# Samsung Engineering (028050.KO)

Canonical: https://gigainvestors.com/s/028050.KO

Analysis as of: 2026-10-16T07:36:59.778Z. Financial observations: FY2001–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 42,200.00 per share; close as of 2026-10-15.

Estimated value: low KRW 55,316.42 per share, central KRW 60,439.79 per share, high KRW 67,260.08 per share. Buy at or below the central value KRW 60,439.79 per share. Valuation as of 2026-10-16T07:36:59.778Z; scenarios are not confidence intervals.

Expected annual return: 15.6% at the stated quote. About 15.6% 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: 1

- Operating margin variation: 0.37×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.01×

- FY2018: 0.04×

- FY2019: 0.06×

- FY2020: 0.05×

- FY2021: 0.07×

- FY2022: 0.06×

- FY2023: 0.09×

- FY2024: 0.08×

- FY2025: 0.08×

- LTM to Jun 2026: 0.08×

### moat: fail

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

- ROIC, median of available years: 30.8%

- ROIC, second-lowest year: 3.1%

- Typical minus recent gross margin: -3.6 pp

- Typical gross margin (annual median): 11.1%

- Recent gross margin (lower of latest and 3-year median): 14.8%

- Years with nonpositive capital: 0

- Capital spending / revenue: 0.4%

- ROIC including acquisitions, ten-year median: 30.5%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 3.1%

- FY2017: 2.3%

- FY2018: 11.7%

- FY2019: 38.6%

- FY2020: 23.7%

- FY2021: 46.9%

- FY2022: 55.7%

- FY2023: 32.7%

- FY2024: 45.7%

- FY2025: 28.8%

### economics: pass

- Owner earnings / net income, 5-yr: 1.00×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: KRW 3.18T

- Net income, five-year total: KRW 3.17T

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: -2.9 pp

- Working capital / revenue, change between three-year averages: -22.5 pp

- Working capital / revenue, final three-year average: -3.3%

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

- FY2021: 1.04×

- FY2022: 1.05×

- FY2023: 1.01×

- FY2024: 0.97×

- FY2025: 0.97×

### 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: 3.1% vs 32.7%

- Per-share earnings: 131.43 to 3846.00 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 0.0%

- Market cap gain: KRW 2.70T

- Cumulative retained earnings: KRW 3.87T

- Diluted shares, 5-year annual growth: 0.0%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 62.0%

- Per-share value change: KRW 4K

- Per-share value, starting three-year median: KRW 131.43

- Per-share value, ending three-year median: KRW 4K

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

- Average buyback yield: 0.0%

- Buyback history: 2 years

- Debt-funded buybacks: No

- Acquisition spending: KRW 118B

- Cumulative net income, 10 years: KRW 3.75T

- ROIC, first three-year median: 3.1%

- ROIC, last three-year median: 32.7%

Chart: Earnings per share; fiscal year observations.

- FY2016: KRW 131.43

- FY2017: KRW -231.03

- FY2018: KRW 350.43

- FY2019: KRW 1K

- FY2020: KRW 1K

- FY2021: KRW 2K

- FY2022: KRW 3K

- FY2023: KRW 4K

- FY2024: KRW 4K

- FY2025: KRW 3K

### accounting: pass

- Sloan accruals: 3.6%

- Receivables to sales index (DSRI): 0.92×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.41×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.02×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -2.9%

- FY2017: 1.7%

- FY2018: -8.2%

- FY2019: -10.8%

- FY2020: 4.2%

- FY2021: -6.1%

- FY2022: 1.1%

- FY2023: 15.6%

- FY2024: -8.8%

- FY2025: 3.6%

## Holders

## Price story

Down 21% since Apr 2026 · sales +6.7%

Story as of 2026-10-16T10:00:08.455Z; price observation 2026-10-15.

