SK TELECOM CO LTD-SPON ADR (SKM) Fundamental Analysis & Valuation
NYSE:SKM • US78440P3064
Current stock price
29.58 USD
+0.19 (+0.65%)
At close:
29.89 USD
+0.31 (+1.05%)
Pre-Market:
This SKM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. SKM Profitability Analysis
1.1 Basic Checks
- In the past year SKM was profitable.
- In the past year SKM had a positive cash flow from operations.
- Each year in the past 5 years SKM has been profitable.
- Each year in the past 5 years SKM had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of SKM (1.29%) is comparable to the rest of the industry.
- The Return On Equity of SKM (3.02%) is comparable to the rest of the industry.
- Looking at the Return On Invested Capital, with a value of 2.96%, SKM is in line with its industry, outperforming 40.91% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for SKM is below the industry average of 7.40%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 3.02% | ||
| ROIC | 2.96% |
ROA(3y)2.97%
ROA(5y)3.9%
ROE(3y)7.66%
ROE(5y)10.32%
ROIC(3y)4.49%
ROIC(5y)4.35%
1.3 Margins
- The Profit Margin of SKM (2.27%) is worse than 68.18% of its industry peers.
- In the last couple of years the Profit Margin of SKM has declined.
- SKM has a Operating Margin of 6.28%. This is comparable to the rest of the industry: SKM outperforms 40.91% of its industry peers.
- SKM's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 96.29%, SKM belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- In the last couple of years the Gross Margin of SKM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.28% | ||
| PM (TTM) | 2.27% | ||
| GM | 96.29% |
OM growth 3Y-12.33%
OM growth 5Y-2.83%
PM growth 3Y-24.05%
PM growth 5Y-22.25%
GM growth 3Y0.15%
GM growth 5Y0.09%
2. SKM Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SKM is creating value.
- Compared to 1 year ago, SKM has about the same amount of shares outstanding.
- Compared to 5 years ago, SKM has more shares outstanding
- SKM has a better debt/assets ratio than last year.
2.2 Solvency
- SKM has an Altman-Z score of 2.36. This is not the best score and indicates that SKM is in the grey zone with still only limited risk for bankruptcy at the moment.
- With an excellent Altman-Z score value of 2.36, SKM belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
- The Debt to FCF ratio of SKM is 6.50, which is on the high side as it means it would take SKM, 6.50 years of fcf income to pay off all of its debts.
- SKM has a Debt to FCF ratio (6.50) which is in line with its industry peers.
- A Debt/Equity ratio of 0.69 indicates that SKM is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.69, SKM perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 6.5 | ||
| Altman-Z | 2.36 |
ROIC/WACC1.22
WACC2.43%
2.3 Liquidity
- A Current Ratio of 1.03 indicates that SKM should not have too much problems paying its short term obligations.
- With a Current ratio value of 1.03, SKM perfoms like the industry average, outperforming 59.09% of the companies in the same industry.
- A Quick Ratio of 1.00 indicates that SKM should not have too much problems paying its short term obligations.
- SKM has a Quick ratio (1.00) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 1 |
3. SKM Growth Analysis
3.1 Past
- The earnings per share for SKM have decreased strongly by -68.42% in the last year.
- Measured over the past years, SKM shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -23.01% on average per year.
- SKM shows a decrease in Revenue. In the last year, the revenue decreased by -4.69%.
- Measured over the past years, SKM shows a decrease in Revenue. The Revenue has been decreasing by -1.69% on average per year.
EPS 1Y (TTM)-68.42%
EPS 3Y-23.79%
EPS 5Y-23.01%
EPS Q2Q%-62.14%
Revenue 1Y (TTM)-4.69%
Revenue growth 3Y-0.4%
Revenue growth 5Y-1.69%
Sales Q2Q%-4.05%
3.2 Future
- The Earnings Per Share is expected to grow by 29.53% on average over the next years. This is a very strong growth
- The Revenue is expected to grow by 2.69% on average over the next years.
