New Risk • May 22
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Taiwanese stocks, typically moving 13% a week. This is considered a major risk. Share price volatility 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. It may also indicate 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. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (13% average weekly change). Earnings have declined by 34% per year over the past 5 years. Market cap is less than US$10m (NT$139.9m market cap, or US$4.33m). Minor Risk Shareholders have been diluted in the past year (23% increase in shares outstanding). Reported Earnings • May 04
Full year 2023 earnings released: NT$3.76 loss per share (vs NT$0.041 profit in FY 2022) Full year 2023 results: NT$3.76 loss per share (down from NT$0.041 profit in FY 2022). Revenue: NT$190.9m (down 32% from FY 2022). Net loss: NT$68.2m (down NT$68.8m from profit in FY 2022). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 110 percentage points per year, which is a significant difference in performance. 공시 • Mar 22
GeneTouch Corp., Ltd, Annual General Meeting, Jun 21, 2024 GeneTouch Corp., Ltd, Annual General Meeting, Jun 21, 2024. New Risk • Mar 01
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended June 2023. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Minor Risks Latest financial reports are more than 6 months old (reported June 2023 fiscal period end). Shareholders have been diluted in the past year (23% increase in shares outstanding). Market cap is less than US$100m (NT$319.8m market cap, or US$10.1m). New Risk • Jul 26
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 6.3% 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: Major Risk Interest payments are not well covered by earnings (0.5x net interest cover). Minor Risks Share price has been volatile over the past 3 months (6.3% average weekly change). Profit margins are more than 30% lower than last year (0.2% net profit margin). Shareholders have been diluted in the past year (23% increase in shares outstanding). Market cap is less than US$100m (NT$399.8m market cap, or US$12.8m). New Risk • Jul 18
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 23% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Interest payments are not well covered by earnings (0.5x net interest cover). Minor Risks Profit margins are more than 30% lower than last year (0.2% net profit margin). Shareholders have been diluted in the past year (23% increase in shares outstanding). Market cap is less than US$100m (NT$377.8m market cap, or US$12.2m). New Risk • Jun 14
New major risk - Market cap size The company's market capitalization is less than US$10m. Market cap: NT$306.0m (US$9.97m) This is considered a major risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (0.5x net interest cover). Market cap is less than US$10m (NT$306.0m market cap, or US$9.97m). Minor Risks Profit margins are more than 30% lower than last year (0.2% net profit margin). Shareholders have been diluted in the past year (28% increase in shares outstanding). Valuation Update With 7 Day Price Move • Mar 24
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to NT$22.00, the stock trades at a trailing P/E ratio of 71.7x. Average trailing P/E is 13x in the Electronic industry in Taiwan. Total returns to shareholders of 66% over the past year. Valuation Update With 7 Day Price Move • Feb 16
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to NT$16.50, the stock trades at a trailing P/E ratio of 53.8x. Average trailing P/E is 12x in the Electronic industry in Taiwan. Total returns to shareholders of 28% over the past year. Valuation Update With 7 Day Price Move • Nov 21
Investor sentiment improved over the past week After last week's 19% share price gain to NT$14.00, the stock trades at a trailing P/E ratio of 45.6x. Average trailing P/E is 11x in the Electronic industry in Taiwan. Total returns to shareholders of 31% over the past year. Valuation Update With 7 Day Price Move • Nov 01
Investor sentiment improved over the past week After last week's 24% share price gain to NT$11.65, the stock trades at a trailing P/E ratio of 38x. Average trailing P/E is 10x in the Electronic industry in Taiwan. Total returns to shareholders of 13% over the past year. Valuation Update With 7 Day Price Move • Aug 18
Investor sentiment improved over the past week After last week's 15% share price gain to NT$10.10, the stock trades at a trailing P/E ratio of 32.9x. Average trailing P/E is 13x in the Electronic industry in Taiwan. Negligible returns to shareholders over past year. Reported Earnings • Aug 07
First half 2022 earnings released First half 2022 results: Revenue: (down 100% from 1H 2021). Net income: (up NT$4.47m from 1H 2021). Profit margin: (up from net loss in 1H 2021). The move to profitability was driven by lower expenses. Reported Earnings • Mar 28
Full year 2021 earnings released: EPS: NT$1.00 (vs NT$0.43 in FY 2020) Full year 2021 results: EPS: NT$1.00 (up from NT$0.43 in FY 2020). Revenue: NT$294.0m (up 53% from FY 2020). Net income: NT$12.7m (up 271% from FY 2020). Profit margin: 4.3% (up from 1.8% in FY 2020). The increase in margin was driven by higher revenue.