# SK Telecom (017670.KO)

Canonical: https://gigainvestors.com/s/017670.KO

Analysis as of: 2026-10-16T07:35:27.954Z. Financial observations: FY1998–FY2026.

Listing currency: KRW. Reporting currency: KRW.

## Verdict

Not a wonderful business

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

Share price: KRW 78,800.00 per share; close as of 2026-10-15.

Estimated value: low KRW 78,469.87 per share, central KRW 88,192.02 per share, high KRW 101,134.26 per share. Buy at or below the central value KRW 88,192.02 per share. Valuation as of 2026-10-16T07:35:27.954Z; scenarios are not confidence intervals.

Expected annual return: 11.0% at the stated quote. About 11.0% 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

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

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 0

- Operating margin variation: 0.52×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.07×

- FY2018: 0.27×

- FY2019: 0.09×

- FY2020: 0.13×

- FY2021: 0.12×

- FY2022: 0.09×

- FY2023: 0.10×

- FY2024: 0.10×

- FY2025: 0.06×

- LTM to Jun 2026: 0.07×

### moat: fail

- ROIC median below threshold

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

- ROIC, median of available years: 6.7%

- ROIC, second-lowest year: 4.0%

- Typical minus recent gross margin: -1.1 pp

- Typical gross margin (annual median): 86.2%

- Recent gross margin (lower of latest and 3-year median): 87.3%

- Years with nonpositive capital: 0

- Capital spending / revenue: 17.9%

- ROIC including acquisitions, ten-year median: 7.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 5.3%

- FY2017: 4.5%

- FY2018: 13.7%

- FY2019: 4.0%

- FY2020: 6.5%

- FY2021: 7.8%

- FY2022: 6.8%

- FY2023: 7.7%

- FY2024: 8.0%

- FY2025: 3.4%

### economics: fail

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 1.55×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: KRW 7.65T

- Net income, five-year total: KRW 4.94T

- Return on incremental invested capital: 0.0%

- Working capital / revenue, annual change: -1.0 pp

- Working capital / revenue, change between three-year averages: -7.2 pp

- Working capital / revenue, final three-year average: 11.5%

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

- FY2021: 1.39×

- FY2022: 1.41×

- FY2023: 1.30×

- FY2024: 1.54×

- FY2025: 3.05×

### management: fail

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

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 5.3% vs 7.7%

- Per-share earnings: 7816.03 to 5029.19 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.1%

- Ordinary dilution, 5-year annual growth: -0.3%

- Market cap gain: KRW 3.11T

- Cumulative retained earnings: KRW 6.99T

- Diluted shares, 10-year annual growth: -0.1%

- Diluted shares, 5-year annual growth: -0.3%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: -5.4%

- Per-share value change: KRW -3K

- Per-share value, starting three-year median: KRW 8K

- Per-share value, ending three-year median: KRW 5K

- Buybacks concentrated in cheaper years (correlation): 0.60

- Average buyback yield: 1.3%

- Buyback history: 5 years

- Debt-funded buybacks: No

- Acquisition spending: KRW 4.45T

- Cumulative net income, 10 years: KRW 14.73T

- ROIC, first three-year median: 5.3%

- ROIC, last three-year median: 7.7%

Chart: Earnings per share; fiscal year observations.

- FY2016: KRW 8K

- FY2017: KRW 12K

- FY2018: KRW 14K

- FY2019: KRW 4K

- FY2020: KRW 7K

- FY2021: KRW 6K

- FY2022: KRW 4K

- FY2023: KRW 5K

- FY2024: KRW 6K

- FY2025: KRW 2K

### accounting: pass

- Sloan accruals: -11.7%

- Receivables to sales index (DSRI): 1.01×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 9.61×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.29×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -8.2%

- FY2017: -3.8%

- FY2018: -2.8%

- FY2019: -6.9%

- FY2020: -9.0%

- FY2021: -12.2%

- FY2022: -13.6%

- FY2023: -13.3%

- FY2024: -12.6%

- FY2025: -11.7%

## Holders

## Price story

Down 22% since May 2026 · sales -0.2%

Story as of 2026-10-16T10:00:04.971Z; price observation 2026-10-15.

