Allis Electric Co., Ltd. (1514) AI Stock Analysis

Allis Electric Co., Ltd.

(TWSE:1514)

Select Model

Rating:62Neutral

Price Target:TWD 84.00▼(-3.45% Downside)

Action:initiatedcoverage

Date:11/09/26

Allis Electric scores moderately, anchored by solid fundamentals: five-year revenue doubling, improving margins and a 14.1% return on equity, supported by a conservatively leveraged balance sheet (debt-to-equity 0.47). The main fundamental caveat is earnings quality — operating cash flow converts only about half of reported profit and has been erratic, with debt rising to fund working capital. The score is held back primarily by weak technicals: the stock trades well below all major moving averages with a deeply negative MACD, signalling a sustained downtrend, though extremely oversold RSI and Stochastic readings suggest the selling may be near exhaustion. Valuation is fair at a 23.4x P/E with a 2.51% dividend yield, offering reasonable support but little margin of safety.

Positive Factors

Sustained Revenue and Net Income GrowthThe substantial multi-year expansion in revenue and net income indicates that Allis Electric has increased its business scale while converting growth into higher profits. This provides a stronger foundation for continued investment, customer retention, and earnings generation over the next several quarters.

Negative Factors

Volatile Cash GenerationThe history of negative operating and free cash flow shows that reported profits have not converted consistently into cash. Such volatility can constrain reinvestment, debt servicing, and shareholder returns, making financial flexibility less dependable when operating conditions change.

Allis Electric Co., Ltd. (1514) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 23.68B
Dividend Yield: 2.30%
Average Volume (3M): 1.26M
Price to Earnings (P/E): 24.1
Beta (1Y): 1.13
Revenue Growth: 23.50%
EPS Growth: 36.14%
Country: TW
Employees: 647
Sector: General
Sector Strength: 55
Industry: Electrical Equipment & Parts

Allis Electric Co., Ltd. Business Overview & Revenue Model

Company Description

Allis Electric Co.,Ltd. is a global enterprise specializing in the design, manufacturing, and distribution of a wide array of transformers, switching equipment, and various electronic goods. Its product portfolio includes uninterruptible power suppli...

Allis Electric Co., Ltd. Financial Statement Overview

Summary

Allis Electric shows strong fundamentals overall. Revenue has roughly doubled in five years to NT$10.6 billion (about 16% annual growth), rebounding ~19% in the latest year, while net income rose ~11% to NT$893 million and return on equity improved to a healthy 14.1%. The balance sheet is sound, with equity funding about 48% of assets and debt-to-equity at a manageable 0.47, though borrowings jumped ~32% in the latest year to fund working capital. The clear weak spot is cash conversion: operating cash flow of NT$465 million covered only about half of reported earnings, free cash flow fell ~31%, and the multi-year record is volatile with negative operating cash flow in both 2021 and 2023. Margins also slipped modestly in the latest year (net margin 8.5% vs 9.0%), reflecting the thin, project-driven nature of the business.

Income Statement

76Positive

Balance Sheet

73Positive

Cash Flow

50Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	11.32B	10.57B	8.88B	9.48B	7.71B	5.68B
Gross Profit	2.16B	1.98B	1.70B	1.69B	1.29B	976.20M
EBITDA	1.31B	1.15B	1.03B	988.01M	677.20M	492.94M
Net Income	989.42M	893.31M	801.22M	751.70M	508.83M	361.52M
Balance Sheet
Total Assets	14.02B	13.28B	11.29B	11.23B	10.08B	8.19B
Cash, Cash Equivalents and Short-Term Investments	1.44B	1.85B	1.17B	782.69M	697.58M	532.94M
Total Debt	2.55B	2.96B	2.23B	2.74B	2.50B	2.15B
Total Liabilities	7.65B	6.87B	5.43B	6.50B	6.16B	4.58B
Stockholders Equity	6.30B	6.33B	5.76B	4.64B	3.83B	3.54B
Cash Flow
Free Cash Flow	696.35M	372.41M	543.10M	-335.17M	29.72M	-1.13B
Operating Cash Flow	810.31M	464.70M	693.67M	-105.84M	225.04M	-815.79M
Investing Cash Flow	-210.26M	-182.87M	-105.79M	-161.64M	-222.83M	-382.75M
Financing Cash Flow	-759.22M	381.25M	-323.45M	347.89M	165.33M	1.08B

Allis Electric Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:1514 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:2072	69Neutral	TWD 19.87B	15.71	―	12.89%	―	―
TW:3357	64Neutral	TWD 19.96B	13.55	―	2.82%	30.96%	30.72%
TW:1514	62Neutral	TWD 23.09B	24.10	―	2.30%	23.50%	36.14%
TW:6412	59Neutral	TWD 22.08B	9.27	―	6.78%	-13.69%	-25.90%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:6282	49Neutral	TWD 30.18B	30.65	―	2.29%	24.20%	―
TW:1609	47Neutral	TWD 25.02B	12.21	―	2.17%	16.53%	42.90%

* General Sector Average

Performance Comparison

TW:1514 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:1514	Allis Electric Co., Ltd.	87.00	-10.49	-10.76%
TW:1609	Ta Ya Electric Wire & Cable Co., Ltd.	32.20	-8.94	-21.73%
TW:2072	Century Energy Co., Ltd.	101.50	-89.78	-46.94%
TW:3357	TAI-TECH Advanced Electronics Co., Ltd.	180.00	24.67	15.89%
TW:6282	AcBel Polytech Inc.	34.90	-6.30	-15.29%
TW:6412	Chicony Power Technology Co., Ltd.	54.60	-32.91	-37.61%

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 09, 2026

Allis Electric Co., Ltd. AI Stock Analysis