EPS Next Y205.81%
EPS Next 2Y80.17%
EPS Next 3Y52.43%
EPS Next 5Y29.53%
Revenue Next Year3.34%
Revenue Next 2Y2.59%
Revenue Next 3Y2.83%
Revenue Next 5Y2.69%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. SKM Valuation Analysis
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 44.15 indicates a quite expensive valuation of SKM.
- Compared to the rest of the industry, the Price/Earnings ratio of SKM is on the same level as its industry peers.
- When comparing the Price/Earnings ratio of SKM to the average of the S&P500 Index (26.17), we can say SKM is valued expensively.
- Based on the Price/Forward Earnings ratio of 14.50, the valuation of SKM can be described as correct.
- SKM's Price/Forward Earnings ratio is in line with the industry average.
- SKM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.05, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.15 | ||
| Fwd PE | 14.5 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, SKM is valued a bit cheaper than the industry average as 72.73% of the companies are valued more expensively.
- SKM's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.78 | ||
| EV/EBITDA | 5.53 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- SKM's earnings are expected to grow with 52.43% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.21
PEG (5Y)N/A
EPS Next 2Y80.17%
EPS Next 3Y52.43%
5. SKM Dividend Analysis
5.1 Amount
- SKM has a Yearly Dividend Yield of 2.08%.
- SKM's Dividend Yield is comparable with the industry average which is at 6.26.
- SKM's Dividend Yield is comparable with the S&P500 average which is at 1.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
5.2 History
- The dividend of SKM decreases each year by -22.13%.
- SKM has paid a dividend for at least 10 years, which is a reliable track record.
- The dividend of SKM decreased recently.
Dividend Growth(5Y)-22.13%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 161.69% of the earnings are spent on dividend by SKM. This is not a sustainable payout ratio.
DP161.69%
EPS Next 2Y80.17%
EPS Next 3Y52.43%
SKM Fundamentals: All Metrics, Ratios and Statistics
29.58
+0.19 (+0.65%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)02-26 2026-02-26/bmo
Earnings (Next)05-11 2026-05-11
Inst Owners22.28%
Inst Owner Change-0.06%
Ins Owners0.04%
Ins Owner Change0%
Market Cap11.35B
Revenue(TTM)17.10T
Net Income(TTM)388.61B
Analysts71.33
Price Target28.19 (-4.7%)
Short Float %1.41%
Short Ratio1.94
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
Yearly Dividend1.08
Dividend Growth(5Y)-22.13%
DP161.69%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-134.54%
Min EPS beat(2)-260.14%
Max EPS beat(2)-8.95%
EPS beat(4)0
Avg EPS beat(4)-83.83%
Min EPS beat(4)-260.14%
Max EPS beat(4)-2.38%
EPS beat(8)3
Avg EPS beat(8)-38.56%
EPS beat(12)5
Avg EPS beat(12)-24.95%
EPS beat(16)5
Avg EPS beat(16)-23.83%
Revenue beat(2)0
Avg Revenue beat(2)-1.6%
Min Revenue beat(2)-1.65%
Max Revenue beat(2)-1.54%
Revenue beat(4)0
Avg Revenue beat(4)-1.87%
Min Revenue beat(4)-2.18%
Max Revenue beat(4)-1.54%
Revenue beat(8)1
Avg Revenue beat(8)-1.37%
