Doosan Robotics Inc.
(KS: 454910)
BUY
Valuation Summary
Ø Target Price: KRW 118,000
Ø Upside Potential: 35.48%
Ø Investment Horizon: 1 Year
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Research Analysts:
Yae Eun SHO – Head Analyst(yesho@[Link])
Mugyeong SHIN - Analyst(mshin@[Link])
Geonwoo KIM - Analyst(gkimag@[Link] )
Younguk SON - Analyst (ysonab@[Link] )
20th March, 2023
Industry Analysis
Service Robotics Overview Growth of Collaborative Robotics Market
Comp. Analysis Key Players
• Peer companies include : Rainbow Robotics, Neuromeka, T-
Robotics and Yuilrobotics
• While other competitors are experiencing financial losses,
Rainbow Robotics stands out as the only company generating
profits. However, It is expected that Doosan Robotics is going
to turn into profits from 2024, and operating profit margin
during 2025 will be over 20%.
Industry Analysis Company Analysis Valuation Investment Thesis 1 Investment Thesis 2 Investment Thesis 3
Company Analysis
Company Overview Key Financials
Doosan Robotics is a manufacturer of collaborative robots (Cobot) that overcomes the
limitations of traditional industrial robots, such as risks, high complexity of use, and high
prices. Since 2018, the company has led the domestic collaborative robot market with a
21% market share in South Korea. Globally, it ranks fifth with a market share of 7%.
Main product series description:
A series: An entry-level model with a lightweight payload capacity.
M series: Equipped with joint torque sensors, allowing for precise and intricate tasks.
H series: A heavyweight line capable of transporting heavy objects, with top-class payload
capacity worldwide.
Revenue Breakdown Doosan Robotics Profitability Trend
Industry Analysis Company Analysis Valuation Investment Thesis 1 Investment Thesis 2 Investment Thesis 3
Valuation
Strong BUY
Valuation Summary Comp. Analysis
Rating BUY
Target
KRW 118,000
Price
Closing
KRW 87,100 (as of 15/03/2024)
Price
Implied
+35.48%
Upside
Market
5.65tn KRW (as of 15/03/2024) Relative Valuation
Cap.
ADT 149.84bn KRW (as of
15/03/2024)
KOSPI vs. Doosan Robotics
3,000
KOSPI Doosan Robotics 160, 000
2,700 110, 000
2,400 60,000
2,100 10,000
10/5/2023 11/28/2023 1/21/2024 3/15/2024
Industry Analysis Company Analysis Valuation Investment Thesis 1 Investment Thesis 2 Investment Thesis 3
Investment Thesis 1
Increasing Support from the government
Robotics-Friendly Environment Robotics-Related Government Policy from 1H23
Government Target Goal by 2030
Industry Analysis Company Analysis Valuation Investment Thesis 1 Investment Thesis 2 Investment Thesis 3
Investment Thesis 2
Expanding Sales of Robotic Process Automation
Diversifying Solution Lineups Profitability
Doosan Robotics is enhancing global sales by establishing diverse solution
lineups and engaging in negotiations with domestic and global franchises.
1. Palletizing:
- Development and sales of automated palletizing solutions for logistics,
enabling logistics automation.
- Establishing and expanding partnerships with top-tier B2B logistics companies
in the domestic market.
2. Fryer:
- Combining robotic arms capable of automated chicken cooking with a deep
fryer, providing a solution for automated chicken cooking.
3. Coffee:
- Signing an MOU with domestic coffee franchise companies for installation
during the setup of new stores and renovation of existing ones.
- Doosan Robotics is focusing on various sectors, including electric vehicle charging solutions, medical solutions such as surgical robots, and integrating
solutions with autonomous mobile robots.
- The company anticipates that its net income will transition from a deficit to profitability in 2024.
- The company expects a downward trend in the cost of goods sold, which will increase the profit margin.
Industry Analysis Company Analysis Valuation Investment Thesis 1 Investment Thesis 2 Investment Thesis 3
Investment Thesis 3
Expansion of product line-up and sales channels
Number of Product lineups Expansion of Overseas Sales Sales by Region
18 17 250 Domestic APAC NA EUROPE
219
13 200 27%
12
30%
150
24%
109 37%
28% 5%
100 81
6 22%
4 36% 10%
7%
50 18% 44%
13% 32%
34%
33%
0 0
2018 2023 2026F 2023 2024 2026 2020 2021 2022 2023
- The company has the largest lineup compared to global cooperative robot manufacturers. The company currently has 13 product lineups , the company
will expand its lineup to 17 until 2026 by releasing products suitable for special environments that meet customer needs.
- The company is working to expand overseas channels to increase overseas sales. The company will expand its overseas sales channels to 109 in 2024 and
219 in 2026, starting with the full-scale local sales by North American branch and the establishment of its European branch in 2023.
- The company's overseas sales proportion is nearly 60% of the company's total sales. As demand for cooperative robots is expected to increase in the
future, the proportion of overseas sales is expected to increase further.
Industry Analysis Company Analysis Valuation Investment Thesis 1 Investment Thesis 2 Investment Thesis 3
Disclaimer
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