Hep Tech Co., Ltd. (3609) AI Stock Analysis

Hep Tech Co., Ltd.

(TPEx:3609)

Select Model

Rating:57Neutral

Price Target:TWD 30.00▲(2.04% Upside)

Action:initiatedcoverage

Date:11/10/26

The score is primarily constrained by weak profitability and negative cash flow despite strong revenue growth and improved leverage. Positive technical momentum and a low P/E ratio provide meaningful support, but the elevated momentum indicators and lack of cash conversion warrant caution.

Positive Factors

Revenue RecoveryThe sharp 2025 revenue rebound indicates that demand recovered after two years of contraction, improving the company’s top-line base. If maintained, stronger sales can support operating leverage, provide resources for reinvestment, and help stabilize the business over the next several quarters.

Negative Factors

Persistent Cash BurnPersistent negative operating and free cash flow shows that the business has not been self-funding, despite the recent reported profit. Continued cash burn can consume balance-sheet resources, increase reliance on financing, and limit the company’s ability to invest or absorb further operating setbacks.

Hep Tech Co., Ltd. (3609) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 1.11B
Dividend Yield: ―
Average Volume (3M): 225.50K
Price to Earnings (P/E): 4.5
Beta (1Y): 0.11
Revenue Growth: 28.13%
EPS Growth: ―
Country: TW
Employees: 110
Sector: General
Sector Strength: 55
Industry: Hardware, Equipment & Parts

Hep Tech Co., Ltd. Business Overview & Revenue Model

Company Description

HEP Tech Co., Ltd. is a global enterprise that specializes in the production and distribution of electronic lighting control systems for both industrial and commercial applications. The company's comprehensive product line features a wide range of LE...

Hep Tech Co., Ltd. Financial Statement Overview

Summary

Revenue grew strongly and the balance sheet improved through lower debt and higher equity, but weak margins, negative operating profit, and significantly negative operating and free cash flow keep financial performance below average.

Income Statement

48Neutral

Balance Sheet

68Positive

Cash Flow

25Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Mar 2025	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	600.87M	665.20M	389.63M	625.52M	802.25M	812.24M
Gross Profit	73.50M	73.74M	90.34M	67.72M	153.46M	194.28M
EBITDA	295.73M	-98.78M	-96.42M	-135.08M	-35.77M	33.23M
Net Income	248.89M	246.52M	-166.18M	-202.25M	-90.04M	157.00K
Balance Sheet
Total Assets	1.02B	1.03B	1.07B	1.16B	1.23B	948.40M
Cash, Cash Equivalents and Short-Term Investments	190.48M	209.91M	212.83M	242.50M	323.58M	288.01M
Total Debt	255.32M	264.24M	569.27M	576.22M	491.71M	271.87M
Total Liabilities	571.85M	510.48M	784.15M	800.70M	675.28M	504.11M
Stockholders Equity	446.84M	522.18M	281.27M	355.10M	555.45M	444.29M
Cash Flow
Free Cash Flow	-208.61M	-163.32M	-115.01M	-127.21M	-282.24M	-102.84M
Operating Cash Flow	-172.40M	-137.75M	-99.73M	-86.30M	-239.17M	-58.96M
Investing Cash Flow	520.90M	467.60M	-29.55M	-33.80M	-98.45M	-75.89M
Financing Cash Flow	-337.43M	-369.68M	100.11M	63.99M	355.18M	192.68M

Hep Tech Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:3609 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:6856	63Neutral	TWD 1.15B	13.18	―	7.33%	0.20%	32.59%
TW:3609	57Neutral	TWD 1.13B	4.54	―	―	28.13%	―
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:3531	48Neutral	TWD 1.26B	32.62	―	2.43%	-24.73%	39.31%
TW:8068	40Underperform	TWD 1.26B	-81.23	―	―	46.43%	-113.09%
TW:6916	36Underperform	TWD 1.23B	-21.51	―	1.53%	19.42%	68.90%

* General Sector Average

Performance Comparison

TW:3609 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:3609	Hep Tech Co., Ltd.	29.40	-21.30	-42.01%
TW:3531	Shian Yih Electronic Industry Co., Ltd	20.55	-1.28	-5.85%
TW:3678	Ushine Photonics Corporation	44.45	8.49	23.61%
TW:6856	Shine Trend International Multimedia Technology Co Ltd	40.90	-11.41	-21.82%
TW:6916	Winstar Display Co Ltd	18.50	1.05	6.02%
TW:8068	Chander Electronics Corp.	17.20	-2.10	-10.88%

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

Hep Tech Co., Ltd. AI Stock Analysis