Price needs cash profits to shrink 0.7% a year for ten years

### Sales · FY2025–2026

sales -0.2%; source https://www.sec.gov/Archives/edgar/data/1015650/000119312526188763/d78252d20f.htm; observed 2026-04-29.

- FY2017: KRW 17.52T 

- FY2018: KRW 16.87T 

- FY2019: KRW 17.74T 

- FY2020: KRW 18.62T 

- FY2021: KRW 16.75T 

- FY2022: KRW 17.30T 

- FY2023: KRW 17.61T 

- FY2024: KRW 17.94T 

- FY2025: KRW 17.10T 

- FY2026: KRW 17.06T 

### Gross margin · FY2025

gross margin 87.3%; source https://www.sec.gov/Archives/edgar/data/1015650/000119312526188763/d78252d20f.htm; observed 2026-04-29.

- FY2016: 81.4% 

- FY2017: 82.3% 

- FY2018: 82.7% 

- FY2019: 83.9% 

- FY2020: 85.6% 

- FY2021: 86.7% 

- FY2022: 87.0% 

- FY2023: 87.4% 

- FY2024: 87.3% 

- FY2025: 87.3% 

## Owner memo

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

### How it makes money

Operates in telecom services; annual sales are KRW 17.1 trillion.

- Source: https://www.sec.gov/Archives/edgar/data/1015650/000119312526188763/d78252d20f.htm (filed 2026-04-29); FY2025: revenue 17099213000000; grossProfit 14927239000000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 017670.KO: SK Telecom Co., Ltd. engages in the provision of wireless telecommunication services in South Korea. The company operates through three segments: Cellular Services, Fixed-Line Telecommunications Services, and Other Businesses. The Cellular Services segment offers wireless voice and data transmission, cellular interconnection, Internet of Things solutions and enterprise communications, cloud, subscription, advertising and curated shopping services; as well as sells wireless devices. Its Fixed-Line Telecommunications Services segment provides fixed-line telephone, broadband Internet services; media platform services, such as internet protocol TV and cable TV; and business communications and related infrastructure services. The Other Businesses segment offers T-commerce services. In addition, it provides call center management, base station maintenance, information gathering and consulting, database and internet website, and broadcasting programs; international telecommunication and mobile virtual network operator services; and operates information and communications facilities; as well as engages in telecommunications and communication device retail; and software development and supply business. SK Telecom Co., Ltd. was incorporated in 1984 and is based in Seoul, South Korea.

### Why customers stay

Margins ranged from 87.3% to 87.4% during 2023–25; it earns 6.7% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2023: grossProfit / revenue = 87.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2024: grossProfit / revenue = 87.3%.

- Source: https://www.sec.gov/Archives/edgar/data/1015650/000119312526188763/d78252d20f.htm (filed 2026-04-29); FY2025: grossProfit / revenue = 87.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); 10-year return on capital observations [[2016,0.05341053880892023],[2017,0.04515546788120363],[2018,0.136631415524477],[2019,0.039827593992532065],[2020,0.06528681875121388],[2021,0.07819312975992403],[2022,0.06788364551004364],[2023,0.07658489528440932],[2024,0.0801203736313119],[2025,0.033856403601007244]]; median 0.06658523213062875. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 87% gross margin through 2022 cost inflation.

- Source: https://www.sec.gov/Archives/edgar/data/1015650/000119312526188763/d78252d20f.htm (filed 2026-04-29); Gross margin observations: [[2021,0.8670241695044686],[2022,0.8698735328856047],[2023,0.8739079641657378]]; range within 2 percentage points.

### Where the cash goes

Paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2016: growth capex 0; upkeep 3125842000000; owner earnings 1618683000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2017: growth capex 0; upkeep 2861599000000; owner earnings 2985749000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2018: growth capex 0; upkeep 3295619000000; owner earnings 3116607000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2019: growth capex 0; upkeep 3516893000000; owner earnings 1166307000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2020: growth capex 0; upkeep 3687776000000; owner earnings 1699216600000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2021: growth capex 0; upkeep 3308439000000; owner earnings 1770493600000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2022: growth capex 0; upkeep 3046423000000; owner earnings 1288616600000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2023: growth capex 0; upkeep 2967267000000; owner earnings 1418823400000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); FY2024: growth capex 0; upkeep 2559216000000; owner earnings 1923722800000. Growth capex / owner earnings = 0.

