Buy Or Sell Opportunity • May 12
Now 22% overvalued after recent price rise Over the last 90 days, the stock has risen 25% to NT$39.90. The fair value is estimated to be NT$32.81, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 5.7% over the last 3 years. Earnings per share has declined by 29%. New Risk • Apr 16
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Taiwanese stocks, typically moving 8.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (8.5% average weekly change). Profit margins are more than 30% lower than last year (3.7% net profit margin). Market cap is less than US$100m (NT$2.24b market cap, or US$71.2m). Reported Earnings • Mar 12
Full year 2025 earnings released: EPS: NT$2.02 (vs NT$4.10 in FY 2024) Full year 2025 results: EPS: NT$2.02 (down from NT$4.10 in FY 2024). Revenue: NT$3.19b (down 13% from FY 2024). Net income: NT$119.1m (down 51% from FY 2024). Profit margin: 3.7% (down from 6.6% in FY 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 20% per year but the company’s share price has increased by 4% per year, which means it is well ahead of earnings. Annonce • Mar 04
Kingstate Electronics Corp., Annual General Meeting, May 22, 2026 Kingstate Electronics Corp., Annual General Meeting, May 22, 2026, at 09:00 Taipei Standard Time. Location: 5 floor no,89, hsueh fu rd., danshuei district, new taipei city Taiwan Valuation Update With 7 Day Price Move • Feb 25
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to NT$38.25, the stock trades at a trailing P/E ratio of 18.5x. Average trailing P/E is 24x in the Electronic industry in Taiwan. Total returns to shareholders of 43% over the past three years. Reported Earnings • Nov 07
Third quarter 2025 earnings released: EPS: NT$0.38 (vs NT$0.66 in 3Q 2024) Third quarter 2025 results: EPS: NT$0.38 (down from NT$0.66 in 3Q 2024). Revenue: NT$763.6m (down 25% from 3Q 2024). Net income: NT$22.2m (down 43% from 3Q 2024). Profit margin: 2.9% (down from 3.8% in 3Q 2024). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has fallen by 11% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Declared Dividend • Jul 10
Dividend of NT$2.50 announced Dividend of NT$2.50 is the same as last year. Ex-date: 24th July 2025 Payment date: 21st August 2025 Dividend yield will be 6.7%, which is higher than the industry average of 4.0%. Sustainability & Growth Dividend is covered by both earnings (71% earnings payout ratio) and cash flows (52% cash payout ratio). The dividend has increased by an average of 19% per year over the past 10 years. However, payments have been volatile during that time. Earnings per share has grown by 1.9% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. New Risk • May 14
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 5.6% Last year net profit margin: 8.4% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Profit margins are more than 30% lower than last year (5.6% net profit margin). Market cap is less than US$100m (NT$2.20b market cap, or US$72.5m). Reported Earnings • May 14
First quarter 2025 earnings released: EPS: NT$0.62 (vs NT$1.21 in 1Q 2024) First quarter 2025 results: EPS: NT$0.62 (down from NT$1.21 in 1Q 2024). Revenue: NT$830.3m (up 3.7% from 1Q 2024). Net income: NT$36.6m (down 49% from 1Q 2024). Profit margin: 4.4% (down from 8.9% in 1Q 2024). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 11% per year and the company’s share price has also increased by 11% per year. Buy Or Sell Opportunity • Apr 09
Now 25% undervalued after recent price drop Over the last 90 days, the stock has fallen 26% to NT$31.50. The fair value is estimated to be NT$41.83, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 7.7% over the last 3 years. Earnings per share has grown by 18%. Valuation Update With 7 Day Price Move • Apr 08
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to NT$34.55, the stock trades at a trailing P/E ratio of 8.4x. Average trailing P/E is 17x in the Electronic industry in Taiwan. Total returns to shareholders of 44% over the past three years. Reported Earnings • Mar 19
