Genesis Technology, Inc. (Taiwan) (6221) AI Stock Analysis

Genesis Technology, Inc. (Taiwan)

(TPEx:6221)

Select Model

Rating:75Outperform

Price Target:TWD 42.00▼(-4.33% Downside)

Action:initiatedcoverage

Date:11/09/26

Genesis Technology scores well on financial strength and price trend. The standout positives are a virtually debt-free balance sheet, equity that has more than doubled since 2020, and nearly NT$1 billion of free cash flow in fiscal 2025 with outstanding earnings-to-cash conversion. Technically, the stock is in a well-established uptrend, trading above all key moving averages with positive MACD momentum and neutral (not overbought) oscillator readings. Offsetting these strengths, the income statement is the weak point: revenue has plateaued around NT$5.3 billion and margins compressed across gross, operating and net lines, dragging profit and return on equity lower. Valuation is fair at an 18x P/E with a supportive 3.2% dividend yield, but with the shares well above their long-term averages, further upside likely depends on restoring top-line growth and stabilising margins.

Positive Factors

Near-zero leverage and expanding equityThe near-elimination of leverage materially improves financial flexibility and reduces the burden of interest and refinancing obligations. Continued equity growth also provides a stronger capital base, supporting resilience and the ability to fund operations or future investment through changing business conditions.

Negative Factors

Declining revenue trendThe recent decline in revenue points to weaker demand or business activity and limits operating leverage. If the top-line contraction persists, it could constrain investment, reduce the scale benefits supporting profitability, and make it harder for earnings to compound over the next several quarters.

Genesis Technology, Inc. (Taiwan) (6221) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 7.06B
Dividend Yield: 2.73%
Average Volume (3M): 3.29M
Price to Earnings (P/E): 19.9
Beta (1Y): 0.29
Revenue Growth: -23.77%
EPS Growth: -13.64%
Country: TW
Employees: 164
Sector: General
Sector Strength: 55
Industry: Information Technology Services

Genesis Technology, Inc. (Taiwan) Business Overview & Revenue Model

Company Description

Genesis Technology, Inc., along with its affiliated entities, delivers a full spectrum of information system integration services and IT solutions throughout Taiwan. Their core activities involve the distribution, implementation, and ongoing maintena...

Genesis Technology, Inc. (Taiwan) Financial Statement Overview

Summary

A strong balance sheet (84) anchors the profile: Genesis Technology is effectively debt-free, with total debt of just NT$18 million against NT$3.13 billion of equity, after sharply deleveraging from 2020-2023 levels. Cash generation (76) was excellent in fiscal 2025, with operating cash flow up ~35% to NT$980 million and free cash flow of NT$967 million on minimal capex, converting ~99% of operating cash and covering net income ~2.4x. The weak link is the income statement (63): revenue has plateaued near NT$5.3 billion (+2%), while gross margin fell to 20.3% from 23.1% and net margin to 7.4%, cutting net income ~10% to NT$395 million and pushing return on equity down to 12.6%. Historically lumpy, working-capital-driven cash flow swings add some earnings volatility risk, though solvency risk is very low.

Income Statement

63Positive

Balance Sheet

84Very Positive

Cash Flow

76Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.47B	5.34B	5.22B	5.47B	5.16B	3.93B
Gross Profit	1.03B	1.09B	1.20B	1.05B	1.01B	777.70M
EBITDA	503.99M	540.94M	607.00M	429.30M	481.12M	316.27M
Net Income	395.31M	395.37M	437.44M	289.79M	327.19M	210.92M
Balance Sheet
Total Assets	6.48B	5.67B	5.48B	5.49B	4.84B	3.57B
Cash, Cash Equivalents and Short-Term Investments	3.55B	3.31B	2.37B	2.24B	1.29B	1.49B
Total Debt	6.43M	18.10M	6.81M	996.02M	902.61M	713.41M
Total Liabilities	3.43B	2.54B	2.70B	3.39B	3.02B	2.04B
Stockholders Equity	3.04B	3.13B	2.77B	2.09B	1.81B	1.53B
Cash Flow
Free Cash Flow	615.57M	966.53M	614.65M	909.73M	-291.11M	580.88M
Operating Cash Flow	629.60M	980.29M	724.98M	921.36M	-282.38M	591.60M
Investing Cash Flow	-488.71M	-153.15M	-35.48M	-52.18M	-75.86M	40.95M
Financing Cash Flow	-11.18M	-2.57M	-810.73M	14.62M	133.58M	-116.33M

Genesis Technology, Inc. (Taiwan) Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:6221 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:6221	75Outperform	TWD 6.97B	19.91	―	2.73%	-23.77%	-13.64%
TW:3694	67Neutral	TWD 6.47B	10.10	―	5.69%	15.44%	18.33%
TW:2397	56Neutral	TWD 6.35B	16.95	―	4.31%	16.92%	-16.99%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:3558	45Neutral	TWD 6.20B	50.48	―	2.90%	-3.32%	-69.25%
TW:3062	43Neutral	TWD 6.39B	-9.39	―	―	-1.21%	-212.49%
TW:8234	43Neutral	TWD 7.22B	81.22	―	0.77%	4.36%	-21.02%

* General Sector Average

Performance Comparison

TW:6221 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:6221	Genesis Technology, Inc. (Taiwan)	43.90	13.14	42.72%
TW:2397	DFI Inc.	56.90	-2.56	-4.30%
TW:3062	CyberTAN Technology, Inc.	18.60	-7.60	-29.01%
TW:3558	Senao Networks, Inc.	103.50	-30.83	-22.95%
TW:3694	AzureWave Technologies, Inc.	40.45	-23.47	-36.72%
TW:8234	Nexcom International Co., Ltd.	51.70	-22.64	-30.46%

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 09, 2026

Genesis Technology, Inc. (Taiwan) AI Stock Analysis