Keyang Electric Machinery Co., Ltd (012200) AI Stock Analysis

Keyang Electric Machinery Co., Ltd

(Korea Exchange:012200)

Select Model

Rating:41Neutral

Price Target:KRW 2,488.00▼(-4.67% Downside)

Action:initiatedcoverage

Date:10/28/26

The score is driven primarily by weak financial performance (ongoing losses, very high leverage, and negative operating/free cash flow). Technicals also weigh on the rating given the persistent downtrend and negative momentum, despite near-oversold readings. Valuation does not provide support because the company is unprofitable (negative P/E) and no dividend yield is available.

Positive Factors

Capital RaiseThe completed equity raise provides immediate funding and reinforces the company’s capital base. Allocating proceeds toward debt repayment can reduce financial pressure, while facility investment may support operating capacity and give Keyang greater flexibility to stabilize the business over the coming quarters.

Negative Factors

Excessive LeverageVery high leverage leaves Keyang with a thin equity cushion and increases sensitivity to continued operating losses. Debt repayment, interest obligations, and refinancing needs can constrain investment and management flexibility, making balance-sheet repair a durable priority rather than a temporary financial issue.

Keyang Electric Machinery Co., Ltd (012200) vs. SPDR S&P 500 ETF (SPY)

Market Cap: KRW 74.46B
Dividend Yield: ―
Average Volume (3M): 435.88K
Price to Earnings (P/E): -2.2
Beta (1Y): 0.63
Revenue Growth: 5.60%
EPS Growth: 49.94%
Country: KR
Employees: 697
Sector: General
Sector Strength: 55
Industry: Manufacturing - Tools & Accessories

Keyang Electric Machinery Co., Ltd Business Overview & Revenue Model

Company Description

Keyang Electric Machinery Co., Ltd. operates as a global manufacturer and distributor, primarily focusing on electric power tools within Korea and across international markets. Their extensive product line for power tools features cordless devices, g...

Keyang Electric Machinery Co., Ltd Financial Statement Overview

Summary

Financials appear stressed: the company remains loss-making (net margin around -8.7%), leverage is very high (TTM debt-to-equity ~6.95x) as equity eroded, and both operating cash flow and free cash flow are negative. Modest positives include improved gross margin versus 2025 and slightly reduced losses versus 2024–2025, but high leverage plus ongoing cash burn keeps risk elevated.

Income Statement

18Very Negative

Balance Sheet

12Very Negative

Cash Flow

15Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	390.12B	389.80B	369.13B	381.63B	365.08B	392.29B
Gross Profit	41.56B	36.38B	44.67B	53.53B	48.95B	60.27B
EBITDA	-33.12B	-24.88B	-42.86B	2.12B	-17.73B	4.12B
Net Income	-33.79B	-36.87B	-61.22B	-1.26B	-21.84B	-6.21B
Balance Sheet
Total Assets	242.42B	220.43B	192.75B	232.06B	297.55B	285.05B
Cash, Cash Equivalents and Short-Term Investments	3.54B	8.08B	4.36B	10.28B	18.07B	6.39B
Total Debt	115.49B	99.68B	60.11B	23.60B	34.61B	30.58B
Total Liabilities	225.80B	199.62B	137.24B	111.67B	169.63B	101.83B
Stockholders Equity	16.62B	20.81B	55.51B	120.39B	127.92B	183.23B
Cash Flow
Free Cash Flow	-48.51B	-45.59B	-40.44B	4.17B	-14.54B	-12.87B
Operating Cash Flow	-21.22B	-20.60B	-26.47B	10.15B	-6.29B	-4.13B
Investing Cash Flow	-16.14B	-14.44B	-14.48B	5.74B	-15.76B	-7.47B
Financing Cash Flow	35.56B	38.58B	34.91B	-13.39B	24.17B	2.10B

Keyang Electric Machinery Co., Ltd Technical Analysis

Technical Analysis SentimentNegative

Last Price2610.00

Price Trends

50DMA3330.30Negative

100DMA3961.66Negative

200DMA5760.15Negative

Market Momentum

MACD-208.32Negative

RSI34.62Neutral

STOCH45.89Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KR:012200, the sentiment is Negative. The current price of 2610.00 is below the 20-day moving average (MA) of 2798.50, below the 50-day MA of 3330.30, and below the 200-day MA of 5760.15, indicating a bearish trend. The MACD of -208.32 indicates Negative momentum. The RSI at 34.62 is Neutral, neither overbought nor oversold. The STOCH value of 45.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KR:012200.

Keyang Electric Machinery Co., Ltd Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

KR:012200 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KR:120030	76Outperform	KRW 68.10B	4.94	―	0.69%	0.39%	10.15%
KR:001560	68Neutral	KRW 57.77B	8.97	―	8.29%	2.25%	-49.25%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
KR:012200	41Neutral	KRW 98.02B	-2.21	―	―	5.60%	49.94%

* General Sector Average

Performance Comparison

KR:012200 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
KR:012200	Keyang Electric Machinery Co., Ltd	2610.00	1252.12	92.21%
KR:001560	CHEILGRINDING WHEEL INDUSTRIAL Co., Ltd.	8700.00	445.25	5.39%
KR:008830	DAEDONG GEAR Co., Ltd.	5340.00	-4049.89	-43.13%
KR:120030	Chosun Welding Co., Ltd.	72600.00	-24497.43	-25.23%
KR:126640	Hwashin Precision Co., Ltd	2900.00	1626.55	127.73%
KR:371950	POONGWON PRECISION Co., Ltd.	2710.00	-7300.00	-72.93%

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

Keyang Electric Machinery Co., Ltd AI Stock Analysis