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Daesung Energy Co. Ltd. (117580) AI Stock Analysis

KR:117580

Daesung Energy Co. Ltd.

(Korea Exchange:117580)

Select Model
Rating:66Neutral
Price Target:$7,528.00â–²(8.63% Upside)
Action:initiatedcoverage
Date:10/28/26

The score is driven primarily by improving financial stability (declining leverage and stronger free cash flow) and supportive valuation (low P/E and meaningful dividend yield). These positives are tempered by weaker technical signals (negative MACD, sub-neutral RSI, and price below the 200-day average) and modest recent growth/cash-conversion quality in the latest period.

Positive Factors
Improving Balance SheetDeclining leverage strengthens Daesung Energy’s financial resilience and reduces pressure from debt servicing. For a regulated utility, a more conservative balance sheet can preserve funding flexibility, support network investment, and improve the company’s ability to withstand operating volatility.
Negative Factors
Revenue ContractionRevenue contraction signals weaker recent demand or lower activity across the company’s customer base. If this persists, it can limit operating leverage and make it harder to grow earnings, especially for a utility business where fixed network costs can weigh more heavily on a shrinking revenue base.

Daesung Energy Co. Ltd. (117580) vs. SPDR S&P 500 ETF (SPY)

-20%0%20%40%60%80%KR:117580-13.97%SPY+11.79%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
KRW 188.46B
Dividend Yield
3.61%
Average Volume (3M)
176.78K
Price to Earnings (P/E)
7.8
Beta (1Y)
-0.20
Revenue Growth
-6.14%
EPS Growth
-7.46%
Country
KR
Employees
383
Sector
General
Sector Strength
55
Industry
Regulated Gas

Daesung Energy Co. Ltd. Business Overview & Revenue Model

Company Description

Daesung Energy Co., Ltd. primarily distributes natural gas throughout South Korea's Daegu metropolitan region, catering to residential, commercial, and industrial clients. Beyond its core gas operations, the company develops and offers various soluti...

Daesung Energy Co. Ltd. Financial Statement Overview

Summary

Financials indicate a stable, improving profile: profitability recovered after 2022 with net margin around ~2.4% in 2025/TTM, leverage is trending down (debt-to-equity ~0.39 in 2023 to ~0.22 TTM), and free cash flow rebounded strongly from 2023 to 2024–TTM. Key constraints are modest growth (TTM revenue down vs 2025), thin utility-like margins, and weaker cash conversion vs net income (OCF/NI sub-0.30 in 2025/TTM) alongside past cash-flow volatility.

Income Statement

62Positive

Balance Sheet

74Positive

Cash Flow

68Positive
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue976.23B1.02T995.13B999.53B1.02T770.44B
Gross Profit151.56B149.82B140.98B134.53B112.61B122.92B
EBITDA26.64B57.46B54.25B49.36B29.25B42.86B
Net Income24.22B24.61B17.26B14.94B-755.41M11.91B
Balance Sheet
Total Assets666.69B818.11B797.41B803.20B834.49B742.48B
Cash, Cash Equivalents and Short-Term Investments65.71B47.55B35.13B48.16B44.50B48.72B
Total Debt77.69B93.74B111.30B123.30B105.09B114.19B
Total Liabilities305.31B472.30B468.52B483.59B520.70B425.14B
Stockholders Equity361.30B345.72B328.88B319.60B313.79B317.34B
Cash Flow
Free Cash Flow31.68B27.95B13.56B-7.97B13.71B18.15B
Operating Cash Flow53.63B49.59B45.38B20.15B53.04B54.74B
Investing Cash Flow-12.19B-12.00B-41.48B-16.16B-34.88B-36.45B
Financing Cash Flow-24.53B-24.32B-19.80B10.32B-18.29B-15.91B

Daesung Energy Co. Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price6930.00

Price Trends

50DMA7014.60Negative
100DMA6950.10Negative
200DMA7956.85Negative

Market Momentum

MACD-26.00Positive
RSI44.16Neutral
STOCH20.33Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KR:117580, the sentiment is Negative. The current price of 6930.00 is below the 20-day moving average (MA) of 7023.00, below the 50-day MA of 7014.60, and below the 200-day MA of 7956.85, indicating a bearish trend. The MACD of -26.00 indicates Positive momentum. The RSI at 44.16 is Neutral, neither overbought nor oversold. The STOCH value of 20.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KR:117580.

Daesung Energy Co. Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

KR:117580 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
KR:267290KR:26729075OutperformKRW 120.16B3.24―4.29%-5.10%27.80%
KR:034590KR:03459070OutperformKRW 105.52B5.37―5.37%-11.65%1.48%
KR:117580KR:11758066NeutralKRW 188.46B7.80―3.61%-6.14%-7.46%
KR:017390KR:01739063NeutralKRW 198.16B9.69―5.32%-1.87%-41.52%
KR:036460KR:03646063NeutralKRW 3.19T5.54―3.10%-9.84%-41.12%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%

* General Sector Average

Performance Comparison

0%25%50%75%KR:117580KR:017390KR:034590KR:036460KR:267290Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
KR:117580 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
KR:117580Daesung Energy Co. Ltd.6930.00-1057.86-13.24%
KR:017390SEOUL CITY GAS CO., LTD.51700.00-8421.77-14.01%
KR:034590Incheon City Gas Co., Ltd.25600.00640.532.57%
KR:036460Korea Gas Corporation37200.00-3491.38-8.58%
KR:267290KyungDong City Gas Co. Ltd.20400.00830.234.24%
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