# Kumho Tire (073240.KO)

Canonical: https://gigainvestors.com/s/073240.KO

Analysis as of: 2026-10-16T07:43:04.026Z. Financial observations: FY2004–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 5,980.00 per share; close as of 2026-10-15.

Estimated value: low KRW 15,068.47 per share, central KRW 20,509.34 per share, high KRW 23,677.57 per share. Buy at or below the central value KRW 20,509.34 per share. Valuation as of 2026-10-16T07:43:04.026Z; scenarios are not confidence intervals.

Expected annual return: 34.7% at the stated quote. About 34.7% 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)

- more than 2 net loss years

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 6

- Operating margin variation: 1.74×

Chart: Operating margin; fiscal year observations.

- FY2017: -0.06×

- FY2018: -0.04×

- FY2019: 0.02×

- FY2020: -0.00×

- FY2021: -0.02×

- FY2022: 0.01×

- FY2023: 0.10×

- FY2024: 0.13×

- FY2025: 0.12×

- LTM to Jun 2026: 0.12×

### moat: fail

- ROIC median below threshold

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

- ROIC, median of available years: 1.0%

- ROIC, second-lowest year: -2.6%

- Typical minus recent gross margin: -8.4 pp

- Typical gross margin (annual median): 22.1%

- Recent gross margin (lower of latest and 3-year median): 30.5%

- Years with nonpositive capital: 0

- Capital spending / revenue: 6.4%

- ROIC including acquisitions, ten-year median: 0.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 2.7%

- FY2017: -4.2%

- FY2018: -2.6%

- FY2019: 1.5%

- FY2020: -0.1%

- FY2021: -1.2%

- FY2022: 0.6%

- FY2023: 9.8%

- FY2024: 13.5%

- FY2025: 14.3%

### economics: pass

- Owner earnings / net income, 5-yr: 1.12×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: KRW 762B

- Net income, five-year total: KRW 680B

- Return on incremental invested capital: 65.6%

- Working capital / revenue, annual change: 0.6 pp

- Working capital / revenue, change between three-year averages: 4.3 pp

- Working capital / revenue, final three-year average: 32.6%

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

- FY2021: 0.60×

- FY2022: 1.13×

- FY2023: 1.44×

- FY2024: 1.06×

- FY2025: 0.93×

### 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: -2.6% vs 13.5%

- Per-share earnings: -639.61 to 1131.00 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

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

- Market cap gain: KRW 344B

- Cumulative retained earnings: KRW 131B

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

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value change: KRW 2K

- Per-share value, starting three-year median: KRW -639.61

- Per-share value, ending three-year median: KRW 1K

- Average buyback yield: 0.1%

- Buyback history: 1 years

- Debt-funded buybacks: No

- Acquisition spending: KRW 1.9B

- Cumulative net income, 10 years: KRW 208B

- ROIC, first three-year median: -2.6%

- ROIC, last three-year median: 13.5%

Chart: Earnings per share; fiscal year observations.

- FY2016: KRW -228.17

- FY2017: KRW -796.22

- FY2018: KRW -639.61

- FY2019: KRW -105.06

- FY2020: KRW -288.73

- FY2021: KRW -247.68

- FY2022: KRW -275.00

- FY2023: KRW 549.00

- FY2024: KRW 1K

- FY2025: KRW 1K

### accounting: pass

- Sloan accruals: -10.3%

- Receivables to sales index (DSRI): 0.89×

- Restructuring years, last five: 0

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.63×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.00×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -4.8%

- FY2017: -4.0%

- FY2018: -6.6%

- FY2019: -4.8%

- FY2020: -8.0%

- FY2021: -3.5%

- FY2022: 2.2%

- FY2023: -7.2%

- FY2024: -3.6%

- FY2025: -10.3%

## Holders

## Price story

Price needs cash profits to shrink 14.1% a year for ten years · sales +1.6%

Story as of 2026-10-16T10:00:12.582Z; price observation 2026-10-15.

