GSD Technologies Co., Ltd. (6641) AI Stock Analysis

GSD Technologies Co., Ltd.

(TWSE:6641)

Select Model

Rating:45Neutral

Price Target:TWD 16.00▼(-5.60% Downside)

Action:initiatedcoverage

Date:11/09/26

GSD Technologies scores below average, driven primarily by deteriorating fundamentals: multi-year revenue erosion, a roughly 10-point gross margin decline since 2020, two consecutive years of operating losses and ROE of just 1.1%. The main supports are a conservative balance sheet (debt-to-equity of 0.17, equity funding two-thirds of assets) and a return to positive operating and free cash flow in 2025, which give management flexibility but have yet to translate into recovering earnings. Technicals reinforce caution, with the price below all major moving averages and negative MACD momentum. Valuation adds little support, as a 20.7x P/E on depressed earnings leaves limited cushion despite a 2.4% dividend yield. The investment case currently rests on balance-sheet resilience rather than earnings power.

Positive Factors

Conservative Balance SheetLow leverage and a substantial equity base provide financial flexibility through the next several quarters. This reduces balance-sheet pressure, supports the ability to fund operations, and leaves more capacity to respond to weaker conditions or pursue investment without relying heavily on additional borrowing.

Negative Factors

Profitability DeteriorationThe sustained reduction in gross margin and recent negative EBIT indicate weaker operating economics than earlier in the period. Unless margins recover, the company has less ability to absorb cost increases or demand softness, and revenue growth may not translate into durable operating earnings.

GSD Technologies Co., Ltd. (6641) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 609.55M
Dividend Yield: 2.36%
Average Volume (3M): 27.62K
Price to Earnings (P/E): 21.1
Beta (1Y): 0.52
Revenue Growth: 4.66%
EPS Growth: 720.04%
Country: TW
Employees: 510
Sector: General
Sector Strength: 55
Industry: Industrial - Pollution & Treatment Controls

GSD Technologies Co., Ltd. Business Overview & Revenue Model

Company Description

GSD Technologies Co., Ltd. is dedicated to the production and global distribution of environmental protection equipment and related consumables, with operations spanning Asia and international markets. Their extensive product line includes both subme...

GSD Technologies Co., Ltd. Financial Statement Overview

Summary

Earnings power is the key weakness: revenue has drifted lower from about NT$1.96bn in 2021 to NT$1.76bn, gross margin has compressed roughly 10 points since 2020 to 29–30%, and the company has posted operating losses in each of the last two years (NT$-11m in 2025 after NT$-36m in 2024). Net income of ~NT$17m equates to a sub-1% net margin and ROE of just 1.1%, with support coming largely from non-operating items (Income Statement score 32). Offsetting this, the balance sheet is conservative and resilient — equity of ~NT$1.47bn funds two-thirds of assets and debt-to-equity is only 0.17 (Balance Sheet score 65). Cash flow also improved, with operating cash flow swinging to +NT$51m and free cash flow to +NT$44m after three years of burn, though at only 7–8% of revenue and following highly volatile history, the recovery is unproven (Cash Flow score 50).

Income Statement

32Negative

Balance Sheet

65Positive

Cash Flow

50Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.87B	1.76B	1.82B	1.77B	1.84B	1.96B
Gross Profit	572.71M	522.21M	518.33M	569.60M	660.28M	751.95M
EBITDA	26.70M	43.15M	25.96M	106.82M	246.16M	292.19M
Net Income	29.42M	16.81M	51.21M	46.87M	182.39M	215.62M
Balance Sheet
Total Assets	2.25B	2.17B	2.10B	2.36B	2.51B	2.52B
Cash, Cash Equivalents and Short-Term Investments	505.27M	528.31M	514.91M	757.48M	942.07M	1.20B
Total Debt	146.69M	246.89M	207.56M	414.93M	403.41M	363.98M
Total Liabilities	739.62M	709.49M	623.43M	929.40M	966.79M	1.04B
Stockholders Equity	1.51B	1.47B	1.48B	1.42B	1.52B	1.48B
Cash Flow
Free Cash Flow	26.53M	44.23M	-40.78M	-85.57M	-144.60M	-118.56M
Operating Cash Flow	33.65M	50.36M	-28.65M	-3.91M	134.60M	30.63M
Investing Cash Flow	-49.35M	-11.67M	-78.95M	-85.86M	-261.73M	-237.61M
Financing Cash Flow	-99.48M	-49.95M	-251.17M	-81.79M	-149.20M	285.89M

GSD Technologies Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:6641 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:8423	62Neutral	TWD 727.91M	16.50	―	3.97%	0.28%	66.15%
TW:7715	59Neutral	TWD 759.95M	38.36	―	19.94%	-44.65%	-84.66%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:6641	45Neutral	TWD 611.90M	21.08	―	2.36%	4.66%	720.04%
TW:8087	34Underperform	TWD 730.41M	16099.37	―	5.29%	81.74%	―
TW:3018	29Underperform	TWD 745.49M	-2.58	―	―	-56.49%	-244.54%

* General Sector Average

Performance Comparison

TW:6641 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:6641	GSD Technologies Co., Ltd.	16.95	-4.10	-19.47%
TW:3018	Lung Ming Green Energy Technology Engineering Co Ltd.	9.15	-3.05	-25.00%
TW:6911	Chyunn Environment Corporation	27.15	-2.46	-8.30%
TW:7715	Yuh Shan Environmental Engineering Co., Ltd.	24.00	-4.18	-14.85%
TW:8087	Leadsun Greentech Corporation	19.90	-17.80	-47.21%
TW:8423	Polygreen Resources Co., Ltd.	17.65	0.77	4.56%

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

GSD Technologies Co., Ltd. AI Stock Analysis