Soft-World International Corp. (5478) AI Stock Analysis

Soft-World International Corp.

(TPEx:5478)

Select Model

Rating:72.5Outperform

Price Target:TWD 105.00▲(9.49% Upside)

Action:initiatedcoverage

Date:11/10/26

The overall score of 72.5 reflects a company with robust financial fundamentals and attractive valuation, weighed down by very weak near-term technical momentum. The primary strengths are the fortress-like balance sheet, excellent cash flow conversion, and a high dividend yield supported by a low P/E ratio. The most significant risk is the deeply bearish technical picture, with the stock in a clear downtrend and oversold, which could signal further short-term price weakness despite the strong underlying business.

Positive Factors

High ProfitabilityThe company converts revenue into substantial gross, operating, and net profit, demonstrating a resilient earnings model. These margins provide room to fund operations, absorb moderate business volatility, and sustain investment or shareholder distributions over the next several quarters.

Negative Factors

Uneven Revenue GrowthChoppy revenue performance indicates that recent earnings strength relies more on margins than consistent expansion of the top line. Continued uneven demand would make growth harder to forecast and could eventually limit operating leverage, reinvestment capacity, and earnings compounding.

Soft-World International Corp. (5478) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 14.44B
Dividend Yield: 7.82%
Average Volume (3M): 62.30K
Price to Earnings (P/E): 11.3
Beta (1Y): 0.34
Revenue Growth: 11.09%
EPS Growth: 27.96%
Country: TW
Employees: 1,776
Sector: General
Sector Strength: 55
Industry: Electronic Gaming & Multimedia

Soft-World International Corp. Business Overview & Revenue Model

Company Description

Soft-World International Corporation, along with its affiliated companies, is actively involved in the creation, management, and dissemination of video games across Taiwan and mainland China. The firm provides a comprehensive suite of services, inclu...

Soft-World International Corp. Financial Statement Overview

Summary

The company demonstrates high-quality financial health. The balance sheet is exceptionally strong with negligible debt, and cash flow generation is excellent, converting nearly all profits into free cash flow. Profitability is improving with expanding net margins, though top-line revenue growth remains inconsistent.

Income Statement

78Positive

Balance Sheet

92Very Positive

Cash Flow

85Very Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.97B	6.52B	6.77B	6.25B	6.10B	6.60B
Gross Profit	3.80B	3.48B	3.60B	3.22B	3.29B	3.32B
EBITDA	1.26B	1.25B	1.57B	1.24B	1.19B	1.21B
Net Income	1.27B	1.19B	1.14B	859.83M	836.42M	829.93M
Balance Sheet
Total Assets	20.09B	19.68B	19.47B	16.93B	16.81B	15.41B
Cash, Cash Equivalents and Short-Term Investments	13.44B	12.56B	11.91B	12.59B	12.41B	11.24B
Total Debt	67.70M	60.38M	56.34M	58.66M	64.30M	36.04M
Total Liabilities	10.09B	9.49B	8.47B	8.75B	8.82B	7.73B
Stockholders Equity	8.72B	8.93B	9.80B	6.99B	6.79B	6.50B
Cash Flow
Free Cash Flow	2.89B	1.89B	1.31B	635.89M	1.56B	1.43B
Operating Cash Flow	2.92B	1.91B	1.33B	676.63M	1.63B	1.47B
Investing Cash Flow	-1.48B	-314.10M	-1.14B	-9.13M	-1.22B	-1.07B
Financing Cash Flow	-1.16B	-1.18B	-1.40B	-1.00B	-682.21M	-767.57M

Soft-World International Corp. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:5478 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:6788	78Outperform	TWD 11.70B	13.82	―	5.12%	20.87%	29.63%
TW:6183	76Outperform	TWD 13.28B	18.43	―	3.97%	10.41%	26.62%
TW:8099	75Outperform	TWD 15.06B	46.75	―	1.27%	27.23%	58.65%
TW:5478	73Outperform	TWD 14.20B	11.29	―	7.82%	11.09%	27.96%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

TW:5478 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:5478	Soft-World International Corp.	95.90	4.21	4.59%
TW:6183	Trade-Van Information Services Co.	89.40	-2.32	-2.53%
TW:6788	Brillian Network & Automation Integrated System Co., Ltd.	293.00	79.79	37.42%
TW:6962	ITH Corporation	30.65	-10.73	-25.93%
TW:7781	TPIsoftware Corp.	19.55	14.48	285.98%
TW:8099	Tatung System Technologies Inc.	165.50	96.26	139.03%

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

Soft-World International Corp. AI Stock Analysis