North-Star International Co. Ltd. (8927) AI Stock Analysis

North-Star International Co. Ltd.

(TPEx:8927)

Select Model

Rating:38Underperform

Price Target:TWD 14.00▼(-6.67% Downside)

Action:initiatedcoverage

Date:11/09/26

North-Star International scores near the bottom of the range, driven primarily by a fragile financial profile: debt of NT$23.22bn against NT$5.68bn of equity (4.09x), ROE down to 2.7%, a revenue pullback with sharp margin compression, and net income cut roughly two-thirds to NT$152mn. Free cash flow has been negative every year, though the narrowing outflow and positive operating cash flow that exceeds reported earnings are genuine mitigating factors. Technicals reinforce the caution, with the price well below all key moving averages and a negative MACD, albeit at deeply oversold levels that could support a short-term bounce. A moderate 16.6x P/E and a 2.05% dividend yield provide only limited offset given the earnings decline and leverage risk. A return to margin expansion and self-funded growth would be needed to improve the outlook.

Positive Factors

Strong Revenue GrowthStrong multi-year revenue expansion indicates that the company has continued to increase sales despite recent profitability pressure. Sustained top-line growth can support operating scale, preserve strategic relevance, and provide a foundation for earnings recovery if margins stabilize over coming quarters.

Negative Factors

High and Rising LeverageVery high and rising leverage leaves the company more exposed to refinancing needs, interest burdens, and earnings volatility. Because equity has grown only modestly while debt increased substantially, the balance sheet offers less flexibility to absorb weaker results or fund future investment internally.

North-Star International Co. Ltd. (8927) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 6.33B
Dividend Yield: 2.04%
Average Volume (3M): 173.82K
Price to Earnings (P/E): 17.1
Beta (1Y): 0.31
Revenue Growth: 38.57%
EPS Growth: 88030.00%
Country: TW
Employees: 637
Sector: General
Sector Strength: 55
Industry: Specialty Retail

North-Star International Co. Ltd. Business Overview & Revenue Model

Company Description

North-Star International Co., Ltd. oversees a network of fuel stations across Taiwan. Beyond distributing various petroleum products, the company also provides automotive care services, such as vehicle cleaning, washing, and waxing. Originally founde...

North-Star International Co. Ltd. Financial Statement Overview

Summary

All three statements are weak. Revenue fell from NT$12.54bn to NT$10.72bn with severe margin compression (gross 22.5%→18.5%, operating 12.9%→6.7%, net 3.8%→1.4%) and net income down ~68% to NT$152mn. The balance sheet is the biggest risk: debt has swelled to NT$23.22bn against NT$5.68bn of equity (4.09x leverage, up from 1.32x in 2021), with equity funding only ~16% of assets and ROE down to 2.7%. Cash flow is mixed — operating cash flow of NT$853mn exceeds net income and the free cash outflow narrowed sharply to NT$799mn from NT$7.33bn in 2023 — but free cash flow remains negative every year and operating cash covers only ~6% of total debt, keeping the company reliant on external financing.

Income Statement

36Negative

Balance Sheet

22Negative

Cash Flow

28Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	13.31B	10.72B	12.54B	7.70B	6.75B	5.53B
Gross Profit	2.37B	1.98B	2.83B	1.23B	838.85M	823.73M
EBITDA	1.61B	1.54B	2.32B	807.50M	299.30M	489.54M
Net Income	305.17M	152.47M	475.25M	112.66M	131.47M	154.86M
Balance Sheet
Total Assets	33.16B	34.61B	33.08B	29.08B	16.71B	9.27B
Cash, Cash Equivalents and Short-Term Investments	2.12B	1.22B	1.15B	1.26B	1.36B	929.65M
Total Debt	21.55B	23.22B	21.22B	17.33B	10.91B	4.78B
Total Liabilities	24.47B	25.95B	24.48B	20.97B	12.11B	5.48B
Stockholders Equity	5.59B	5.68B	5.71B	5.35B	4.13B	3.62B
Cash Flow
Free Cash Flow	3.32B	-799.38M	-2.70B	-7.33B	-4.64B	-741.55M
Operating Cash Flow	4.62B	853.19M	1.00B	6.79M	326.43M	193.61M
Investing Cash Flow	-1.10B	-2.41B	-3.88B	-7.46B	-5.47B	-872.84M
Financing Cash Flow	-2.51B	1.64B	2.76B	7.36B	5.11B	1.22B

North-Star International Co. Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:8927 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:1535	69Neutral	TWD 5.55B	12.21	―	6.73%	-23.64%	-8.34%
TW:8473	64Neutral	TWD 6.98B	9.98	―	2.27%	31.21%	125.14%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:2102	42Neutral	TWD 6.94B	1.69	―	―	-25.25%	―
TW:8927	38Underperform	TWD 6.16B	17.11	―	2.04%	38.57%	88030.00%
TW:1305	27Underperform	TWD 6.51B	-15.83	―	0.88%	-7.05%	63.06%

* General Sector Average

Performance Comparison

TW:8927 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:8927	North-Star International Co. Ltd.	15.00	-9.64	-39.11%
TW:1305	China General Plastics Corporation	11.40	-0.26	-2.20%
TW:1535	China Ecotek Corp.	44.55	-7.17	-13.86%
TW:2102	Federal Corp.	14.90	-4.35	-22.60%
TW:6923	Chung Tai Resource Technology Corp.	68.00	-28.21	-29.32%
TW:8473	Forest Water Environmental Engineering Co., Ltd.	34.40	1.65	5.05%

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

North-Star International Co. Ltd. AI Stock Analysis