Axman Enterprise Co., Ltd. (6804) AI Stock Analysis

Axman Enterprise Co., Ltd.

(TPEx:6804)

Select Model

Rating:31Underperform

Price Target:TWD 13.50▼(-10.89% Downside)

Action:initiatedcoverage

Date:11/09/26

Axman Enterprise scores poorly, driven primarily by deteriorating fundamentals: revenue has nearly halved over two years, gross margin has effectively evaporated to 0.5%, and the company has posted consecutive net losses while burning cash at both the operating and free cash flow level. The balance sheet still provides a cushion with moderate 0.50x leverage, but it is being depleted by losses and rising debt. Technicals reinforce the caution, with the price below all key moving averages and negative MACD, though the deeply oversold RSI hints at scope for a short-term bounce. Valuation offers little support — earnings are negative and the 3.3% dividend yield looks difficult to sustain amid heavy cash outflows. A sustained recovery in margins and a return to positive cash flow would be needed before the risk profile improves.

Positive Factors

Moderate leverage and equity supportImproved leverage and a sizable equity base provide some financial resilience as the company addresses weaker operations. This support can reduce balance-sheet strain, preserve borrowing flexibility, and give management more time to restore profitability without relying entirely on external funding.

Negative Factors

Sustained revenue contractionRevenue declining across consecutive years signals a meaningful deterioration in demand or business volume rather than a single-period fluctuation. Continued contraction would reduce operating scale, make fixed costs harder to absorb, and limit the company’s ability to rebuild margins and cash generation.

Axman Enterprise Co., Ltd. (6804) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 714.88M
Dividend Yield: 3.30%
Average Volume (3M): 57.22K
Price to Earnings (P/E): -12.1
Beta (1Y): 0.35
Revenue Growth: -15.73%
EPS Growth: 64.35%
Country: TW
Employees: 224
Sector: General
Sector Strength: 55
Industry: Leisure

Axman Enterprise Co., Ltd. Business Overview & Revenue Model

Company Description

Axman Enterprise Co., Ltd., established in 1974 and operating from its base in Changhua, Taiwan, is comprehensively involved in the bicycle industry. The company oversees the entire production lifecycle, from initial design and development to meticul...

Axman Enterprise Co., Ltd. Financial Statement Overview

Summary

Financials are in a pronounced downturn. Revenue has fallen three years running — down 42% in 2024 and a further 31% in 2025 to roughly NT$1.34 billion — while gross margin collapsed from 9.2% in 2023 to just 0.5%, leaving no cushion for operating costs. The company swung from a NT$115 million profit in 2023 to losses of NT$75 million and NT$99 million, with ROE at -9.3%. Cash generation is the weakest link: operating cash flow turned to a NT$119 million outflow and free cash flow to a NT$343 million outflow as capital spending continued through a loss-making year. The balance sheet is the one relative strength — equity funds about 58% of assets and debt-to-equity of 0.50x is manageable — but equity has eroded from NT$1.39 billion to NT$1.07 billion in two years while debt rose, so the buffer is shrinking.

Income Statement

16Very Negative

Balance Sheet

46Neutral

Cash Flow

13Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.39B	1.34B	1.93B	3.36B	3.32B	1.80B
Gross Profit	32.98M	6.69M	76.69M	308.04M	352.06M	167.99M
EBITDA	-6.65M	-61.80M	-60.12M	183.88M	250.08M	92.05M
Net Income	-39.90M	-98.96M	-74.85M	114.77M	170.98M	49.46M
Balance Sheet
Total Assets	1.78B	1.83B	1.86B	2.38B	2.33B	2.13B
Cash, Cash Equivalents and Short-Term Investments	215.21M	191.81M	455.45M	631.98M	358.68M	181.49M
Total Debt	237.09M	537.54M	401.60M	434.93M	507.23M	741.04M
Total Liabilities	509.15M	760.36M	635.65M	996.89M	1.27B	1.36B
Stockholders Equity	1.27B	1.07B	1.22B	1.39B	1.06B	773.70M
Cash Flow
Free Cash Flow	-10.40M	-343.25M	25.45M	138.56M	315.87M	-146.13M
Operating Cash Flow	5.55M	-118.89M	30.72M	150.27M	321.05M	-142.89M
Investing Cash Flow	-10.18M	-215.60M	-78.20M	-12.47M	-5.96M	-2.76M
Financing Cash Flow	-23.16M	94.17M	-127.75M	134.50M	-137.89M	223.09M

Axman Enterprise Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:6804 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:4432	52Neutral	TWD 784.13M	3.26	―	2.58%	-14.51%	742.90%
TW:6158	44Neutral	TWD 875.22M	-9.60	―	6.24%	-0.14%	-286.70%
TW:8929	39Underperform	TWD 629.73M	34.38	―	―	-3.17%	36.93%
TW:6804	31Underperform	TWD 731.50M	-12.12	―	3.30%	-15.73%	64.35%

* General Sector Average

Performance Comparison

TW:6804 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:6804	Axman Enterprise Co., Ltd.	15.15	-2.36	-13.47%
TW:2245	Nww Manufacturing Co. Ltd.	22.90	-2.44	-9.64%
TW:2940	Sun Own Industrial Co., Ltd.	23.95	-0.44	-1.78%
TW:4432	Hakers Enterprise Co., Ltd.	15.50	-0.11	-0.72%
TW:6158	P-Two Industries Inc.	16.50	-5.85	-26.17%
TW:8929	Fu Burg Industrial Co., Ltd.	12.45	-4.15	-25.00%

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

Axman Enterprise Co., Ltd. AI Stock Analysis