Megaforce Co. Ltd. (3294) AI Stock Analysis

Megaforce Co. Ltd.

(TPEx:3294)

Select Model

Rating:44Neutral

Price Target:TWD 23.00▼(-7.82% Downside)

Action:initiatedcoverage

Date:11/10/26

The score is primarily constrained by deteriorating profitability and negative free cash flow, while weak momentum and a loss-based P/E ratio add further pressure. A solid equity base and oversold technical readings provide limited support.

Positive Factors

Improving Capital StructureThe substantial reduction in debt-to-equity indicates improved balance-sheet resilience and less reliance on borrowed capital. A healthier capital structure can preserve financial flexibility, reduce financing pressure, and give the company more capacity to manage operational volatility over the next several quarters.

Negative Factors

Return to Net LossesThe return to net losses after only modest profitability shows that earnings are not yet durable. Persistent volatility reduces confidence in the company’s ability to compound capital, limits internally funded growth, and leaves results vulnerable to further changes in revenue or operating costs.

Megaforce Co. Ltd. (3294) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 3.35B
Dividend Yield: ―
Average Volume (3M): 500.37K
Price to Earnings (P/E): -61.5
Beta (1Y): 0.92
Revenue Growth: -7.94%
EPS Growth: -41.30%
Country: TW
Employees: 278
Sector: General
Sector Strength: 55
Industry: Hardware, Equipment & Parts

Megaforce Co. Ltd. Business Overview & Revenue Model

Company Description

Megaforce Company Limited, founded in 1991 and headquartered in New Taipei City, Taiwan, is a global enterprise specializing in advanced plastic components and opto-mechatronic services. The company's operations extend across Taiwan, China, Mexico, a...

Megaforce Co. Ltd. Financial Statement Overview

Summary

Financial performance is weak overall: revenue and profitability deteriorated, the company reported a net loss, and free cash flow turned negative. The relatively solid balance sheet and lower debt-to-equity ratio provide partial support.

Income Statement

30Negative

Balance Sheet

72Positive

Cash Flow

35Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.44B	3.57B	4.31B	4.14B	4.83B	5.32B
Gross Profit	467.70M	496.82M	669.66M	557.95M	483.22M	626.21M
EBITDA	108.06M	113.76M	380.54M	250.78M	263.76M	340.05M
Net Income	582.00K	-64.38M	75.62M	-129.39M	-156.57M	23.99M
Balance Sheet
Total Assets	5.42B	4.87B	5.04B	5.36B	5.16B	5.82B
Cash, Cash Equivalents and Short-Term Investments	2.12B	1.81B	2.15B	2.37B	1.76B	1.85B
Total Debt	1.13B	995.82M	931.03M	1.41B	1.69B	1.92B
Total Liabilities	3.03B	2.57B	2.71B	3.25B	2.91B	3.43B
Stockholders Equity	2.35B	2.26B	2.32B	2.09B	2.23B	2.37B
Cash Flow
Free Cash Flow	-109.70M	-189.66M	153.04M	329.13M	246.11M	67.75M
Operating Cash Flow	329.74M	81.54M	204.87M	380.29M	324.49M	239.46M
Investing Cash Flow	-403.11M	-386.42M	-410.46M	332.79M	-13.33M	-138.40M
Financing Cash Flow	14.00M	-177.32M	-504.54M	-317.69M	-422.01M	-11.87M

Megaforce Co. Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:3294 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:9951	69Neutral	TWD 3.20B	9.05	―	7.34%	5.34%	1.56%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:3311	51Neutral	TWD 3.70B	23.97	―	1.47%	46.08%	7.08%
TW:3060	44Neutral	TWD 3.31B	18.89	―	0.76%	25.49%	―
TW:3294	44Neutral	TWD 3.29B	-61.54	―	―	-7.94%	-41.30%
TW:3552	38Underperform	TWD 3.08B	-9.48	―	1.57%	-3.76%	-661.55%

* General Sector Average

Performance Comparison

TW:3294 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:3294	Megaforce Co. Ltd.	24.95	-14.55	-36.84%
TW:2252	CUBTEK Inc.	28.80	9.70	50.79%
TW:3060	Min Aik Technology Co., Ltd.	26.45	-2.69	-9.22%
TW:3311	Silitech Technology Corporation	40.70	7.93	24.18%
TW:3552	Tung Thih Electronic Co., Ltd.	31.85	-37.42	-54.02%
TW:9951	Macauto Industrial Co., Ltd	44.35	-10.27	-18.80%

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

Megaforce Co. Ltd. AI Stock Analysis