Lotes Co., Ltd AI Stock Analysis
Lotes Co., Ltd (3533) AI Stock Analysis
Lotes Co., Ltd
(TWSE:3533)
The score is anchored by Lotes' strong fundamentals: an essentially debt-free balance sheet, equity funding three-quarters of assets, return on equity above 20%, and sustained double-digit revenue growth at industry-leading margins. These strengths are partly offset by a 15% decline in 2025 net profit, margin compression, and a sharp fall in free cash flow as heavy capacity investment consumed operating cash. The main drag on the score is technical: the stock sits below all key moving averages with negative MACD momentum and weak RSI/stochastic readings, indicating a persistent downtrend. A moderate P/E of 20.8 and a 2.2% dividend yield provide reasonable valuation support, leaving a financially solid company whose shares currently lack price momentum.
Lotes Co., Ltd (3533) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 201.26B
- Dividend Yield
- 1.98%
- Average Volume (3M)
- 1.56M
- Price to Earnings (P/E)
- 21.2
- Beta (1Y)
- 1.25
- Revenue Growth
- 12.66%
- EPS Growth
- 15.78%
- Country
- TW
- Employees
- 6,316
- Sector
- General
- Sector Strength
- 55
- Industry
- Hardware, Equipment & Parts
Lotes Co., Ltd Business Overview & Revenue Model
Company Description
Lotes Co., Ltd., a Taiwanese company established in 1975 and based in Keelung, primarily focuses on designing, manufacturing, and distributing connectors and CPU sockets. Operating under its proprietary LOTES brand, the company serves a broad range o...
Lotes Co., Ltd Financial Statement Overview
Summary
Lotes shows a high-quality financial profile: revenue grew about 12% to NT$33.8 billion in 2025 (roughly 14% annualized since 2020), with gross margin above 51% and operating margin above 30% — well ahead of typical component peers. The balance sheet is the standout, with total debt cut to NT$1.0 billion (2.7% of equity), equity funding 76% of assets, and return on equity above 20%. Offsetting these strengths, net income fell about 15% to NT$7.9 billion and net margin compressed from 30.8% to 23.3% despite flat operating profit, while free cash flow dropped to NT$3.4 billion from NT$6.2 billion as capital spending of roughly 15% of revenue absorbed much of the NT$8.5 billion operating cash flow. Earnings quality and cash conversion are the near-term watch items, but the near debt-free structure makes them manageable.
Income Statement
79PositiveBalance Sheet
89Very PositiveCash Flow
74Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 36.58B | 33.78B | 30.09B | 24.48B | 27.10B | 21.39B |
| Gross Profit | 18.06B | 17.33B | 15.77B | 11.48B | 11.94B | 8.56B |
| EBITDA | 14.15B | 12.95B | 14.23B | 9.34B | 10.51B | 6.12B |
| Net Income | 9.30B | 7.87B | 9.28B | 5.59B | 6.25B | 3.47B |
Balance Sheet | ||||||
| Total Assets | 58.13B | 50.43B | 50.21B | 37.95B | 33.30B | 26.42B |
| Cash, Cash Equivalents and Short-Term Investments | 16.20B | 13.62B | 18.85B | 13.19B | 7.17B | 3.46B |
| Total Debt | 1.52B | 1.04B | 4.61B | 3.14B | 2.58B | 2.62B |
| Total Liabilities | 15.02B | 10.02B | 12.25B | 8.57B | 8.79B | 8.36B |
| Stockholders Equity | 40.97B | 38.44B | 35.97B | 27.77B | 22.81B | 16.86B |
Cash Flow | ||||||
| Free Cash Flow | 1.65B | 3.43B | 6.18B | 6.47B | 4.03B | -1.04B |
| Operating Cash Flow | 7.39B | 8.53B | 10.06B | 9.13B | 7.73B | 2.69B |
| Investing Cash Flow | -7.28B | -5.86B | -4.69B | -2.79B | -3.69B | -4.09B |
| Financing Cash Flow | -4.83B | -8.84B | -321.88M | -295.61M | -494.59M | 1.83B |
Lotes Co., Ltd Peers Comparison
Overall Rating
- TW:353370Outperform
TW:644268Neutral
TW:366567Neutral
TW:651566Neutral
TW:349154Neutral
TW:246653Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:3533 | 70Outperform | TWD 198.06B | 21.20 | ― | 1.98% | 12.66% | 15.78% |
| TW:6442 | 68Neutral | TWD 89.46B | 32.22 | ― | 0.99% | 42.66% | 126.15% |
| TW:3665 | 67Neutral | TWD 305.35B | 27.87 | ― | 1.01% | 33.39% | 60.44% |
| TW:6515 | 66Neutral | TWD 135.57B | 60.29 | ― | 1.33% | 85.60% | 84.04% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| TW:3491 | 54Neutral | TWD 89.88B | 105.82 | ― | 0.52% | 35.74% | 60.85% |
| TW:2466 | 53Neutral | TWD 62.62B | 229.95 | ― | ― | -18.81% | ― |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:3533 | Lotes Co., Ltd | 1760.00 | 536.69 | 43.87% | |
| TW:2466 | Cosmo Electronics Corporation | 361.00 | 309.50 | 600.97% | |
| TW:3491 | Universal Microwave Technology, Inc. | 1305.00 | 839.95 | 180.61% | |
| TW:3665 | BizLink Holding Inc. | 1530.00 | -61.06 | -3.84% | |
| TW:6442 | EZconn Corp. | 1135.00 | 103.90 | 10.08% | |
| TW:6515 | WinWay Technology Co., Ltd. | 3720.00 | 1551.04 | 71.51% |
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