Progate Group Corporation AI Stock Analysis
Progate Group Corporation (8227) AI Stock Analysis
Progate Group Corporation
(TPEx:8227)
Progate scores in the below-average range. The dominant factor is financial quality: although revenue nearly doubled to a record NT$1.35bn and the balance sheet is virtually debt-free, gross margin fell from 28.3% to 19.5%, ROE slid from 20% to 7%, operating cash flow dropped by roughly two-thirds and free cash flow turned negative — growth is coming at the expense of profitability and cash conversion. Technicals reinforce caution, with the share price below its 20-, 50- and 100-day moving averages and a sharply negative MACD, though deeply oversold RSI and Stochastic readings leave room for a short-term rebound. Valuation adds further risk, as a 38x P/E and a sub-1% dividend yield price in growth that current margins do not yet support. The strong, low-leverage capital structure is the key offset and prevents a lower score.
Progate Group Corporation (8227) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 8.16B
- Dividend Yield
- 0.73%
- Average Volume (3M)
- 2.53M
- Price to Earnings (P/E)
- 45.0
- Beta (1Y)
- 1.58
- Revenue Growth
- 126.25%
- EPS Growth
- 461.53%
- Country
- TW
- Employees
- 79
- Sector
- General
- Sector Strength
- 55
- Industry
- Semiconductors
Progate Group Corporation Business Overview & Revenue Model
Company Description
Progate Group Corporation is a global provider of comprehensive integrated circuit (IC) design services. The company specializes in end-to-end solutions spanning a wide spectrum of IC development needs. Its offerings include full ASIC development, im...
Progate Group Corporation Financial Statement Overview
Summary
A mixed picture. The balance sheet is the standout (score 80): essentially debt-free with only NT$3.2m of debt against NT$1.14bn of equity, which funds ~62% of assets — a strong cushion for a cyclical semiconductor supplier. The income statement (61) shows record revenue of ~NT$1.35bn, nearly double 2024, and net income up to NT$81m, but growth is low-quality: gross margin fell to 19.5% from 28.3%, net margin to 6.0%, and ROE dropped from 20% to 7.1%. Cash flow is the weak link (38): operating cash flow fell to NT$47m from NT$145m, converting only ~58% of net income, and free cash flow swung negative to roughly -NT$10m after NT$57m of capex as receivables and inventory absorbed the revenue ramp. The conservative capital structure can absorb this, but margin compression and poor cash conversion need to reverse.
Income Statement
61PositiveBalance Sheet
80PositiveCash Flow
38Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.86B | 1.35B | 682.24M | 1.10B | 934.40M | 560.26M |
| Gross Profit | 301.94M | 262.80M | 192.76M | 323.13M | 248.68M | 173.57M |
| EBITDA | 223.69M | 158.04M | 114.41M | 203.52M | 94.98M | 69.49M |
| Net Income | 203.78M | 81.39M | 62.73M | 160.11M | 73.27M | 58.15M |
Balance Sheet | ||||||
| Total Assets | 1.92B | 1.82B | 1.46B | 1.08B | 974.82M | 518.61M |
| Cash, Cash Equivalents and Short-Term Investments | 1.02B | 993.62M | 1.05B | 599.15M | 564.87M | 232.13M |
| Total Debt | 4.50M | 3.19M | 3.03M | 2.15M | 3.35M | 4.12M |
| Total Liabilities | 715.67M | 685.52M | 340.06M | 284.73M | 279.90M | 194.85M |
| Stockholders Equity | 1.20B | 1.14B | 1.12B | 798.61M | 694.93M | 323.76M |
Cash Flow | ||||||
| Free Cash Flow | 94.14M | -9.96M | 95.42M | 108.41M | 41.29M | 125.81M |
| Operating Cash Flow | 118.74M | 46.94M | 144.67M | 114.06M | 45.13M | 126.01M |
| Investing Cash Flow | -60.96M | -58.34M | -49.87M | -6.62M | -3.84M | 186.00K |
| Financing Cash Flow | -64.83M | -64.07M | 241.88M | -62.16M | 281.38M | -1.10M |
Progate Group Corporation Peers Comparison
Overall Rating
TW:610470Outperform- TW:822752Neutral
TW:675651Neutral
TW:322844Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:6104 | 70Outperform | TWD 7.32B | 16.72 | ― | 5.65% | 2.68% | -23.15% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| TW:8227 | 52Neutral | TWD 8.42B | 45.05 | ― | 0.73% | 126.25% | 461.53% |
| TW:6756 | 51Neutral | TWD 8.19B | 54.09 | ― | 0.73% | 28.20% | 117.74% |
| TW:3228 | 44Neutral | TWD 8.63B | -63.66 | ― | ― | 4.58% | 9.27% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:8227 | Progate Group Corporation | 234.00 | 84.36 | 56.37% | |
| TW:3228 | RDC Semiconductor Co. Ltd. | 121.50 | -18.50 | -13.21% | |
| TW:4925 | JMicron Technology Corporation | 101.50 | 66.97 | 193.91% | |
| TW:6104 | Genesys Logic, Inc. | 79.60 | -12.19 | -13.28% | |
| TW:6756 | VIA Labs, Inc. | 124.00 | 34.79 | 39.00% | |
| TW:6907 | Artery Technology Corporation | 123.50 | 74.84 | 153.82% |
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