We maintain our fair value estimates of KRW 75,000 for KB Financial, KRW 54,000 for Shinhan Financial, KRW 62,000 for Hana Financial, and KRW 18,000 for Woori Financial after the four Korean banking groups reported third-quarter earnings on Tuesday. These fair values are equivalent to 0.65 times book value for KB and Shinhan, 0.56 times book value for Hana, and 0.52 times for Woori and are 50%-65% above the current share prices, which declined sharply in summer and have yet to rebound amid fears over how tight U.S. dollar liquidity, a weak Korean won, U.S.-China tensions, and global economic slowdown will affect the banks. Seemingly validating such fears, Iwon Jeil Cha, a special-purpose company established for the construction of Legoland Korea, in recent weeks missed payment on short-term debt that had been guaranteed by Gangwon Province and filed for bankruptcy protection. The Legoland default shocked Korean money markets as the provincial backing had appeared to many investors to be an indication of safety regardless of the theme park’s profitability level. We agree with the view that “there’s never just one cockroach in the kitchen when you start looking around” but think that current share prices of 0.33 times to 0.43 times book value more than prices in the risks. Third-quarter earnings were strong, with KB generating ROE of 11%, Shinhan 14%, and Hana and Woori 13% each, as growth in interest income (due to still-widening net interest margins and fast loan growth to large corporations offsetting the slowdown in household loans) and good cost control more than overcame declines in investment banking, credit card, and other fees. We continue to forecast low-single-digit earnings growth for all four banks in 2023 and 2024 even with a slowdown in loan growth, flattening and then slight narrowing of net interest margins, and moderately higher credit costs and think the current low prices present an excellent opportunity for investors to buy the shares.