KUMHO Engineering & Construction Co., Ltd. (002990) AI Stock Analysis

KUMHO Engineering & Construction Co., Ltd.

(Korea Exchange:002990)

Select Model

Rating:56Neutral

Price Target:$9,610.00▲(14.27% Upside)

Action:initiatedcoverage

Date:10/28/26

The score is driven primarily by improving but still inconsistent financial performance (earnings rebound and improved leverage offset by declining TTM revenue and negative TTM cash flow). Technical signals are meaningfully bearish, weighing on the rating. Valuation is a bright spot, with a low P/E and modest dividend yield providing support.

Positive Factors

Earnings recoveryThe return to positive earnings in 2025 and TTM demonstrates meaningful recovery from the 2024 loss year. Although profitability remains modest, restored earnings improve internal funding capacity and provide a more stable base for project execution and balance-sheet management over the coming quarters.

Negative Factors

Sharp TTM revenue declineThe sharp TTM revenue decline indicates that project execution or backlog conversion has weakened despite the earnings rebound. If this persists, lower activity could reduce operating scale, limit fixed-cost absorption, and make future profitability more dependent on the timing and completion of individual contracts.

KUMHO Engineering & Construction Co., Ltd. (002990) vs. SPDR S&P 500 ETF (SPY)

Market Cap: KRW 311.40B
Dividend Yield: 2.38%
Average Volume (3M): 6.29M
Price to Earnings (P/E): 4.1
Beta (1Y): 0.10
Revenue Growth: 4.01%
EPS Growth: ―
Country: KR
Employees: 869
Sector: General
Sector Strength: 55
Industry: Engineering & Construction

KUMHO Engineering & Construction Co., Ltd. Business Overview & Revenue Model

Company Description

KUMHO Engineering & Construction Co., Ltd. is a multifaceted firm providing extensive construction and engineering services across South Korea and globally. Its architectural portfolio spans a diverse range of projects, from developing airports, reta...

KUMHO Engineering & Construction Co., Ltd. Financial Statement Overview

Summary

Earnings have recovered from the 2024 loss year and leverage has normalized, but performance remains cyclical and low-margin. The sharp TTM revenue decline and a return to slightly negative TTM operating/free cash flow are key near-term risks, suggesting execution and working-capital timing remain critical.

Income Statement

56Neutral

Balance Sheet

60Neutral

Cash Flow

41Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.98T	2.02T	1.91T	2.22T	2.05T	2.07T
Gross Profit	132.10B	122.75B	-94.37B	92.59B	133.88B	187.56B
EBITDA	44.38B	50.09B	-244.67B	31.34B	75.12B	122.38B
Net Income	77.45B	63.92B	-225.71B	1.11B	21.19B	148.12B
Balance Sheet
Total Assets	1.43T	1.50T	1.55T	1.69T	1.69T	1.74T
Cash, Cash Equivalents and Short-Term Investments	144.80B	166.31B	208.08B	167.27B	292.08B	221.94B
Total Debt	175.19B	174.91B	291.46B	317.53B	248.73B	178.50B
Total Liabilities	1.17T	1.26T	1.33T	1.22T	1.15T	1.08T
Stockholders Equity	259.42B	247.82B	229.40B	470.62B	543.77B	652.82B
Cash Flow
Free Cash Flow	-3.47B	47.73B	80.11B	-155.87B	52.78B	178.54B
Operating Cash Flow	-3.27B	47.86B	80.30B	-154.54B	57.06B	181.19B
Investing Cash Flow	43.81B	40.28B	15.11B	14.44M	-4.49B	-30.53B
Financing Cash Flow	-102.76B	-126.67B	-47.95B	30.29B	21.99B	-40.96B

KUMHO Engineering & Construction Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price8410.00

Price Trends

50DMA12981.40Negative

100DMA11132.15Negative

200DMA7882.32Positive

Market Momentum

MACD-1120.02Positive

RSI29.71Positive

STOCH6.86Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KR:002990, the sentiment is Negative. The current price of 8410.00 is below the 20-day moving average (MA) of 10492.00, below the 50-day MA of 12981.40, and above the 200-day MA of 7882.32, indicating a neutral trend. The MACD of -1120.02 indicates Positive momentum. The RSI at 29.71 is Positive, neither overbought nor oversold. The STOCH value of 6.86 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KR:002990.

KUMHO Engineering & Construction Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

KR:002990 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KR:375500	65Neutral	KRW 2.18T	3.67	―	1.64%	-17.37%	60.92%
KR:028260	63Neutral	KRW 48.45T	18.33	―	0.90%	13.53%	30.78%
KR:002990	56Neutral	KRW 304.46B	4.13	―	2.38%	4.01%	―
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
KR:000720	49Neutral	KRW 9.35T	14.96	―	0.96%	-9.34%	―
KR:006360	46Neutral	KRW 2.21T	16.64	―	1.92%	-15.14%	541.37%
KR:047040	41Neutral	KRW 4.44T	-10.32	―	―	-15.98%	-1448.63%

* General Sector Average

Performance Comparison

KR:002990 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
KR:002990	KUMHO Engineering & Construction Co., Ltd.	8410.00	5211.88	162.97%
KR:000720	Hyundai Engineering & Construction Co., Ltd	83600.00	16659.41	24.89%
KR:006360	GS Engineering & Construction Corporation	26000.00	7984.13	44.32%
KR:028260	SAMSUNG C&T CORP	312000.00	87948.64	39.25%
KR:047040	Daewoo Engineering & Construction Co., Ltd	10920.00	7360.00	206.74%
KR:375500	DL E&C Co., Ltd.	54200.00	12718.76	30.66%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 28, 2026

KUMHO Engineering & Construction Co., Ltd. AI Stock Analysis