MacroWell OMG Digital Entertainment Co., Ltd. (3687) AI Stock Analysis

MacroWell OMG Digital Entertainment Co., Ltd.

(TPEx:3687)

Select Model

Rating:59.5Neutral

Price Target:TWD 52.00▲(0.39% Upside)

Action:initiatedcoverage

Date:11/10/26

The overall score of 59.5 reflects a company with a recovering financial foundation and attractive valuation, offset by very weak near-term price momentum. The most significant positive factors are the strong, debt-light balance sheet and a high dividend yield supported by robust free cash flow. The primary risk is the deeply bearish technical picture, with the stock in a strong downtrend and showing oversold momentum signals, coupled with ongoing profitability margin compression.

Positive Factors

Revenue reboundThe sharp 2025 revenue rebound indicates renewed demand for the company’s digital entertainment offerings and improved market traction. If operations sustain this level of engagement, the larger revenue base can support continued content investment, broader distribution, and stronger earnings capacity over the next several quarters.

Negative Factors

EBITDA margin compressionThe decline in EBITDA margin shows that the strong revenue rebound has not translated proportionally into operating earnings. Higher operating costs or heavier investment may be absorbing incremental sales, and sustained compression could limit the company’s ability to compound profits even if revenue remains strong.

MacroWell OMG Digital Entertainment Co., Ltd. (3687) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 1.58B
Dividend Yield: 3.81%
Average Volume (3M): 50.73K
Price to Earnings (P/E): 12.0
Beta (1Y): 0.72
Revenue Growth: 10.56%
EPS Growth: 116.59%
Country: TW
Employees: 240
Sector: General
Sector Strength: 55
Industry: Electronic Gaming & Multimedia

MacroWell OMG Digital Entertainment Co., Ltd. Business Overview & Revenue Model

Company Description

MacroWell OMG Digital Entertainment Co., Ltd., headquartered in Taipei, Taiwan, was founded in 1999. The company, initially known as Macrowell Technology Co., Ltd., adopted its current name in August 2009. Its core business centers on the design and...

MacroWell OMG Digital Entertainment Co., Ltd. Financial Statement Overview

Summary

Financial performance is mixed but recovering. The balance sheet is solid with low leverage (D/E 0.43) and improving ROE (8.7%). Cash flow generation is strong, with free cash flow surging and high cash conversion. However, the income statement shows margin compression, with the EBIT margin nearly halving to 14.9% despite a return to revenue growth, indicating rising operating costs are a key risk.

Income Statement

58Neutral

Balance Sheet

72Positive

Cash Flow

65Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.95B	1.83B	1.72B	1.62B	1.67B	1.58B
Gross Profit	781.88M	737.07M	701.21M	670.85M	730.26M	656.81M
EBITDA	765.87M	332.20M	421.69M	436.97M	448.18M	388.33M
Net Income	166.36M	140.50M	69.99M	52.51M	81.58M	72.68M
Balance Sheet
Total Assets	9.46B	9.52B	8.87B	8.81B	8.36B	5.66B
Cash, Cash Equivalents and Short-Term Investments	6.26B	6.41B	5.65B	5.44B	6.91B	4.48B
Total Debt	573.51M	686.13M	710.46M	686.97M	578.96M	15.50M
Total Liabilities	5.37B	5.23B	4.99B	4.85B	4.68B	4.15B
Stockholders Equity	1.57B	1.61B	1.46B	1.47B	1.41B	710.57M
Cash Flow
Free Cash Flow	262.24M	362.60M	272.90M	-465.70M	-392.45M	549.63M
Operating Cash Flow	291.71M	409.18M	430.71M	946.58M	-173.51M	563.95M
Investing Cash Flow	-104.56M	182.36M	-239.52M	-631.33M	-2.30B	9.38M
Financing Cash Flow	-284.92M	-235.89M	-280.42M	-144.27M	2.40B	-223.76M

MacroWell OMG Digital Entertainment Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:3687 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:3687	60Neutral	TWD 1.55B	12.04	―	3.81%	10.56%	116.59%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:6542	44Neutral	TWD 1.32B	55.36	―	0.07%	20.18%	―
TW:3050	42Neutral	TWD 1.56B	19.33	―	2.50%	-2.92%	―

* General Sector Average

Performance Comparison

TW:3687 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:3687	MacroWell OMG Digital Entertainment Co., Ltd.	51.80	-24.84	-32.41%
TW:3050	U-Tech Media Corporation	9.99	-1.70	-14.55%
TW:6542	Gamesparcs Co., Ltd.	32.50	-11.23	-25.68%
TW:6595	Juliens International Entertainment Group	29.00	-5.93	-16.99%
TW:6995	Beast Kingdom Co. Ltd.	49.65	-4.78	-8.79%
TW:8244	DIGITIMES Inc	47.05	-37.95	-44.65%

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

MacroWell OMG Digital Entertainment Co., Ltd. AI Stock Analysis