K.S. Terminals Inc. (3003) AI Stock Analysis

K.S. Terminals Inc.

(TWSE:3003)

Select Model

Rating:54Neutral

Price Target:TWD 47.00▲(2.84% Upside)

Action:initiatedcoverage

Date:11/09/26

K.S. Terminals scores in the lower-middle range. The dominant drag is a sharp earnings deterioration — gross margin down to 22.2%, net margin to 3.5%, and return on equity to just 2.4% on flat revenue — compounded by a weak technical setup, with the share price below all major moving averages and a negative MACD. Offsetting these are genuine strengths: a fortress balance sheet with debt-to-equity of only 0.12 and equity funding ~80% of assets, plus a strong free cash flow rebound to NT$476 million that comfortably supports the 2.19% dividend. Valuation at 18.8x earnings is fair rather than compelling given depressed profitability. The investment case hinges on margin recovery; until then, balance sheet and cash flow strength limit downside while earnings and momentum cap the score. Earnings call and corporate event data were unavailable and excluded, with their weight redistributed to the remaining components.

Positive Factors

Conservative balance sheetLow leverage and a substantial equity base provide financial resilience as the company manages weaker earnings. This structure reduces balance-sheet strain, preserves borrowing capacity, and gives management greater flexibility to support operations or invest through a downturn.

Negative Factors

Sharp revenue contractionA 43.4% annual revenue decline signals a material reduction in business scale and weakens the foundation for near-term earnings recovery. Lower sales can reduce operating leverage, constrain reinvestment, and make future profitability more sensitive to volume changes.

K.S. Terminals Inc. (3003) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 7.34B
Dividend Yield: 2.19%
Average Volume (3M): 692.47K
Price to Earnings (P/E): 19.2
Beta (1Y): 0.89
Revenue Growth: 11.87%
EPS Growth: 44.15%
Country: TW
Employees: 1,031
Sector: General
Sector Strength: 55
Industry: Electrical Equipment & Parts

K.S. Terminals Inc. Business Overview & Revenue Model

Company Description

K.S. Terminals Inc. is a Taiwan-based enterprise specializing in the production and global distribution of a broad spectrum of electrical and connectivity solutions. The company's extensive product line encompasses electrical terminals, wire accessor...

K.S. Terminals Inc. Financial Statement Overview

Summary

A very strong balance sheet (score 82) anchors the profile: equity funds roughly 80% of assets and debt-to-equity sits at just 0.12, giving ample flexibility to absorb a weak cycle. Cash flow also improved markedly (score 68), with free cash flow rebounding to NT$476 million and operating cash flow at nearly four times net income, signalling high earnings quality. The clear weak link is the income statement (score 41): revenue slipped to NT$4.40 billion, gross margin compressed to 22.2% from 28.7%, operating margin fell to 6.6% from 19.1%, and net income dropped about 75%, pulling return on equity down to only 2.4%. Net result is a below-average but not distressed financial profile where downside protection is solid and earnings power is the key risk.

Income Statement

41Neutral

Balance Sheet

82Very Positive

Cash Flow

68Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.09B	4.40B	4.54B	4.17B	4.85B	4.79B
Gross Profit	1.13B	974.44M	1.31B	1.28B	1.61B	1.70B
EBITDA	633.73M	408.08M	983.57M	806.31M	1.38B	1.22B
Net Income	386.00M	153.77M	604.62M	543.44M	895.39M	775.00M
Balance Sheet
Total Assets	8.74B	8.14B	8.59B	8.14B	8.01B	8.33B
Cash, Cash Equivalents and Short-Term Investments	3.34B	3.43B	3.43B	3.62B	3.07B	2.46B
Total Debt	806.11M	780.72M	963.87M	989.17M	906.46M	1.61B
Total Liabilities	2.06B	1.57B	1.88B	1.83B	1.92B	2.82B
Stockholders Equity	6.59B	6.48B	6.65B	6.26B	6.05B	5.47B
Cash Flow
Free Cash Flow	326.64M	475.82M	58.56M	480.34M	1.23B	-49.83M
Operating Cash Flow	395.05M	572.63M	128.87M	668.64M	1.37B	58.01M
Investing Cash Flow	76.38M	-226.63M	21.49M	55.59M	-11.67M	-291.99M
Financing Cash Flow	-38.75M	-514.65M	-271.87M	-240.72M	-1.03B	135.82M

K.S. Terminals Inc. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:3003 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:8390	73Outperform	TWD 7.32B	9.12	―	4.99%	31.85%	50.37%
TW:2420	70Outperform	TWD 7.52B	10.37	―	6.09%	5.40%	31.54%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:3003	54Neutral	TWD 7.11B	19.19	―	2.19%	11.87%	44.15%
TW:2457	43Neutral	TWD 7.31B	-18.17	―	―	-11.09%	-19.00%
TW:3032	39Underperform	TWD 6.93B	-19.84	―	4.45%	41.24%	-89.74%

* General Sector Average

Performance Comparison

TW:3003 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:3003	K.S. Terminals Inc.	45.70	-1.98	-4.16%
TW:2420	Zippy Technology Corp	49.25	1.15	2.39%
TW:2457	Phihong Technology Co., Ltd.	17.20	-13.20	-43.42%
TW:3032	Compucase Enterprise Co., Ltd.	61.20	-33.00	-35.03%
TW:4565	Hong Wei Electrical Industry Co., Ltd.	117.00	11.80	11.22%
TW:8390	Jiin Yeeh Ding Enterprise Co., Ltd.	76.20	10.72	16.37%

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

K.S. Terminals Inc. AI Stock Analysis