Price needs cash profits to shrink 14.1% a year for ten years

### Sales · FY2025–2026

sales +1.6%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2017: KRW 2.88T 

- FY2018: KRW 2.56T 

- FY2019: KRW 2.37T 

- FY2020: KRW 2.17T 

- FY2021: KRW 2.60T 

- FY2022: KRW 3.56T 

- FY2023: KRW 4.04T 

- FY2024: KRW 4.53T 

- FY2025: KRW 4.70T 

- FY2026: KRW 4.77T 

### Gross margin · FY2025

gross margin 30.9%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 25.3% 

- FY2017: 15.8% 

- FY2018: 14.4% 

- FY2019: 22.5% 

- FY2020: 21.8% 

- FY2021: 17.8% 

- FY2022: 17.0% 

- FY2023: 27.5% 

- FY2024: 30.5% 

- FY2025: 30.9% 

## Owner memo

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

### How it makes money

Operates in auto parts; annual sales are KRW 4.7 trillion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); FY2025: revenue 4701282075490; grossProfit 1453028472420; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 073240.KO: Kumho Tire Co., Inc., engages in the manufacture and sale of tires in South Korea, Europe, North America, Central and South America, Asia, and internationally. It offers tires for passenger cars, SUV and van, and truck and bus, as well as specialty, winter, competition, and Zetum tires. The company was founded in 1960 and is headquartered in Gwangju-si, South Korea.

### Why customers stay

Margins ranged from 27.5% to 30.9% during 2023–25; it earns 1% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); FY2023: grossProfit / revenue = 27.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); FY2024: grossProfit / revenue = 30.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); FY2025: grossProfit / revenue = 30.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); 10-year return on capital observations [[2016,0.026969871340588435],[2017,-0.04175452727540482],[2018,-0.02633904922661689],[2019,0.015021112054673465],[2020,-0.0008114651063862239],[2021,-0.0116518058801179],[2022,0.0056063419401946955],[2023,0.09837550104302549],[2024,0.1346706153559386],[2025,0.14277432215753713]]; median 0.01031372699743408. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Spends 2.7% of cash earnings on expansion; earns 65.6% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); FY2019: growth capex 0; upkeep 89507921990; owner earnings 110454540304. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); FY2020: growth capex 0; upkeep 90753214380; owner earnings 54677896276. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); FY2023: growth capex 0; upkeep 192844489070; owner earnings 227092919730. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); FY2024: growth capex 0; upkeep 248390293740; owner earnings 344107947558. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); FY2025: growth capex 8578700470; upkeep 304763000000; owner earnings 322265018526. Growth capex / owner earnings = 0.026620017615433117.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); Incremental return on capital 0.6556863623883644, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); Dividend observations: [[2016,3911275900],[2017,2842689010],[2018,0],[2019,0],[2020,0],[2021,0],[2022,0]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 46.8% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 073240.KO SharesStats.PercentInsiders = 46.800999999999995 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits shrink 14.1% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:43:04.026Z); Ten-year compound average after fade. Initial solved rate -0.20795295979079548. Price 5980; 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 10,250.00 per share

