

- FY2017: KRW 11K

- FY2018: KRW -2K

- FY2019: KRW -6K

- FY2020: KRW -970.89

- FY2021: KRW 2K

- FY2022: KRW 5K

- FY2023: KRW 3K

- FY2024: KRW 4K

- FY2025: KRW 2K

### accounting: pass

- Sloan accruals: -6.5%

- Receivables to sales index (DSRI): 0.67×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 5.23×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.27×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -14.1%

- FY2017: -8.2%

- FY2018: -11.7%

- FY2019: -10.8%

- FY2020: -6.3%

- FY2021: -11.0%

- FY2022: -13.3%

- FY2023: -10.0%

- FY2024: -6.9%

- FY2025: -6.5%

## Holders

## Price story

Price needs cash profits to grow 7.1% a year for ten years · sales +4.7%

Story as of 2026-10-16T10:00:07.566Z; price observation 2026-10-15.

Price needs cash profits to grow 7.1% a year for ten years

### Sales · FY2025–2026

sales +4.7%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: KRW 12.09T 

- FY2018: KRW 13.01T 

- FY2019: KRW 12.68T 

- FY2020: KRW 7.61T 

- FY2021: KRW 9.02T 

- FY2022: KRW 14.10T 

- FY2023: KRW 16.11T 

- FY2024: KRW 17.87T 

- FY2025: KRW 25.23T 

- FY2026: KRW 26.41T 

### Gross margin · FY2025

gross margin 14.6%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 19.6% 

- FY2017: 17.4% 

- FY2018: 15.4% 

- FY2019: 12.2% 

- FY2020: 10.0% 

- FY2021: 23.3% 

- FY2022: 27.3% 

- FY2023: 20.2% 

- FY2024: 21.0% 

- FY2025: 14.6% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in airlines; annual sales are KRW 25.2 trillion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2025: revenue 25225542379500; grossProfit 3675236739940; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 003490.KO: Korean Airlines Co.,Ltd. provides airline services. It operates through Air Transport, Aerospace, Hotel, and Others segments. The company provides passenger and cargo transportation services and maintenance of aircraft and manufacturing of aircraft parts. It also engages in hotel, hotel management, accommodation, software development and supply, aircraft engine repair, sports and leisure services, cargo information network service, online sales, aircraft transport services, information technology services, airport support services, online sales, facilities support management services, and small aircraft transport service. Additionally, the company offers cargo information network services; and supplies labors. It operates a fleet of 162 aircraft connecting 10 domestic and 106 international destinations in 39 countries. Korean Airlines Co.,Ltd. was founded in 1962 and is headquartered in Seoul, South Korea.

### Why customers stay

Margins ranged from 14.6% to 21% during 2023–25; it earns 4.6% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2023: grossProfit / revenue = 20.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2024: grossProfit / revenue = 21%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2025: grossProfit / revenue = 14.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); 10-year return on capital observations [[2016,0.052886211425372406],[2017,0.03924888272331456],[2018,0.029510240299235563],[2019,0.011354993502981608],[2020,0.005107421726403975],[2021,0.06438537691941666],[2022,0.13962425342498838],[2023,0.09260068542498429],[2024,0.0744633759871923],[2025,0.033432359040974365]]; median 0.04606754707434348. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back KRW 87.9 billion of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2016: growth capex 0; upkeep 1146239439580; owner earnings 1660016157220. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2017: growth capex 0; upkeep 1876528620270; owner earnings 930222178100. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2018: growth capex 0; upkeep 1276204000000; owner earnings 1516430000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2021: growth capex 0; upkeep 342964980040; owner earnings 809880009836. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2022: growth capex 0; upkeep 761762791320; owner earnings 1646432252088. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2023: growth capex 194342089690; upkeep 1722896372190; owner earnings 174269488496. Growth capex / owner earnings = 1.1151813858365731.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); Dividend observations: [[2016,23334917000],[2017,33621777290],[2018,67478000000],[2019,76904372550],[2020,60994922260],[2021,18177275000],[2022,4559992390],[2023,282064370600],[2024,278229104870],[2025,289168094840]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); FY2025: cash repurchases 87877427733.33333 KRW.

