Ant Precision Industry Co., Ltd (3646) AI Stock Analysis

Ant Precision Industry Co., Ltd

(TPEx:3646)

Select Model

Rating:53Neutral

Price Target:TWD 25.00▲(3.73% Upside)

Action:initiatedcoverage

Date:11/09/26

Ant Precision scores in the below-average-to-neutral range, driven primarily by weakening fundamentals: a multi-year revenue decline to the lowest level since 2020, gross margin compression of more than 11 percentage points over five years, a 59% drop in net income, ROE down to 4.3%, and debt more than doubling in a single year. The key offset is cash generation — operating cash flow remains more than three times reported profit and free cash flow is still positive, supported by a majority equity-funded balance sheet. Technicals provide mild support, with the price holding above its 50-, 100-, and 200-day moving averages, though momentum indicators are neutral and the stock is consolidating. Valuation is a push: the negative P/E offers no support, but a 3.6% dividend yield provides income appeal. Investors should look for evidence of revenue stabilization and gross margin recovery before assuming the downtrend has bottomed.

Positive Factors

Positive cash generationThe company continued to generate positive operating and free cash flow despite weaker annual results. That provides internally generated funding for ongoing operations and some resilience against external financing needs, although the declining trend limits the strength of this support.

Negative Factors

Revenue and margin contractionThe simultaneous decline in sales and gross margin signals weakening business momentum and reduced earnings resilience. Lower revenue limits operating scale, while thinner gross profitability leaves less room to absorb costs, making a durable recovery dependent on renewed demand or margin improvement.

Ant Precision Industry Co., Ltd (3646) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 949.02M
Dividend Yield: 3.73%
Average Volume (3M): 17.41K
Price to Earnings (P/E): -101.8
Beta (1Y): 0.02
Revenue Growth: 16.82%
EPS Growth: -138.93%
Country: TW
Employees: 38
Sector: General
Sector Strength: 55
Industry: Hardware, Equipment & Parts

Ant Precision Industry Co., Ltd Business Overview & Revenue Model

Company Description

ANT Precision Industry Co., Ltd, established in 1988 and headquartered in Taipei, Taiwan, operates as a global manufacturer and supplier. The company specializes in the production and distribution of various components, including connectors, wire har...

Ant Precision Industry Co., Ltd Financial Statement Overview

Summary

Fundamentals are stable but clearly deteriorating. Revenue has fallen in four of the last five years to NT$668 million (-17% YoY, -22% from the 2021 peak), gross margin has compressed from 34.8% to 23.4%, operating margin collapsed to 3.9%, and net income dropped roughly 59% to NT$22 million (Income Statement: 38). The balance sheet still offers a cushion, with equity funding 54% of assets, but total debt more than doubled to NT$265 million, lifting debt-to-equity to 0.52, while ROE fell to 4.3% from 9.9% (Balance Sheet: 60). Cash flow remains the bright spot — operating cash flow of NT$74.8 million is over three times reported net income and free cash flow stayed positive at NT$46.5 million — though both figures are down sharply year-over-year (Cash Flow: 58). Strong cash conversion buys time, but margin compression plus newly elevated leverage is the central risk.

Income Statement

38Negative

Balance Sheet

60Neutral

Cash Flow

58Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	706.03M	667.81M	807.82M	798.33M	830.13M	857.37M
Gross Profit	177.04M	156.00M	235.74M	232.15M	249.94M	265.04M
EBITDA	72.74M	100.83M	143.05M	140.34M	167.76M	140.91M
Net Income	-14.39M	22.20M	54.58M	53.13M	89.77M	85.34M
Balance Sheet
Total Assets	1.05B	957.97M	842.36M	889.22M	967.63M	851.65M
Cash, Cash Equivalents and Short-Term Investments	279.97M	283.38M	258.21M	230.54M	212.38M	174.68M
Total Debt	320.96M	264.97M	121.00M	162.58M	214.05M	129.40M
Total Liabilities	567.39M	444.70M	292.44M	352.23M	409.75M	339.62M
Stockholders Equity	482.45M	513.27M	549.92M	536.99M	557.88M	512.03M
Cash Flow
Free Cash Flow	-47.47M	46.55M	119.88M	149.69M	103.76M	-11.58M
Operating Cash Flow	-9.85M	74.83M	146.35M	169.21M	135.68M	31.66M
Investing Cash Flow	-101.29M	-43.11M	-25.64M	-19.21M	-33.81M	-41.80M
Financing Cash Flow	38.15M	-23.09M	-109.37M	-133.93M	-76.57M	-38.52M

Ant Precision Industry Co., Ltd Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:3646 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:2063	53Neutral	TWD 1.16B	12.32	―	2.24%	-11.29%	-12.54%
TW:3646	53Neutral	TWD 982.43M	-101.82	―	3.73%	16.82%	-138.93%
TW:3434	42Neutral	TWD 1.04B	53.24	―	4.17%	-18.46%	-26.00%
TW:3465	42Neutral	TWD 1.19B	-23.84	―	3.48%	2.48%	-216.17%
TW:2431	41Neutral	TWD 1.10B	-4.48	―	―	-39.87%	-212.53%

* General Sector Average

Performance Comparison

TW:3646 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:3646	Ant Precision Industry Co., Ltd	24.10	-2.75	-10.25%
TW:2063	Sheh Kai Precision Co., Ltd.	22.30	-0.36	-1.59%
TW:2431	Lien Chang Electronic Enterprise Co., Ltd	9.76	-2.54	-20.65%
TW:3434	Acula Technology Corp.	28.75	-4.08	-12.43%
TW:3465	New Advanced Electronics Technologies Co., Ltd.	28.40	-15.89	-35.88%
TW:6833	T-Conn Precision Corporation	19.10	-4.63	-19.51%

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

Ant Precision Industry Co., Ltd AI Stock Analysis