Wah Hong Industrial Corp. AI Stock Analysis
Wah Hong Industrial Corp. (8240) AI Stock Analysis
Wah Hong Industrial Corp.
(TPEx:8240)
Wah Hong scores in the lower-middle range. The dominant drag is a four-year revenue decline paired with thin profitability (3.1% net margin, 4.8% ROE) and a 28% earnings drop, which outweighs genuine strengths in balance-sheet safety—leverage cut to 0.25 debt-to-equity and five straight years of gross margin improvement. Technicals compound the caution, with the stock trading below all major moving averages and showing negative MACD momentum. Valuation is neutral at best: a 19.1x P/E looks full against falling earnings, though a 3.05% dividend yield backed by positive free cash flow offers some support. Overall, this is a financially conservative but cyclically challenged manufacturer where investors are paid to wait for a demand-driven turnaround.
Wah Hong Industrial Corp. (8240) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- TWD 4.87B
- Dividend Yield
- 2.85%
- Average Volume (3M)
- 1.65M
- Price to Earnings (P/E)
- 22.6
- Beta (1Y)
- 1.17
- Revenue Growth
- -11.48%
- EPS Growth
- 21.46%
- Country
- TW
- Employees
- 1,992
- Sector
- General
- Sector Strength
- 55
- Industry
- Hardware, Equipment & Parts
Wah Hong Industrial Corp. Business Overview & Revenue Model
Company Description
Wah Hong Industrial Corp. is a Taiwanese enterprise with a global presence, specializing in the research, manufacturing, and distribution of sophisticated plastic compounds and composite materials. Its extensive portfolio encompasses a wide array of...
Wah Hong Industrial Corp. Financial Statement Overview
Summary
A mixed picture anchored by a strong balance sheet (score 72): debt has been nearly halved since 2021 to about NT$1.12 billion, debt-to-equity sits at a conservative 0.25, and equity funds roughly 62% of assets. Cash flow (62) is dependably positive, with free cash flow near NT$245 million and operating cash flow exceeding net income, though both are trending lower. The income statement (50) is the weak link: revenue has contracted for four straight years to roughly NT$7.14 billion, net income fell about 28% to NT$218 million, net margin is thin at 3.1%, and ROE is just 4.8%. Five consecutive years of gross margin expansion (to 15.5%) show good cost and mix discipline, but without top-line stabilization, earnings recovery remains limited.
Income Statement
50NeutralBalance Sheet
72PositiveCash Flow
62Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 6.77B | 7.14B | 7.51B | 7.52B | 9.18B | 10.97B |
| Gross Profit | 996.21M | 1.10B | 1.10B | 1.05B | 1.18B | 1.25B |
| EBITDA | 537.88M | 577.10M | 812.54M | 636.31M | 798.74M | 1.07B |
| Net Income | 235.07M | 218.15M | 301.12M | 202.38M | 262.47M | 430.37M |
Balance Sheet | ||||||
| Total Assets | 7.98B | 7.36B | 7.82B | 7.93B | 8.53B | 9.52B |
| Cash, Cash Equivalents and Short-Term Investments | 1.62B | 1.56B | 1.48B | 1.77B | 2.36B | 1.67B |
| Total Debt | 1.32B | 1.12B | 1.05B | 1.81B | 2.06B | 2.22B |
| Total Liabilities | 3.07B | 2.70B | 3.00B | 3.62B | 4.30B | 5.27B |
| Stockholders Equity | 4.79B | 4.56B | 4.70B | 4.20B | 4.12B | 4.15B |
Cash Flow | ||||||
| Free Cash Flow | 234.15M | 244.86M | 285.57M | 214.66M | 1.09B | 415.24M |
| Operating Cash Flow | 412.88M | 391.92M | 455.06M | 446.05M | 1.23B | 655.83M |
| Investing Cash Flow | -572.81M | -152.89M | 247.60M | -34.42M | -673.60M | -451.53M |
| Financing Cash Flow | 121.96M | -27.69M | -933.11M | -629.24M | -243.81M | -84.70M |
Wah Hong Industrial Corp. Peers Comparison
Overall Rating
TW:494259Neutral
TW:330358Neutral- TW:824053Neutral
TW:493552Neutral
TW:363045Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| TW:4942 | 59Neutral | TWD 4.27B | 10.09 | ― | 6.73% | 2.44% | 13.09% |
| TW:3303 | 58Neutral | TWD 4.62B | 10.30 | ― | 5.89% | 14.20% | 11.73% |
| Sector * | 55Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
| TW:8240 | 53Neutral | TWD 4.33B | 22.56 | ― | 2.85% | -11.48% | 21.46% |
| TW:4935 | 52Neutral | TWD 3.94B | 28.23 | ― | 3.33% | -24.80% | -49.71% |
| TW:3630 | 45Neutral | TWD 4.73B | -16.28 | ― | ― | 14.51% | -252.10% |
* General Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TW:8240 | Wah Hong Industrial Corp. | 45.60 | 12.58 | 38.09% | |
| TW:3303 | Univacco Technology Inc. | 50.90 | 6.19 | 13.84% | |
| TW:3630 | Newmax Technology Co., Ltd. | 22.80 | -6.20 | -21.38% | |
| TW:3717 | Excellence Optoelectronics Holding Co., Inc. | 23.00 | 4.74 | 25.98% | |
| TW:4935 | Global Lighting Technologies Inc. | 30.00 | -11.60 | -27.88% | |
| TW:4942 | Chia Chang Co., Ltd | 29.70 | -8.50 | -22.24% |
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