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Aerospace Industrial Development Corp. (2634) AI Stock Analysis

TW:2634

Aerospace Industrial Development Corp.

(TWSE:2634)

Select Model
Rating:39Underperform
Price Target:TWD 48.00â–¼(-11.44% Downside)
Action:initiatedcoverage
Date:11/10/26

The overall score is critically low, driven primarily by a severe deterioration in financial performance and extremely weak technical momentum. The company is burning cash, margins are collapsing, and leverage is rising, all while the stock price is in a strong downtrend below key moving averages. The elevated P/E ratio for a declining business adds to the negative outlook, with no positive catalysts from earnings calls or corporate events to offset these risks.

Positive Factors
Diversified Aerospace ModelAIDC’s presence across manufacturing, structures, components, MRO, aftermarket support, and engineering services provides multiple business lines rather than reliance on one activity. This breadth can support customer relationships and help distribute demand across military, commercial, and service markets over the next several quarters.
Negative Factors
Negative Cash GenerationThe sustained reversal to negative operating and free cash flow is a material weakness because accounting profitability is not translating into cash generation. Continued cash deficits can increase reliance on balance-sheet funding and constrain AIDC’s flexibility to invest, absorb volatility, or support future programs.

Aerospace Industrial Development Corp. (2634) vs. SPDR S&P 500 ETF (SPY)

-10%0%10%20%30%40%50%60%TW:2634+15.65%SPY+14.55%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
TWD 51.05B
Dividend Yield
1.44%
Average Volume (3M)
17.38M
Price to Earnings (P/E)
21.3
Beta (1Y)
0.71
Revenue Growth
3.92%
EPS Growth
215.52%
Country
TW
Employees
5,399
Sector
General
Sector Strength
55
Industry
Aerospace & Defense

Aerospace Industrial Development Corp. Business Overview & Revenue Model

Company Description

Aerospace Industrial Development Corporation (AIDC), headquartered in Taichung City, Taiwan, is a key global player in the aerospace industry. The company specializes in the comprehensive lifecycle management of aerospace systems and components, from...

Aerospace Industrial Development Corp. Financial Statement Overview

Summary

Financial health is severely strained. Revenue is contracting (-1% YoY), margins have collapsed (gross margin from 11.1% to 7.1%), and the company is burning significant cash with negative operating and free cash flow. Rising leverage (debt-to-equity at 1.50x) and a collapsing ROE (4.1%) signal high financial risk, though the company remains nominally profitable.

Income Statement

28Negative

Balance Sheet

35Negative

Cash Flow

15Very Negative
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue36.56B35.45B39.34B39.10B30.24B23.73B
Gross Profit3.69B2.53B3.72B4.36B2.91B1.77B
EBITDA4.55B3.09B4.32B4.58B3.61B2.25B
Net Income1.95B733.07M2.17B2.23B1.63B558.01M
Balance Sheet
Total Assets49.92B53.92B49.38B43.86B42.71B40.75B
Cash, Cash Equivalents and Short-Term Investments5.23B4.02B4.27B4.65B3.33B3.33B
Total Debt20.03B26.74B20.79B15.94B17.78B19.20B
Total Liabilities31.55B36.08B31.13B26.76B26.88B26.42B
Stockholders Equity18.37B17.84B18.25B17.10B15.83B14.32B
Cash Flow
Free Cash Flow5.79B-5.21B-4.97B2.72B1.67B3.12B
Operating Cash Flow6.84B-3.88B-3.14B3.87B2.41B4.52B
Investing Cash Flow-1.12B-1.04B-929.79M-973.21M-691.72M-1.32B
Financing Cash Flow-5.61B4.57B3.45B-2.83B-1.72B-4.47B

Aerospace Industrial Development Corp. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

TW:2634 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
TW:2645TW:264569NeutralTWD 61.62B19.76―2.99%10.42%77.82%
TW:7751TW:775167NeutralTWD 31.19B42.32―1.58%――
TW:6670TW:667066NeutralTWD 37.22B11.08―5.90%10.09%6.63%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%
TW:2464TW:246444NeutralTWD 35.13B48.19―0.30%19.26%―
TW:7795TW:779542NeutralTWD 27.16B83.57―0.62%――
TW:2634TW:263439UnderperformTWD 50.96B21.34―1.44%3.92%215.52%

* General Sector Average

Performance Comparison

0%200%400%TW:2634TW:2464TW:2645TW:6670TW:7751TW:7795Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
TW:2634 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
TW:2634Aerospace Industrial Development Corp.54.206.2513.03%
TW:2464Mirle Automation Corp.159.5099.51165.90%
TW:2645Evergreen Aviation Technologies Corporation167.0032.3724.04%
TW:6670Fusheng Precision Co. Ltd.271.0043.9119.33%
TW:7751Horng Terng Automation Co Ltd1140.00683.54149.75%
TW:7795Eternal Precision Mechanics Co., Ltd.348.50149.5275.14%
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