Shun On Electronic Co., Ltd. (6283) AI Stock Analysis

Shun On Electronic Co., Ltd.

(TWSE:6283)

Select Model

Rating:47Neutral

Price Target:TWD 18.50▲(2.78% Upside)

Action:initiatedcoverage

Date:11/09/26

Shun On Electronic scores below average, driven primarily by persistent operating losses despite a rebound in revenue and a doubling of gross margin since 2023. The offsetting strengths are a conservatively financed balance sheet with debt-to-equity of just 0.07 and a sharp swing to positive operating and free cash flow in 2025, which buy management time to execute. Technicals add caution, with the price trading below its 50-, 100- and 200-day averages and negative MACD indicating a prevailing downtrend. Valuation provides little cushion given the negative P/E and absence of a dividend. Confirmation that margin gains are carrying through to sustained operating profit and repeat positive free cash flow would be needed to justify a higher score.

Positive Factors

Conservative Balance SheetA large equity base and low leverage reduce refinancing and solvency risk, giving Shun On greater resilience through weaker operating periods. This financial flexibility can also preserve capacity for investment and working-capital needs without relying heavily on additional borrowing.

Negative Factors

Inconsistent ProfitabilityRecurring losses and the 2025 return to a net loss show that revenue has not translated into dependable shareholder returns. This weakens the durability of earnings, limits internally funded growth, and leaves future performance more dependent on operational improvement.

Shun On Electronic Co., Ltd. (6283) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 2.57B
Dividend Yield: ―
Average Volume (3M): 87.42K
Price to Earnings (P/E): -69.8
Beta (1Y): 0.63
Revenue Growth: 10.14%
EPS Growth: -154.85%
Country: TW
Employees: 1,138
Sector: General
Sector Strength: 55
Industry: Hardware, Equipment & Parts

Shun On Electronic Co., Ltd. Business Overview & Revenue Model

Company Description

Shun On Electronic Co., Ltd., established in Taipei, Taiwan, in 1996, is a prominent manufacturer and international supplier primarily engaged in the production and distribution of computer components. The company's diverse portfolio includes special...

Shun On Electronic Co., Ltd. Financial Statement Overview

Summary

A turnaround in progress with mixed evidence. The balance sheet is the standout strength (score 71): equity funds about 65% of assets, total borrowings were cut to roughly NT$110 million from NT$408 million, and debt-to-equity fell to 0.07, giving ample flexibility. Cash flow improved markedly (score 60), with operating cash flow swinging to about NT$208 million and free cash flow to roughly NT$127 million, though prior years were consistently negative. The income statement remains the weak link (score 33): revenue is recovering to about NT$1.85 billion and gross margin has expanded from 6.9% to 15.9% over two years, but the company posted an operating loss in every year shown, a net loss of about NT$32 million in 2025, and negative return on equity of roughly -1.9%.

Income Statement

33Negative

Balance Sheet

71Positive

Cash Flow

60Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.90B	1.85B	1.61B	1.29B	1.73B	2.54B
Gross Profit	305.21M	293.82M	152.88M	88.96M	122.65M	292.78M
EBITDA	77.65M	67.10M	258.62M	-97.27M	17.05M	31.78M
Net Income	-37.50M	-32.03M	112.67M	-175.06M	-90.65M	-59.37M
Balance Sheet
Total Assets	2.70B	2.58B	3.02B	2.61B	2.96B	2.99B
Cash, Cash Equivalents and Short-Term Investments	934.90M	806.02M	913.49M	976.22M	912.94M	1.17B
Total Debt	253.59M	110.44M	408.31M	432.01M	440.05M	464.01M
Total Liabilities	807.23M	661.18M	1.03B	830.33M	975.78M	962.74M
Stockholders Equity	1.64B	1.67B	1.74B	1.55B	1.73B	1.81B
Cash Flow
Free Cash Flow	-15.17M	126.91M	-85.35M	18.97M	-231.47M	-357.34M
Operating Cash Flow	75.25M	207.97M	-34.37M	40.52M	-58.41M	-185.91M
Investing Cash Flow	-50.54M	140.43M	215.88M	136.12M	95.44M	-148.57M
Financing Cash Flow	6.22M	-261.54M	-307.58M	-11.10M	-52.93M	132.62M

Shun On Electronic Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:6283 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:3332	77Outperform	TWD 2.88B	15.19	―	3.34%	16.93%	34.17%
TW:8049	66Neutral	TWD 2.67B	11.43	―	6.19%	4.38%	18.31%
TW:6792	61Neutral	TWD 2.49B	17.16	―	4.81%	6.41%	14.62%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:6292	53Neutral	TWD 2.53B	9.62	―	3.30%	21.17%	345.80%
TW:6283	47Neutral	TWD 2.63B	-69.85	―	―	10.14%	-154.85%
TW:2462	42Neutral	TWD 2.60B	28.44	―	1.16%	-5.46%	―

* General Sector Average

Performance Comparison

TW:6283 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:6283	Shun On Electronic Co., Ltd.	18.00	-6.00	-25.00%
TW:2462	TAIWAN LINE TEK ELECTRONIC CO., LTD.	17.25	-4.56	-20.91%
TW:3332	Cincon Electronics Co., Ltd.	59.80	-4.33	-6.75%
TW:6292	AXIS Corporation	54.60	14.69	36.79%
TW:6792	Unictron Technologies Corporation	52.00	1.51	3.00%
TW:8049	Ampire Co., Ltd.	22.60	-1.22	-5.11%

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

Shun On Electronic Co., Ltd. AI Stock Analysis