L&K Engineering Co. Ltd. AI Stock Analysis
L&K Engineering Co. Ltd. (6139) AI Stock Analysis
L&K Engineering Co. Ltd.
(TWSE:6139)
L&K Engineering scores well overall on the strength of outstanding fundamentals: five-fold revenue growth since 2020, steadily expanding margins, a 36.7% return on equity, minimal debt, and NT$23.2 billion of operating cash flow that comfortably exceeds reported profit. A low P/E of 11.5 paired with a 4.3% dividend yield adds further support. The score is held back by a markedly weak technical backdrop — the stock trades well below all major moving averages with deeply negative MACD — and by the cyclical nature of project-based engineering, where a thin equity cushion against large contract liabilities and peak-cycle margins leave the company exposed to any slowdown in capital spending.
L&K Engineering Co. Ltd. (6139) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 147.24B
- Dividend Yield
- 3.81%
- Average Volume (3M)
- 2.38M
- Price to Earnings (P/E)
- 12.2
- Beta (1Y)
- 1.36
- Revenue Growth
- 67.60%
- EPS Growth
- 136.83%
- Country
- TW
- Employees
- 1,770
- Sector
- General
- Sector Strength
- 55
- Industry
- Engineering & Construction
L&K Engineering Co. Ltd. Business Overview & Revenue Model
Company Description
L&K Engineering Co., Ltd. provides turnkey engineering services in Taiwan, Hongkong, and internationally. It installs pipes, heating and air conditioning systems; wholesale and retail of medical equipment; imports, exports, customer development and a...
L&K Engineering Co. Ltd. Financial Statement Overview
Summary
Exceptional across all three statements. Revenue has grown more than five-fold since 2020 to NT$77.5 billion, with gross margin widening from 5.8% to 15.8% and net income reaching NT$7.14 billion (up ~65% in the latest year). Debt-to-equity has fallen to just 0.12 and return on equity is outstanding at 36.7%. Operating cash flow of NT$23.2 billion far exceeds net income, with nearly all converting to free cash flow. Offsetting this, growth is decelerating from its prior extraordinary pace, the equity cushion is thin relative to a NT$83.4 billion asset base dominated by contract liabilities, and both elevated margins and cash inflows depend on a continued heavy flow of large capital projects.
Income Statement
90Very PositiveBalance Sheet
80PositiveCash Flow
92Very Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 96.36B | 77.48B | 65.09B | 56.90B | 35.74B | 23.75B |
| Gross Profit | 18.73B | 12.27B | 8.12B | 5.16B | 2.74B | 1.40B |
| EBITDA | 16.72B | 10.27B | 7.54B | 4.84B | 1.93B | 628.43M |
| Net Income | 11.69B | 7.14B | 4.34B | 2.89B | 999.14M | 321.40M |
Balance Sheet | ||||||
| Total Assets | 120.52B | 83.38B | 60.50B | 54.36B | 49.02B | 32.24B |
| Cash, Cash Equivalents and Short-Term Investments | 43.87B | 48.22B | 28.05B | 17.17B | 14.71B | 7.90B |
| Total Debt | 2.62B | 2.33B | 1.84B | 2.64B | 5.32B | 5.16B |
| Total Liabilities | 91.54B | 56.68B | 39.96B | 38.79B | 36.21B | 20.85B |
| Stockholders Equity | 20.70B | 19.46B | 14.59B | 10.93B | 8.70B | 7.79B |
Cash Flow | ||||||
| Free Cash Flow | 14.54B | 23.00B | 12.43B | 5.57B | 7.39B | 1.26B |
| Operating Cash Flow | 14.71B | 23.22B | 12.54B | 5.61B | 7.56B | 1.34B |
| Investing Cash Flow | -2.73B | -715.48M | -678.79M | 962.99M | -1.58B | 624.60M |
| Financing Cash Flow | -3.13B | -2.52B | -2.23B | -3.10B | -362.01M | -614.40M |
L&K Engineering Co. Ltd. Peers Comparison
Overall Rating
TW:240481.1Outperform
TW:543474Outperform- TW:613973Outperform
TW:669171Outperform
TW:553669Neutral
TW:619659Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:2404 | 81Outperform | TWD 180.68B | 14.29 | ― | 4.22% | 71.98% | 76.08% |
| TW:5434 | 74Outperform | TWD 97.59B | 16.18 | ― | 2.67% | 21.35% | 55.48% |
| TW:6139 | 73Outperform | TWD 142.05B | 12.25 | ― | 3.81% | 67.60% | 136.83% |
| TW:6691 | 71Outperform | TWD 75.85B | 18.05 | ― | 3.70% | 92.72% | 86.13% |
| TW:5536 | 69Neutral | TWD 89.71B | 16.27 | ― | 2.77% | 25.59% | 38.05% |
| TW:6196 | 59Neutral | TWD 92.54B | 19.31 | ― | 1.54% | 86.15% | 58.05% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:6139 | L&K Engineering Co. Ltd. | 603.00 | 199.91 | 49.59% | |
| TW:2404 | United Integrated Services Co., Ltd. | 948.00 | 152.56 | 19.18% | |
| TW:5434 | Topco Scientific Co., Ltd. | 503.00 | 199.02 | 65.47% | |
| TW:5536 | Acter Group Corporation Limited | 723.00 | 51.55 | 7.68% | |
| TW:6196 | Marketech International Corp. | 420.00 | 177.92 | 73.50% | |
| TW:6691 | YANKEY ENGINEERING Co. LTD. | 568.00 | 175.49 | 44.71% |
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