Revenue beat(12)2
Avg Revenue beat(12)-1.3%
Revenue beat(16)2
Avg Revenue beat(16)-1.3%
PT rev (1m)0%
PT rev (3m)27.82%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.53%
EPS NY rev (1m)0%
EPS NY rev (3m)2.84%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)0.76%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 44.15 | ||
| Fwd PE | 14.5 | ||
| P/S | 1.01 | ||
| P/FCF | 10.78 | ||
| P/OCF | 4.39 | ||
| P/B | 1.34 | ||
| P/tB | 1.9 | ||
| EV/EBITDA | 5.53 |
EPS(TTM)0.67
EY2.27%
EPS(NY)2.04
Fwd EY6.9%
FCF(TTM)2.74
FCFY9.27%
OCF(TTM)6.74
OCFY22.77%
SpS29.39
BVpS22.11
TBVpS15.61
PEG (NY)0.21
PEG (5Y)N/A
Graham Number18.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 3.02% | ||
| ROCE | 4.55% | ||
| ROIC | 2.96% | ||
| ROICexc | 3.17% | ||
| ROICexgc | 3.82% | ||
| OM | 6.28% | ||
| PM (TTM) | 2.27% | ||
| GM | 96.29% | ||
| FCFM | 9.33% |
ROA(3y)2.97%
ROA(5y)3.9%
ROE(3y)7.66%
ROE(5y)10.32%
ROIC(3y)4.49%
ROIC(5y)4.35%
ROICexc(3y)4.91%
ROICexc(5y)4.73%
ROICexgc(3y)6.26%
ROICexgc(5y)6.16%
ROCE(3y)6.9%
ROCE(5y)6.68%
ROICexgc growth 3Y-16.63%
ROICexgc growth 5Y4.84%
ROICexc growth 3Y-13.69%
ROICexc growth 5Y5.87%
OM growth 3Y-12.33%
OM growth 5Y-2.83%
PM growth 3Y-24.05%
PM growth 5Y-22.25%
GM growth 3Y0.15%
GM growth 5Y0.09%
F-Score5
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 6.5 | ||
| Debt/EBITDA | 1.9 | ||
| Cap/Depr | 64.71% | ||
| Cap/Sales | 13.59% | ||
| Interest Coverage | 2.74 | ||
| Cash Conversion | 84.04% | ||
| Profit Quality | 410.7% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 2.36 |
F-Score5
WACC2.43%
ROIC/WACC1.22
Cap/Depr(3y)72%
Cap/Depr(5y)75.51%
Cap/Sales(3y)15.12%
Cap/Sales(5y)16.54%
Profit Quality(3y)262.57%
Profit Quality(5y)219.02%
High Growth Momentum
Growth
EPS 1Y (TTM)-68.42%
EPS 3Y-23.79%
EPS 5Y-23.01%
EPS Q2Q%-62.14%
EPS Next Y205.81%
EPS Next 2Y80.17%
EPS Next 3Y52.43%
EPS Next 5Y29.53%
Revenue 1Y (TTM)-4.69%
Revenue growth 3Y-0.4%
Revenue growth 5Y-1.69%
Sales Q2Q%-4.05%
Revenue Next Year3.34%
Revenue Next 2Y2.59%
Revenue Next 3Y2.83%
Revenue Next 5Y2.69%
EBIT growth 1Y-41.14%
EBIT growth 3Y-12.68%
EBIT growth 5Y-4.48%
EBIT Next Year388.72%
EBIT Next 3Y71.4%
EBIT Next 5Y39.22%
FCF growth 1Y-36.29%
FCF growth 3Y-8.93%
FCF growth 5Y-5.65%
OCF growth 1Y-22.61%
OCF growth 3Y-8.76%
OCF growth 5Y-7.61%
SK TELECOM CO LTD-SPON ADR / SKM Fundamental Analysis FAQ
What is the fundamental rating for SKM stock?
ChartMill assigns a fundamental rating of 4 / 10 to SKM.
Can you provide the valuation status for SK TELECOM CO LTD-SPON ADR?
ChartMill assigns a valuation rating of 4 / 10 to SK TELECOM CO LTD-SPON ADR (SKM). This can be considered as Fairly Valued.
Can you provide the profitability details for SK TELECOM CO LTD-SPON ADR?
SK TELECOM CO LTD-SPON ADR (SKM) has a profitability rating of 4 / 10.
Can you provide the financial health for SKM stock?
The financial health rating of SK TELECOM CO LTD-SPON ADR (SKM) is 5 / 10.
How sustainable is the dividend of SK TELECOM CO LTD-SPON ADR (SKM) stock?
The dividend rating of SK TELECOM CO LTD-SPON ADR (SKM) is 3 / 10 and the dividend payout ratio is 161.69%.