Full year 2024 earnings released: EPS: NT$4.10 (vs NT$4.82 in FY 2023) Full year 2024 results: EPS: NT$4.10 (down from NT$4.82 in FY 2023). Revenue: NT$3.68b (up 3.5% from FY 2023). Net income: NT$241.7m (down 15% from FY 2023). Profit margin: 6.6% (down from 8.0% in FY 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 18% per year whereas the company’s share price has increased by 15% per year. Annonce • Mar 14
Kingstate Electronics Corp., Annual General Meeting, May 29, 2025 Kingstate Electronics Corp., Annual General Meeting, May 29, 2025, at 09:00 Taipei Standard Time. Location: 5 floor no,89, hsueh fu rd., danshuei district, new taipei city Taiwan Reported Earnings • Nov 18
Third quarter 2024 earnings released: EPS: NT$0.66 (vs NT$1.46 in 3Q 2023) Third quarter 2024 results: EPS: NT$0.66 (down from NT$1.46 in 3Q 2023). Revenue: NT$1.02b (up 5.6% from 3Q 2023). Net income: NT$38.7m (down 55% from 3Q 2023). Profit margin: 3.8% (down from 9.0% in 3Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Reported Earnings • Aug 13
Second quarter 2024 earnings released: EPS: NT$1.66 (vs NT$2.04 in 2Q 2023) Second quarter 2024 results: EPS: NT$1.66 (down from NT$2.04 in 2Q 2023). Revenue: NT$1.04b (up 7.0% from 2Q 2023). Net income: NT$97.9m (down 18% from 2Q 2023). Profit margin: 9.4% (down from 12% in 2Q 2023). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 26% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Buy Or Sell Opportunity • Aug 05
Now 23% undervalued after recent price drop Over the last 90 days, the stock has fallen 6.2% to NT$44.70. The fair value is estimated to be NT$57.92, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 5.2% over the last 3 years. Earnings per share has grown by 25%. Upcoming Dividend • Jul 10
Upcoming dividend of NT$2.50 per share Eligible shareholders must have bought the stock before 17 July 2024. Payment date: 13 August 2024. Payout ratio is a comfortable 49% and this is well supported by cash flows. Trailing yield: 5.0%. Within top quartile of Taiwanese dividend payers (4.2%). Higher than average of industry peers (2.5%). Reported Earnings • May 12
First quarter 2024 earnings released: EPS: NT$1.21 (vs NT$0.96 in 1Q 2023) First quarter 2024 results: EPS: NT$1.21 (up from NT$0.96 in 1Q 2023). Revenue: NT$801.1m (down 2.0% from 1Q 2023). Net income: NT$71.3m (up 26% from 1Q 2023). Profit margin: 8.9% (up from 6.9% in 1Q 2023). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 25% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Reported Earnings • Mar 26
Full year 2023 earnings released: EPS: NT$4.82 (vs NT$3.60 in FY 2022) Full year 2023 results: EPS: NT$4.82 (up from NT$3.60 in FY 2022). Revenue: NT$3.55b (down 14% from FY 2022). Net income: NT$284.1m (up 34% from FY 2022). Profit margin: 8.0% (up from 5.1% in FY 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth. Annonce • Mar 15
Kingstate Electronics Corp., Annual General Meeting, May 31, 2024 Kingstate Electronics Corp., Annual General Meeting, May 31, 2024. Reported Earnings • Nov 10
Third quarter 2023 earnings released: EPS: NT$1.46 (vs NT$1.44 in 3Q 2022) Third quarter 2023 results: EPS: NT$1.46 (up from NT$1.44 in 3Q 2022). Revenue: NT$961.5m (down 12% from 3Q 2022). Net income: NT$86.2m (up 1.3% from 3Q 2022). Profit margin: 9.0% (up from 7.8% in 3Q 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 19% per year whereas the company’s share price has increased by 14% per year. Upcoming Dividend • Aug 17
Upcoming dividend of NT$2.20 per share at 4.7% yield Eligible shareholders must have bought the stock before 24 August 2023. Payment date: 22 September 2023. Payout ratio is a comfortable 47% and this is well supported by cash flows. Trailing yield: 4.7%. Lower than top quartile of Taiwanese dividend payers (5.7%). Higher than average of industry peers (4.2%). Reported Earnings • Aug 11
