Youngone Surges 7.4%, Trails 5-Year Gains

Ahoy, Investors! Youngone Corporation: Sailing Through Market Tides with 94% Gains
The Korean stock market has been a treasure trove for savvy investors, and Youngone Corporation (KRX: 111770) has been one of its shining stars. Over the past five years, this textile and apparel giant has delivered a whopping 94% return to its long-term shareholders—nearly triple the broader market’s 32% gain. But like any seasoned sailor knows, smooth seas don’t make skillful captains. While Youngone’s recent 35% return (including dividends) might seem modest compared to its earlier sprint, the company’s low volatility (beta of 0.28) and 9.97% price bump over the past year suggest it’s still cruising steady. Let’s dive into what makes Youngone a compelling pick—and whether it’s time to board this ship or watch from the dock.
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Charting the Course: Youngone’s Business Model
Youngone operates on a dual-engine strategy: *Original Equipment Manufacturing (OEM)* and *Brand Distribution*.

The company stitches its success by producing outdoor gear—think jackets, hiking shoes, and backpacks—for global brands. This B2B segment is a cash cow, leveraging Korea’s reputation for high-quality manufacturing. With clients outsourcing production to cut costs, Youngone’s factories hum with steady demand.

Beyond manufacturing, Youngone also distributes branded products, tapping into consumer markets directly. This vertical integration hedges against supply chain shocks—a lesson many learned the hard way during the pandemic.
*Why it matters*: This two-pronged approach balances B2B stability with B2C growth potential, making Youngone resilient against sector-specific downturns.
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Financial Deep Dive: Earnings, EPS, and Market Cap
*Trailing Twelve Months (TTM) Earnings*: ₩166 billion (as of Dec 2019), up 47% YoY.
*EPS Growth*: A steady 5.2% CAGR over 5 years.
*Market Cap*: ₩1.84 trillion (Feb 2025), up from ₩339.96 billion in 2009—an 11.47% annualized growth rate.
But wait—the recent dip: A 4.94% market cap drop over the past year might raise eyebrows. Is this a red flag? Not necessarily. Macro headwinds (think inflation, weaker consumer spending) have buffeted retail stocks globally. Yet, Youngone’s earnings resilience suggests it’s more a temporary squall than a sinking ship.
Bonus Metric: That 7.4% weekly surge? A sign that investors still see value when the price dips.
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Risk vs. Reward: Why Beta Matters
With a beta of 0.28, Youngone’s stock is less volatile than the market average. For context:
– *Beta 1*: High risk, high reward (think tech startups).
*Investor takeaway*: Youngone suits conservative portfolios seeking growth *without* the gut-churning swings of meme stocks.
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Docking at the Conclusion: To Invest or Not?
Youngone’s track record speaks for itself: 94% returns over five years, diversified revenue streams, and earnings that outpace market hiccups. While recent performance has cooled, the long-term chart still points north. For investors eyeing a stable grower in the apparel sector—with a side of dividend income—this Korean contender deserves a spot on the watchlist.
Fair winds and following profits, y’all! ⛵