Hsing Ta Cement Co., Ltd. (1109) AI Stock Analysis

Hsing Ta Cement Co., Ltd.

(TWSE:1109)

Select Model

Rating:58Neutral

Price Target:TWD 13.50▲(6.30% Upside)

Action:initiatedcoverage

Date:11/10/26

The overall score of 58 reflects a company with a strong financial foundation but significant operational and market headwinds. The primary support comes from an exceptionally strong, debt-free balance sheet and robust free cash flow, which underpins a high 7% dividend yield. These factors are the main pillars of value. However, the score is heavily constrained by a persistent, multi-year decline in revenue and profitability, which has driven a bearish technical trend with the stock trading below all major moving averages and exhibiting weak momentum. The investment case hinges on whether the high yield and financial stability can offset the ongoing earnings deterioration until a business turnaround materializes.

Positive Factors

Very Low LeverageExtremely low leverage gives Hsing Ta substantial financial flexibility and reduces exposure to interest costs or refinancing pressure. This strengthens resilience through construction-cycle volatility and leaves more capacity to maintain operations, fund investment, or return capital while profitability remains under pressure.

Negative Factors

Multi-Year Revenue DeclinePersistent revenue contraction signals weakening demand or reduced business activity across the company’s construction-materials markets. If the trend continues, lower scale can limit operating leverage, reduce reinvestment capacity, and make it harder to restore sustainable earnings growth over the next several quarters.

Hsing Ta Cement Co., Ltd. (1109) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 4.32B
Dividend Yield: 7.09%
Average Volume (3M): 139.12K
Price to Earnings (P/E): 18.3
Beta (1Y): 0.19
Revenue Growth: -8.96%
EPS Growth: -28.49%
Country: TW
Employees: 386
Sector: General
Sector Strength: 55
Industry: Construction Materials

Hsing Ta Cement Co., Ltd. Business Overview & Revenue Model

Company Description

Founded in Taipei, Taiwan, in 1964, Hsing Ta Cement Co., Ltd. is a prominent producer and seller of cement and clinker across the nation. Its extensive product line features a variety of cement types, including Portland, low-alkali, even heat, blende...

Hsing Ta Cement Co., Ltd. Financial Statement Overview

Summary

Financial performance is a tale of two halves. The income statement is deeply concerning, with five years of revenue declines and margins nearly halving, indicating severe operational stress. However, this is balanced by an exceptionally strong, nearly debt-free balance sheet (Score: 85) and robust, improving free cash flow generation (Score: 70). The fortress balance sheet and healthy cash conversion provide a critical buffer, preventing a lower score despite the earnings deterioration.

Income Statement

35Negative

Balance Sheet

85Very Positive

Cash Flow

70Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.04B	4.43B	4.66B	6.26B	6.39B	7.38B
Gross Profit	512.69M	708.43M	991.65M	1.34B	1.25B	2.20B
EBITDA	587.62M	737.50M	1.03B	1.42B	1.31B	2.16B
Net Income	234.42M	351.16M	469.40M	685.88M	399.17M	862.86M
Balance Sheet
Total Assets	11.50B	11.44B	11.28B	11.56B	11.49B	11.70B
Cash, Cash Equivalents and Short-Term Investments	3.62B	3.86B	4.34B	4.54B	4.40B	3.83B
Total Debt	79.40M	96.11M	142.98M	214.79M	335.35M	118.19M
Total Liabilities	1.32B	1.16B	1.08B	1.57B	1.83B	1.85B
Stockholders Equity	8.24B	8.36B	8.30B	8.12B	7.77B	7.83B
Cash Flow
Free Cash Flow	251.86M	602.53M	191.49M	491.49M	1.24B	1.02B
Operating Cash Flow	565.82M	847.91M	403.24M	714.73M	1.49B	1.15B
Investing Cash Flow	-1.44B	-1.14B	117.36M	-119.21M	-618.32M	42.86M
Financing Cash Flow	-313.38M	-381.39M	-511.78M	-390.10M	-815.92M	-824.43M

Hsing Ta Cement Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:1109 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:1108	64Neutral	TWD 4.31B	15.66	―	9.43%	-19.13%	-85.48%
TW:1109	58Neutral	TWD 4.33B	18.35	―	7.09%	-8.96%	-28.49%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

TW:1109 and its peers over the selected period
Show on chart	Ticker	Company Name	Price	Change	% Change
	TW:1109	Hsing Ta Cement Co., Ltd.	12.70	-2.08	-14.08%
	TW:1108	Lucky Cement Co., Ltd.	10.60	-3.40	-24.27%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Nov 10, 2026

Hsing Ta Cement Co., Ltd. AI Stock Analysis