### Are managers owners

Insiders own 28.3% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 003490.KO SharesStats.PercentInsiders = 28.285 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 7.1% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:29.562Z); Ten-year compound average after fade. Initial solved rate 0.08829111673954781. Price 29450; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03.  Closing-price date 2026-10-15.

## Monthly share-price history (KRW per share)

- 2016-10: KRW 20,597.36 per share

- 2016-11: KRW 20,114.61 per share

- 2016-12: KRW 17,604.30 per share

- 2017-01: KRW 17,880.69 per share

- 2017-02: KRW 19,611.08 per share

- 2017-03: KRW 21,409.32 per share

- 2017-04: KRW 20,798.60 per share

- 2017-05: KRW 24,089.73 per share

- 2017-06: KRW 26,261.20 per share

- 2017-07: KRW 24,157.59 per share

- 2017-08: KRW 22,528.99 per share

- 2017-09: KRW 20,900.39 per share

- 2017-10: KRW 21,477.18 per share

- 2017-11: KRW 21,273.61 per share

- 2017-12: KRW 22,970.07 per share

- 2018-01: KRW 26,159.41 per share

- 2018-02: KRW 22,155.77 per share

- 2018-03: KRW 22,936.14 per share

- 2018-04: KRW 23,173.64 per share

- 2018-05: KRW 21,680.76 per share

- 2018-06: KRW 19,170.00 per share

- 2018-07: KRW 19,814.65 per share

- 2018-08: KRW 19,034.28 per share

- 2018-09: KRW 19,068.21 per share

- 2018-10: KRW 18,627.13 per share

- 2018-11: KRW 21,646.83 per share

- 2018-12: KRW 22,427.20 per share

- 2019-01: KRW 24,700.46 per share

- 2019-02: KRW 24,971.89 per share

- 2019-03: KRW 21,612.90 per share

- 2019-04: KRW 22,495.06 per share

- 2019-05: KRW 21,409.32 per share

- 2019-06: KRW 19,645.01 per share

- 2019-07: KRW 17,337.82 per share

- 2019-08: KRW 15,064.56 per share

- 2019-09: KRW 15,539.57 per share

- 2019-10: KRW 16,896.74 per share

- 2019-11: KRW 16,794.95 per share

- 2019-12: KRW 19,339.64 per share

- 2020-01: KRW 16,048.51 per share

- 2020-02: KRW 15,132.42 per share

- 2020-03: KRW 12,689.52 per share

- 2020-04: KRW 13,435.96 per share

- 2020-05: KRW 14,046.69 per share

- 2020-06: KRW 13,872.00 per share

- 2020-07: KRW 13,911.98 per share

- 2020-08: KRW 14,111.86 per share

- 2020-09: KRW 15,071.31 per share

- 2020-10: KRW 15,950.80 per share

- 2020-11: KRW 20,388.25 per share

- 2020-12: KRW 21,747.46 per share

- 2021-01: KRW 28,700.00 per share

- 2021-02: KRW 28,150.00 per share

- 2021-03: KRW 27,200.00 per share

- 2021-04: KRW 26,900.00 per share

- 2021-05: KRW 31,950.00 per share

- 2021-06: KRW 31,500.00 per share

- 2021-07: KRW 29,900.00 per share

- 2021-08: KRW 31,300.00 per share

- 2021-09: KRW 33,700.00 per share

- 2021-10: KRW 30,450.00 per share

- 2021-11: KRW 26,500.00 per share

- 2021-12: KRW 29,350.00 per share

- 2022-01: KRW 28,300.00 per share

- 2022-02: KRW 29,300.00 per share

- 2022-03: KRW 30,200.00 per share

- 2022-04: KRW 30,150.00 per share

- 2022-05: KRW 29,050.00 per share

- 2022-06: KRW 25,200.00 per share

- 2022-07: KRW 25,300.00 per share

