Eastech Holding Limited (5225) AI Stock Analysis

Eastech Holding Limited

(TWSE:5225)

Select Model

Rating:62Neutral

Price Target:TWD 51.00▲(17.51% Upside)

Action:initiatedcoverage

Date:11/10/26

The overall score reflects a company with strong fundamentals and attractive valuation that is under severe technical pressure. The primary strengths are a rock-solid balance sheet and a very low P/E ratio with a high dividend yield. However, the score is significantly weighed down by extremely weak technical momentum and a concerning divergence in cash flow quality, where reported profits are not translating into cash from operations. The stock appears fundamentally cheap but is in a strong downtrend, presenting a high-risk, high-potential-reward profile.

Positive Factors

Low Leverage and Strong ROEVery low leverage gives Eastech financial flexibility and reduces the burden of interest and refinancing obligations. Strong recent returns on equity indicate that the company is using its capital productively, supporting resilience and the ability to fund operations through changing conditions.

Negative Factors

Revenue Volatility and DeclineUnstable revenue performance makes future operating results less predictable and can limit the company’s ability to leverage its improved margins. The latest contraction indicates that demand has not established a dependable growth path, increasing the risk of uneven earnings over the next several quarters.

Eastech Holding Limited (5225) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 3.42B
Dividend Yield: 16.61%
Average Volume (3M): 248.10K
Price to Earnings (P/E): 13.9
Beta (1Y): 0.74
Revenue Growth: -8.09%
EPS Growth: -73.34%
Country: TW
Employees: 1,617
Sector: General
Sector Strength: 55
Industry: Consumer Electronics

Eastech Holding Limited Business Overview & Revenue Model

Company Description

Eastech Holding Limited, together with its subsidiaries, researches, develops, designs, assembles, manufactures, and sells speakers, speaker systems, home electronic entertainment system, and earphones in South Korea, Japan, Sweden, China, Denmark, a...

Eastech Holding Limited Financial Statement Overview

Summary

Strong profitability and a pristine balance sheet are offset by weak cash conversion. The income statement shows solid margins, and the balance sheet is a fortress with minimal debt and high ROE. However, the cash flow score is low due to a sharp decline in free cash flow and a very low cash conversion ratio, indicating potential earnings quality issues.

Income Statement

72Positive

Balance Sheet

88Very Positive

Cash Flow

45Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	10.80B	11.04B	12.41B	10.64B	12.81B	9.41B
Gross Profit	1.61B	1.81B	2.14B	1.65B	1.48B	766.26M
EBITDA	736.45M	988.60M	1.31B	752.23M	605.12M	24.03M
Net Income	522.10M	799.81M	952.62M	533.31M	369.80M	367.49M
Balance Sheet
Total Assets	6.52B	6.59B	7.31B	6.01B	5.74B	6.34B
Cash, Cash Equivalents and Short-Term Investments	898.45M	1.80B	2.59B	2.19B	1.29B	571.73M
Total Debt	240.41M	291.29M	164.49M	308.15M	408.94M	1.47B
Total Liabilities	3.35B	3.08B	3.69B	3.16B	3.49B	4.68B
Stockholders Equity	3.17B	3.51B	3.62B	2.85B	2.25B	1.66B
Cash Flow
Free Cash Flow	-514.15M	113.86M	785.96M	1.11B	759.30M	-1.10B
Operating Cash Flow	-282.99M	382.24M	974.88M	1.17B	874.78M	-898.35M
Investing Cash Flow	-220.96M	-252.16M	-171.48M	-38.16M	820.52M	390.08M
Financing Cash Flow	-621.75M	-829.12M	-533.85M	-169.16M	-1.14B	-66.89M

Eastech Holding Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:5225 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:6201	72Outperform	TWD 4.11B	12.35	―	6.64%	-4.99%	-16.25%
TW:3046	71Outperform	TWD 3.95B	10.06	―	5.98%	31.68%	27.27%
TW:5225	62Neutral	TWD 3.37B	13.87	―	16.61%	-8.09%	-73.34%
TW:2477	56Neutral	TWD 3.38B	28.31	―	6.57%	6.09%	-56.35%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:2405	44Neutral	TWD 4.72B	700.50	―	0.71%	9.38%	―
TW:6743	42Neutral	TWD 4.44B	26.67	―	10.14%	-11.91%	-10.04%

* General Sector Average

Performance Comparison

TW:5225 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:5225	Eastech Holding Limited	43.40	-49.05	-53.05%
TW:2405	Shuttle Inc.	14.15	-3.45	-19.59%
TW:2477	Meiloon Industrial Co., Ltd.	21.30	-2.46	-10.35%
TW:3046	Aopen Incorporated	50.20	4.02	8.69%
TW:6201	Ya Horng Electronic Co.,Ltd	46.70	-6.33	-11.94%
TW:6743	Ampacs Corporation	29.60	3.56	13.68%

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 10, 2026

Eastech Holding Limited AI Stock Analysis