- Source: https://www.sec.gov/Archives/edgar/data/1015650/000119312526188763/d78252d20f.htm (filed 2026-04-29); FY2025: growth capex 0; upkeep 2323252000000; owner earnings 1247132400000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); Dividend observations: [[2016,706091000000],[2017,706091000000],[2018,706091000000],[2019,718698000000],[2020,742136000000],[2021,1028520000000],[2022,904020000000],[2023,775116000000],[2024,804317000000],[2025,628359000000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 32.5% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 017670.KO SharesStats.PercentInsiders = 32.467 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits shrink 0.7% yearly over ten years; actual decline was 4.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-29); Ten-year compound average after fade. Initial solved rate -0.022111742596721273. Price 78800; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 8885.839936202065 → FY2025 5855.762938054483. Closing-price date 2026-10-15.

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

- 2016-10: KRW 38,561.89 per share

- 2016-11: KRW 38,993.23 per share

- 2016-12: KRW 38,648.15 per share

- 2017-01: KRW 38,475.62 per share

- 2017-02: KRW 39,942.18 per share

- 2017-03: KRW 43,479.17 per share

- 2017-04: KRW 41,322.47 per share

- 2017-05: KRW 43,737.98 per share

- 2017-06: KRW 45,894.68 per share

- 2017-07: KRW 47,965.12 per share

- 2017-08: KRW 43,737.98 per share

- 2017-09: KRW 43,996.78 per share

- 2017-10: KRW 45,549.61 per share

- 2017-11: KRW 45,549.61 per share

- 2017-12: KRW 46,067.22 per share

- 2018-01: KRW 45,808.42 per share

- 2018-02: KRW 41,408.74 per share

- 2018-03: KRW 40,287.25 per share

- 2018-04: KRW 39,424.57 per share

- 2018-05: KRW 38,303.08 per share

- 2018-06: KRW 40,200.98 per share

- 2018-07: KRW 43,220.37 per share

- 2018-08: KRW 45,290.81 per share

- 2018-09: KRW 48,655.27 per share

- 2018-10: KRW 46,239.76 per share

- 2018-11: KRW 49,949.29 per share

- 2018-12: KRW 46,498.56 per share

- 2019-01: KRW 44,514.39 per share

- 2019-02: KRW 44,945.73 per share

- 2019-03: KRW 43,392.91 per share

- 2019-04: KRW 42,702.76 per share

- 2019-05: KRW 43,220.37 per share

- 2019-06: KRW 44,686.93 per share

- 2019-07: KRW 42,875.30 per share

- 2019-08: KRW 41,322.47 per share

- 2019-09: KRW 41,667.54 per share

- 2019-10: KRW 40,891.13 per share

- 2019-11: KRW 42,443.96 per share

- 2019-12: KRW 41,063.66 per share

- 2020-01: KRW 39,597.11 per share

- 2020-02: KRW 36,663.99 per share

- 2020-03: KRW 30,538.94 per share

- 2020-04: KRW 36,491.45 per share

- 2020-05: KRW 37,267.86 per share

- 2020-06: KRW 36,405.18 per share

- 2020-07: KRW 38,044.28 per share

- 2020-08: KRW 42,789.03 per share

- 2020-09: KRW 41,063.66 per share

- 2020-10: KRW 36,922.79 per share

- 2020-11: KRW 40,977.40 per share

- 2020-12: KRW 41,063.66 per share

- 2021-01: KRW 42,098.88 per share

- 2021-02: KRW 42,702.76 per share

- 2021-03: KRW 47,447.51 per share

- 2021-04: KRW 52,364.80 per share

- 2021-05: KRW 54,694.04 per share

- 2021-06: KRW 55,211.65 per share

- 2021-07: KRW 51,933.46 per share

- 2021-08: KRW 51,415.85 per share

- 2021-09: KRW 55,901.80 per share

- 2021-10: KRW 53,400.02 per share

- 2021-11: KRW 54,500.00 per share

- 2021-12: KRW 57,900.00 per share

- 2022-01: KRW 56,400.00 per share

- 2022-02: KRW 54,600.00 per share

