SK Inc. (034730.KS) stock analysis

In our weekly check, SK Inc. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 12 pass, warnings: 6, red flags: 7.

About SK Inc.

SK Inc. is an Industrials company (Conglomerates) based in South Korea, listed on KSC as 034730.KS.

What our checks show for 034730.KS

Red flags

• Net debt is 2.9x a year of EBITDA (debt/equity 2.07). That limits room in a downturn and raises refinancing risk.
• Free cash flow is negative (-0.1% of revenue): the business spends more cash than it brings in.
• The price swings a lot: 75.3% annual volatility. Expect large ups and downs.
• The stock has fallen as much as 67% from a peak. Would you have held through that?
• The share count grew by 31.3% in 2 years: each shareholder owns a smaller slice.
• Return on capital (ROCE) is only 5%.
• Pay in shares equals 0% of free cash flow: it dilutes shareholders.

Warning signs

• Operating profit covers interest only 3.4 times: a weak year could make the payments hard.
• Analysts expect only about 3.9% a year of growth in revenue.
• Revenue grew only 2% a year over the last 3 years.
• The net margin is only 6.2%: little room if costs rise.
• Beta 1.52: the stock usually moves more than the market, both up and down.
• Thinly traded (about 165 thousand shares a day): buying and selling can move the price.

Strengths

• The net margin rose by 4.2 points over 5 years, to 6.2%.
• The gross margin is 11.8% and has risen by 0.7 points: pricing power is holding.
• Analysts expect earnings per share to grow about 24.7% a year over the next years.
• Analysts expect the net margin to improve by 6.4 points from today's 6.2%.
• Earnings per share grew 135% a year over the last 3 years.
• Net profit grew 99.5% a year over the last 3 years.

Next earnings report: 2026-11-16

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Questions

What grade does SK Inc. (034730.KS) have?

In our weekly check, SK Inc. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 12 pass, warnings: 6, red flags: 7. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 034730.KS stock?

This week's biggest flags for SK Inc.: High debt, Weak free cash flow, Very volatile. In total 13 of 25 checks show a warning or a red flag.

What does SK Inc. do?

SK Inc. is an Industrials company (Conglomerates) based in South Korea, listed on KSC as 034730.KS.

When does SK Inc. report earnings next?

The next earnings report is expected on 2026-11-16. 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 2026-10-24

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