WITS Corp. AI Stock Analysis
WITS Corp. (4953) AI Stock Analysis
WITS Corp.
(TPEx:4953)
The score is anchored by WITS' solid financial foundation: an effectively debt-free balance sheet, record net income of NT$618 million, revenue that has more than doubled since 2020, and consistently strong free cash flow conversion. Valuation reinforces the case, with an 11.3x P/E and a 4.7% dividend yield offering value and income in a low-beta name. The main drags are a persistent five-year compression in gross margin (25.8% to 16.6%) that raises questions about pricing power, a dip in cash generation despite record profits, and clearly negative technicals — the stock trades below all key moving averages with negative MACD, though its near-oversold RSI suggests downside momentum may be maturing.
WITS Corp. (4953) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 8.17B
- Dividend Yield
- 4.47%
- Average Volume (3M)
- 333.87K
- Price to Earnings (P/E)
- 10.9
- Beta (1Y)
- 0.78
- Revenue Growth
- 26.80%
- EPS Growth
- 60.84%
- Country
- TW
- Employees
- 2,012
- Sector
- General
- Sector Strength
- 55
- Industry
- Information Technology Services
WITS Corp. Business Overview & Revenue Model
Company Description
WITS Corp. specializes in providing a comprehensive range of information technology (IT) services, including system implementation, expert consulting, and various outsourcing solutions. The company also assists clients with product globalization, ens...
WITS Corp. Financial Statement Overview
Summary
WITS combines strong growth with a very conservative financial structure. Revenue has more than doubled since 2020 to NT$11.6 billion (+13% in the latest year) and net income hit a record NT$618 million (+36%). The balance sheet is the standout: total debt of just NT$89 million against NT$4.18 billion of equity (roughly 2% debt-to-equity), with equity funding about 65% of assets and ROE recovering to 14.8%. Cash generation is capital-light and reliably positive, with free cash flow of NT$487 million representing about 96% conversion of operating cash. Offsetting these strengths, gross margin has compressed every year from 25.8% to 16.6% and net margin from 9.1% to 5.3%, signalling limited pricing power, while operating and free cash flow both declined this year as working capital absorbed cash, leaving free cash flow at only about 79% of reported profit.
Income Statement
68PositiveBalance Sheet
83Very PositiveCash Flow
65Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 13.26B | 11.60B | 10.27B | 8.84B | 7.95B | 6.18B |
| Gross Profit | 2.09B | 1.92B | 1.76B | 1.76B | 1.67B | 1.44B |
| EBITDA | 925.11M | 786.25M | 583.83M | 753.13M | 734.32M | 605.50M |
| Net Income | 728.12M | 618.13M | 454.75M | 587.97M | 554.20M | 455.63M |
Balance Sheet | ||||||
| Total Assets | 6.77B | 6.39B | 5.64B | 5.24B | 4.56B | 4.02B |
| Cash, Cash Equivalents and Short-Term Investments | 1.32B | 1.74B | 1.60B | 1.38B | 1.18B | 877.25M |
| Total Debt | 221.71M | 89.46M | 80.89M | 92.49M | 247.48M | 224.92M |
| Total Liabilities | 2.67B | 2.21B | 1.82B | 1.71B | 1.76B | 1.56B |
| Stockholders Equity | 4.09B | 4.18B | 3.82B | 3.52B | 2.80B | 2.46B |
Cash Flow | ||||||
| Free Cash Flow | 368.25M | 487.11M | 532.90M | 281.60M | 539.61M | -21.95M |
| Operating Cash Flow | 413.75M | 504.83M | 563.63M | 297.03M | 565.81M | 52.68M |
| Investing Cash Flow | -66.34M | -28.84M | -35.36M | -28.46M | -27.20M | -79.36M |
| Financing Cash Flow | -400.35M | -330.14M | -354.95M | -67.33M | -256.52M | -256.14M |
WITS Corp. Peers Comparison
Overall Rating
- TW:495368Neutral
TW:623166Neutral
TW:241459Neutral
TW:328955Neutral
TW:159539Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:4953 | 68Neutral | TWD 8.45B | 10.86 | ― | 4.47% | 26.80% | 60.84% |
| TW:6231 | 66Neutral | TWD 8.86B | 26.09 | ― | 2.91% | 10.60% | 16.32% |
| TW:2414 | 59Neutral | TWD 8.50B | 10.81 | ― | 6.22% | 35.65% | 43.54% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| TW:3289 | 55Neutral | TWD 9.76B | 25.00 | ― | 4.22% | -1.90% | -10.19% |
| TW:1595 | 39Underperform | TWD 3.65B | -42.76 | ― | 0.73% | 22.29% | 20.09% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:4953 | WITS Corp. | 115.00 | -6.30 | -5.19% | |
| TW:1595 | Chime Ball Technology Co., Ltd. | 64.40 | 27.33 | 73.74% | |
| TW:2414 | Unitech Computer Co., Ltd. | 48.00 | 8.94 | 22.88% | |
| TW:3289 | Integrated Service Technology Inc. | 119.00 | 17.36 | 17.08% | |
| TW:6231 | Insyde Software Corp. | 196.00 | -13.36 | -6.38% | |
| TW:7735 | Taiwan AI Cloud Corporation | 179.00 | -171.00 | -48.86% |
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