How to interpret the current valuation?

Naver's current consensus EPS is approximately ₩315,000, with a surface expected PE of only 4.24x; but this is a typical case of 'peak earnings being cheap'.

Conducting stress tests using a more conservative normalized EPS:

Bear: EPS ₩150k–180k, 5–6x PE → ₩750k–1.08m, still showing about 19%–44% downside.

Base: EPS ₩230k–280k, 6–7x → ₩1.38m–1.96m, about 3%–47% upside.

Bull: HBM4 ramps up smoothly, EPS above ₩300k and gets an 8x multiple → above ₩2.4m, upside approaching 80%.

$XL2CSOPHYNIX(07709.HK) Judgment: The risk-reward profile has shifted slightly positive, but the price is not yet cheap enough to ignore the cycle. If you believe in the structural growth of HBM long-term, it is suitable to participate with a small proportion in batches now; it is not suitable to go all-in due to consecutive sharp drops. The most critical confirmation signal is: Q3 HBM4 shipment realization, foreign capital stops continuous net selling, and the company announces a clear share repurchase/dividend plan.