Avita Corporation (4735) AI Stock Analysis

Avita Corporation

(TPEx:4735)

Select Model

Rating:54Neutral

Price Target:TWD 36.00▲(2.56% Upside)

Action:initiatedcoverage

Date:11/10/26

The overall score is constrained by significant financial and technical headwinds. The primary risk is the company's deteriorating profitability and deeply negative free cash flow, which overshadows a very strong, debt-free balance sheet. Bearish technical momentum further pressures the near-term outlook. These negatives are partially offset by an attractive valuation, featuring a very low P/E and a double-digit dividend yield, which may provide a floor for the stock.

Positive Factors

Conservative balance sheetVery low leverage and a growing equity base provide financial resilience and preserve flexibility for investment or other capital allocation. This conservative funding profile reduces balance-sheet strain and gives the company greater capacity to withstand operating volatility over the coming quarters.

Negative Factors

Negative free cash flowThe sharp swing to negative free cash flow shows that reported earnings did not translate into cash generation in the latest year. Heavy investment and/or working-capital drag can reduce funding flexibility, increase cash-flow volatility, and make future growth more dependent on disciplined execution.

Avita Corporation (4735) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 1.39B
Dividend Yield: 10.54%
Average Volume (3M): 62.42K
Price to Earnings (P/E): 5.8
Beta (1Y): 0.32
Revenue Growth: 4.61%
EPS Growth: 207.89%
Country: TW
Employees: 84
Sector: General
Sector Strength: 55
Industry: Medical - Devices

Avita Corporation Business Overview & Revenue Model

Company Description

AViTA Corporation, established in 1996, is headquartered in New Taipei City, Taiwan. The company focuses on the creation and distribution of consumer medical devices for in-home use. Its extensive portfolio encompasses various personal healthcare gad...

Avita Corporation Financial Statement Overview

Summary

Financial performance is mixed. The balance sheet is a fortress with minimal debt (D/E 0.03), but this is offset by severe operational deterioration. Profit margins have halved, and free cash flow is deeply negative at -$198M, indicating poor cash conversion and a high cash burn rate.

Income Statement

45Neutral

Balance Sheet

78Positive

Cash Flow

35Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	972.61M	936.39M	927.30M	879.08M	1.20B	2.33B
Gross Profit	306.90M	295.73M	254.59M	264.79M	356.81M	674.50M
EBITDA	160.85M	154.52M	125.63M	105.32M	206.71M	468.49M
Net Income	231.50M	93.19M	57.88M	42.72M	101.13M	315.47M
Balance Sheet
Total Assets	1.80B	1.35B	1.19B	1.24B	1.34B	1.69B
Cash, Cash Equivalents and Short-Term Investments	686.71M	432.71M	526.15M	540.24M	453.36M	365.43M
Total Debt	262.79M	31.89M	28.94M	46.16M	77.34M	299.55M
Total Liabilities	673.53M	358.63M	352.93M	350.80M	426.61M	742.75M
Stockholders Equity	1.13B	996.01M	838.11M	888.28M	911.18M	952.03M
Cash Flow
Free Cash Flow	-150.37M	-197.70M	108.73M	180.74M	425.19M	165.08M
Operating Cash Flow	69.42M	64.46M	192.52M	212.02M	490.50M	237.01M
Investing Cash Flow	-444.24M	-326.91M	-42.96M	-90.59M	-75.08M	-53.48M
Financing Cash Flow	133.31M	75.61M	-154.83M	-93.77M	-318.95M	-416.47M

Avita Corporation Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:4735 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:6649	64Neutral	TWD 1.50B	190.76	―	2.82%	-24.55%	-85.90%
TW:6637	62Neutral	TWD 1.46B	9.98	―	8.26%	-13.07%	-26.73%
TW:4161	61Neutral	TWD 1.23B	12.08	―	3.35%	7.54%	35.87%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:4735	54Neutral	TWD 1.41B	5.85	―	10.54%	4.61%	207.89%

* General Sector Average

Performance Comparison

TW:4735 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:4735	Avita Corporation	35.10	5.45	18.39%
TW:4161	Bioptik Technology, Inc.	20.90	-4.70	-18.36%
TW:6637	Medical Imaging Corp.	54.50	-22.08	-28.83%
TW:6649	Taiwan Biomaterial Co., Ltd.	35.50	-14.22	-28.61%
TW:6847	PuriBlood Medical Co.,Ltd.	68.00	-2.29	-3.25%
TW:6857	Acer Medical Inc.	89.90	-28.60	-24.14%

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

Avita Corporation AI Stock Analysis