# LG Chemicals (051910.KO)

Canonical: https://gigainvestors.com/s/051910.KO

Analysis as of: 2026-10-16T07:35:09.314Z. Financial observations: FY2001–FY2025.

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 252,000.00 per share; close as of 2026-10-15.

## Checklist

### understandable: fail

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

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 2

- Operating margin variation: 0.53×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.10×

- FY2017: 0.11×

- FY2018: 0.08×

- FY2019: 0.03×

- FY2020: 0.06×

- FY2021: 0.12×

- FY2022: 0.06×

- FY2023: 0.05×

- FY2024: 0.02×

- FY2025: 0.03×

### moat: fail

- ROIC median below threshold

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

- ROIC, median of available years: 6.8%

- ROIC, second-lowest year: 1.7%

- Typical minus recent gross margin: 3.2 pp

- Typical gross margin (annual median): 19.1%

- Recent gross margin (lower of latest and 3-year median): 15.9%

- Years with nonpositive capital: 0

- Capital spending / revenue: 15.6%

- ROIC including acquisitions, ten-year median: -1.4%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 10.7%

- FY2017: 14.9%

- FY2018: 9.3%

- FY2019: 2.8%

- FY2020: 5.0%

- FY2021: 11.8%

- FY2022: 6.1%

- FY2023: 7.6%

- FY2024: 1.3%

- FY2025: 1.7%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: -3.20×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: KRW -13.90T

- Net income, five-year total: KRW 4.34T

- Return on incremental invested capital: -1.0%

- Working capital / revenue, annual change: 0.1 pp

- Working capital / revenue, change between three-year averages: -0.6 pp

- Working capital / revenue, final three-year average: 23.2%

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

- FY2021: 0.98×

- FY2022: 0.96×

- FY2023: 1.74×

- FY2024: 15.88×

- FY2025: 5.84×

### 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: 10.7% vs 1.7%

- Per-share earnings: 18032.10 to -9786.53 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 0.1%

- Market cap gain: KRW 4.31T

- Cumulative retained earnings: KRW 4.54T

- Diluted shares, 5-year annual growth: 0.1%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value change: KRW -28K

- Per-share value, starting three-year median: KRW 18K

- Per-share value, ending three-year median: KRW -10K

- Buybacks concentrated in cheaper years (correlation): 0.50

- Average buyback yield: 0.0%

- Buyback history: 3 years

- Debt-funded buybacks: No

- Acquisition spending: KRW 4.24T

- Cumulative net income, 10 years: KRW 9.87T

- ROIC, first three-year median: 10.7%

- ROIC, last three-year median: 1.7%

Chart: Earnings per share; fiscal year observations.

- FY2016: KRW 17K

- FY2017: KRW 18K

- FY2018: KRW 29K

- FY2019: KRW 4K

- FY2020: KRW 7K

- FY2021: KRW 52K

- FY2022: KRW 26K

- FY2023: KRW 19K

- FY2024: KRW -10K

- FY2025: KRW -26K

### accounting: pass

- Sloan accruals: -9.9%

- Receivables to sales index (DSRI): 0.87×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.11×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -6.0%

- FY2017: -4.9%

- FY2018: -2.3%

- FY2019: -8.3%

- FY2020: -12.9%

- FY2021: -3.6%

- FY2022: 1.9%

- FY2023: -2.2%

- FY2024: -8.2%

- FY2025: -9.9%

## Holders

## Price story

Down 70% since Oct 2021 · sales -5.7%

Story as of 2026-10-16T10:00:03.830Z; price observation 2026-10-15.

