First Hotel Co., Ltd. AI Stock Analysis
First Hotel Co., Ltd. (2706) AI Stock Analysis
First Hotel Co., Ltd.
(TWSE:2706)
The score is anchored by a very strong financial foundation: a virtually debt-free balance sheet, high margins, and cash flow that converts almost fully from reported profits. This is partly offset by weak capital productivity — a small revenue base, ~3.2% return on equity, and earnings that lean on volatile non-operating gains. Technicals are the main drag, with the share price trading below all key moving averages and negative MACD momentum, though oversold RSI and Stochastic readings suggest downside may be limited. Valuation is fair rather than cheap at a 17.7 P/E, with a 2.94% dividend yield providing a solid income cushion. Overall, a defensive, low-volatility holding offering stability rather than growth.
First Hotel Co., Ltd. (2706) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 6.02B
- Dividend Yield
- 2.92%
- Average Volume (3M)
- 107.29K
- Price to Earnings (P/E)
- 17.8
- Beta (1Y)
- 0.20
- Revenue Growth
- 4.52%
- EPS Growth
- 9.08%
- Country
- TW
- Employees
- 42
- Sector
- General
- Sector Strength
- 55
- Industry
- Real Estate - Development
First Hotel Co., Ltd. Business Overview & Revenue Model
Company Description
First Hotel Company Ltd. operates a tourist hotel under the First Hotel name in Taiwan and Malaysia. The company operates through Tourism Service Department and Leasing segment. It is also involved in the tourist hotels, commercial building leasing,...
First Hotel Co., Ltd. Financial Statement Overview
Summary
A conservatively run, asset-rich operator with exceptional financial safety. The balance sheet is effectively debt-free (debt-to-equity ~0.007, 87% equity-funded), cash flow quality is excellent with free cash flow nearly doubling to NT$284.5M and converting at ~97% of net income, and margins are industry-leading (gross ~77-78%, net ~86%). Offsetting this, the revenue base is small at NT$376.9M against an NT$11.7B asset base, return on equity is only ~3.2%, and a large share of profit comes from non-operating items, making earnings lumpy and growth inconsistent.
Income Statement
71PositiveBalance Sheet
86Very PositiveCash Flow
79Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 379.51M | 376.92M | 355.88M | 343.30M | 290.52M | 252.88M |
| Gross Profit | 295.23M | 293.96M | 273.71M | 264.86M | 227.05M | 192.07M |
| EBITDA | 326.46M | 404.29M | 326.36M | 379.21M | 369.29M | 96.85M |
| Net Income | 339.83M | 325.56M | 277.73M | 300.69M | 301.45M | 78.40M |
Balance Sheet | ||||||
| Total Assets | 12.04B | 11.66B | 11.74B | 11.42B | 11.09B | 10.44B |
| Cash, Cash Equivalents and Short-Term Investments | 3.18B | 3.05B | 2.96B | 2.89B | 2.81B | 2.66B |
| Total Debt | 70.54M | 73.38M | 76.31M | 81.33M | 68.65M | 81.66M |
| Total Liabilities | 1.76B | 1.54B | 1.56B | 1.52B | 1.46B | 1.46B |
| Stockholders Equity | 10.28B | 10.12B | 10.18B | 9.90B | 9.63B | 8.99B |
Cash Flow | ||||||
| Free Cash Flow | 244.57M | 284.48M | 149.06M | 186.17M | 146.88M | 133.79M |
| Operating Cash Flow | 252.40M | 294.18M | 151.11M | 188.40M | 147.09M | 133.94M |
| Investing Cash Flow | -119.32M | -80.68M | -62.52M | 5.37M | -108.59M | -15.63M |
| Financing Cash Flow | -181.47M | -180.40M | -176.89M | -164.02M | -68.13M | -72.93M |
First Hotel Co., Ltd. Peers Comparison
Overall Rating
- TW:270668Neutral
TW:994365Neutral
TW:618462Neutral
TW:261455Neutral
TW:272952Neutral
TW:308646.6Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:2706 | 68Neutral | TWD 6.00B | 17.83 | ― | 2.92% | 4.52% | 9.08% |
| TW:9943 | 65Neutral | TWD 6.21B | 9.28 | ― | 7.09% | -5.24% | 17.98% |
| TW:6184 | 62Neutral | TWD 5.57B | 15.75 | ― | 8.10% | 0.53% | -39.01% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| TW:2614 | 55Neutral | TWD 6.02B | 6.44 | ― | 3.03% | -3.56% | 36.37% |
| TW:2729 | 52Neutral | TWD 6.66B | 23.05 | ― | 4.75% | 5.74% | -45.98% |
| TW:3086 | 47Neutral | TWD 5.89B | -398.10 | ― | 0.06% | -2.07% | -17.71% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:2706 | First Hotel Co., Ltd. | 12.00 | -0.78 | -6.13% | |
| TW:2614 | Eastern Media International Corporation | 13.20 | -4.89 | -27.03% | |
| TW:2729 | TTFB Co. Ltd. | 146.00 | -27.76 | -15.98% | |
| TW:3086 | Wayi International Digital Entertainment Co., Ltd. | 20.50 | -2.50 | -10.87% | |
| TW:6184 | Dafeng TV Ltd. | 37.05 | -7.98 | -17.71% | |
| TW:9943 | Holiday Entertainment Co., Ltd. | 49.35 | -8.34 | -14.46% |
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