Jinan Acetate Chemical Co., Ltd. (4763) AI Stock Analysis

Jinan Acetate Chemical Co., Ltd.

(TWSE:4763)

Select Model

Rating:73Outperform

Price Target:TWD 47.00▲(7.92% Upside)

Action:initiatedcoverage

Date:11/09/26

Jinan Acetate Chemical scores well on the strength of its financial profile: outstanding margins, zero debt, a 91% equity-funded balance sheet and 30% return on equity make it one of the financially sturdiest names in the chemicals sector. Valuation adds support, with a 10.1x P/E and a 7.2% dividend yield backed by positive free cash flow. The score is held back by a clear cyclical turn — revenue, earnings and operating cash flow all declined from 2024's record levels, with cash conversion falling below net income — and by weak technicals, as the stock trades under all major moving averages with negative MACD momentum, though oversold RSI and Stochastic readings hint at potential stabilization. Earnings call and corporate event data were unavailable and excluded, with their weight redistributed across the remaining components.

Positive Factors

Exceptional ProfitabilityExceptionally high net and EBIT margins indicate strong earnings power within the company’s chemical materials business. Their persistence across 2023–2025 suggests the profitability is not limited to a single reporting period, supporting reinvestment capacity and resilience over the next several quarters.

Negative Factors

Revenue ContractionThe return to revenue contraction after the sharp expansion of 2022–2023 indicates weakening demand, pricing, or end-market conditions for the company’s acetate-related products. If this persists, lower volume and operating leverage could pressure future earnings despite the current margin strength.

Jinan Acetate Chemical Co., Ltd. (4763) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 42.83B
Dividend Yield: 7.00%
Average Volume (3M): 6.86M
Price to Earnings (P/E): 10.5
Beta (1Y): 0.39
Revenue Growth: -36.33%
EPS Growth: -49.76%
Country: TW
Employees: 511
Sector: General
Sector Strength: 55
Industry: Chemicals

Jinan Acetate Chemical Co., Ltd. Business Overview & Revenue Model

Company Description

Jinan Acetate Chemical Co., Ltd., together with its subsidiaries, engages in the research and development, production, and sale of cellulose acetate, acetate tows, acetic anhydride, diacetate fiber filament, diacetate fiber tow, and other related pro...

Jinan Acetate Chemical Co., Ltd. Financial Statement Overview

Summary

Exceptional profitability and an essentially risk-free balance sheet, offset by a clear cyclical downturn. Gross margin of 58.6% and net margin of 45.7% remain far above chemical-industry norms, and the company is debt-free with equity funding 91% of assets and a 30.4% return on equity (balance sheet score 93). However, revenue fell to NT$13.2 billion from a record NT$15.7 billion and net income dropped about 27% to NT$6.0 billion (income statement score 79). Cash flow is the softest area (score 71): operating cash flow halved to NT$3.7 billion and covered only ~61% of net income, pointing to weaker earnings conversion, though free cash flow stayed solidly positive at NT$3.2 billion.

Income Statement

79Positive

Balance Sheet

93Very Positive

Cash Flow

71Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	10.77B	13.23B	15.71B	11.03B	4.27B	2.71B
Gross Profit	5.75B	7.75B	9.94B	6.89B	1.68B	815.09M
EBITDA	5.47B	7.72B	10.38B	6.43B	1.63B	535.08M
Net Income	4.13B	6.05B	8.34B	5.18B	1.25B	357.50M
Balance Sheet
Total Assets	24.23B	21.84B	20.98B	12.00B	5.41B	3.64B
Cash, Cash Equivalents and Short-Term Investments	15.42B	12.98B	14.40B	8.57B	2.01B	816.17M
Total Debt	399.00K	0	0	0	507.35M	1.45B
Total Liabilities	4.50B	1.77B	4.58B	1.68B	1.76B	2.00B
Stockholders Equity	19.55B	19.90B	16.22B	10.20B	3.51B	1.52B
Cash Flow
Free Cash Flow	2.12B	3.20B	5.50B	5.80B	958.81M	-73.74M
Operating Cash Flow	2.54B	3.70B	7.79B	6.25B	1.61B	455.15M
Investing Cash Flow	-4.51B	-3.87B	-2.42B	-684.81M	-240.34M	-690.17M
Financing Cash Flow	-2.54B	-4.67B	-531.80M	733.26M	-46.92M	60.90M

Jinan Acetate Chemical Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:4763 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:4763	73Outperform	TWD 42.98B	10.47	―	7.00%	-36.33%	-49.76%
TW:4766	72Outperform	TWD 41.72B	14.59	―	5.29%	2.93%	9.20%
TW:1773	70Outperform	TWD 44.70B	17.46	―	2.66%	19.58%	31.55%
TW:4772	68Neutral	TWD 32.12B	37.98	―	1.38%	163.69%	66.91%
TW:1409	57Neutral	TWD 36.07B	10.43	―	3.94%	-7.23%	195.60%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:1314	32Underperform	TWD 28.88B	-9.58	―	―	-34.68%	-40.38%

* General Sector Average

Performance Comparison

TW:4763 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:4763	Jinan Acetate Chemical Co., Ltd.	43.55	-8.99	-17.11%
TW:1314	China Petrochemical Development Corporation	7.56	-1.32	-14.86%
TW:1409	Shinkong Synthetic Fibers Corporation	22.85	8.11	54.97%
TW:1773	Shiny Chemical Industrial Co., Ltd.	150.50	10.72	7.67%
TW:4766	Nan Pao Resins Chemical Co. Ltd.	340.00	13.12	4.01%
TW:4772	Taiwan Speciality Chemicals Corporation	218.00	-77.33	-26.19%

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

Jinan Acetate Chemical Co., Ltd. AI Stock Analysis