- 2022-08: KRW 26,850.00 per share

- 2022-09: KRW 22,100.00 per share

- 2022-10: KRW 23,100.00 per share

- 2022-11: KRW 25,450.00 per share

- 2022-12: KRW 22,950.00 per share

- 2023-01: KRW 24,250.00 per share

- 2023-02: KRW 22,750.00 per share

- 2023-03: KRW 23,200.00 per share

- 2023-04: KRW 22,850.00 per share

- 2023-05: KRW 22,100.00 per share

- 2023-06: KRW 24,350.00 per share

- 2023-07: KRW 24,600.00 per share

- 2023-08: KRW 22,800.00 per share

- 2023-09: KRW 21,750.00 per share

- 2023-10: KRW 20,500.00 per share

- 2023-11: KRW 22,450.00 per share

- 2023-12: KRW 23,900.00 per share

- 2024-01: KRW 22,500.00 per share

- 2024-02: KRW 23,000.00 per share

- 2024-03: KRW 21,700.00 per share

- 2024-04: KRW 20,950.00 per share

- 2024-05: KRW 20,850.00 per share

- 2024-06: KRW 23,250.00 per share

- 2024-07: KRW 21,250.00 per share

- 2024-08: KRW 22,050.00 per share

- 2024-09: KRW 22,550.00 per share

- 2024-10: KRW 23,900.00 per share

- 2024-11: KRW 25,950.00 per share

- 2024-12: KRW 22,600.00 per share

- 2025-01: KRW 24,800.00 per share

- 2025-02: KRW 23,600.00 per share

- 2025-03: KRW 21,300.00 per share

- 2025-04: KRW 20,950.00 per share

- 2025-05: KRW 22,500.00 per share

- 2025-06: KRW 22,900.00 per share

- 2025-07: KRW 23,700.00 per share

- 2025-08: KRW 23,750.00 per share

- 2025-09: KRW 22,750.00 per share

- 2025-10: KRW 22,150.00 per share

- 2025-11: KRW 21,850.00 per share

- 2025-12: KRW 22,550.00 per share

- 2026-01: KRW 23,300.00 per share

- 2026-02: KRW 28,100.00 per share

- 2026-03: KRW 23,550.00 per share

- 2026-04: KRW 24,550.00 per share

- 2026-05: KRW 26,800.00 per share

- 2026-06: KRW 27,550.00 per share

- 2026-07: KRW 25,900.00 per share

- 2026-08: KRW 28,100.00 per share

- 2026-09: KRW 32,000.00 per share

- 2026-10: KRW 30,500.00 per share

## Annual estimated value (KRW per share)

- FY2016: low KRW 98,524.88 per share, central KRW 110,531.67 per share, high KRW 126,515.25 per share

- FY2017: low KRW 126,896.42 per share, central KRW 142,346.69 per share, high KRW 162,914.28 per share

- FY2018: low KRW 121,082.03 per share, central KRW 135,751.74 per share, high KRW 155,280.25 per share

- FY2019: low KRW 107,528.25 per share, central KRW 120,534.05 per share, high KRW 137,847.51 per share

- FY2020: low KRW 37,164.22 per share, central KRW 41,211.31 per share, high KRW 46,598.84 per share

- FY2021: low KRW 33,145.98 per share, central KRW 36,151.40 per share, high KRW 40,152.24 per share

- FY2022: low KRW 54,155.94 per share, central KRW 59,440.63 per share, high KRW 66,475.68 per share

- FY2023: low KRW 20,958.20 per share, central KRW 21,667.52 per share, high KRW 22,611.77 per share

- FY2024: low KRW 22,976.63 per share, central KRW 23,765.23 per share, high KRW 24,815.02 per share

- FY2025: low KRW 21,608.96 per share, central KRW 22,733.88 per share, high KRW 24,231.39 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:42:06.062Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.

## Reported holder observations