Gongin Precision Industrial Co., Ltd. (3178) AI Stock Analysis

Gongin Precision Industrial Co., Ltd.

(TPEx:3178)

Select Model

Rating:30Underperform

Price Target:TWD 46.00▼(-24.34% Downside)

Action:initiatedcoverage

Date:11/10/26

The overall score is very low, driven primarily by a severe deterioration in financial performance, including a swing to net losses and a near-total evaporation of free cash flow. This is compounded by a strongly bearish technical trend with the stock in deeply oversold territory. The high P/E ratio, in the context of negative earnings, adds a further negative layer to the assessment.

Positive Factors

Precision Manufacturing PositionPrecision machining for engineered, customer-specified components gives the company an established industrial role across downstream equipment and machinery applications. Its focus on quality requirements and exact specifications can support durable customer relationships where reliable, specialized parts are important.

Negative Factors

Margin and Profitability DeteriorationThe sharp decline in gross margin and transition from healthy profits to a 2025 net loss show that the company’s earnings power has weakened materially. If this compression persists, it can reduce reinvestment capacity and make recovery dependent on improved demand, pricing, or cost control.

Gongin Precision Industrial Co., Ltd. (3178) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 2.77B
Dividend Yield: 0.82%
Average Volume (3M): 223.53K
Price to Earnings (P/E): 62.6
Beta (1Y): 0.68
Revenue Growth: 2.22%
EPS Growth: 6041.77%
Country: TW
Employees: 1,217
Sector: General
Sector Strength: 55
Industry: Semiconductors

Gongin Precision Industrial Co., Ltd. Business Overview & Revenue Model

Company Description

Gongin Precision Ind. Co., Ltd engages in manufacturing, processing, and sale of various molds, special machinery, electronic components, and molds for aircraft engines and structures in Taiwan and Mainland China. The company was founded in 1967 and...

Gongin Precision Industrial Co., Ltd. Financial Statement Overview

Summary

Financial health is critically weak. The income statement shows a swing to net losses with severe margin compression (gross margin down to 13.6%). Cash flow has dwindled, with free cash flow nearly vanishing at NT$17M TTM. The balance sheet is the only relative bright spot, but returns have turned negative, indicating poor capital efficiency.

Income Statement

18Very Negative

Balance Sheet

42Neutral

Cash Flow

15Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.27B	1.26B	1.31B	1.62B	1.52B	1.36B
Gross Profit	182.94M	170.34M	222.93M	448.48M	403.81M	296.86M
EBITDA	145.88M	169.47M	250.37M	471.43M	478.57M	311.57M
Net Income	14.47M	-20.64M	47.62M	203.85M	225.51M	90.32M
Balance Sheet
Total Assets	2.77B	2.71B	2.76B	2.86B	2.81B	2.40B
Cash, Cash Equivalents and Short-Term Investments	316.41M	250.00M	250.00M	365.96M	410.82M	208.55M
Total Debt	1.21B	1.21B	1.18B	1.19B	1.15B	1.04B
Total Liabilities	1.55B	1.52B	1.52B	1.58B	1.59B	1.38B
Stockholders Equity	1.21B	1.19B	1.23B	1.28B	1.18B	988.95M
Cash Flow
Free Cash Flow	110.71M	16.96M	-10.89M	153.52M	159.22M	3.19M
Operating Cash Flow	217.34M	135.07M	248.53M	351.74M	354.52M	245.48M
Investing Cash Flow	-72.62M	-99.76M	-247.73M	-160.43M	-255.36M	-257.19M
Financing Cash Flow	-165.36M	-37.65M	-116.87M	-177.07M	53.82M	38.87M

Gongin Precision Industrial Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:3178 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:6855	68Neutral	TWD 2.44B	10.60	―	5.24%	-11.74%	55.55%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:2066	49Neutral	TWD 2.06B	13.08	―	4.50%	-2.41%	82.10%
TW:1586	45Neutral	TWD 2.19B	36.68	―	1.63%	4.79%	―
TW:4545	40Underperform	TWD 2.94B	28.24	―	0.33%	1.97%	1277.45%
TW:8431	35Underperform	TWD 2.48B	-8.54	―	―	-5.87%	-1125.70%
TW:3178	30Underperform	TWD 2.73B	62.59	―	0.82%	2.22%	6041.77%

* General Sector Average

Performance Comparison

TW:3178 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:3178	Gongin Precision Industrial Co., Ltd.	60.80	10.50	20.87%
TW:1586	China Fineblanking Technology Co., Ltd.	17.80	-9.29	-34.30%
TW:2066	Sumeeko Industries Co., Ltd.	47.80	-1.02	-2.09%
TW:4545	Min Aik Precision Industrial Co., Ltd.	39.25	5.98	17.96%
TW:6855	Eclatorq Technology Co., Ltd.	105.00	-4.23	-3.87%
TW:8431	Superior Plating Technology Co., Ltd.	47.75	10.60	28.54%

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

Gongin Precision Industrial Co., Ltd. AI Stock Analysis