Merida Industry Co., Ltd. (9914) AI Stock Analysis

Merida Industry Co., Ltd.

(TWSE:9914)

Select Model

Rating:65Neutral

Price Target:TWD 68.00▲(11.48% Upside)

Action:initiatedcoverage

Date:11/10/26

The score is supported primarily by a strong balance sheet and improved cash generation, with additional support from the dividend yield and moderate P/E. Weak technical momentum and only partially recovered profitability materially limit the overall assessment.

Positive Factors

Moderate LeverageModerate and improving leverage gives Merida greater financial flexibility through industry cycles. A debt-to-equity ratio below 1x reduces balance-sheet pressure, while relatively stable equity supports resilience and leaves more capacity to fund operations or strategic investment.

Negative Factors

Declining RevenueThe return to revenue contraction indicates that Merida’s recent recovery has not yet translated into sustained top-line expansion. Continued weakness in sales would limit operating leverage, reduce reinvestment capacity, and make it harder to rebuild earnings toward earlier cycle levels.

Merida Industry Co., Ltd. (9914) vs. SPDR S&P 500 ETF (SPY)

Market Cap: TWD 18.24B
Dividend Yield: 4.59%
Average Volume (3M): 2.16M
Price to Earnings (P/E): 17.9
Beta (1Y): -0.05
Revenue Growth: -16.24%
EPS Growth: ―
Country: TW
Employees: 703
Sector: General
Sector Strength: 55
Industry: Leisure

Merida Industry Co., Ltd. Business Overview & Revenue Model

Company Description

Merida Industry Co., Ltd. is a global manufacturer and retailer specializing in bicycles and their components, operating across Taiwan, mainland China, Hong Kong, and Europe. The company's diverse bicycle lineup encompasses traditional models, electr...

Merida Industry Co., Ltd. Financial Statement Overview

Summary

Strong balance sheet and improved cash generation support the score, while recovering but modest profitability, declining revenue, and historically inconsistent cash flow limit it.

Income Statement

58Neutral

Balance Sheet

82Very Positive

Cash Flow

75Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	24.45B	26.76B	29.63B	27.26B	37.00B	29.39B
Gross Profit	3.83B	3.96B	5.38B	5.11B	6.39B	4.09B
EBITDA	1.72B	1.95B	-177.29M	4.00B	4.91B	6.54B
Net Income	1.03B	1.20B	-699.10M	1.69B	3.39B	4.65B
Balance Sheet
Total Assets	35.77B	35.20B	37.58B	38.16B	42.55B	35.51B
Cash, Cash Equivalents and Short-Term Investments	5.03B	4.16B	3.96B	3.78B	5.93B	4.33B
Total Debt	5.98B	7.17B	8.05B	7.61B	6.53B	4.00B
Total Liabilities	15.81B	15.38B	17.30B	16.59B	21.06B	16.94B
Stockholders Equity	19.51B	19.39B	19.30B	20.52B	20.58B	17.76B
Cash Flow
Free Cash Flow	2.81B	2.35B	2.12B	-381.71M	1.59B	633.63M
Operating Cash Flow	2.89B	2.44B	2.24B	-262.19M	1.73B	787.70M
Investing Cash Flow	-184.09M	-295.50M	-328.06M	-603.38M	-102.35M	-152.63M
Financing Cash Flow	-1.87B	-2.22B	-1.78B	-1.08B	11.87M	-782.23M

Merida Industry Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TW:9914 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TW:6605	70Outperform	TWD 21.39B	7.94	―	4.85%	0.52%	23.32%
TW:6146	69Neutral	TWD 17.83B	14.95	―	9.92%	7.50%	10.61%
TW:9914	65Neutral	TWD 18.27B	17.94	―	4.59%	-16.24%	―
TW:2247	59Neutral	TWD 17.31B	15.02	―	6.86%	-17.17%	-31.53%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TW:2106	48Neutral	TWD 14.75B	46.63	―	4.33%	4.27%	15.53%
TW:8033	41Neutral	TWD 23.05B	436.36	―	―	14.04%	-65.02%

* General Sector Average

Performance Comparison

TW:9914 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TW:9914	Merida Industry Co., Ltd.	61.00	-30.70	-33.48%
TW:2106	Kenda Rubber Industrial Co., Ltd	15.00	-5.48	-26.74%
TW:2247	Pan German Universal Motors Ltd.	211.50	-59.12	-21.85%
TW:6146	Sporton International Inc.	176.50	25.20	16.66%
TW:6605	Depo Auto Parts Industrial Co. Ltd.	134.00	-0.16	-0.12%
TW:8033	Thunder Tiger Corp.	143.00	25.12	21.31%

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

Merida Industry Co., Ltd. AI Stock Analysis