At ₩38,850, Is SNT Energy Co., Ltd. (KRX:100840) Worth Looking At Closely?

SNT Energy Co., Ltd. (KRX:100840), is not the largest company out there, but it received a lot of attention from a substantial price movement on the KOSE over the last few months, increasing to ₩64,100 at one point, and dropping to the lows of ₩37,150. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether SNT Energy's current trading price of ₩38,850 reflective of the actual value of the small-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at SNT Energy’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change.

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What Is SNT Energy Worth?

The stock seems fairly valued at the moment according to our valuation model. It’s trading around 17.23% above our intrinsic value, which means if you buy SNT Energy today, you’d be paying a relatively reasonable price for it. And if you believe the company’s true value is ₩33139.56, there’s only an insignificant downside when the price falls to its real value. In addition to this, SNT Energy has a low beta, which suggests its share price is less volatile than the wider market.

View our latest analysis for SNT Energy

What does the future of SNT Energy look like?

Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations. SNT Energy's earnings over the next few years are expected to increase by 65%, indicating a highly optimistic future ahead. This should lead to more robust cash flows, feeding into a higher share value.

What This Means For You

Are you a shareholder? A100840’s optimistic future growth appears to have been factored into the current share price, with shares trading around its fair value. However, there are also other important factors which we haven’t considered today, such as the financial strength of the company. Have these factors changed since the last time you looked at the stock? Will you have enough confidence to invest in the company should the price drop below its fair value?

Are you a potential investor? If you’ve been keeping tabs on A100840, now may not be the most advantageous time to buy, given it is trading around its fair value. However, the positive outlook is encouraging for the company, which means it’s worth diving deeper into other factors such as the strength of its balance sheet, in order to take advantage of the next price drop.

If you'd like to know more about SNT Energy as a business, it's important to be aware of any risks it's facing. Case in point: We've spotted 1 warning sign for SNT Energy you should be aware of.

If you are no longer interested in SNT Energy, you can use our free platform to see our list of over 50 other stocks with a high growth potential.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.