Returns On Capital At Groundhog (TWSE:6906) Paint A Concerning Picture
Jan 15
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Taiwanese (TAIEX) Software Industry Analysis
UpdatedJan 21, 2025
DataAggregated Company Financials
Companies30
- 7D3.1%
- 3M-13.2%
- 1Y12.7%
- YTD0.2%
Over the last 7 days, the Software industry has risen 3.1%, driven by gains from Insyde Software of 6.4%. In the last 12 months, the industry was up 13%. As for the next few years, earnings are expected to grow by 58% per annum.
Industry Valuation and Performance
Has the Taiwanese Software Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 21 Jan 2025 | NT$118.2b | NT$29.7b | NT$2.9b | 22.4x | 40.1x | 4x |
| Thu, 19 Dec 2024 | NT$120.4b | NT$17.9b | NT$2.0b | 19.3x | 58.9x | 6.7x |
| Sat, 16 Nov 2024 | NT$123.7b | NT$29.6b | NT$2.9b | 22.8x | 41.9x | 4.2x |
| Mon, 14 Oct 2024 | NT$122.0b | NT$28.4b | NT$3.0b | 21.6x | 40.3x | 4.3x |
| Wed, 11 Sep 2024 | NT$126.5b | NT$30.2b | NT$3.3b | 20.6x | 37.8x | 4.2x |
| Fri, 09 Aug 2024 | NT$107.9b | NT$28.1b | NT$2.6b | 22.7x | 40.7x | 3.8x |
| Sun, 07 Jul 2024 | NT$116.8b | NT$28.0b | NT$2.6b | 26.1x | 44.5x | 4.2x |
| Tue, 04 Jun 2024 | NT$109.9b | NT$28.1b | NT$2.6b | 26.7x | 42.3x | 3.9x |
| Thu, 02 May 2024 | NT$97.2b | NT$27.7b | NT$2.3b | 26.3x | 42.5x | 3.5x |
| Sat, 30 Mar 2024 | NT$102.5b | NT$27.6b | NT$2.3b | 27.1x | 44.9x | 3.7x |
| Mon, 26 Feb 2024 | NT$102.7b | NT$27.2b | NT$2.0b | 29.4x | 50.9x | 3.8x |
| Wed, 24 Jan 2024 | NT$100.7b | NT$27.0b | NT$2.2b | 28.8x | 45.8x | 3.7x |
| Fri, 22 Dec 2023 | NT$102.6b | NT$27.2b | NT$2.1b | 31.1x | 49.8x | 3.8x |
| Sun, 19 Nov 2023 | NT$94.6b | NT$27.1b | NT$2.0b | 32.6x | 48x | 3.5x |
| Tue, 17 Oct 2023 | NT$89.3b | NT$26.9b | NT$2.2b | 24x | 40.6x | 3.3x |
| Thu, 14 Sep 2023 | NT$90.9b | NT$26.9b | NT$2.2b | 25x | 41.4x | 3.4x |
| Sat, 12 Aug 2023 | NT$92.1b | NT$26.9b | NT$2.3b | 22.6x | 40.4x | 3.4x |
| Mon, 10 Jul 2023 | NT$93.8b | NT$26.2b | NT$2.3b | 23.7x | 40.2x | 3.6x |
| Wed, 07 Jun 2023 | NT$93.2b | NT$26.2b | NT$2.3b | 27.3x | 39.9x | 3.6x |
| Fri, 05 May 2023 | NT$93.2b | NT$25.6b | NT$2.6b | 23.2x | 36.5x | 3.6x |
| Sun, 02 Apr 2023 | NT$83.4b | NT$25.5b | NT$2.7b | 18.6x | 31.4x | 3.3x |
| Tue, 28 Feb 2023 | NT$81.2b | NT$25.0b | NT$2.0b | 17.2x | 39.9x | 3.2x |
| Thu, 26 Jan 2023 | NT$72.5b | NT$25.0b | NT$2.0b | 13.6x | 35.6x | 2.9x |
| Sat, 24 Dec 2022 | NT$70.5b | NT$25.0b | NT$2.0b | 13.3x | 34.6x | 2.8x |
| Mon, 21 Nov 2022 | NT$60.2b | NT$25.0b | NT$2.0b | 13.2x | 29.6x | 2.4x |
| Wed, 19 Oct 2022 | NT$58.2b | NT$24.0b | NT$1.7b | 14.8x | 34.8x | 2.4x |
| Fri, 16 Sep 2022 | NT$64.3b | NT$24.0b | NT$1.7b | 15.8x | 38.5x | 2.7x |
| Sun, 14 Aug 2022 | NT$62.7b | NT$22.9b | NT$1.6b | 15.2x | 39.8x | 2.7x |
| Tue, 12 Jul 2022 | NT$59.7b | NT$21.4b | NT$1.3b | 15.1x | 46x | 2.8x |
| Thu, 09 Jun 2022 | NT$67.3b | NT$21.4b | NT$1.3b | 15.1x | 52x | 3.2x |
| Sat, 07 May 2022 | NT$68.9b | NT$21.2b | NT$1.1b | 15.9x | 63.5x | 3.2x |
| Mon, 04 Apr 2022 | NT$72.4b | NT$20.7b | NT$878.4m | 16.2x | 82.5x | 3.5x |
| Wed, 02 Mar 2022 | NT$72.4b | NT$20.7b | NT$1.6b | 16.5x | 46.6x | 3.5x |
| Fri, 28 Jan 2022 | NT$76.8b | NT$20.4b | NT$1.5b | 17.9x | 51.2x | 3.8x |
Price to Earnings Ratio
51.2x
Current Industry PE
- Investors are pessimistic on the Taiwanese Software industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 40.1x which is lower than its 3-year average PE of 43.5x.
- The 3-year average PS ratio of 3.5x is lower than the industry's current PS ratio of 4.0x.
Past Earnings Growth
- The earnings for companies in the Software industry have grown 25% per year over the last three years.
- Revenues for these companies have grown 13% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Taiwanese Tech industry?
| TW Market | 3.46% | |
| Tech | 4.16% | |
| Software | 3.11% | |
| Systems Software | 4.48% | |
| Application Software | 2.45% | |
Industry PE
- Investors are most optimistic about the Systems Software industry which is trading above its 3-year average PE ratio of 36.2x.
- Analysts are expecting annual earnings growth of 59.9%, which is higher than its past year's earnings growth of 26.1% per year.
- Investors are most pessimistic about the Application Software industry, which is trading below its 3-year average of 56.1x.
Forecasted Growth
- Analysts are most optimistic on the Systems Software industry, expecting annual earnings growth of 60% over the next 5 years.
- This is better than its past earnings growth rate of 26% per year.
- In contrast, the Application Software industry is expected to see its earnings grow by 57% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 6221 Genesis Technology | NT$69.20 | 4.8% +NT$399.1m | 32.0% | PE23.9x | |
| 6741 91APP | NT$86.20 | 3.9% +NT$377.8m | -13.4% | PE22.6x | |
| 5203 CyberLink | NT$97.40 | 4.4% +NT$323.7m | 5.6% | PE32.1x | |
| 8416 Solidwizard Technology | NT$174.00 | 3.9% +NT$183.4m | 22.5% | PE16.5x | |
| 3570 Otsuka Information Technology | NT$168.00 | 4.0% +NT$111.1m | 7.7% | PE13.8x |