### Sales · FY2024–2025

sales -5.7%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: KRW 20.66T 

- FY2017: KRW 25.70T 

- FY2018: KRW 28.18T 

- FY2019: KRW 28.63T 

- FY2020: KRW 30.08T 

- FY2021: KRW 42.65T 

- FY2022: KRW 51.86T 

- FY2023: KRW 55.25T 

- FY2024: KRW 48.70T 

- FY2025: KRW 45.93T 

### Gross margin · FY2025

gross margin 17%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 19.7% 

- FY2017: 21.6% 

- FY2018: 19.0% 

- FY2019: 16.9% 

- FY2020: 21.0% 

- FY2021: 26.3% 

- FY2022: 19.3% 

- FY2023: 15.9% 

- FY2024: 15.3% 

- FY2025: 17.0% 

## Owner memo

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

### How it makes money

Operates in chemicals; annual sales are KRW 45.9 trillion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2025: revenue 45932167000000; grossProfit 7809460000000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 051910.KO: LG Chem, Ltd., together with its subsidiaries, operates as a chemical company in Korea, China, Asia/Oceania, the United States, Europe, and internationally. It offers ethylene-based synthetic resin products, such as ethylene vinyl acetate, high density polyethylene, low density polyethylene, linear low-density polyethylene, polyolefin elastomer, polyvinyl chloride, metallocene PE, and UNIQABLE, a recyclable all-PE packaging solution; and styrene-based synthetic resin, including acrylonitrile butadiene styrene, acrylonitrile styrene acrylate, expandable polystyrene, polystyrene, styrene acrylonitrile copolymer. The company also provides polycarbonate, a benzene-based synthetic resin product; polypropylene, a propylene-based synthetic resin; superabsorbent polymer; butadiene rubber, nitrile butadiene rubber, nitrile butadiene rubber latex, styrene butadiene latex, and solution styrene butadiene rubber; caustic soda; plasticizer; and base oil. In addition, it offers bisphenol A; acrylate, alcohol, isopropyl alcohol, methacrylate butadiene styrene, neopentyl glycol, and styrene butadiene styrene; aerogel; anode binder and carbon nanotube; KEYFLEX BT, KEYFLEX TO, LUCEL, LUCON, LUMID/LUXY, LUMILOY, LUMIPLAS, LUPOL, LUPOS, LUPOX/LUMAX, LUPOY, and LUSEP high-performance plastics; display materials; adhesives for automotive bodyshop and cathode material paintshop, cathode material, dispersant for conductive agent, flame barrier material, and separators. Further, the company provides semiconductor materials and automobiles materials; life science products for arthritis, diabetes, growth hormone, fertility, anemia, anti-adhesive agent, antimicrobials, bovine somatotropin, vaccines, and crop protection agents. LG Chem, Ltd. was founded in 1947 and is headquartered in Seoul, South Korea.

### Why customers stay

Margins ranged from 15.3% to 17% during 2023–25; it earns 6.8% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2023: grossProfit / revenue = 15.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2024: grossProfit / revenue = 15.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2025: grossProfit / revenue = 17%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); 10-year return on capital observations [[2016,0.10714784766242123],[2017,0.14891368972778346],[2018,0.0933578617940333],[2019,0.027808037699393846],[2020,0.04982979770729017],[2021,0.1179893517066555],[2022,0.06068257869771014],[2023,0.07608637976264401],[2024,0.013345910848249015],[2025,0.016932891146080938]]; median 0.06838447923017707. 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 275275 of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2016: growth capex 0; upkeep 1472614000000; owner earnings 1044083000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2017: growth capex 0; upkeep 2252616000000; owner earnings 928132000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2021: growth capex 2932685000000; upkeep 2840908000000; owner earnings 3605938000000. Growth capex / owner earnings = 0.8132932402054611.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2022: growth capex 5010209000000; upkeep 3396079000000; owner earnings 1767435400000. Growth capex / owner earnings = 2.83473387485619.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2023: growth capex 0; upkeep 2419782000000; owner earnings 2324089964535.3325. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); Dividend observations: [[2016,346485000000],[2017,368055000000],[2018,460058000000],[2019,460058000000],[2020,177648000000],[2021,869717000000],[2022,1090909000000],[2023,783135000000],[2024,367300000000],[2025,226562000000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); FY2025: cash repurchases 275275 KRW.

### Are managers owners

Insiders own 35% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 051910.KO SharesStats.PercentInsiders = 34.979 percentage points; cache date 2026-10-16.

### What the price says

The price is 0.4 times annual sales; cash earnings are negative.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:35:09.314Z); Closing price 252000 KRW; reporting-to-trading FX 1; FY2025 annual sales per share 650667.8443959261; price multiple 0.38729438095093577. FY2025 cash earnings/share -150458.37974889684. Closing-price date 2026-10-15.