Price needs cash profits to shrink 6.2% a year for ten years

### Sales · FY2025–2026

sales +6.7%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: KRW 5.54T 

- FY2018: KRW 5.48T 

- FY2019: KRW 6.37T 

- FY2020: KRW 6.73T 

- FY2021: KRW 7.49T 

- FY2022: KRW 10.05T 

- FY2023: KRW 10.62T 

- FY2024: KRW 9.97T 

- FY2025: KRW 9.03T 

- FY2026: KRW 9.63T 

### Gross margin · FY2025

gross margin 14.8%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 6.9% 

- FY2017: 6.5% 

- FY2018: 10.0% 

- FY2019: 12.0% 

- FY2020: 9.8% 

- FY2021: 11.5% 

- FY2022: 10.8% 

- FY2023: 13.7% 

- FY2024: 15.1% 

- FY2025: 14.8% 

## Owner memo

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

### How it makes money

Operates in engineering & construction; annual sales are KRW 9 trillion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2025: revenue 9028769083650; grossProfit 1333896173000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 13.7% to 15.1% during 2023–25; it earns 30.8% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2023: grossProfit / revenue = 13.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2024: grossProfit / revenue = 15.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2025: grossProfit / revenue = 14.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); 10-year return on capital observations [[2016,0.030936003225515773],[2017,0.023010964274017894],[2018,0.11700934761118593],[2019,0.38625187738732236],[2020,0.2368242418182357],[2021,0.4691777288725882],[2022,0.5570457505787416],[2023,0.32722234639796804],[2024,0.45688518812339346],[2025,0.28788826009322527]]; median 0.30755530324559666. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 2 of 9 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2016: growth capex 0; upkeep 38626105200; owner earnings 149297396740. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2017: growth capex 0; upkeep 13799219540; owner earnings 13330890320. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2018: growth capex 0; upkeep 14606916340; owner earnings 114411622440. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2019: growth capex 0; upkeep 19602514420; owner earnings 327327144330. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2020: growth capex 0; upkeep 23440156020; owner earnings 264612112170. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2021: growth capex 0; upkeep 29754045970; owner earnings 388770717390. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2022: growth capex 0; upkeep 20705728900; owner earnings 695813961990. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2023: growth capex 0; upkeep 54122356450; owner earnings 760373335340. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2024: growth capex 0; upkeep 86405498930; owner earnings 735276694820. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); FY2025: growth capex 0; upkeep 96492282880; owner earnings 599105677120. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); Dividend observations: [[2016,0],[2017,0],[2018,0],[2019,0],[2020,0],[2021,0],[2022,0],[2024,195989350],[2025,129360000000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 20.2% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 028050.KO SharesStats.PercentInsiders = 20.233 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits shrink 6.2% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:36:59.778Z); Ten-year compound average after fade. Initial solved rate -0.09994228585156822. Price 42200; 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 9,470.00 per share

