KT (KT) AI Stock Analysis

• Market Cap: $8.81B
• Dividend Yield: 4.13%
• Average Volume (3M): 1.63M
• Price to Earnings (P/E): 14.0
• Beta (1Y): 0.28
• Revenue Growth: 0.63%
• EPS Growth: -21.51%
• Country: US
• Employees: 18,617
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): 0.55
• Shares Outstanding: 504,043,370
• 10 Day Avg. Volume: 1,857,132
• 30 Day Avg. Volume: 1,631,916
• PEG Ratio: -0.45
• Price to Book (P/B): 0.70
• Price to Sales (P/S): 0.43
• P/FCF Ratio: 5.22
• Enterprise Value/Market Cap: 2.25K
• Enterprise Value/Revenue: 0.71
• Enterprise Value/Gross Profit: 1.37
• Enterprise Value/Ebitda: 3.83
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 2.06
• Revenue Forecast (FY): $19.10B

• Rating: 68 Neutral
• Price Target: $20.00 ▲(4.99% Upside)

KT's overall stock score reflects stable financial performance and attractive valuation, tempered by mixed technical indicators and challenges highlighted in the earnings call. The company's strong revenue growth and dividend yield are significant positives, but potential risks from security issues and segment declines warrant caution.

Positive Factors

Revenue Growth

Consistent revenue growth demonstrates KT's expanding market reach and effective service offerings, supporting long-term business stability.

5G Subscriber Growth

High 5G penetration indicates strong adoption of advanced telecom services, positioning KT well in the evolving telecom landscape.

AICT Transformation Plan

The strategic shift towards AICT aims to enhance profitability and competitiveness, ensuring KT's relevance in future tech markets.

Negative Factors

Security Breach

Security issues can undermine customer trust and lead to increased costs for compensation and security enhancements, impacting profitability.

AI and IT Business Revenue Decline

A decline in AI and IT revenue suggests challenges in these segments, potentially affecting KT's growth in tech-driven markets.

Rising Debt Levels

Increased debt levels can strain financial resources and limit flexibility, posing risks to KT's long-term financial health.

KT Business Overview & Revenue Model

Company Description

KT Corporation provides integrated telecommunications and platform services in Korea and internationally. The company offers fixed-line telephone services, including local, domestic long-distance, international long-distance, and voice over Internet protocol telephone services, as well as interconnection services; broadband Internet access service and other Internet-related services; and data communication services, such as fixed-line and leased line services, as well as broadband Internet connection services. It also provides media and content services, including IPTV, satellite TV, digital music, e-commerce, online advertising consulting, and digital comics and novels services; and credit card processing and other financial services. In addition, the company offers information technology and network services, and satellite services; sells handsets and miscellaneous telecommunications equipment; develops and sells residential units and commercial real estate; and rents real estate properties. Further, it maintains public telephones; offers security, B2C and B2B, investment fund, software development and data processing, value added network, system integration and maintenance, mobile marketing, PCS distribution, satellite broadcasting, cloud system implementation, network installation and management, and data center development and related services. Additionally, the company is involved in the Internet banking ASP and security solutions, residential building development and supply, sports group management, technology business finance, software development and supply, submarine cable construction and maintenance, and trunk radio systems businesses. As of December 31, 2020, the company served approximately 22.3 million mobile subscribers and 8.8 million IPTV subscribers. The company was formerly known as Korea Telecom Corp. and changed its name to KT Corporation in March 2002. KT Corporation was founded in 1981 and is headquartered in Seongnam, South Korea.

How the Company Makes Money

KT generates revenue primarily through its telecommunications services, which include subscription fees from mobile and fixed-line phone services, broadband internet access, and data services. Key revenue streams include monthly charges from mobile users, fees for internet service subscriptions, and enterprise solutions. Additionally, KT earns income from value-added services such as cloud computing, IoT solutions, and digital content. The company benefits from partnerships with technology firms and content providers that enhance its service offerings. Moreover, government contracts and investments in smart city projects contribute to its earnings, as KT collaborates with municipal governments to implement advanced ICT solutions.

KT Financial Statement Overview

Summary

KT demonstrates stable financial performance with consistent revenue growth and improved operational efficiency. However, profitability and cash conversion metrics indicate areas for improvement, particularly in net profit margin and cash flow conversion.

Income Statement

KT's income statement shows a stable revenue growth trend with a TTM growth rate of 1.72%. The gross profit margin has improved significantly to 49.88% in the TTM, indicating strong cost management. However, the net profit margin remains modest at 3.54%, suggesting room for improvement in profitability. The EBIT and EBITDA margins have shown positive trends, reflecting operational efficiency.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 0.57 in the TTM, indicating a balanced approach to leveraging. The return on equity is relatively low at 5.65%, suggesting limited returns on shareholder investments. The equity ratio is stable, indicating a solid capital structure.

