Hsin Sin Textile Co., Ltd. (4406) AI Stock Analysis

Hsin Sin Textile Co., Ltd.

(TPEx:4406)

Select Model

Rating:39Underperform

Price Target:TWD 9.50▼(-5.00% Downside)

Action:initiatedcoverage

Date:11/10/26

The score is primarily constrained by weak profitability and cash generation, with additional pressure from bearish technical trends and loss-based valuation. The relatively stronger balance sheet provides limited support.

Positive Factors

Moderate LeverageModerate leverage gives Hsin Sin Textile more financial flexibility than a highly indebted operator. A debt-to-equity ratio below 0.5 can reduce balance-sheet pressure and leave greater capacity to manage operating volatility, provided losses do not persist indefinitely.

Negative Factors

Persistent UnprofitabilityThree consecutive years of negative gross margins and a deeply negative 2025 net margin show that the core business is not currently converting revenue into profitable operations. This weakens internal funding capacity and makes a durable earnings recovery dependent on meaningful operating improvement.

Hsin Sin Textile Co., Ltd. (4406) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 519.12M
Dividend Yield: ―
Average Volume (3M): 43.41K
Price to Earnings (P/E): -13.0
Beta (1Y): 0.21
Revenue Growth: -41.59%
EPS Growth: 33.73%
Country: TW
Employees: 109
Sector: General
Sector Strength: 55
Industry: Manufacturing - Textiles

Hsin Sin Textile Co., Ltd. Business Overview & Revenue Model

Company Description

Based in Taipei City, Taiwan, Hsin Sin Textile Co., Ltd. specializes in the production and sale of polyester drawn textured yarns for the Taiwanese market, operating under its Yu Shan Long brand. Its extensive product catalog encompasses various spec...

Hsin Sin Textile Co., Ltd. Financial Statement Overview

Summary

Persistent operating losses, negative margins, and substantially negative operating and free cash flow outweigh the relative strength of the balance sheet.

Income Statement

15Very Negative

Balance Sheet

68Positive

Cash Flow

10Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	315.67M	479.28M	447.92M	409.54M	570.08M	493.08M
Gross Profit	-21.76M	-21.18M	-33.30M	-20.63M	24.21M	46.28M
EBITDA	-41.33M	-40.99M	-13.54M	-5.37M	40.46M	31.89M
Net Income	-39.72M	-55.32M	-37.85M	-20.17M	20.59M	17.13M
Balance Sheet
Total Assets	839.69M	993.62M	897.93M	895.15M	866.50M	846.47M
Cash, Cash Equivalents and Short-Term Investments	374.39M	371.87M	163.61M	144.90M	215.98M	216.83M
Total Debt	187.40M	292.29M	225.17M	186.72M	108.76M	155.97M
Total Liabilities	232.30M	374.24M	311.32M	272.99M	193.60M	240.69M
Stockholders Equity	607.39M	619.38M	586.61M	622.17M	672.89M	605.78M
Cash Flow
Free Cash Flow	-11.02M	-106.46M	-27.92M	-138.81M	53.39M	-16.76M
Operating Cash Flow	-10.54M	-101.55M	-18.98M	-33.66M	60.82M	-10.43M
Investing Cash Flow	158.07M	133.68M	-25.98M	-107.65M	-17.92M	9.94M
Financing Cash Flow	-71.88M	67.12M	41.13M	75.97M	-47.00M	7.00M

Hsin Sin Textile Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:4406 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:4413	55Neutral	TWD 584.02M	14.57	―	1.67%	44.06%	―
TW:1813	41Neutral	TWD 478.01M	61.08	―	―	-6.91%	―
TW:4406	39Underperform	TWD 519.12M	-12.99	―	―	-41.59%	33.73%
TW:1441	38Underperform	TWD 542.12M	-4.37	―	―	-23.44%	-226.14%
TW:3432	35Underperform	TWD 572.22M	-16.14	―	―	195.27%	-19.42%

* General Sector Average

Performance Comparison

TW:4406 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:4406	Hsin Sin Textile Co., Ltd.	10.00	0.19	1.94%
TW:1441	Tah Tong Textile Co., Ltd.	8.70	-3.84	-30.64%
TW:1813	Polylite Taiwan Co., Ltd.	10.45	-2.70	-20.53%
TW:2940	Sun Own Industrial Co., Ltd.	23.95	-0.24	-1.00%
TW:3432	Tai Twun Enterprise Co. Ltd.	13.30	-1.15	-7.96%
TW:4413	EST GLOBAL APPAREL Co., Ltd.	18.00	-0.91	-4.82%

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

Hsin Sin Textile Co., Ltd. AI Stock Analysis