Lian Hwa Foods Corporation AI Stock Analysis
Lian Hwa Foods Corporation (1231) AI Stock Analysis
Lian Hwa Foods Corporation
(TWSE:1231)
Lian Hwa Foods earns a moderate score anchored by solid fundamentals: durable revenue growth, double-digit operating margins, and healthy returns on equity. These strengths are tempered by gross margin compression, flat bottom-line profits, meaningfully higher debt since 2021, and operating cash flow that still lags reported earnings. The main drag is the technical setup — the shares trade below all major moving averages with negative MACD, signalling a persistent downtrend, though deeply oversold momentum readings suggest the selling may be stretched. A reasonable P/E of 14.8, a 2.1% dividend yield, and low beta provide valuation support and defensive appeal, resulting in a balanced but cautious overall assessment.
Lian Hwa Foods Corporation (1231) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 23.51B
- Dividend Yield
- 2.15%
- Average Volume (3M)
- 347.33K
- Price to Earnings (P/E)
- 15.6
- Beta (1Y)
- 0.13
- Revenue Growth
- 1.38%
- EPS Growth
- 29.12%
- Country
- TW
- Employees
- 989
- Sector
- General
- Sector Strength
- 55
- Industry
- Packaged Foods
Lian Hwa Foods Corporation Business Overview & Revenue Model
Company Description
Lian Hwa Foods Corporation, a Taiwanese company, is involved in various aspects of the food industry, from production and processing to distribution and direct sales. Its extensive product range encompasses items such as seaweed, squid, pasta, rice b...
Lian Hwa Foods Corporation Financial Statement Overview
Summary
Lian Hwa Foods shows the profile of a steady consumer staples operator: revenue has compounded about 8% annually to NT$12.9 billion, operating margin remains near 11%, and return on equity stays in the mid-to-high teens. However, gross margin has compressed from 23.2% to 20.4%, net income was flat year-over-year despite higher sales, and EBITDA margin fell sharply. The balance sheet is adequately capitalized with debt/equity improving to 0.74, though total borrowings have more than doubled since 2021. Cash flow is the weakest link — operating cash flow converted at only 0.79x net income, though free cash flow turned positive at NT$247 million after three years of outflows.
Income Statement
69PositiveBalance Sheet
68PositiveCash Flow
55Neutral| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 13.09B | 12.87B | 12.20B | 10.85B | 10.77B | 9.52B |
| Gross Profit | 2.70B | 2.63B | 2.53B | 2.28B | 2.50B | 2.20B |
| EBITDA | 1.64B | 1.53B | 1.83B | 1.53B | 1.39B | 1.31B |
| Net Income | 1.47B | 1.14B | 1.15B | 969.58M | 871.81M | 814.00M |
Balance Sheet | ||||||
| Total Assets | 16.32B | 14.97B | 14.23B | 13.01B | 10.52B | 9.21B |
| Cash, Cash Equivalents and Short-Term Investments | 1.77B | 1.25B | 1.16B | 1.14B | 557.92M | 624.40M |
| Total Debt | 6.12B | 5.38B | 5.25B | 4.70B | 3.29B | 2.58B |
| Total Liabilities | 8.80B | 7.70B | 7.67B | 7.23B | 5.35B | 4.64B |
| Stockholders Equity | 7.50B | 7.25B | 6.54B | 5.76B | 5.15B | 4.55B |
Cash Flow | ||||||
| Free Cash Flow | -98.95M | 247.43M | -327.78M | -374.84M | -344.15M | 656.82M |
| Operating Cash Flow | 1.08B | 896.08M | 902.77M | 1.45B | 776.64M | 1.03B |
| Investing Cash Flow | -1.20B | -657.62M | -1.23B | -1.81B | -1.13B | -368.33M |
| Financing Cash Flow | 231.91M | -338.10M | 71.78M | 924.25M | 346.35M | -667.98M |
Lian Hwa Foods Corporation Peers Comparison
Overall Rating
TW:123274Outperform
TW:171274Outperform
TW:272768Neutral- TW:123162Neutral
TW:290558Neutral
TW:122757Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:1232 | 74Outperform | TWD 25.44B | 15.23 | ― | 4.53% | 13.49% | 29.82% |
| TW:1712 | 74Outperform | TWD 16.88B | 15.15 | ― | 6.25% | 3.86% | -0.10% |
| TW:2727 | 68Neutral | TWD 18.12B | 12.27 | ― | 7.21% | 12.28% | 20.10% |
| TW:1231 | 62Neutral | TWD 22.72B | 15.64 | ― | 2.15% | 1.38% | 29.12% |
| TW:2905 | 58Neutral | TWD 18.69B | 5.97 | ― | 1.80% | -5.93% | ― |
| TW:1227 | 57Neutral | TWD 23.66B | 19.00 | ― | 5.22% | 3.12% | -6.89% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:1231 | Lian Hwa Foods Corporation | 69.90 | -13.96 | -16.64% | |
| TW:1227 | Standard Foods Corporation | 25.65 | -3.92 | -13.24% | |
| TW:1232 | TTET Union Corporation | 159.00 | 22.37 | 16.37% | |
| TW:1712 | Sinon Corporation | 40.00 | -0.29 | -0.71% | |
| TW:2727 | Wowprime Corp. | 223.50 | 21.48 | 10.63% | |
| TW:2905 | Mercuries & Associates, Holding Ltd. | 16.70 | 2.60 | 18.41% |
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 09, 2026