Spectrum Electrics Corporation (5381) AI Stock Analysis

Spectrum Electrics Corporation

(TPEx:5381)

Select Model

Rating:49Neutral

Price Target:TWD 18.00▼(-6.74% Downside)

Action:initiatedcoverage

Date:11/10/26

Financial performance is the primary driver, with profitability gains offset by leverage and negative free cash flow. Bearish technical momentum adds downward pressure, while valuation offers moderate support.

Positive Factors

Improved Operating ProfitabilityThe shift from very thin earlier profits to healthy gross and operating margins indicates that the business has improved its operating economics. If these margins remain resilient, they can provide greater earnings capacity and support reinvestment even as revenue conditions fluctuate over the next several quarters.

Negative Factors

Revenue and Net Income DeclineThe sharp 2025 revenue contraction and lower net income weaken confidence in the durability of the recent profitability improvement. If demand or project-cycle volatility persists, declining sales could reduce operating leverage and make it harder for the company to sustain margins and earnings through the next several quarters.

Spectrum Electrics Corporation (5381) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 4.00B
Dividend Yield: ―
Average Volume (3M): 524.97K
Price to Earnings (P/E): 25.4
Beta (1Y): 0.66
Revenue Growth: -7.01%
EPS Growth: -32.51%
Country: TW
Employees: 250
Sector: General
Sector Strength: 55
Industry: Industrial - Machinery

Spectrum Electrics Corporation Business Overview & Revenue Model

Company Description

Spectrum Electrics Corporation, founded on September 6, 1991, and based in Taoyuan, Taiwan, specializes in the production, processing, and distribution of several key product lines. These include multi-laminated substrates, along with lubricating alu...

Spectrum Electrics Corporation Financial Statement Overview

Summary

Revenue growth and margin improvements noted, but high debt and negative free cash flow pose risks.

Income Statement

68Positive

Balance Sheet

47Neutral

Cash Flow

39Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.06B	2.20B	2.33B	1.19B	323.26M	387.23M
Gross Profit	555.42M	558.35M	516.06M	202.45M	88.48M	107.63M
EBITDA	372.07M	359.27M	371.06M	96.87M	38.09M	35.37M
Net Income	164.62M	173.72M	199.80M	9.93M	17.32M	12.90M
Balance Sheet
Total Assets	5.13B	4.92B	3.31B	3.44B	886.20M	808.35M
Cash, Cash Equivalents and Short-Term Investments	648.76M	463.59M	420.77M	308.09M	319.33M	491.52M
Total Debt	2.24B	2.09B	666.93M	1.18B	47.66M	61.11M
Total Liabilities	2.75B	2.60B	1.16B	2.16B	74.16M	88.49M
Stockholders Equity	2.31B	2.26B	2.09B	1.23B	812.04M	719.86M
Cash Flow
Free Cash Flow	-963.55M	-804.90M	346.13M	-32.51M	65.49M	-9.74M
Operating Cash Flow	281.23M	423.27M	382.33M	-21.83M	67.85M	-4.57M
Investing Cash Flow	-1.33B	-1.82B	-438.05M	-723.69M	-128.84M	2.91M
Financing Cash Flow	1.11B	1.40B	192.87M	693.95M	-14.21M	-13.17M

Spectrum Electrics Corporation Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:5381 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:5426	53Neutral	TWD 3.86B	44.45	―	1.07%	7.49%	-46.09%
TW:5457	49Neutral	TWD 3.81B	-283.38	―	7.73%	-8.17%	-103.95%
TW:5381	49Neutral	TWD 3.86B	25.43	―	―	-7.01%	-32.51%
TW:3236	45Neutral	TWD 4.25B	56.93	―	1.21%	21.97%	203.91%
TW:6108	45Neutral	TWD 5.02B	198.38	―	2.80%	22.89%	―
TW:6126	44Neutral	TWD 3.40B	37.25	―	2.34%	43.73%	-23.83%

* General Sector Average

Performance Comparison

TW:5381 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:5381	Spectrum Electrics Corporation	19.30	-9.23	-32.35%
TW:3236	ABC Taiwan Electronics Corp.	41.35	15.55	60.26%
TW:5426	Cheng Fwa Industrial Co., Ltd.	28.05	7.77	38.33%
TW:5457	Speed Tech Corp.	19.40	-20.41	-51.27%
TW:6108	APCB Inc.	35.75	22.64	172.65%
TW:6126	Singatron Enterprise Co. Ltd.	25.60	-5.47	-17.61%

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

Spectrum Electrics Corporation AI Stock Analysis