Tekcore Co., Ltd (3339) AI Stock Analysis

Tekcore Co., Ltd

(TPEx:3339)

Select Model

Rating:38Underperform

Price Target:TWD 31.00▼(-9.49% Downside)

Action:initiatedcoverage

Date:11/09/26

Tekcore scores near the low end of the range. The dominant issue is financial fragility: despite ~31% revenue growth, gross margin compressed to roughly 5%, driving sizeable operating and net losses alongside negative operating (-NT$51 million) and free cash flow (-NT$95 million). A conservative capital structure (equity ~56% of assets, D/E ~0.31) is the only meaningful strength, though equity fell 25% and borrowings rose sharply. Technicals reinforce the caution, with the stock well below all key moving averages and a negative MACD, even though oversold RSI and Stochastic readings hint at scope for a short-term rebound. Valuation provides no support given negative earnings and the absence of a dividend. A sustained re-rating would require clear evidence of margin recovery and a return to positive cash generation.

Positive Factors

LED and Optoelectronics PositionTekcore operates in compound semiconductors and optoelectronics, with LED chips and components serving lighting, display, and illumination applications. This established product focus gives the company exposure to enduring electronics and optoelectronics demand across multiple end uses.

Negative Factors

Severe Margin Compression and LossesProfitability deteriorated sharply in 2025 as gross margin fell from about 14.0% to 5.1%, while the company moved from a small profit to a sizable net loss. This compression weakens earnings resilience and makes future growth less valuable unless costs and pricing recover.

Tekcore Co., Ltd (3339) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 2.07B
Dividend Yield: ―
Average Volume (3M): 1.92M
Price to Earnings (P/E): -10.3
Beta (1Y): 1.09
Revenue Growth: 18.61%
EPS Growth: -168.51%
Country: TW
Employees: 613
Sector: General
Sector Strength: 55
Industry: Semiconductors

Tekcore Co., Ltd Business Overview & Revenue Model

Company Description

Tekcore Co., Ltd, a Taiwan-based entity, specializes in the manufacturing and distribution of LED wafers and chips. Its product range encompasses conventional LEDs, alongside specialized power and flip chip designs. The company also furnishes high-br...

Tekcore Co., Ltd Financial Statement Overview

Summary

Weak overall, driven by a poor income statement (24) and cash flow profile (23), partially offset by a still-reasonable balance sheet (50). Revenue grew ~31% to about NT$819 million, but gross margin collapsed to ~5% from 14%, producing an operating loss of NT$119 million, a net loss of NT$128 million and negative EBITDA. Operating cash flow swung to -NT$51 million and free cash flow to -NT$95 million, the worst in six years. Equity fell 25% to ~NT$699 million while debt jumped from near zero to NT$217 million (D/E ~0.31), leaving a conservative but shrinking cushion. Losses in four of the last six years underline an inconsistent, highly cyclical earnings profile.

Income Statement

24Negative

Balance Sheet

50Neutral

Cash Flow

23Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	837.34M	818.79M	624.86M	505.33M	606.15M	858.06M
Gross Profit	34.60M	41.42M	87.50M	49.03M	7.81M	76.48M
EBITDA	-136.75M	-76.67M	28.15M	56.92M	23.18M	151.84M
Net Income	-215.99M	-128.28M	15.47M	17.67M	-24.37M	80.52M
Balance Sheet
Total Assets	1.53B	1.25B	1.10B	1.09B	1.04B	1.21B
Cash, Cash Equivalents and Short-Term Investments	394.76M	285.98M	470.91M	495.95M	394.20M	367.93M
Total Debt	465.37M	216.68M	9.61M	282.94M	278.89M	275.12M
Total Liabilities	795.35M	545.62M	167.64M	461.90M	425.05M	576.70M
Stockholders Equity	734.19M	699.48M	929.08M	628.63M	611.24M	631.41M
Cash Flow
Free Cash Flow	-261.50M	-94.65M	-4.39M	23.63M	28.63M	-24.46M
Operating Cash Flow	-98.76M	-51.34M	28.32M	37.66M	62.27M	26.60M
Investing Cash Flow	-262.66M	-186.72M	-121.33M	57.00M	26.26M	289.38M
Financing Cash Flow	462.06M	57.30M	-1.18M	-155.00K	-162.00K	-47.05M

Tekcore Co., Ltd Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:3339 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:3527	49Neutral	TWD 2.08B	-75.04	―	2.14%	-10.31%	37.12%
TW:3346	40Underperform	TWD 2.21B	-13.22	―	0.60%	-13.27%	-1332.38%
TW:6129	40Underperform	TWD 2.01B	-21.52	―	―	24.89%	59.91%
TW:5244	39Underperform	TWD 2.33B	-77.50	―	1.17%	4.95%	-149.34%
TW:3339	38Underperform	TWD 2.17B	-10.34	―	―	18.61%	-168.51%
TW:3437	35Underperform	TWD 2.44B	-6.19	―	―	-22.27%	-58.73%

* General Sector Average

Performance Comparison

TW:3339 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:3339	Tekcore Co., Ltd	34.25	6.85	25.00%
TW:3346	Laster Tech Co., Ltd.	18.25	-1.84	-9.14%
TW:3437	Advanced Optoelectronic Technology, Inc.	16.85	2.00	13.47%
TW:3527	Macroblock, Inc.	46.70	-7.25	-13.44%
TW:5244	Brightek Optoelectronic Co., Ltd.	34.10	-4.23	-11.04%
TW:6129	Princeton Technology Corporation	11.45	-5.52	-32.52%

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

Tekcore Co., Ltd AI Stock Analysis