Hsin Ba Ba Corporation (9906) AI Stock Analysis

Hsin Ba Ba Corporation

(TWSE:9906)

Select Model

Rating:42Neutral

Price Target:TWD 33.00▼(-7.43% Downside)

Action:initiatedcoverage

Date:11/10/26

The overall score is very low, driven primarily by a severe deterioration in financial health. The company faces a 'triple threat' of collapsing revenue, a dangerously leveraged balance sheet, and deeply negative cash flows, which poses an existential risk. Technical trends confirm persistent selling pressure, and the superficially high dividend yield is a trap, as the payout is unsustainable. The company is in a state of financial distress.

Positive Factors

Resilient Gross MarginA broadly stable gross margin indicates that the company has retained underlying project-level pricing or delivery economics even as revenue declined. This provides a foundation for recovery if operating execution improves, because restoring volume may not require rebuilding gross profitability from a materially weaker base.

Negative Factors

Revenue and Margin DeteriorationThe sharp decline in revenue and profitability represents a material weakening of earnings power rather than a minor fluctuation. Lower operating margins reduce the cash available for reinvestment, debt service, and shareholder returns, while the scale of the reset raises continuing execution risk over the next several quarters.

Hsin Ba Ba Corporation (9906) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 3.26B
Dividend Yield: 18.21%
Average Volume (3M): 79.65K
Price to Earnings (P/E): 9.1
Beta (1Y): 0.29
Revenue Growth: 29.66%
EPS Growth: 425.73%
Country: TW
Employees: 68
Sector: General
Sector Strength: 55
Industry: Engineering & Construction

Hsin Ba Ba Corporation Business Overview & Revenue Model

Company Description

Hsin Ba Ba Corporation, established in 1967, is a real estate company actively involved in the full cycle of property development. This includes the conceptualization, architectural design, construction, marketing, and leasing of both commercial and...

Hsin Ba Ba Corporation Financial Statement Overview

Summary

Financial performance is critically weak. The income statement shows a 30% revenue collapse and near-zero net margin. The balance sheet is highly leveraged with a debt-to-equity ratio of 5.1x and eroded equity. Cash flow is deeply negative, with operating cash flow swinging to a -1.62 billion burn, indicating severe liquidity strain.

Income Statement

15Very Negative

Balance Sheet

8Very Negative

Cash Flow

5Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.21B	1.30B	4.37B	3.73B	2.97B	1.42B
Gross Profit	803.00M	425.61M	1.33B	1.08B	876.70M	464.56M
EBITDA	457.17M	94.01M	803.59M	714.43M	588.90M	295.18M
Net Income	310.44M	8.52M	571.98M	520.45M	423.41M	261.77M
Balance Sheet
Total Assets	8.84B	8.89B	8.94B	9.43B	10.90B	11.54B
Cash, Cash Equivalents and Short-Term Investments	444.13M	339.13M	1.38B	248.06M	233.47M	231.04M
Total Debt	6.76B	6.90B	5.77B	6.81B	7.93B	8.62B
Total Liabilities	7.32B	7.55B	7.04B	7.92B	9.56B	10.57B
Stockholders Equity	1.52B	1.35B	1.90B	1.51B	1.34B	973.60M
Cash Flow
Free Cash Flow	310.96M	-1.62B	2.38B	1.78B	1.08B	-1.78B
Operating Cash Flow	319.61M	-1.62B	2.39B	1.79B	1.09B	-1.78B
Investing Cash Flow	2.09M	-5.07M	-5.29M	-267.94M	-3.36M	27.30M
Financing Cash Flow	-126.70M	580.39M	-1.22B	-1.50B	-1.01B	1.63B

Hsin Ba Ba Corporation Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:9906 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:2596	59Neutral	TWD 3.19B	7.10	―	4.63%	21.22%	121.65%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:2506	43Neutral	TWD 2.98B	22.12	―	2.43%	16.90%	―
TW:9906	42Neutral	TWD 3.23B	9.11	―	18.21%	29.66%	425.73%
TW:1316	37Underperform	TWD 3.39B	-29.64	―	―	156.96%	75.28%
TW:2509	37Underperform	TWD 2.89B	135.93	―	―	445.07%	―
TW:2537	36Underperform	TWD 3.28B	27.22	―	―	62.26%	-41.64%

* General Sector Average

Performance Comparison

TW:9906 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:9906	Hsin Ba Ba Corporation	35.65	-9.42	-20.90%
TW:1316	Sun Yad Construction Co., Ltd.	9.19	-5.91	-39.14%
TW:2506	Pacific Construction Co., Ltd.	8.22	-1.20	-12.78%
TW:2509	Chainqui Construction Development Co., Ltd.	12.90	-1.80	-12.24%
TW:2537	We & Win Development Co., Ltd	10.95	0.30	2.82%
TW:2596	Realy Development & Construction Corp.	32.40	3.86	13.51%

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 10, 2026

Hsin Ba Ba Corporation AI Stock Analysis