Second quarter 2023 earnings released: EPS: NT$2.03 (vs NT$1.20 in 2Q 2022) Second quarter 2023 results: EPS: NT$2.03 (up from NT$1.20 in 2Q 2022). Revenue: NT$975.2m (down 16% from 2Q 2022). Net income: NT$119.9m (up 69% from 2Q 2022). Profit margin: 12% (up from 6.1% in 2Q 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 13% per year whereas the company’s share price has increased by 15% per year. Valuation Update With 7 Day Price Move • Aug 11
Investor sentiment improves as stock rises 20% After last week's 20% share price gain to NT$46.00, the stock trades at a trailing P/E ratio of 11.8x. Average trailing P/E is 17x in the Electronic industry in Taiwan. Total returns to shareholders of 87% over the past three years. Reported Earnings • Mar 15
Full year 2022 earnings released: EPS: NT$3.60 (vs NT$2.39 in FY 2021) Full year 2022 results: EPS: NT$3.60 (up from NT$2.39 in FY 2021). Revenue: NT$4.15b (down 2.7% from FY 2021). Net income: NT$212.1m (up 62% from FY 2021). Profit margin: 5.1% (up from 3.1% in FY 2021). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 9% per year, which means it is tracking significantly ahead of earnings growth. Upcoming Dividend • Aug 18
Upcoming dividend of NT$1.80 per share Eligible shareholders must have bought the stock before 25 August 2022. Payment date: 23 September 2022. Payout ratio is a comfortable 61% and this is well supported by cash flows. Trailing yield: 6.2%. Lower than top quartile of Taiwanese dividend payers (6.4%). Higher than average of industry peers (4.4%). Reported Earnings • Aug 14
Second quarter 2022 earnings released: EPS: NT$1.20 (vs NT$0.80 in 2Q 2021) Second quarter 2022 results: EPS: NT$1.20 (up from NT$0.80 in 2Q 2021). Revenue: NT$1.15b (up 2.6% from 2Q 2021). Net income: NT$70.9m (up 65% from 2Q 2021). Profit margin: 6.1% (up from 3.8% in 2Q 2021). Over the last 3 years on average, earnings per share has fallen by 6% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Reported Earnings • May 16
First quarter 2022 earnings released: EPS: NT$0.68 (vs NT$0.56 in 1Q 2021) First quarter 2022 results: EPS: NT$0.68 (up from NT$0.56 in 1Q 2021). Revenue: NT$989.2m (up 6.4% from 1Q 2021). Net income: NT$39.9m (up 31% from 1Q 2021). Profit margin: 4.0% (up from 3.3% in 1Q 2021). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has increased by 1% per year, which means it is well ahead of earnings. Reported Earnings • Mar 13
Full year 2021 earnings: Revenues and EPS in line with analyst expectations Full year 2021 results: EPS: NT$2.39 (down from NT$2.90 in FY 2020). Revenue: NT$4.26b (up 26% from FY 2020). Net income: NT$131.3m (down 16% from FY 2020). Profit margin: 3.1% (down from 4.6% in FY 2020). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Reported Earnings • Nov 11
Third quarter 2021 earnings released: EPS NT$0.88 (vs NT$1.18 in 3Q 2020) The company reported a soft third quarter result with weaker earnings and profit margins, although revenues improved. Third quarter 2021 results: Revenue: NT$1.13b (up 11% from 3Q 2020). Net income: NT$47.3m (down 26% from 3Q 2020). Profit margin: 4.2% (down from 6.3% in 3Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 7% per year and the company’s share price has also increased by 7% per year. Upcoming Dividend • Aug 24
Upcoming dividend of NT$2.00 per share Eligible shareholders must have bought the stock before 31 August 2021. Payment date: 27 September 2021. Trailing yield: 6.2%. Within top quartile of Taiwanese dividend payers (5.3%). Higher than average of industry peers (3.2%). Reported Earnings • Aug 13
Second quarter 2021 earnings released: EPS NT$0.80 (vs NT$0.84 in 2Q 2020) The company reported a mediocre second quarter result with weaker earnings and profit margins, although revenues improved. Second quarter 2021 results: Revenue: NT$1.13b (up 72% from 2Q 2020). Net income: NT$43.0m (down 4.5% from 2Q 2020). Profit margin: 3.8% (down from 6.9% in 2Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 15% per year whereas the company’s share price has increased by 18% per year. Reported Earnings • May 05
