Hyundai Engineering & Construction Co.,Ltd. (000720.KS) stock analysis

In our weekly check, Hyundai Engineering & Construction Co.,Ltd. is graded D (A to F). Of 25 checks on debt, profit, cash flow and trend: 9 pass, warnings: 4, red flags: 12.

About Hyundai Engineering & Construction Co.,Ltd.

Hyundai Engineering & Construction Co.,Ltd. is an Industrials company (Engineering & Construction) based in South Korea, listed on KSC as 000720.KS.

What our checks show for 000720.KS

Red flags

• Operating profit does not cover the interest bill (0x): interest is paid from cash or new debt.
• The net margin fell by 1.1 points over 5 years, to 1.2%: the company keeps less of each sale as profit.
• The gross margin fell by 3.8 points, to 6.2%: costs are rising faster than prices.
• Operating cash flow is negative while the company reports a profit: the profit does not arrive as cash.
• Analysts expect revenue to shrink about 1% a year.
• The net margin is only 1.2%: little room if costs rise.
• Free cash flow is negative (-2.8% of revenue): the business spends more cash than it brings in.
• The dividend takes 24138% of profit: little cushion if profit falls.
• The price swings a lot: 83.4% annual volatility. Expect large ups and downs.
• The stock has fallen as much as 81% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 5.6 years.
• Pay in shares equals 0% of free cash flow: it dilutes shareholders.

Warning signs

• Earnings per share fell 3% a year over the last 3 years.
• Net profit fell 3% a year over the last 3 years.
• Beta 1.37: the stock usually moves more than the market, both up and down.
• Return on capital (ROCE) is only 5.5%.

Strengths

• Debt is low: 0.49x equity.
• Analysts expect earnings per share to grow about 29.8% a year over the next years.
• The price is 15 times earnings (P/E), reasonable for its growth.

Next earnings report: 2027-01-27

Similar companies

028050.KS · LT.NS · 1812.T · 1802.T · 1801.T · 028260.KS

Questions

What grade does Hyundai Engineering & Construction Co.,Ltd. (000720.KS) have?

In our weekly check, Hyundai Engineering & Construction Co.,Ltd. is graded D (A to F). Of 25 checks on debt, profit, cash flow and trend: 9 pass, warnings: 4, red flags: 12. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 000720.KS stock?

This week's biggest flags for Hyundai Engineering & Construction Co.,Ltd.: Weak interest cover, Margins falling, Gross margin falling. In total 16 of 25 checks show a warning or a red flag.

What does Hyundai Engineering & Construction Co.,Ltd. do?

Hyundai Engineering & Construction Co.,Ltd. is an Industrials company (Engineering & Construction) based in South Korea, listed on KSC as 000720.KS.

When does Hyundai Engineering & Construction Co.,Ltd. report earnings next?

The next earnings report is expected on 2027-01-27. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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