- 2016-11: KRW 8,360.00 per share

- 2016-12: KRW 8,480.00 per share

- 2017-01: KRW 8,160.00 per share

- 2017-02: KRW 8,120.00 per share

- 2017-03: KRW 8,540.00 per share

- 2017-04: KRW 8,050.00 per share

- 2017-05: KRW 7,210.00 per share

- 2017-06: KRW 7,510.00 per share

- 2017-07: KRW 7,550.00 per share

- 2017-08: KRW 6,720.00 per share

- 2017-09: KRW 5,980.00 per share

- 2017-10: KRW 6,550.00 per share

- 2017-11: KRW 6,950.00 per share

- 2017-12: KRW 4,425.00 per share

- 2018-01: KRW 5,950.00 per share

- 2018-02: KRW 5,600.00 per share

- 2018-03: KRW 4,615.00 per share

- 2018-04: KRW 6,220.00 per share

- 2018-05: KRW 6,090.00 per share

- 2018-06: KRW 6,310.00 per share

- 2018-07: KRW 6,240.00 per share

- 2018-08: KRW 5,450.00 per share

- 2018-09: KRW 5,300.00 per share

- 2018-10: KRW 5,020.00 per share

- 2018-11: KRW 5,190.00 per share

- 2018-12: KRW 5,310.00 per share

- 2019-01: KRW 5,080.00 per share

- 2019-02: KRW 5,110.00 per share

- 2019-03: KRW 4,370.00 per share

- 2019-04: KRW 4,520.00 per share

- 2019-05: KRW 3,830.00 per share

- 2019-06: KRW 3,970.00 per share

- 2019-07: KRW 4,005.00 per share

- 2019-08: KRW 4,100.00 per share

- 2019-09: KRW 4,300.00 per share

- 2019-10: KRW 4,230.00 per share

- 2019-11: KRW 4,245.00 per share

- 2019-12: KRW 4,195.00 per share

- 2020-01: KRW 3,820.00 per share

- 2020-02: KRW 3,665.00 per share

- 2020-03: KRW 3,060.00 per share

- 2020-04: KRW 3,060.00 per share

- 2020-05: KRW 2,945.00 per share

- 2020-06: KRW 3,015.00 per share

- 2020-07: KRW 2,890.00 per share

- 2020-08: KRW 3,650.00 per share

- 2020-09: KRW 3,675.00 per share

- 2020-10: KRW 3,560.00 per share

- 2020-11: KRW 3,865.00 per share

- 2020-12: KRW 3,785.00 per share

- 2021-01: KRW 3,775.00 per share

- 2021-02: KRW 3,975.00 per share

- 2021-03: KRW 3,810.00 per share

- 2021-04: KRW 4,040.00 per share

- 2021-05: KRW 5,120.00 per share

- 2021-06: KRW 8,020.00 per share

- 2021-07: KRW 6,700.00 per share

- 2021-08: KRW 5,910.00 per share

- 2021-09: KRW 5,510.00 per share

- 2021-10: KRW 5,350.00 per share

- 2021-11: KRW 3,940.00 per share

- 2021-12: KRW 4,610.00 per share

- 2022-01: KRW 4,105.00 per share

- 2022-02: KRW 3,915.00 per share

- 2022-03: KRW 4,220.00 per share

- 2022-04: KRW 4,310.00 per share

- 2022-05: KRW 4,290.00 per share

- 2022-06: KRW 3,480.00 per share

- 2022-07: KRW 3,555.00 per share

- 2022-08: KRW 3,475.00 per share

- 2022-09: KRW 3,335.00 per share

- 2022-10: KRW 3,085.00 per share

- 2022-11: KRW 3,010.00 per share

- 2022-12: KRW 2,780.00 per share

- 2023-01: KRW 2,980.00 per share

- 2023-02: KRW 3,320.00 per share

- 2023-03: KRW 3,740.00 per share

- 2023-04: KRW 4,500.00 per share

- 2023-05: KRW 4,705.00 per share

- 2023-06: KRW 4,750.00 per share

- 2023-07: KRW 4,535.00 per share

- 2023-08: KRW 4,945.00 per share

- 2023-09: KRW 4,605.00 per share

- 2023-10: KRW 4,205.00 per share

- 2023-11: KRW 5,560.00 per share

- 2023-12: KRW 5,390.00 per share

- 2024-01: KRW 5,890.00 per share

- 2024-02: KRW 6,310.00 per share

- 2024-03: KRW 5,890.00 per share

- 2024-04: KRW 7,040.00 per share

- 2024-05: KRW 7,160.00 per share

- 2024-06: KRW 6,540.00 per share

- 2024-07: KRW 5,110.00 per share

- 2024-08: KRW 4,630.00 per share

- 2024-09: KRW 4,530.00 per share

- 2024-10: KRW 4,435.00 per share

- 2024-11: KRW 4,800.00 per share

- 2024-12: KRW 4,775.00 per share

- 2025-01: KRW 5,250.00 per share

- 2025-02: KRW 4,900.00 per share

- 2025-03: KRW 4,735.00 per share

- 2025-04: KRW 4,820.00 per share

- 2025-05: KRW 4,445.00 per share

- 2025-06: KRW 4,505.00 per share

- 2025-07: KRW 4,655.00 per share

- 2025-08: KRW 4,960.00 per share

- 2025-09: KRW 4,725.00 per share

- 2025-10: KRW 4,720.00 per share

- 2025-11: KRW 5,860.00 per share

- 2025-12: KRW 5,860.00 per share

- 2026-01: KRW 6,020.00 per share

- 2026-02: KRW 6,980.00 per share

- 2026-03: KRW 5,950.00 per share

- 2026-04: KRW 5,820.00 per share

- 2026-05: KRW 4,700.00 per share

- 2026-06: KRW 4,880.00 per share

- 2026-07: KRW 7,290.00 per share

- 2026-08: KRW 7,360.00 per share

- 2026-09: KRW 6,670.00 per share

- 2026-10: KRW 6,560.00 per share

## Annual estimated value (KRW per share)

- FY2023: low KRW 5,706.35 per share, central KRW 7,770.03 per share, high KRW 8,971.72 per share

- FY2024: low KRW 5,872.76 per share, central KRW 8,188.17 per share, high KRW 9,536.43 per share

- FY2025: low KRW 14,246.37 per share, central KRW 19,602.46 per share, high KRW 22,721.32 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 2026-10-15T06:48:32.088Z 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