Sunfon Construction Co., Ltd. (5514) AI Stock Analysis

Sunfon Construction Co., Ltd.

(TPEx:5514)

Select Model

Rating:40Underperform

Price Target:TWD 13.00▼(-2.26% Downside)

Action:initiatedcoverage

Date:11/10/26

The score is driven primarily by severe financial weakness, including collapsing revenue, recurring losses, and persistent negative cash flow. Bearish technical positioning and a high P/E ratio further weigh on the result, while oversold momentum signals provide only limited support.

Positive Factors

Integrated Construction ServicesCoverage from construction execution through completion and handover gives Sunfon an integrated contracting model. This can support client relationships, project continuity, and repeatable delivery capabilities across building and civil engineering work over the medium term.

Negative Factors

Severe Revenue CollapseThe approximately 99% revenue collapse exposes substantial earnings volatility and makes recent profitability difficult to sustain. The simultaneous move into large operating and net losses indicates that fixed costs did not adjust quickly enough, increasing the risk of weak results over coming quarters.

Sunfon Construction Co., Ltd. (5514) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 2.96B
Dividend Yield: ―
Average Volume (3M): 27.57K
Price to Earnings (P/E): 53.6
Beta (1Y): 0.08
Revenue Growth: -1.23%
EPS Growth: -28.46%
Country: TW
Employees: 20
Sector: General
Sector Strength: 55
Industry: Real Estate - Services

Sunfon Construction Co., Ltd. Business Overview & Revenue Model

Company Description

Sunfon Construction Co., Ltd., founded in Taipei, Taiwan, in 1977, is primarily involved in the complete property lifecycle for both residential and commercial real estate. This encompasses developing, constructing, and marketing various types of bui...

Sunfon Construction Co., Ltd. Financial Statement Overview

Summary

Severe financial weakness: revenue fell 99.2% in 2025, EBIT, EBITDA, and net income were negative, and operating and free cash flow were negative in every reported year. Equity and assets provide some stability, but leverage is rising and the underlying financial risk is substantial.

Income Statement

8Very Negative

Balance Sheet

53Neutral

Cash Flow

6Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	676.50M	5.78M	684.94M	478.48M	6.94M	5.65M
Gross Profit	122.45M	4.17M	162.75M	97.50M	5.21M	3.81M
EBITDA	87.26M	-23.83M	126.06M	54.99M	-14.55M	2.64M
Net Income	56.15M	-29.93M	84.86M	28.93M	-13.91M	-7.36M
Balance Sheet
Total Assets	7.37B	6.74B	5.96B	5.39B	4.66B	4.37B
Cash, Cash Equivalents and Short-Term Investments	389.60M	593.39M	1.05B	454.55M	895.65M	1.04B
Total Debt	2.72B	2.39B	1.74B	1.15B	842.75M	710.59M
Total Liabilities	3.94B	3.62B	2.86B	2.51B	1.93B	1.52B
Stockholders Equity	3.42B	3.12B	3.10B	2.88B	2.72B	2.85B
Cash Flow
Free Cash Flow	-174.13M	-818.56M	-702.92M	-241.66M	-518.33M	-179.45M
Operating Cash Flow	-445.81M	-818.56M	-702.92M	-240.75M	-518.33M	-179.37M
Investing Cash Flow	49.53M	23.67M	12.75M	175.96M	104.65M	162.44M
Financing Cash Flow	581.01M	532.63M	607.89M	205.68M	118.74M	230.24M

Sunfon Construction Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:5514 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:2596	59Neutral	TWD 3.19B	7.10	―	4.63%	21.22%	121.65%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:2506	43Neutral	TWD 2.98B	22.12	―	2.43%	16.90%	―
TW:5514	40Underperform	TWD 3.02B	53.63	―	―	-1.23%	-28.46%
TW:2509	37Underperform	TWD 2.89B	135.93	―	―	445.07%	―
TW:2537	36Underperform	TWD 3.28B	27.22	―	―	62.26%	-41.64%

* General Sector Average

Performance Comparison

TW:5514 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:5514	Sunfon Construction Co., Ltd.	13.30	-3.70	-21.76%
TW:2506	Pacific Construction Co., Ltd.	8.22	-1.15	-12.32%
TW:2509	Chainqui Construction Development Co., Ltd.	12.90	-1.90	-12.84%
TW:2537	We & Win Development Co., Ltd	10.95	0.15	1.39%
TW:2596	Realy Development & Construction Corp.	32.40	3.86	13.51%
TW:7949	Yao Kuan Construction Co., Ltd.	56.20	29.15	107.76%

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

Sunfon Construction Co., Ltd. AI Stock Analysis