Korea Electric Power Corporation (KEP) AI Stock Analysis

Korea Electric Power Corporation (KEPCO) is an integrated electric utility operating domestically in South Korea and internationally across Transmission and Distribution, Nuclear Power Generation, Thermal Power Generation, and Others segments. As of December 31, 2021, KEPCO operated 763 generation units totaling 82,459 megawatts across nuclear, coal, LNG, oil, and renewable technologies. Its infrastructure included 34,923 circuit kilometers of transmission lines with 892 substations, and a distribution network of 532,348 circuit kilometers servicing 9,940,440 units. KEPCO provides power to residential, commercial, industrial, and public utility customers, alongside plant maintenance and resource development.

Revenue expanded at a 5-year CAGR of 10.8% from FY2020 to FY2025, moving from $60.01T in FY2021 to $96.57T in FY2025. Net income transitioned from a loss of -$24.47T in FY2022 to positive net income of $3.49T in FY2024 and $8.54T in FY2025, which delivered an 8.8% net margin. Operating margin improved from -45.7% in FY2022 to 14.1% in FY2025. However, for the quarter ended June 30, 2026, quarterly revenue growth declined 0.1% year-over-year and quarterly earnings growth dropped 76.5%, bringing trailing twelve month EPS to $4.21.

As of June 30, 2026, KEP held $6.86T in cash and short-term investments against total debt of $135.02T, resulting in net debt of $128.17T and a debt-to-equity ratio of 2.69. Liquidity remains tight with a current ratio of 0.44 against total assets of $259.81T. In FY2025, operating cash flow reached $21.16T, fully funding $16.02T in capital expenditures and yielding $5.14T in free cash flow. Cash allocations during FY2025 included $233.12B in share buybacks and $219.72B in dividends paid.

KEP shares trade at a trailing P/E of 2.5x, well below the 20.6x median of its US-listed Utilities peers. Its forward P/E stands at 17.9x, compared to the peer median of 17.2x, while EV to EBITDA is 0.6x versus the 12.1x peer benchmark. The stock's price-to-book ratio is 0.4x. Over the past year, KEP has declined 25.8%, underperforming the S&P 500 (SPY) gain of 16.8%, and sits 27.0% below its 200-day moving average.

KEP pays an annual dividend with a forward rate of $0.52 per share, offering a dividend yield of 4.91% and a payout ratio of 1.3%. The company has paid dividends for 2 consecutive years, though its 5-year annualized dividend growth stands at -36.9%. The most recent ex-dividend date was December 31, 2025.

Wall Street coverage is minimal, with 1 analyst rating the stock a Hold and no Buy or Sell ratings. The mean price target is $15.00, representing 41.1% upside from the last close of $10.63. For the fiscal year ending December 31, 2026, analysts estimate EPS of $3.11, reflecting a 31.5% decrease, on projected revenue of $97.75T. KEP has beaten EPS estimates in 1 of the last 4 quarters.

This page is an AI-written research summary of Korea Electric Power Corporation (KEP). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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