Ta-I Technology Co. Ltd. (2478) AI Stock Analysis

Ta-I Technology Co. Ltd.

(TWSE:2478)

Select Model

Rating:62Neutral

Price Target:TWD 95.00▼(-6.40% Downside)

Action:initiatedcoverage

Date:11/10/26

The score is primarily supported by a strong, low-leverage balance sheet and improving reported profitability. However, deteriorating free cash flow and weak technical momentum are significant risks, while valuation is only moderate.

Positive Factors

Revenue GrowthThe return to year-over-year revenue growth indicates demand has stabilized across Ta-I Technology’s electronics materials business. Sustained expansion over multiple years can support operating scale, reinforce customer relationships, and provide a durable base for future earnings growth.

Negative Factors

Weaker Free Cash FlowThe sharp decline in free cash flow and weaker conversion of earnings into cash reduce the quality of recent profits. If this pattern persists, Ta-I Technology may have less internally generated funding for investment, dividends, or balance-sheet strengthening despite positive reported earnings.

Ta-I Technology Co. Ltd. (2478) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 14.56B
Dividend Yield: 1.97%
Average Volume (3M): 6.08M
Price to Earnings (P/E): 20.9
Beta (1Y): 1.53
Revenue Growth: 8.00%
EPS Growth: 72.87%
Country: TW
Employees: 1,779
Sector: General
Sector Strength: 55
Industry: Hardware, Equipment & Parts

Ta-I Technology Co. Ltd. Business Overview & Revenue Model

Company Description

Established in 1989 and headquartered in Taoyuan City, Taiwan, TA-I Technology Co., Ltd. operates as a global manufacturer and distributor of chip resistors. The company offers a comprehensive selection of these components, encompassing specialized v...

Ta-I Technology Co. Ltd. Financial Statement Overview

Summary

The conservatively financed balance sheet is a major strength, with very low leverage and growing equity. Revenue, gross profit, and net income improved, but profitability remains below historical highs. Weak free cash flow and declining cash conversion materially reduce the score.

Income Statement

72Positive

Balance Sheet

84Very Positive

Cash Flow

48Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.84B	5.42B	5.03B	4.59B	5.02B	6.31B
Gross Profit	1.45B	1.20B	936.75M	952.76M	1.15B	1.79B
EBITDA	1.32B	1.09B	1.12B	1.13B	1.32B	1.73B
Net Income	694.39M	493.71M	453.63M	369.94M	623.46M	942.95M
Balance Sheet
Total Assets	10.56B	10.19B	9.75B	9.53B	9.14B	9.97B
Cash, Cash Equivalents and Short-Term Investments	1.96B	2.10B	2.01B	1.81B	1.72B	1.84B
Total Debt	1.18B	1.35B	1.29B	1.58B	1.38B	1.38B
Total Liabilities	3.15B	3.05B	2.77B	2.92B	2.55B	3.54B
Stockholders Equity	7.27B	7.01B	6.86B	6.52B	6.49B	6.35B
Cash Flow
Free Cash Flow	4.29M	220.79M	456.41M	392.94M	540.32M	333.16M
Operating Cash Flow	649.50M	934.14M	981.51M	1.30B	1.09B	1.14B
Investing Cash Flow	-372.38M	-614.95M	-551.33M	-1.00B	-736.85M	-919.57M
Financing Cash Flow	-266.12M	-297.74M	-522.10M	-83.86M	-567.12M	-665.30M

Ta-I Technology Co. Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:2478 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:6138	76Outperform	TWD 15.99B	14.17	―	5.07%	18.18%	48.17%
TW:6449	64Neutral	TWD 14.70B	17.69	―	2.63%	23.72%	47.19%
TW:2478	62Neutral	TWD 14.55B	20.88	―	1.97%	8.00%	72.87%
TW:3028	56Neutral	TWD 13.86B	6.29	―	5.38%	75.87%	203.77%
TW:3624	56Neutral	TWD 12.67B	37.15	―	1.02%	29.67%	175.64%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:2340	30Underperform	TWD 17.77B	-22.74	―	―	5.05%	34.85%

* General Sector Average

Performance Comparison

TW:2478 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:2478	Ta-I Technology Co. Ltd.	101.50	34.65	51.83%
TW:2340	Taiwan-Asia Semiconductor Corporation	40.70	15.05	58.67%
TW:3028	Zenitron Corporation	54.10	15.39	39.77%
TW:3624	Viking Tech Corporation	108.00	61.69	133.19%
TW:6138	Anpec Electronics Corporation	216.00	-15.23	-6.59%
TW:6449	APAQ Technology Co., Ltd.	160.00	-11.80	-6.87%

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

Ta-I Technology Co. Ltd. AI Stock Analysis