LFA Co Ltd AI Stock Analysis
LFA Co Ltd (3226) AI Stock Analysis
LFA Co Ltd
(TPEx:3226)
LFA Co Ltd scores low primarily because of a sharp deterioration in earnings power: revenue has declined for four straight years, margins have compressed to near break-even, and net income dropped roughly 96%, while a heavy capex cycle pushed free cash flow negative for the first time in the period reviewed. Technicals reinforce the caution, with the share price below all major moving averages and negative MACD momentum. Valuation offers no cushion, as the ~350x P/E reflects depressed profits and the 1.09% yield is modest. The key offset is a conservative balance sheet — low leverage, high equity funding and solid operating cash generation — which provides stability and time for the investment cycle to pay off, but until volumes and margins recover, the risk profile remains elevated.
LFA Co Ltd (3226) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 3.40B
- Dividend Yield
- 1.02%
- Average Volume (3M)
- 28.37K
- Price to Earnings (P/E)
- 374.6
- Beta (1Y)
- 0.39
- Revenue Growth
- -32.93%
- EPS Growth
- -88.49%
- Country
- TW
- Employees
- 184
- Sector
- General
- Sector Strength
- 55
- Industry
- Auto - Parts
LFA Co Ltd Business Overview & Revenue Model
Company Description
LFA Co., Ltd. specializes in the creation, refinement, and commercial distribution of components for the automotive and electronics industries. The firm also provides advanced, environmentally conscious power supply units. Ching Lin Chou founded this...
LFA Co Ltd Financial Statement Overview
Summary
A weak income statement (score 30) dominates: revenue fell about 25% to NT$1.61 billion in a fourth consecutive year of decline, gross margin compressed from ~25% to 14.4%, operating margin collapsed to 2.0%, and net income fell ~96% to NT$16 million. Cash flow (46) is mixed — operating cash flow of NT$254 million still far exceeds net income, confirming depreciation rather than cash losses drove the profit drop, but it halved year over year and heavy capex pushed free cash flow to negative NT$112 million. The balance sheet (71) is the clear offset: equity of NT$1.88 billion funds roughly three-quarters of assets, debt-to-equity is a conservative 0.17, and the company has ample cushion to absorb the downturn — though return on equity has collapsed from ~19% to under 1%.
Income Statement
30NegativeBalance Sheet
71PositiveCash Flow
46Neutral| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.27B | 1.61B | 2.13B | 2.16B | 2.24B | 2.92B |
| Gross Profit | 75.23M | 231.27M | 531.98M | 540.09M | 510.64M | 691.04M |
| EBITDA | 269.06M | 262.01M | 651.59M | 529.16M | 522.26M | 428.50M |
| Net Income | 11.77M | 15.78M | 358.20M | 260.23M | 318.76M | 230.50M |
Balance Sheet | ||||||
| Total Assets | 2.47B | 2.48B | 2.60B | 2.37B | 2.23B | 2.19B |
| Cash, Cash Equivalents and Short-Term Investments | 602.58M | 634.70M | 784.35M | 608.79M | 635.26M | 574.89M |
| Total Debt | 306.92M | 311.98M | 206.83M | 271.59M | 313.94M | 183.54M |
| Total Liabilities | 610.40M | 598.33M | 700.94M | 797.44M | 759.86M | 879.26M |
| Stockholders Equity | 1.86B | 1.88B | 1.90B | 1.57B | 1.47B | 1.31B |
Cash Flow | ||||||
| Free Cash Flow | -67.23M | -111.98M | 236.68M | 180.97M | 35.17M | 5.29M |
| Operating Cash Flow | 198.06M | 253.69M | 545.34M | 458.64M | 296.63M | 284.10M |
| Investing Cash Flow | -281.60M | -408.92M | -192.91M | -305.54M | -322.89M | -90.60M |
| Financing Cash Flow | -72.41M | 27.80M | -96.97M | -205.51M | -30.64M | -255.97M |
LFA Co Ltd Peers Comparison
Overall Rating
TW:236474Outperform
TW:328770Outperform
TW:356443Neutral- TW:322642Neutral
TW:304741Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:2364 | 74Outperform | TWD 2.89B | 9.13 | ― | 3.83% | 17.40% | 60.67% |
| TW:3287 | 70Outperform | TWD 3.48B | 9.15 | ― | 1.99% | 20.68% | ― |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| TW:3564 | 43Neutral | TWD 3.11B | 84.03 | ― | 0.47% | 22.54% | -10.60% |
| TW:3226 | 42Neutral | TWD 3.17B | 374.56 | ― | 1.02% | -32.93% | -88.49% |
| TW:3047 | 41Neutral | TWD 2.99B | -15.27 | ― | 2.23% | -32.95% | -101.63% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:3226 | LFA Co Ltd | 52.70 | 3.60 | 7.33% | |
| TW:2364 | Twinhead International Corp. | 52.20 | -8.89 | -14.56% | |
| TW:3047 | Edimax Technology Co., Ltd. | 13.90 | -4.95 | -26.26% | |
| TW:3287 | KWorld Computer Co., Ltd. | 75.20 | 45.01 | 149.07% | |
| TW:3564 | AEWIN Technologies Co., Ltd. | 57.80 | 9.94 | 20.77% | |
| TW:7939 | GIGAIPC Co Ltd | 154.00 | -146.50 | -48.75% |
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