Microbio Co., Ltd. (4128) AI Stock Analysis

Microbio Co., Ltd.

(TPEx:4128)

Select Model

Rating:44Neutral

Price Target:TWD 13.00▼(-3.35% Downside)

Action:initiatedcoverage

Date:11/09/26

The score is held down primarily by persistent unprofitability: five straight years of operating losses, a net loss of roughly NT$758 million, and free cash flow that has collapsed to near breakeven, all of which are steadily eroding shareholders' equity (down about 26% since 2022). The main offset is an unusually conservative balance sheet — debt-to-equity of just 0.08 and equity covering 72% of assets — which gives management time to execute, supported by a second consecutive year of revenue growth, steady ~40% gross margins and narrowing losses. Technicals reinforce caution, with the share price below all major moving averages and negative MACD, though deeply oversold RSI and Stochastic readings suggest selling pressure may be stretched. Valuation offers little support: the headline P/E is unreliable against reported losses and there is no dividend. Evidence of sustained loss reduction and a return to reliable cash generation would be needed for a meaningfully higher score.

Positive Factors

Accelerating Revenue GrowthThe sharp 2025 revenue acceleration indicates stronger commercial traction for Microbio’s microbiome and fermentation-derived products. If the enlarged revenue base is retained, it can improve operating leverage, support broader market development, and provide a foundation for eventual profitability.

Negative Factors

Persistent Operating LossesMicrobio’s continued negative operating and net margins show that strong revenue growth has not yet produced a viable earnings model. Although losses narrowed in 2025, the company remains far from break-even, making sustained execution and cost discipline essential over the medium term.

Microbio Co., Ltd. (4128) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 7.88B
Dividend Yield: ―
Average Volume (3M): 1.08M
Price to Earnings (P/E): 24.6
Beta (1Y): 0.51
Revenue Growth: 4.85%
EPS Growth: ―
Country: TW
Employees: 577
Sector: General
Sector Strength: 55
Industry: Medical - Pharmaceuticals

Microbio Co., Ltd. Business Overview & Revenue Model

Company Description

Microbio Co., Ltd., established in 2000 and headquartered in Taipei, Taiwan, functions as a comprehensive biotechnology enterprise. The company's core activities involve the research, development, manufacturing, and commercialization of advanced biop...

Microbio Co., Ltd. Financial Statement Overview

Summary

A tale of two halves. The balance sheet is a genuine strength (score 69): debt of roughly NT$671 million against NT$8.91 billion of equity gives a debt-to-equity ratio of just 0.08, and equity funds about 72% of the NT$12.3 billion asset base — minimal leverage and ample cushion. The income statement is the weak link (score 34): operating losses in each of the past five years, an operating loss near NT$407 million and a net loss of about NT$758 million on revenue of NT$1.89 billion (net margin near -40%). Positives include a second year of revenue growth (+10%), stable ~40% gross margins, and narrowing losses versus NT$1.18 billion in 2023. Cash flow is thin and volatile (score 40): operating cash flow fell to about NT$83 million from NT$530 million and free cash flow collapsed to roughly NT$22 million. Equity has eroded about 26% since 2022, and ROE remains negative at roughly -8.5%, so the asset base — not operations — is still funding the business.

Income Statement

34Negative

Balance Sheet

69Positive

Cash Flow

40Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.97B	1.89B	1.72B	1.59B	1.72B	1.78B
Gross Profit	715.18M	753.46M	676.08M	603.88M	691.29M	739.37M
EBITDA	-214.34M	-665.16M	-1.00B	-1.13B	400.40M	44.55M
Net Income	523.23M	-757.75M	-1.10B	-1.18B	211.20M	-233.16M
Balance Sheet
Total Assets	12.83B	12.33B	13.93B	14.74B	15.09B	15.02B
Cash, Cash Equivalents and Short-Term Investments	2.84B	2.65B	2.57B	3.66B	4.10B	4.06B
Total Debt	709.48M	670.59M	617.62M	621.34M	490.28M	519.30M
Total Liabilities	2.14B	2.13B	2.06B	1.23B	1.08B	1.17B
Stockholders Equity	9.50B	8.91B	10.31B	11.81B	12.09B	11.89B
Cash Flow
Free Cash Flow	-245.16M	21.97M	489.67M	-166.80M	98.45M	-49.98M
Operating Cash Flow	-196.01M	82.76M	529.90M	-118.75M	141.57M	53.98M
Investing Cash Flow	308.69M	106.34M	-302.05M	-211.00M	334.56M	19.81M
Financing Cash Flow	-164.40M	-157.05M	-166.86M	-163.08M	-67.12M	-42.19M

Microbio Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:4128 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:4162	70Outperform	TWD 7.43B	14.16	―	3.81%	-58.69%	-66.96%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:4169	54Neutral	TWD 7.93B	-291.25	―	0.27%	―	―
TW:4128	44Neutral	TWD 7.85B	24.61	―	―	4.85%	―
TW:6541	43Neutral	TWD 7.47B	-5.03	-26.61%	―	207.37%	4.17%
TW:4142	37Underperform	TWD 7.22B	-48.68	―	―	34.06%	―

* General Sector Average

Performance Comparison

TW:4128 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:4128	Microbio Co., Ltd.	13.45	-7.35	-35.34%
TW:6541	Tanvex Biopharma	28.15	-27.55	-49.46%
TW:4142	Adimmune Corporation	16.60	-3.00	-15.31%
TW:4162	PharmaEngine, Inc.	52.50	-17.18	-24.66%
TW:4169	TCM Biotech International Corp.	116.50	-64.77	-35.73%
TW:7876	Obigen Pharma, Inc.	66.20	29.51	80.45%

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

Microbio Co., Ltd. AI Stock Analysis