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

- 2016-10: KRW 246,500.00 per share

- 2016-11: KRW 226,500.00 per share

- 2016-12: KRW 261,000.00 per share

- 2017-01: KRW 262,000.00 per share

- 2017-02: KRW 283,000.00 per share

- 2017-03: KRW 294,000.00 per share

- 2017-04: KRW 274,000.00 per share

- 2017-05: KRW 302,000.00 per share

- 2017-06: KRW 291,000.00 per share

- 2017-07: KRW 328,000.00 per share

- 2017-08: KRW 379,000.00 per share

- 2017-09: KRW 392,000.00 per share

- 2017-10: KRW 403,500.00 per share

- 2017-11: KRW 417,500.00 per share

- 2017-12: KRW 405,000.00 per share

- 2018-01: KRW 432,000.00 per share

- 2018-02: KRW 383,000.00 per share

- 2018-03: KRW 385,500.00 per share

- 2018-04: KRW 360,000.00 per share

- 2018-05: KRW 338,500.00 per share

- 2018-06: KRW 333,500.00 per share

- 2018-07: KRW 375,000.00 per share

- 2018-08: KRW 366,000.00 per share

- 2018-09: KRW 365,500.00 per share

- 2018-10: KRW 347,000.00 per share

- 2018-11: KRW 345,500.00 per share

- 2018-12: KRW 347,000.00 per share

- 2019-01: KRW 368,000.00 per share

- 2019-02: KRW 390,500.00 per share

- 2019-03: KRW 366,000.00 per share

- 2019-04: KRW 361,000.00 per share

- 2019-05: KRW 333,000.00 per share

- 2019-06: KRW 354,500.00 per share

- 2019-07: KRW 337,500.00 per share

- 2019-08: KRW 330,500.00 per share

- 2019-09: KRW 299,500.00 per share

- 2019-10: KRW 307,500.00 per share

- 2019-11: KRW 306,500.00 per share

- 2019-12: KRW 317,500.00 per share

- 2020-01: KRW 337,500.00 per share

- 2020-02: KRW 368,000.00 per share

- 2020-03: KRW 305,000.00 per share

- 2020-04: KRW 376,500.00 per share

- 2020-05: KRW 390,500.00 per share

- 2020-06: KRW 490,500.00 per share

- 2020-07: KRW 568,000.00 per share

- 2020-08: KRW 740,000.00 per share

- 2020-09: KRW 654,000.00 per share

- 2020-10: KRW 611,000.00 per share

- 2020-11: KRW 800,000.00 per share

- 2020-12: KRW 824,000.00 per share

- 2021-01: KRW 917,000.00 per share

- 2021-02: KRW 831,000.00 per share

- 2021-03: KRW 805,000.00 per share

- 2021-04: KRW 932,000.00 per share

- 2021-05: KRW 819,000.00 per share

- 2021-06: KRW 850,000.00 per share

- 2021-07: KRW 842,000.00 per share

- 2021-08: KRW 758,000.00 per share

- 2021-09: KRW 776,000.00 per share

- 2021-10: KRW 836,000.00 per share

- 2021-11: KRW 694,000.00 per share

- 2021-12: KRW 615,000.00 per share

- 2022-01: KRW 639,000.00 per share

- 2022-02: KRW 554,000.00 per share

- 2022-03: KRW 532,000.00 per share

- 2022-04: KRW 519,000.00 per share

- 2022-05: KRW 585,000.00 per share

- 2022-06: KRW 516,000.00 per share

- 2022-07: KRW 603,000.00 per share

- 2022-08: KRW 632,000.00 per share

- 2022-09: KRW 536,000.00 per share

- 2022-10: KRW 626,000.00 per share

- 2022-11: KRW 740,000.00 per share

- 2022-12: KRW 600,000.00 per share

- 2023-01: KRW 690,000.00 per share

- 2023-02: KRW 680,000.00 per share

- 2023-03: KRW 712,000.00 per share

- 2023-04: KRW 740,000.00 per share

- 2023-05: KRW 693,000.00 per share

- 2023-06: KRW 667,000.00 per share

- 2023-07: KRW 648,000.00 per share

- 2023-08: KRW 583,000.00 per share

- 2023-09: KRW 496,500.00 per share

- 2023-10: KRW 440,000.00 per share

- 2023-11: KRW 501,000.00 per share

- 2023-12: KRW 499,000.00 per share

- 2024-01: KRW 434,500.00 per share

- 2024-02: KRW 453,000.00 per share

- 2024-03: KRW 439,000.00 per share

- 2024-04: KRW 402,500.00 per share

- 2024-05: KRW 351,500.00 per share

- 2024-06: KRW 345,500.00 per share

- 2024-07: KRW 305,500.00 per share

- 2024-08: KRW 321,500.00 per share

- 2024-09: KRW 356,500.00 per share

- 2024-10: KRW 313,500.00 per share

- 2024-11: KRW 284,000.00 per share

- 2024-12: KRW 250,000.00 per share

- 2025-01: KRW 237,500.00 per share

- 2025-02: KRW 234,500.00 per share

- 2025-03: KRW 245,000.00 per share

- 2025-04: KRW 216,000.00 per share

- 2025-05: KRW 197,300.00 per share

- 2025-06: KRW 211,500.00 per share

- 2025-07: KRW 301,500.00 per share

- 2025-08: KRW 277,500.00 per share

- 2025-09: KRW 278,000.00 per share

- 2025-10: KRW 397,500.00 per share

- 2025-11: KRW 374,000.00 per share

- 2025-12: KRW 333,000.00 per share

- 2026-01: KRW 310,500.00 per share

- 2026-02: KRW 417,500.00 per share

- 2026-03: KRW 299,000.00 per share

- 2026-04: KRW 397,000.00 per share

- 2026-05: KRW 367,000.00 per share

- 2026-06: KRW 280,000.00 per share

- 2026-07: KRW 258,000.00 per share

- 2026-08: KRW 280,000.00 per share

- 2026-09: KRW 251,000.00 per share

- 2026-10: KRW 262,000.00 per share

## Annual estimated value (KRW 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

## 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