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Chosun Welding Co., Ltd. (120030) AI Stock Analysis

KR:120030

Chosun Welding Co., Ltd.

(Korea Exchange:120030)

Select Model
Rating:76Outperform
Price Target:KRW 82,264.00â–²(13.31% Upside)
Action:initiatedcoverage
Date:10/28/26

The score is primarily driven by strong financial quality (low leverage, solid profitability, and strong recent cash generation) and an attractive low P/E valuation. These positives are meaningfully offset by weak technicals, with the stock in a downtrend and showing strong bearish momentum despite oversold readings.

Positive Factors
Conservative Balance SheetMinimal leverage reduces refinancing exposure and preserves financial flexibility through industry cycles. A growing equity and asset base provides additional resilience, allowing the company to fund operations, withstand weaker demand, and pursue opportunities without relying heavily on external debt.
Negative Factors
Cyclical Revenue VolatilityThe sharp 2024 revenue contraction shows that demand and results can vary materially across industrial cycles. Even with modest recent TTM growth, this uneven top-line pattern makes capacity utilization, earnings planning, and sustained growth less predictable over the coming quarters.

Chosun Welding Co., Ltd. (120030) vs. SPDR S&P 500 ETF (SPY)

-30%-20%-10%0%10%20%KR:120030-24.84%SPY+11.79%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
KRW 67.26B
Dividend Yield
0.69%
Average Volume (3M)
478
Price to Earnings (P/E)
4.9
Beta (1Y)
0.20
Revenue Growth
0.39%
EPS Growth
10.15%
Country
KR
Employees
125
Sector
General
Sector Strength
55
Industry
Manufacturing - Tools & Accessories

Chosun Welding Co., Ltd. Business Overview & Revenue Model

Company Description

CHOSUN WELDING POHANG Co., Ltd is a South Korean enterprise specializing in the manufacturing and distribution of a wide array of welding materials across the nation. Their product offerings include covered arc and stick electrodes, submerged arc mat...

Chosun Welding Co., Ltd. Financial Statement Overview

Summary

Overall fundamentals are strong, supported by an exceptionally conservative balance sheet (very low leverage), solid TTM profitability (net margin ~25%, operating margin >21%), and strong recent cash generation with good earnings-to-FCF conversion (~96%). The main constraint is cyclicality/volatility, including a sharp revenue decline in 2024 (~-24% YoY) and historically lumpy cash flow coverage.

Income Statement

78Positive

Balance Sheet

92Very Positive

Cash Flow

83Very Positive
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue54.24B51.76B50.91B66.61B66.98B68.16B
Gross Profit13.80B12.86B14.61B16.91B15.84B20.24B
EBITDA13.56B9.78B21.91B17.63B14.60B19.64B
Net Income13.55B9.38B16.28B13.01B10.52B14.54B
Balance Sheet
Total Assets181.48B175.70B168.29B155.54B145.13B139.55B
Cash, Cash Equivalents and Short-Term Investments131.95B116.15B111.37B100.46B81.75B77.92B
Total Debt732.06M1.08B1.29B879.46M608.73M760.34M
Total Liabilities11.60B11.81B11.18B9.29B9.25B13.14B
Stockholders Equity169.88B163.89B157.11B146.24B135.89B126.41B
Cash Flow
Free Cash Flow15.47B8.46B11.36B21.07B5.76B9.54B
Operating Cash Flow16.13B9.09B11.44B21.18B6.08B10.04B
Investing Cash Flow-18.12B5.04B-7.02B-47.17B-1.43B-18.06B
Financing Cash Flow-3.16B-3.87B-6.11B-3.08B-2.67B-5.40B

Chosun Welding Co., Ltd. Technical Analysis

Technical Analysis SentimentNegative
Last Price72600.00

Price Trends

50DMA81244.00Negative
100DMA83549.00Negative
200DMA91408.00Negative

Market Momentum

MACD-2669.80Positive
RSI25.46Positive
STOCH17.21Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KR:120030, the sentiment is Negative. The current price of 72600.00 is below the 20-day moving average (MA) of 77435.00, below the 50-day MA of 81244.00, and below the 200-day MA of 91408.00, indicating a bearish trend. The MACD of -2669.80 indicates Positive momentum. The RSI at 25.46 is Positive, neither overbought nor oversold. The STOCH value of 17.21 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KR:120030.

Chosun Welding Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

KR:120030 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
KR:120030KR:12003076OutperformKRW 68.10B4.94―0.69%0.39%10.15%
KR:023000KR:02300069NeutralKRW 81.72B6.24―5.31%1.58%34.09%
KR:069730KR:06973069NeutralKRW 74.30B2.22―8.33%3.28%73.60%
KR:008260KR:00826061NeutralKRW 85.97B4.50―5.74%11.33%7.14%
KR:009190KR:00919056NeutralKRW 37.30B6.14――0.56%―
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%

* General Sector Average

Performance Comparison

-50%0%50%KR:120030KR:008260KR:009190KR:023000KR:069730KR:139990Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
KR:120030 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
KR:120030Chosun Welding Co., Ltd.72600.00-24497.43-25.23%
KR:008260N.I. Steel Co., Ltd.3050.00-390.84-11.36%
KR:009190Daiyang Metal Co., Ltd.830.00-665.00-44.48%
KR:023000SAMWONSTEEL Co., Ltd.2070.00-208.35-9.14%
KR:069730DSR Wire Corp5160.001926.1759.56%
KR:139990AJUSteel Co., Ltd.2030.00-1060.00-34.30%
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