Cash Flow

KT's cash flow statement shows a strong free cash flow growth rate of 76.98% in the TTM, highlighting improved cash generation. However, the operating cash flow to net income ratio is low at 0.37, indicating potential challenges in converting income into cash. The free cash flow to net income ratio is also modest at 0.08, suggesting limited cash available for reinvestment or dividends.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	27.97T	26.43T	26.29T	25.65T	24.90T	24.10T
Gross Profit	14.53T	9.15T	16.72T	9.63T	14.86T	9.83T
EBITDA	5.18T	4.24T	5.53T	5.86T	4.77T	4.38T
Net Income	1.02T	470.29B	993.33B	1.26T	1.36T	700.89B
Balance Sheet
Total Assets	43.01T	42.00T	42.79T	40.99T	37.16T	33.66T
Cash, Cash Equivalents and Short-Term Investments	3.89T	5.06T	4.32T	3.77T	4.21T	3.84T
Total Debt	10.53T	11.58T	11.40T	10.01T	8.44T	7.32T
Total Liabilities	23.75T	24.04T	24.25T	22.58T	20.59T	18.11T
Stockholders Equity	19.26T	16.18T	16.73T	16.61T	14.98T	14.01T
Cash Flow
Free Cash Flow	695.09B	2.16T	1.33T	-390.07B	1.31T	1.02T
Operating Cash Flow	4.62T	5.07T	5.50T	3.60T	5.56T	4.74T
Investing Cash Flow	-4.29T	-2.85T	-4.62T	-4.84T	-5.14T	-3.76T
Financing Cash Flow	-392.95B	-1.39T	-452.79B	669.33B	-41.28B	-647.59B

KT Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 19.05
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KT, the sentiment is Positive. The current price of 19.05 is above the 20-day moving average (MA) of 19.00, above the 50-day MA of 18.59, and below the 200-day MA of 19.35, indicating a bullish trend. The MACD of 0.16 indicates Negative momentum. The RSI at 64.18 is Neutral, neither overbought nor oversold. The STOCH value of 84.12 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KT.

KT Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TIMB	81 Outperform	$10.19B	14.52	14.93%	7.82%	-4.90%	14.83%
TLK	75 Outperform	$21.43B	16.11	15.54%	6.14%	-5.21%	-7.45%
TKC	74 Outperform	$5.34B	12.94	7.60%	5.57%	19.02%	9.26%
KT	68 Neutral	$8.81B	13.99	5.26%	4.13%	0.63%	-21.51%
TEO	61 Neutral	$4.96B	-31.95	-2.95%	0.40%	15.38%	-292.52%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SKM	60 Neutral	$7.91B	20.35	4.72%	5.02%	-8.16%	-52.52%

KT Corporate Events

KT Corporation Announces Early Resignation of Outside Director

In a recent development, KT Corporation announced the early resignation of outside director Seung Ah Theresa Cho, effective March 26, 2024, due to a statutory disqualification under the Korean Commercial Act. This change reduces the number and percentage of outside directors on KT’s board, marking a notable adjustment in the company’s governance structure and presenting potential implications for investor confidence and decision-making dynamics.

The most recent analyst rating on (KT) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on KT stock, see the KT Stock Forecast page.

KT Corporation’s Financial Stability Confirmed in Latest Review

KT Corporation released its consolidated interim financial statements for the period ending September 30, 2025, reviewed by Deloitte Anjin LLC. The report indicates no material misstatements, suggesting a stable financial position and performance for the company. This review, dated November 14, 2025, provides stakeholders with confidence in KT’s financial health, reflecting positively on its industry positioning.

The most recent analyst rating on (KT) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on KT stock, see the KT Stock Forecast page.

KT Corporation Unveils Ambitious AICT Transformation Plan

On November 11, 2025, KT Corporation announced its Corporate Value-Up Plan, aiming to transform into an AICT (AI and ICT) company by 2028. The plan includes tripling AI/IT revenue from 2023 levels, enhancing profitability, and optimizing assets. KT has already strengthened its AI capabilities through strategic partnerships and aims to achieve a consolidated ROE of 9-10%. The company plans to liquidate non-core assets and conduct share buybacks to enhance capital efficiency. This strategic shift has already resulted in a 55% increase in market capitalization since early 2023, positioning KT as a competitive player in the global tech landscape.

The most recent analyst rating on (KT) stock is a Hold with a $20.00 price target. To see the full list of analyst forecasts on KT stock, see the KT Stock Forecast page.

KT Corporation Reports Strong Q3 2025 Results with Revenue and Profit Growth

KT Corporation reported a 7.1% year-over-year increase in revenue for the third quarter of 2025, driven by growth in its telecom, real estate, and cloud/data center businesses. The company’s operating profit rose by 16.0%, reflecting efforts to enhance profitability and gains from real estate development. KT has also launched new AI models and strengthened its security measures following hacking incidents, with plans to invest KRW 1 trillion over five years in security. The company announced a dividend payment scheduled for November 20, 2025, and is focusing on integrating AI into its core business areas to accelerate growth.

The most recent analyst rating on (KT) stock is a Buy with a $21.00 price target. To see the full list of analyst forecasts on KT stock, see the KT Stock Forecast page.

KT Corporation to Discuss Q3 2025 Earnings in Upcoming Conference Call

KT Corporation has announced a conference call scheduled for November 7, 2025, to discuss its financial results for the third quarter of 2025. The call will involve analysts and institutional investors, providing insights into the company’s performance and future outlook. This event is significant for stakeholders as it will offer detailed information on KT’s earnings and strategic direction, potentially impacting investor decisions and market perceptions.

The most recent analyst rating on (KT) stock is a Buy with a $21.00 price target. To see the full list of analyst forecasts on KT stock, see the KT Stock Forecast page.

KT Corporation Announces Quarterly Cash Dividend for October 2025

On October 21, 2025, KT Corporation announced a decision to distribute a quarterly cash dividend of 600 KRW per common stock, with a total payment amounting to 144,657,037,800 KRW. The dividend yield is set at 1.2%, with the record date on November 5, 2025, and the payment date on November 20, 2025. This move, approved by the Board of Directors, reflects KT’s commitment to providing shareholder value and may positively impact investor sentiment.

The most recent analyst rating on (KT) stock is a Buy with a $21.50 price target. To see the full list of analyst forecasts on KT stock, see the KT Stock Forecast page.