- 2022-03: KRW 56,900.00 per share

- 2022-04: KRW 57,000.00 per share

- 2022-05: KRW 57,100.00 per share

- 2022-06: KRW 52,000.00 per share

- 2022-07: KRW 53,600.00 per share

- 2022-08: KRW 52,100.00 per share

- 2022-09: KRW 50,800.00 per share

- 2022-10: KRW 50,100.00 per share

- 2022-11: KRW 50,000.00 per share

- 2022-12: KRW 47,400.00 per share

- 2023-01: KRW 46,600.00 per share

- 2023-02: KRW 45,150.00 per share

- 2023-03: KRW 48,300.00 per share

- 2023-04: KRW 47,700.00 per share

- 2023-05: KRW 49,700.00 per share

- 2023-06: KRW 46,600.00 per share

- 2023-07: KRW 46,100.00 per share

- 2023-08: KRW 48,050.00 per share

- 2023-09: KRW 52,000.00 per share

- 2023-10: KRW 49,150.00 per share

- 2023-11: KRW 52,200.00 per share

- 2023-12: KRW 50,100.00 per share

- 2024-01: KRW 50,200.00 per share

- 2024-02: KRW 52,700.00 per share

- 2024-03: KRW 52,500.00 per share

- 2024-04: KRW 51,300.00 per share

- 2024-05: KRW 51,000.00 per share

- 2024-06: KRW 51,500.00 per share

- 2024-07: KRW 54,100.00 per share

- 2024-08: KRW 55,200.00 per share

- 2024-09: KRW 55,900.00 per share

- 2024-10: KRW 56,700.00 per share

- 2024-11: KRW 61,400.00 per share

- 2024-12: KRW 55,200.00 per share

- 2025-01: KRW 55,400.00 per share

- 2025-02: KRW 56,000.00 per share

- 2025-03: KRW 55,500.00 per share

- 2025-04: KRW 54,300.00 per share

- 2025-05: KRW 51,500.00 per share

- 2025-06: KRW 56,700.00 per share

- 2025-07: KRW 56,100.00 per share

- 2025-08: KRW 54,200.00 per share

- 2025-09: KRW 54,300.00 per share

- 2025-10: KRW 52,300.00 per share

- 2025-11: KRW 53,500.00 per share

- 2025-12: KRW 53,500.00 per share

- 2026-01: KRW 72,500.00 per share

- 2026-02: KRW 79,800.00 per share

- 2026-03: KRW 76,400.00 per share

- 2026-04: KRW 95,100.00 per share

- 2026-05: KRW 100,600.00 per share

- 2026-06: KRW 88,400.00 per share

- 2026-07: KRW 81,400.00 per share

- 2026-08: KRW 94,200.00 per share

- 2026-09: KRW 85,600.00 per share

- 2026-10: KRW 79,700.00 per share

## Annual estimated value (KRW per share)

- FY2016: low KRW 90,623.59 per share, central KRW 102,000.07 per share, high KRW 117,144.57 per share

- FY2017: low KRW 102,433.05 per share, central KRW 115,354.87 per share, high KRW 132,556.55 per share

- FY2018: low KRW 104,999.60 per share, central KRW 117,954.30 per share, high KRW 135,199.76 per share

- FY2019: low KRW 105,703.76 per share, central KRW 119,090.27 per share, high KRW 136,910.55 per share

- FY2020: low KRW 101,120.21 per share, central KRW 113,420.00 per share, high KRW 129,793.62 per share

- FY2021: low KRW 93,579.32 per share, central KRW 105,816.96 per share, high KRW 122,107.85 per share

- FY2022: low KRW 87,251.30 per share, central KRW 98,160.28 per share, high KRW 112,682.44 per share

- FY2023: low KRW 77,744.87 per share, central KRW 87,577.94 per share, high KRW 100,667.83 per share

- FY2024: low KRW 93,143.51 per share, central KRW 104,701.17 per share, high KRW 120,086.87 per share

- FY2025: low KRW 76,977.16 per share, central KRW 86,726.57 per share, high KRW 99,705.10 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 2026-10-15T06:41:07.520Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original 20-F filing](https://www.sec.gov/Archives/edgar/data/1015650/000119312526188763/d78252d20f.htm); period 2025-12-31, filed 2026-04-29.

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.