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ASE Technology Holding

Executive Summary

ASE Technology Holding Co., Ltd. provides a range of semiconductors packaging and testing, and electronic manufacturing services in the United States, Taiwan, Asia, Europe, and internationally. More Details


Snowflake Analysis

Undervalued with solid track record.


Similar Companies

Share Price & News

How has ASE Technology Holding's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 2DQ is not significantly more volatile than the rest of German stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 2DQ's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

-1.4%

2DQ

6.8%

DE Semiconductor

1.4%

DE Market


1 Year Return

-4.1%

2DQ

40.3%

DE Semiconductor

0.9%

DE Market

Return vs Industry: 2DQ underperformed the German Semiconductor industry which returned 37.5% over the past year.

Return vs Market: 2DQ underperformed the German Market which returned 0.6% over the past year.


Shareholder returns

2DQIndustryMarket
7 Day-1.4%6.8%1.4%
30 Day15.1%14.5%8.7%
90 Day21.0%22.8%2.3%
1 Year-2.2%-4.1%42.1%40.3%4.1%0.9%
3 Yearn/a26.6%21.5%3.9%-5.1%
5 Yearn/a112.7%100.8%24.8%7.1%

Long-Term Price Volatility Vs. Market

How volatile is ASE Technology Holding's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is ASE Technology Holding undervalued compared to its fair value and its price relative to the market?

21.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 2DQ (€4.26) is trading below our estimate of fair value (€5.44)

Significantly Below Fair Value: 2DQ is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 2DQ is good value based on its PE Ratio (13.1x) compared to the DE Semiconductor industry average (59.6x).

PE vs Market: 2DQ is good value based on its PE Ratio (13.1x) compared to the German market (23.2x).


Price to Earnings Growth Ratio

PEG Ratio: 2DQ is poor value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: 2DQ is good value based on its PB Ratio (1.5x) compared to the DE Semiconductor industry average (2.7x).


Next Steps

Future Growth

How is ASE Technology Holding forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

12.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 2DQ's forecast earnings growth (12.9% per year) is above the savings rate (0.2%).

Earnings vs Market: 2DQ's earnings (12.9% per year) are forecast to grow slower than the German market (27.3% per year).

High Growth Earnings: 2DQ's earnings are forecast to grow, but not significantly.

Revenue vs Market: 2DQ's revenue (8.1% per year) is forecast to grow faster than the German market (5.8% per year).

High Growth Revenue: 2DQ's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 2DQ's Return on Equity is forecast to be low in 3 years time (12.5%).


Next Steps

Past Performance

How has ASE Technology Holding performed over the past 5 years?

0.09%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 2DQ has high quality earnings.

Growing Profit Margin: 2DQ's current net profit margins (5.4%) are higher than last year (3.9%).


Past Earnings Growth Analysis

Earnings Trend: 2DQ's earnings have grown by 0.09% per year over the past 5 years.

Accelerating Growth: 2DQ's earnings growth over the past year (50.3%) exceeds its 5-year average (0.09% per year).

Earnings vs Industry: 2DQ earnings growth over the past year (50.3%) exceeded the Semiconductor industry -58.1%.


Return on Equity

High ROE: 2DQ's Return on Equity (11.6%) is considered low.


Next Steps

Financial Health

How is ASE Technology Holding's financial position?


Financial Position Analysis

Short Term Liabilities: 2DQ's short term assets (NT$233.6B) exceed its short term liabilities (NT$175.5B).

Long Term Liabilities: 2DQ's short term assets (NT$233.6B) exceed its long term liabilities (NT$188.5B).


Debt to Equity History and Analysis

Debt Level: 2DQ's debt to equity ratio (95.7%) is considered high.

Reducing Debt: 2DQ's debt to equity ratio has increased from 75.7% to 95.7% over the past 5 years.

Debt Coverage: 2DQ's debt is well covered by operating cash flow (37.7%).

Interest Coverage: 2DQ's interest payments on its debt are well covered by EBIT (10.5x coverage).


Balance Sheet


Next Steps

Dividend

What is ASE Technology Holding current dividend yield, its reliability and sustainability?

2.72%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 2DQ's dividend (2.72%) is higher than the bottom 25% of dividend payers in the German market (1.13%).

High Dividend: 2DQ's dividend (2.72%) is low compared to the top 25% of dividend payers in the German market (3.64%).


