Formosa Oilseed Processing Co., Ltd. (1225) AI Stock Analysis

Formosa Oilseed Processing Co., Ltd.

(TWSE:1225)

Select Model

Rating:58Neutral

Price Target:TWD 27.00▲(8.00% Upside)

Action:initiatedcoverage

Date:11/10/26

The score is primarily supported by a strengthened balance sheet, improved profitability, positive cash generation, and moderately constructive short-term momentum. Persistent revenue contraction and especially the very high P/E ratio and low dividend yield materially weigh on the overall assessment.

Positive Factors

Improved Balance SheetThe substantial reduction in debt-to-equity indicates stronger financial resilience and lower balance-sheet risk. A healthier capital structure should improve flexibility to manage operating volatility, support ongoing investment, and reduce the constraints that higher leverage can place on future capital allocation.

Negative Factors

Multi-Year Revenue ContractionRepeated revenue declines indicate pressure on the company’s underlying demand or market expansion rather than a one-period fluctuation. Continued contraction can reduce operating scale, limit leverage from fixed costs, and make it harder to sustain earnings growth even as the balance sheet improves.

Formosa Oilseed Processing Co., Ltd. (1225) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 6.02B
Dividend Yield: 0.50%
Average Volume (3M): 100.77K
Price to Earnings (P/E): 125.0
Beta (1Y): 0.28
Revenue Growth: -4.19%
EPS Growth: -84.08%
Country: TW
Employees: 450
Sector: General
Sector Strength: 55
Industry: Agricultural - Commodities/Milling

Formosa Oilseed Processing Co., Ltd. Business Overview & Revenue Model

Company Description

Formosa Oilseed Processing Co., Ltd. produces and sells oil, feeds, and flour products in China. It offers soybean oil, canola oil, sunflower oil, refined palm oil, flour, wheat germ, and other products; and corn, corn shreds, high-matured corn flour...

Formosa Oilseed Processing Co., Ltd. Financial Statement Overview

Summary

Improved profitability, lower leverage, positive cash generation, and approximately 10% ROE support the score. Persistent revenue contraction, thin margins, declining free cash flow, and historical cash-flow volatility limit it.

Income Statement

58Neutral

Balance Sheet

72Positive

Cash Flow

60Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	12.05B	12.05B	12.86B	14.54B	15.27B	13.10B
Gross Profit	1.03B	1.17B	1.07B	1.06B	969.26M	1.14B
EBITDA	512.50M	669.43M	781.00M	758.28M	654.43M	752.83M
Net Income	51.24M	393.44M	343.99M	367.88M	368.99M	453.11M
Balance Sheet
Total Assets	8.59B	8.19B	10.02B	8.72B	9.44B	9.11B
Cash, Cash Equivalents and Short-Term Investments	1.69B	1.17B	2.29B	945.31M	1.02B	1.21B
Total Debt	3.15B	3.03B	5.37B	4.16B	4.91B	4.50B
Total Liabilities	4.32B	3.76B	6.03B	4.79B	5.59B	5.24B
Stockholders Equity	3.76B	3.91B	3.54B	3.51B	3.47B	3.44B
Cash Flow
Free Cash Flow	140.74M	832.55M	883.26M	949.48M	-203.99M	-917.06M
Operating Cash Flow	200.22M	882.37M	936.18M	1.02B	-537.00K	-599.41M
Investing Cash Flow	153.28M	-58.51M	-442.67M	-28.34M	-100.84M	-211.25M
Financing Cash Flow	504.29M	-2.35B	848.38M	-1.07B	13.47M	697.05M

Formosa Oilseed Processing Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:1225 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:4205	73Outperform	TWD 6.27B	16.35	―	5.45%	0.29%	-7.81%
TW:1256	63Neutral	TWD 5.90B	8.82	―	4.00%	38.21%	95.88%
TW:1225	58Neutral	TWD 6.06B	125.00	―	0.50%	-4.19%	-84.08%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:2729	52Neutral	TWD 6.66B	24.43	―	4.44%	5.74%	-45.98%
TW:1201	50Neutral	TWD 6.22B	20.01	―	1.71%	-4.41%	-18.82%
TW:1218	49Neutral	TWD 6.15B	-18.33	―	10.43%	-0.80%	-147.57%

* General Sector Average

Performance Comparison

TW:1225 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:1225	Formosa Oilseed Processing Co., Ltd.	25.00	-5.80	-18.83%
TW:1201	Wei Chuan Foods Corp.	12.30	-2.55	-17.17%
TW:1218	Taisun Enterprise Co., Ltd.	12.65	-4.44	-25.97%
TW:1256	Sunjuice Holdings Co., Ltd.	165.00	23.83	16.88%
TW:2729	TTFB Co. Ltd.	156.00	-18.24	-10.47%
TW:4205	Chung Hwa Food Industrial Co., Ltd.	64.20	-17.20	-21.13%

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

Formosa Oilseed Processing Co., Ltd. AI Stock Analysis