GTSM:6613

Stock Analysis Report

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Executive Summary

Nova Technology Corp. provides services for semiconductor plants, photonics plants, solar energy, biotech, pharmaceutical, and chemical industrial manufacturers in Taiwan, China, Vietnam, Singapore, and Malaysia. More Details


Snowflake Analysis

Excellent balance sheet with acceptable track record.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 6613 is less volatile than 75% of TW stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: 6613's weekly volatility (2%) has been stable over the past year.


Market Performance


7 Day Return

1.1%

6613

2.9%

TW Machinery

0.7%

TW Market


1 Year Return

-8.3%

6613

19.0%

TW Machinery

20.2%

TW Market

Return vs Industry: 6613 underperformed the TW Machinery industry which returned 19% over the past year.

Return vs Market: 6613 underperformed the TW Market which returned 20.2% over the past year.


Shareholder returns

6613IndustryMarket
7 Day1.1%2.9%0.7%
30 Day5.3%8.4%10.3%
90 Day-2.1%5.6%8.7%
1 Year-1.9%-8.3%22.4%19.0%24.5%20.2%
3 Year-4.3%-22.6%21.7%10.5%45.9%29.7%
5 Yearn/a107.1%74.3%96.6%62.2%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

10.44x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 6613 (NT$139) is trading above our estimate of fair value (NT$112.76)

Significantly Below Fair Value: 6613 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 6613 is good value based on its PE Ratio (10.4x) compared to the TW Machinery industry average (17.5x).

PE vs Market: 6613 is good value based on its PE Ratio (10.4x) compared to the TW market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 6613's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 6613 is overvalued based on its PB Ratio (2.1x) compared to the TW Machinery industry average (1.8x).


Next Steps

Future Growth

How is Nova Technology forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

24.0%

Forecasted Capital Goods industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Nova Technology has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Nova Technology performed over the past 5 years?

18.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 6613 has high quality earnings.

Growing Profit Margin: 6613's current net profit margins (11.1%) are lower than last year (11.2%).


Past Earnings Growth Analysis

Earnings Trend: 6613's earnings have grown by 18.6% per year over the past 5 years.

Accelerating Growth: 6613's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 6613 had negative earnings growth (-4.7%) over the past year, making it difficult to compare to the Machinery industry average (-10.4%).


Return on Equity

High ROE: 6613's Return on Equity (20.3%) is considered high.


Next Steps

Financial Health

How is Nova Technology's financial position?


Financial Position Analysis

Short Term Liabilities: 6613's short term assets (NT$4.3B) exceed its short term liabilities (NT$2.0B).

Long Term Liabilities: 6613's short term assets (NT$4.3B) exceed its long term liabilities (NT$298.2M).


Debt to Equity History and Analysis

Debt Level: 6613's debt to equity ratio (8.1%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 6613's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 6613's debt is well covered by operating cash flow (168.6%).

Interest Coverage: 6613 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

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

7.19%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 6613's dividend (7.19%) is higher than the bottom 25% of dividend payers in the TW market (2.1%).

High Dividend: 6613's dividend (7.19%) is in the top 25% of dividend payers in the TW market (5.17%)


Stability and Growth of Payments

Stable Dividend: 6613 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 6613's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (75.1%), 6613's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

6.6yrs

Average management tenure


CEO

David Ma

0.75

Tenure

Mr. Wei Ma, also known as David, has been President at Nova Technology Corp. since March 01, 2020 and serves as its R&D Head. Mr. Ma served as an Executive Vice President at Nova Technology Corp. since Feb...


Leadership Team

NamePositionTenureCompensationOwnership
Wei Ma
President and Head of R&D0.75yrno datano data
Chun-Yen Ou
CFO & Head of Accounting4.33yrsno datano data
Min-Lang Su
Vice President of Technological Business Division8.83yrsno datano data
Wei-chao Yang
Vice President9.92yrsno datano data

6.6yrs

Average Tenure

Experienced Management: 6613's management team is seasoned and experienced (6.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Chin-Li Liang
Chairman of Board of Directors13.75yrsno datano data
Chung-Cheng Hsu
Vice Chairman of Board0.58yrno datano data
Cherng Lee
Independent Director3.42yrsNT$786.00kno data
Chih-Yi Chi
Independent Director4yrsNT$756.00kno data
Bi-Hui Wu
Director4.58yrsno datano data
Sheng-Yung Yang
Independent Director4yrsNT$756.00kno data
Hui Yin Chiu
Independent Director1.58yrsNT$470.00kno data

4.0yrs

Average Tenure

Experienced Board: 6613's board of directors are considered experienced (4 years average tenure).


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

Nova Technology Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nova Technology Corp.
  • Ticker: 6613
  • Exchange: GTSM
  • Founded: 1997
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: NT$4.716b
  • Shares outstanding: 33.93m
  • Website: https://www.novatech.com.tw

Number of Employees


Location

  • Nova Technology Corp.
  • No. 76, Jiafeng South Road
  • 10th Floor
  • Zhubei
  • 30272
  • Taiwan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
6613GTSM (Taipei Exchange)YesCommon StockTWTWDDec 2016

Biography

Nova Technology Corp. provides services for semiconductor plants, photonics plants, solar energy, biotech, pharmaceutical, and chemical industrial manufacturers in Taiwan, China, Vietnam, Singapore, and Ma...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/02 08:35
End of Day Share Price2020/12/01 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.