Stability and Growth of Payments

Stable Dividend: 2DQ has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 2DQ has only been paying a dividend for 2 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.6%), 2DQ's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 2DQ's dividends in 3 years are forecast to be covered by earnings (51.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.6yrs

Average management tenure


CEO

Jason Chang (75 yo)

2.58yrs

Tenure

Mr. C. S. Chang, also known as Jason, has been the Chairman of ASE Technology Holding Co., Ltd. since March 2019 and serves as its Chief Executive Officer since April 2018. He serves as Chairman and Direct...


Leadership Team

NamePositionTenureCompensationOwnership
C. S. Chang
Chairman & CEO2.58yrsno data22.26%
NT$ 2.1b
Hung-Pen Chang
Vice Chairman & President1.67yrsno data2.91%
NT$ 268.8m
Bo-Lian Li
Chief Financial Officer0.25yrno data0.0049%
NT$ 455.2k
Tien Yu Wu
Group COO & Representative Director2.75yrsno data0.091%
NT$ 8.4m
Du-Tsuen Uang
Group Chief Administrative Officerno datano data0.0012%
NT$ 108.0k
Kenneth Hsiang
Head of Investor Relations & VPno datano data0.0057%
NT$ 530.0k
Shi Hua Pan
Group Chief of Staff2.25yrsno datano data
Rui Rong Lo
GM of Kaohsiung Plant & Representative Director2.75yrsno data0.042%
NT$ 3.9m
Kwai Mun Lee
President of Southeast Asia Operations14.67yrsno data0.0049%
NT$ 453.4k
Anne Chang
Deputy General Managerno datano data0.017%
NT$ 1.6m
Pei-Li Shen
Deputy General Managerno datano data0.0016%
NT$ 146.8k
Shih-Kang Hsu
Chief Executive Officer of Suzhou ASEN Semiconductors Co.10.25yrsno data0.0039%
NT$ 357.3k

2.6yrs

Average Tenure

62yo

Average Age

Experienced Management: 2DQ's management team is considered experienced (2.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
C. S. Chang
Chairman & CEO2.58yrsno data22.26%
NT$ 2.1b
Hung-Pen Chang
Vice Chairman & President1.67yrsno data2.91%
NT$ 268.8m
Tien Yu Wu
Group COO & Representative Director2.75yrsno data0.091%
NT$ 8.4m
Rui Rong Lo
GM of Kaohsiung Plant & Representative Director2.75yrsno data0.042%
NT$ 3.9m
Chen-Yen Wei
Chairman5.58yrsno data0.0086%
NT$ 792.2k
H. P. Chang
Director2.75yrsno data0.037%
NT$ 3.4m
Chang Yi Chen
Representative Director2.75yrsno data0.025%
NT$ 2.3m
Joseph Tung
Representative Director2.75yrsno data0.064%
NT$ 5.9m
Ta-lin Hsu
Independent Director2.42yrsno datano data
Tien-Szu Chen
Representative Director2.75yrsno data0.028%
NT$ 2.6m
Mei-Yueh Ho
Independent Director2.42yrsno datano data
Sheng-Fu You
Independent Director2.42yrsno data0.000060%
NT$ 5.5k

2.8yrs

Average Tenure

65yo

Average Age

Experienced Board: 2DQ's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

ASE Technology Holding Co., Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ASE Technology Holding Co., Ltd.
  • Ticker: 2DQ
  • Exchange: DB
  • Founded: 1984
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: NT$313.521b
  • Listing Market Cap: NT$9.233b
  • Shares outstanding: 4.27b
  • Website: https://www.aseglobal.com

Number of Employees


Location

  • ASE Technology Holding Co., Ltd.
  • 26 Chin Third Road
  • Nantze Export Processing Zone
  • Kaohsiung
  • 811
  • Taiwan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
3711TSEC (Taiwan Stock Exchange)YesCommon SharesTWTWDApr 2018
ASXNYSE (New York Stock Exchange)SPON ADS EACH REP 2 ORD SHSUSUSDMay 2018
ASEH NBMV (Bolsa Mexicana de Valores)SPON ADS EACH REP 2 ORD SHSMXMXNMay 2018
2DQDB (Deutsche Boerse AG)SPON ADS EACH REP 2 ORD SHSDEEURMay 2018

Biography

ASE Technology Holding Co., Ltd. provides a range of semiconductors packaging and testing, and electronic manufacturing services in the United States, Taiwan, Asia, Europe, and internationally. The company...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/26 19:55
End of Day Share Price2020/11/25 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.