IC Plus Corp. (8040) AI Stock Analysis

IC Plus Corp.

(TPEx:8040)

Select Model

Rating:44Neutral

Price Target:TWD 60.00▼(-12.41% Downside)

Action:initiatedcoverage

Date:11/09/26

IC Plus scores in the lower-middle range. The dominant drag is persistent unprofitability — three consecutive years of net losses, an NT$88 million operating loss, negative return on equity and three straight years of negative free cash flow — compounded by a weak technical setup in which the price trades below every major moving average with negative MACD. An extremely elevated P/E of 733x and the absence of a dividend offer little valuation or income support. Balancing these risks, the company holds a rare strength for a semiconductor firm: zero debt and equity funding roughly 96% of assets, giving management substantial runway to ride out the down-cycle. Encouraging early signs — stabilising revenue, gross margin recovering to 41.1%, losses halving and operating cash flow turning positive — suggest a potential cyclical turn, while deeply oversold RSI and Stochastic readings hint at scope for a near-term bounce. The investment case rests on whether the revenue and margin recovery can be sustained into genuine profitability.

Positive Factors

Very Low LeverageAn effectively debt-free capital structure reduces solvency and interest burdens during semiconductor downcycles. The enlarged equity and asset base also provides a meaningful buffer, preserving flexibility to fund operations and pursue product development without relying heavily on creditors.

Negative Factors

Persistent Operating LossesContinued operating and net losses show that the current revenue base is still insufficient to support the cost structure. This weakens earnings quality, keeps returns on equity negative, and makes a durable recovery dependent on stronger sales or further efficiency gains.

IC Plus Corp. (8040) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 6.73B
Dividend Yield: ―
Average Volume (3M): 1.56M
Price to Earnings (P/E): 765.6
Beta (1Y): 1.17
Revenue Growth: 13.49%
EPS Growth: ―
Country: TW
Employees: 115
Sector: General
Sector Strength: 55
Industry: Semiconductors

IC Plus Corp. Business Overview & Revenue Model

Company Description

Established in 1997 and based in Hsinchu City, Taiwan, IC Plus Corp. delivers comprehensive, ready-to-use solutions, primarily targeting the Taiwanese market. The company's core offerings include transceivers, Ethernet switches, media converters, and...

IC Plus Corp. Financial Statement Overview

Summary

A classic cyclical trough profile. The balance sheet is a genuine fortress — zero debt, equity funding roughly 96% of assets, and a sizeable NT$2.44 billion equity base that comfortably absorbs current losses. However, the operating business remains unproven: three consecutive annual net losses, an operating loss of NT$88 million, and negative return on equity of -2.4%. Cash flow is improving, with operating cash flow turning positive at NT$39 million, but free cash flow has been negative for three straight years. Positives include revenue stabilising with modest ~3% growth, gross margin rebounding sharply to 41.1%, and losses halving year-over-year — early signs the worst may be behind it, though profitability has yet to be restored.

Income Statement

34Negative

Balance Sheet

74Positive

Cash Flow

38Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	761.26M	661.11M	644.04M	717.97M	1.30B	1.11B
Gross Profit	307.59M	271.80M	224.41M	240.11M	530.44M	412.32M
EBITDA	64.57M	9.61M	-58.35M	-75.35M	188.45M	95.48M
Net Income	8.05M	-58.22M	-113.80M	-120.49M	150.09M	61.12M
Balance Sheet
Total Assets	2.68B	2.55B	2.66B	867.49M	1.19B	1.03B
Cash, Cash Equivalents and Short-Term Investments	2.10B	2.08B	2.14B	347.29M	538.74M	575.56M
Total Debt	0	0	0	41.50M	41.28M	41.30M
Total Liabilities	195.48M	108.57M	153.76M	185.11M	308.61M	270.60M
Stockholders Equity	2.48B	2.44B	2.50B	682.38M	880.18M	759.59M
Cash Flow
Free Cash Flow	47.05M	-22.00M	-62.87M	-33.30M	71.66M	180.52M
Operating Cash Flow	69.90M	39.05M	-3.27M	8.49M	131.42M	210.49M
Investing Cash Flow	-58.53M	-61.05M	-60.10M	-31.79M	-69.76M	-240.00K
Financing Cash Flow	-383.00K	-607.00K	1.89B	-82.42M	-41.31M	-59.94M

IC Plus Corp. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:8040 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:5236	75Outperform	TWD 6.41B	11.67	―	8.14%	4.83%	22.01%
TW:3169	71Outperform	TWD 5.84B	23.45	―	3.47%	4.81%	4.09%
TW:6104	70Outperform	TWD 7.32B	16.76	―	5.57%	2.68%	-23.15%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:4968	54Neutral	TWD 7.40B	30.30	―	2.00%	3.36%	24.69%
TW:8040	44Neutral	TWD 6.60B	765.55	―	―	13.49%	―
TW:8054	39Underperform	TWD 7.00B	-31.85	―	―	109.58%	74.96%

* General Sector Average

Performance Comparison

TW:8040 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:8040	IC Plus Corp.	68.50	19.00	38.38%
TW:3169	Asix Electronics Co. Ltd.	92.30	4.13	4.69%
TW:4968	Richwave Technology Corporation	80.20	-61.24	-43.30%
TW:5236	Sunplus Innovation Technology Inc.	110.50	-15.41	-12.24%
TW:6104	Genesys Logic, Inc.	80.80	-12.32	-13.23%
TW:8054	Alcor Micro Corp.	64.40	-76.54	-54.31%

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

IC Plus Corp. AI Stock Analysis