First quarter 2021 earnings released: EPS NT$0.56 (vs NT$0.51 in 1Q 2020) The company reported a solid first quarter result with improved earnings and revenues, although profit margins were weaker. First quarter 2021 results: Revenue: NT$929.8m (up 62% from 1Q 2020). Net income: NT$30.3m (up 10% from 1Q 2020). Profit margin: 3.3% (down from 4.8% in 1Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 23% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth. Reported Earnings • Apr 03
Full year 2020 earnings released: EPS NT$2.90 (vs NT$3.15 in FY 2019) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2020 results: Revenue: NT$3.39b (up 1.0% from FY 2019). Net income: NT$156.4m (down 8.0% from FY 2019). Profit margin: 4.6% (down from 5.1% in FY 2019). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 19% per year, which means it is significantly lagging earnings growth. Annonce • Mar 19
Kingstate Electronics Corp., Annual General Meeting, Jun 07, 2021 Kingstate Electronics Corp., Annual General Meeting, Jun 07, 2021. Reported Earnings • Mar 11
Full year 2020 earnings released: EPS NT$2.90 (vs NT$3.15 in FY 2019) The company reported a soft full year result with weaker earnings and profit margins, although revenues improved. Full year 2020 results: Revenue: NT$3.39b (up 1.0% from FY 2019). Net income: NT$156.4m (down 8.0% from FY 2019). Profit margin: 4.6% (down from 5.1% in FY 2019). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 28% per year but the company’s share price has only increased by 17% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Dec 24
Investor sentiment deteriorated over the past week After last week's 20% share price decline to NT$37.45, the stock is trading at a trailing P/E ratio of 12.7x, down from the previous P/E ratio of 15.9x. This compares to an average P/E of 17x in the Electronic industry in Taiwan. Total returns to shareholders over the past three years are 82%. Valuation Update With 7 Day Price Move • Dec 18
Investor sentiment improved over the past week After last week's 17% share price gain to NT$47.10, the stock is trading at a trailing P/E ratio of 15.9x, up from the previous P/E ratio of 13.6x. This compares to an average P/E of 17x in the Electronic industry in Taiwan. Total returns to shareholders over the past three years are 137%. Is New 90 Day High Low • Dec 16
New 90-day high: NT$41.00 The company is up 31% from its price of NT$31.40 on 18 September 2020. The Taiwanese market is up 8.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Electronic industry, which is up 9.0% over the same period. Valuation Update With 7 Day Price Move • Dec 11
Investor sentiment improved over the past week After last week's 21% share price gain to NT$40.25, the stock is trading at a trailing P/E ratio of 13.6x, up from the previous P/E ratio of 11.3x. This compares to an average P/E of 17x in the Electronic industry in Taiwan. Total returns to shareholders over the past three years are 103%. Is New 90 Day High Low • Nov 28
New 90-day high: NT$32.95 The company is up 17% from its price of NT$28.20 on 28 August 2020. The Taiwanese market is up 8.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Electronic industry, which is up 7.0% over the same period. Reported Earnings • Nov 13
Third quarter 2020 earnings released: EPS NT$1.18 The company reported a soft third quarter result with weaker earnings and profit margins, although revenues were improved. Third quarter 2020 results: Revenue: NT$1.02b (up 5.6% from 3Q 2019). Net income: NT$63.8m (down 5.9% from 3Q 2019). Profit margin: 6.3% (down from 7.0% in 3Q 2019). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 30% per year but the company’s share price has only increased by 9% per year, which means it is significantly lagging earnings growth.