- 2016-11: KRW 9,480.00 per share

- 2016-12: KRW 10,300.00 per share

- 2017-01: KRW 12,600.00 per share

- 2017-02: KRW 12,400.00 per share

- 2017-03: KRW 12,850.00 per share

- 2017-04: KRW 12,200.00 per share

- 2017-05: KRW 12,600.00 per share

- 2017-06: KRW 11,900.00 per share

- 2017-07: KRW 10,200.00 per share

- 2017-08: KRW 10,700.00 per share

- 2017-09: KRW 11,000.00 per share

- 2017-10: KRW 12,200.00 per share

- 2017-11: KRW 13,100.00 per share

- 2017-12: KRW 12,400.00 per share

- 2018-01: KRW 17,500.00 per share

- 2018-02: KRW 16,050.00 per share

- 2018-03: KRW 18,100.00 per share

- 2018-04: KRW 17,950.00 per share

- 2018-05: KRW 18,450.00 per share

- 2018-06: KRW 15,650.00 per share

- 2018-07: KRW 17,000.00 per share

- 2018-08: KRW 16,850.00 per share

- 2018-09: KRW 19,300.00 per share

- 2018-10: KRW 18,250.00 per share

- 2018-11: KRW 19,450.00 per share

- 2018-12: KRW 17,600.00 per share

- 2019-01: KRW 16,750.00 per share

- 2019-02: KRW 15,700.00 per share

- 2019-03: KRW 16,100.00 per share

- 2019-04: KRW 17,050.00 per share

- 2019-05: KRW 16,700.00 per share

- 2019-06: KRW 17,150.00 per share

- 2019-07: KRW 16,450.00 per share

- 2019-08: KRW 15,500.00 per share

- 2019-09: KRW 16,800.00 per share

- 2019-10: KRW 17,800.00 per share

- 2019-11: KRW 18,800.00 per share

- 2019-12: KRW 19,200.00 per share

- 2020-01: KRW 17,250.00 per share

- 2020-02: KRW 14,100.00 per share

- 2020-03: KRW 10,150.00 per share

- 2020-04: KRW 11,500.00 per share

- 2020-05: KRW 12,100.00 per share

- 2020-06: KRW 12,250.00 per share

- 2020-07: KRW 11,900.00 per share

- 2020-08: KRW 11,300.00 per share

- 2020-09: KRW 10,550.00 per share

- 2020-10: KRW 11,750.00 per share

- 2020-11: KRW 13,650.00 per share

- 2020-12: KRW 13,250.00 per share

- 2021-01: KRW 12,350.00 per share

- 2021-02: KRW 12,900.00 per share

- 2021-03: KRW 14,000.00 per share

- 2021-04: KRW 17,350.00 per share

- 2021-05: KRW 18,900.00 per share

- 2021-06: KRW 23,900.00 per share

- 2021-07: KRW 23,350.00 per share

- 2021-08: KRW 22,350.00 per share

- 2021-09: KRW 25,550.00 per share

- 2021-10: KRW 24,800.00 per share

- 2021-11: KRW 20,750.00 per share

- 2021-12: KRW 22,900.00 per share

- 2022-01: KRW 21,550.00 per share

- 2022-02: KRW 23,200.00 per share

- 2022-03: KRW 26,200.00 per share

- 2022-04: KRW 26,000.00 per share

- 2022-05: KRW 24,550.00 per share

- 2022-06: KRW 21,550.00 per share

- 2022-07: KRW 19,600.00 per share

- 2022-08: KRW 23,450.00 per share

- 2022-09: KRW 22,750.00 per share

- 2022-10: KRW 23,850.00 per share

- 2022-11: KRW 24,550.00 per share

- 2022-12: KRW 22,250.00 per share

- 2023-01: KRW 25,850.00 per share

- 2023-02: KRW 26,250.00 per share

- 2023-03: KRW 31,700.00 per share

- 2023-04: KRW 29,100.00 per share

- 2023-05: KRW 28,300.00 per share

- 2023-06: KRW 28,300.00 per share

- 2023-07: KRW 37,000.00 per share

- 2023-08: KRW 34,000.00 per share

- 2023-09: KRW 30,250.00 per share

- 2023-10: KRW 23,750.00 per share

- 2023-11: KRW 25,250.00 per share

- 2023-12: KRW 29,000.00 per share

- 2024-01: KRW 22,300.00 per share

- 2024-02: KRW 24,600.00 per share

- 2024-03: KRW 25,000.00 per share

- 2024-04: KRW 26,450.00 per share

- 2024-05: KRW 23,400.00 per share

- 2024-06: KRW 24,150.00 per share

- 2024-07: KRW 28,550.00 per share

- 2024-08: KRW 25,350.00 per share

- 2024-09: KRW 22,000.00 per share

- 2024-10: KRW 17,860.00 per share

- 2024-11: KRW 17,950.00 per share

- 2024-12: KRW 16,550.00 per share

- 2025-01: KRW 18,010.00 per share

- 2025-02: KRW 16,380.00 per share

- 2025-03: KRW 19,780.00 per share

- 2025-04: KRW 19,240.00 per share

- 2025-05: KRW 21,750.00 per share

- 2025-06: KRW 22,100.00 per share

- 2025-07: KRW 26,500.00 per share

- 2025-08: KRW 29,100.00 per share

- 2025-09: KRW 26,800.00 per share

- 2025-10: KRW 25,950.00 per share

- 2025-11: KRW 25,550.00 per share

- 2025-12: KRW 24,050.00 per share

- 2026-01: KRW 30,800.00 per share

- 2026-02: KRW 36,400.00 per share

- 2026-03: KRW 35,700.00 per share

- 2026-04: KRW 53,100.00 per share

- 2026-05: KRW 52,900.00 per share

- 2026-06: KRW 47,600.00 per share

- 2026-07: KRW 43,800.00 per share

- 2026-08: KRW 47,100.00 per share

- 2026-09: KRW 47,700.00 per share

- 2026-10: KRW 45,350.00 per share

## Annual estimated value (KRW per share)

- FY2017: low KRW 4,564.70 per share, central KRW 4,667.05 per share, high KRW 4,803.28 per share

- FY2018: low KRW 4,020.46 per share, central KRW 4,341.23 per share, high KRW 4,768.23 per share

- FY2019: low KRW 10,708.95 per share, central KRW 11,731.24 per share, high KRW 13,092.14 per share

- FY2020: low KRW 11,398.43 per share, central KRW 12,499.81 per share, high KRW 13,965.99 per share

- FY2021: low KRW 22,520.82 per share, central KRW 24,785.83 per share, high KRW 27,801.04 per share

- FY2022: low KRW 38,046.30 per share, central KRW 42,019.50 per share, high KRW 47,308.67 per share

- FY2023: low KRW 37,187.96 per share, central KRW 41,430.22 per share, high KRW 47,077.56 per share

- FY2024: low KRW 53,259.12 per share, central KRW 58,562.67 per share, high KRW 65,622.82 per share

- FY2025: low KRW 48,572.52 per share, central KRW 53,376.27 per share, high KRW 59,771.08 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 2026-10-15T06:42:34.147Z 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