Success Prime Corporation (2496) AI Stock Analysis

Success Prime Corporation

(TWSE:2496)

Select Model

Rating:70Outperform

Price Target:TWD 57.00▲(8.78% Upside)

Action:initiatedcoverage

Date:11/09/26

Success Prime earns an above-average score driven primarily by solid fundamentals: a lightly leveraged balance sheet, ~13% return on equity, improved margins over five years, and free cash flow that fully backs reported earnings. Valuation reinforces the case, with a modest 8.2x P/E and an 8.38% dividend yield supported by light capital spending. Offsetting these strengths are two risks: the latest year saw operating profit, net income and free cash flow all decline as costs outpaced low-single-digit revenue growth, and the share price sits below all key moving averages with negative MACD, signalling a sustained downtrend — though oversold readings suggest selling pressure may be nearing exhaustion. Earnings call and corporate event data were unavailable and therefore excluded, with their weight redistributed across the remaining components.

Positive Factors

Revenue Growth and ProfitabilityMeaningful multi-year revenue expansion combined with a gross margin near 53% and net margin around 13% indicates a fundamentally profitable operating model. If maintained, this combination can support reinvestment, resilience through normal fluctuations, and durable earnings generation over the next several quarters.

Negative Factors

Falling Net IncomeThe decline in net income while revenue increased shows that recent growth has not translated fully into stronger earnings. This suggests pressure on profitability or operating efficiency, which could constrain earnings compounding and reduce the benefit of continued top-line expansion.

Success Prime Corporation (2496) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 1.05B
Dividend Yield: 8.32%
Average Volume (3M): 21.95K
Price to Earnings (P/E): 8.3
Beta (1Y): 0.16
Revenue Growth: 2.24%
EPS Growth: -10.00%
Country: TW
Employees: 35,970
Sector: General
Sector Strength: 55
Industry: Education & Training Services

Success Prime Corporation Business Overview & Revenue Model

Company Description

Success Prime Corporation offers education services in Taiwan. It provides contracting teachers and course management services. The company also offers in-person tutoring, consulting, digital learning, and preschool board game courses; single-subject...

Success Prime Corporation Financial Statement Overview

Summary

A financially sound profile anchored by a conservative balance sheet (score 79): equity funds roughly 60% of the NT$1.49bn asset base, debt-to-equity is just 0.14, and return on equity remains healthy at 13.2%. Cash flow (score 76) is robust, with NT$222.9m operating cash flow and NT$194.6m free cash flow covering about 87% of net income on light capex of ~3% of revenue. The income statement (score 73) shows a strong multi-year recovery — revenue up from NT$661.9m in 2021 to NT$870.8m, gross margin improving to 53.5% and net margin to 13.4% — but momentum paused in the latest year: revenue growth slowed to ~4%, operating margin compressed from 19.8% to 15.9%, net income fell ~12%, and free cash flow declined ~13%. Rising cost pressure is the main watch item, though low leverage provides a comfortable cushion.

Income Statement

73Positive

Balance Sheet

79Positive

Cash Flow

76Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	881.94M	870.82M	835.83M	764.82M	702.26M	661.92M
Gross Profit	481.34M	465.53M	455.96M	402.17M	352.20M	320.52M
EBITDA	233.79M	218.60M	240.40M	202.49M	172.59M	154.13M
Net Income	120.69M	116.71M	132.85M	103.64M	78.70M	56.90M
Balance Sheet
Total Assets	1.55B	1.49B	1.43B	1.37B	1.31B	1.21B
Cash, Cash Equivalents and Short-Term Investments	537.78M	492.63M	492.53M	392.73M	281.96M	244.05M
Total Debt	145.22M	121.13M	83.28M	102.19M	140.53M	111.84M
Total Liabilities	671.20M	596.31M	529.09M	511.45M	503.62M	424.90M
Stockholders Equity	876.76M	886.79M	892.26M	849.31M	808.25M	786.47M
Cash Flow
Free Cash Flow	180.76M	194.62M	223.06M	227.04M	191.95M	133.60M
Operating Cash Flow	207.01M	222.86M	239.96M	233.04M	211.47M	157.90M
Investing Cash Flow	-32.59M	-69.42M	-39.97M	-151.61M	-100.46M	35.47M
Financing Cash Flow	-148.59M	-185.50M	-143.84M	-115.34M	-121.86M	-148.10M

Success Prime Corporation Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:2496 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:2496	70Outperform	TWD 1.04B	8.28	―	8.32%	2.24%	-10.00%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:6113	46Neutral	TWD 1.05B	32.42	―	2.51%	56.38%	―
TW:2431	41Neutral	TWD 1.10B	-4.55	―	―	-39.87%	-231.52%
TW:8071	38Underperform	TWD 1.01B	-30.89	―	―	4.97%	62.54%
TW:3541	37Underperform	TWD 1.25B	70.26	―	―	0.16%	―

* General Sector Average

Performance Comparison

TW:2496 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:2496	Success Prime Corporation	52.40	-8.09	-13.38%
TW:2431	Lien Chang Electronic Enterprise Co., Ltd	9.93	-2.37	-19.27%
TW:3541	Cypress Technology Co. Ltd.	22.30	-1.45	-6.11%
TW:3678	Ushine Photonics Corporation	44.15	7.70	21.13%
TW:6113	Asec International Corporation	19.95	-0.05	-0.25%
TW:8071	ABICO NetCom Co., Ltd.	16.85	-1.00	-5.60%

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

Success Prime Corporation AI Stock Analysis