Walton Advanced Engineering, Inc. AI Stock Analysis
Walton Advanced Engineering, Inc. (8110) AI Stock Analysis
Walton Advanced Engineering, Inc.
(TWSE:8110)
Walton Advanced Engineering earns a below-average score. The dominant drag is poor earnings quality: an operating loss and 2.8% gross margin mean the reported profit was driven by non-operating gains, while revenue is drifting lower and free cash flow has collapsed to near zero under heavy capital spending. Compounding this, the technical setup is firmly bearish, with the share price far below all major moving averages and negative MACD momentum. Partially offsetting these risks are a materially de-risked balance sheet — debt cut by two-thirds since 2021 to a 0.20 debt-to-equity ratio — and an inexpensive 9.5x P/E with a 4.4% dividend yield. The investment case hinges on whether recent investment spending can translate into genuine operating margin recovery.
Walton Advanced Engineering, Inc. (8110) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 19.84B
- Dividend Yield
- 3.89%
- Average Volume (3M)
- 5.48M
- Price to Earnings (P/E)
- 10.4
- Beta (1Y)
- 1.54
- Revenue Growth
- 11.36%
- EPS Growth
- 213.16%
- Country
- TW
- Employees
- 3,416
- Sector
- General
- Sector Strength
- 55
- Industry
- Semiconductors
Walton Advanced Engineering, Inc. Business Overview & Revenue Model
Company Description
Walton Advanced Engineering, Inc., founded in Kaohsiung, Taiwan, in 1995, specializes in providing memory assembly and testing solutions to both domestic and international clients. The company offers a comprehensive suite of turnkey services, includi...
Walton Advanced Engineering, Inc. Financial Statement Overview
Summary
A strong balance sheet (score 72) is offset by weak earnings quality (income statement 38) and deteriorating cash generation (cash flow 48). Debt has been cut from NT$7.68B in 2021 to NT$2.42B, pushing debt-to-equity down to a conservative 0.20 with equity funding ~74% of assets. However, revenue fell to NT$7.32B from NT$7.86B, gross margin is razor-thin at 2.8%, and the company posted an operating loss of NT$284M — meaning the NT$1.25B net profit came almost entirely from non-operating items. Operating cash flow has declined two years running to NT$1.39B, and heavy capex left just NT$60M of free cash flow, roughly 4% of reported net income.
Income Statement
38NegativeBalance Sheet
72PositiveCash Flow
48Neutral| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 7.78B | 7.32B | 7.86B | 7.28B | 9.51B | 8.12B |
| Gross Profit | 621.59M | 201.59M | 498.16M | 132.06M | 841.93M | 449.33M |
| EBITDA | 2.73B | 1.44B | 2.09B | 1.90B | 2.49B | 2.19B |
| Net Income | 2.80B | 1.25B | 134.27M | -6.81M | 156.10M | 118.73M |
Balance Sheet | ||||||
| Total Assets | 23.53B | 16.53B | 16.17B | 17.30B | 19.32B | 21.52B |
| Cash, Cash Equivalents and Short-Term Investments | 4.71B | 3.82B | 3.53B | 3.20B | 3.92B | 4.30B |
| Total Debt | 1.73B | 2.42B | 3.84B | 4.59B | 6.67B | 7.68B |
| Total Liabilities | 4.27B | 4.26B | 5.61B | 6.68B | 9.08B | 10.28B |
| Stockholders Equity | 19.26B | 12.27B | 10.43B | 10.53B | 10.04B | 10.94B |
Cash Flow | ||||||
| Free Cash Flow | -524.58M | 59.95M | 1.74B | 1.26B | 1.06B | -1.74B |
| Operating Cash Flow | 980.41M | 1.39B | 2.12B | 2.62B | 2.16B | 694.90M |
| Investing Cash Flow | -433.25M | -55.27M | -800.71M | -508.22M | -662.71M | -3.15B |
| Financing Cash Flow | -930.65M | -829.15M | -988.83M | -2.23B | -1.31B | 2.85B |
Walton Advanced Engineering, Inc. Peers Comparison
Overall Rating
TW:808663Neutral
TW:326558Neutral
TW:542552Neutral- TW:811051Neutral
TW:370738Underperform
TW:234030Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:8086 | 63Neutral | TWD 19.63B | 20.36 | ― | 1.61% | 38.98% | 147.17% |
| TW:3265 | 58Neutral | TWD 21.46B | 23.62 | ― | 2.47% | 15.38% | 34.04% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| TW:5425 | 52Neutral | TWD 19.66B | 23.92 | ― | 2.47% | 7.28% | 85.43% |
| TW:8110 | 51Neutral | TWD 18.96B | 10.37 | ― | 3.89% | 11.36% | 213.16% |
| TW:3707 | 38Underperform | TWD 24.11B | -51.85 | ― | ― | 22.70% | 38.31% |
| TW:2340 | 30Underperform | TWD 17.77B | -23.63 | ― | ― | 5.05% | 34.85% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:8110 | Walton Advanced Engineering, Inc. | 38.40 | -2.47 | -6.05% | |
| TW:2340 | Taiwan-Asia Semiconductor Corporation | 42.30 | 16.65 | 64.91% | |
| TW:3265 | Winstek Semiconductor Co. Ltd. | 166.00 | 69.06 | 71.23% | |
| TW:3707 | Episil Technologies Inc. | 60.90 | 10.50 | 20.83% | |
| TW:5425 | Taiwan Semiconductor Co., Ltd. | 81.70 | 28.11 | 52.44% | |
| TW:8086 | Advanced Wireless Semiconductor Co. | 104.50 | -10.83 | -9.39% |
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