Far Eastern New Century Corporation

TWSE:1402 Stock Report

Market Cap: NT$187.3b

Far Eastern New Century Valuation

Is 1402 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1402 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1402 (NT$35) is trading above our estimate of fair value (NT$19.74)

Significantly Below Fair Value: 1402 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1402?

Key metric: As 1402 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 1402. This is calculated by dividing 1402's market cap by their current earnings.
What is 1402's PE Ratio?
PE Ratio19.7x
EarningsNT$9.53b
Market CapNT$187.32b

Price to Earnings Ratio vs Peers

How does 1402's PE Ratio compare to its peers?

The above table shows the PE ratio for 1402 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.6x
6409 Voltronic Power Technology
40.8x13.5%NT$169.3b
1590 Airtac International Group
21.1x11.7%NT$159.0b
1605 Walsin Lihwa
32.6xn/aNT$110.9b
1504 TECO Electric & Machinery
19.7x12.5%NT$111.8b
1402 Far Eastern New Century
19.7x8.4%NT$187.3b

Price-To-Earnings vs Peers: 1402 is good value based on its Price-To-Earnings Ratio (19.7x) compared to the peer average (28.6x).

Price to Earnings Ratio vs Industry

How does 1402's PE Ratio compare vs other companies in the Asian Industrials Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
1402 19.7xIndustry Avg. 12.8xNo. of Companies16PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 1402 is expensive based on its Price-To-Earnings Ratio (19.7x) compared to the Asian Industrials industry average (12.9x).

Price to Earnings Ratio vs Fair Ratio

What is 1402's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1402 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.7x
Fair PE Ratio21x

Price-To-Earnings vs Fair Ratio: 1402 is good value based on its Price-To-Earnings Ratio (19.7x) compared to the estimated Fair Price-To-Earnings Ratio (21x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 1402 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentNT$35.00
NT$35.00
0%
14.3%NT$40.00NT$30.00n/a2
Nov ’25NT$37.00
NT$34.00
-8.1%
12.7%NT$40.00NT$30.00n/a3
Oct ’25NT$39.00
NT$34.00
-12.8%
12.7%NT$40.00NT$30.00n/a3
Sep ’25NT$36.25
NT$34.00
-6.2%
12.7%NT$40.00NT$30.00n/a3
Aug ’25NT$35.15
NT$31.00
-11.8%
3.2%NT$32.00NT$30.00n/a2
Jul ’25NT$36.00
NT$33.33
-7.4%
10.2%NT$38.00NT$30.00n/a3
Jun ’25NT$33.80
NT$33.33
-1.4%
10.2%NT$38.00NT$30.00n/a3
May ’25NT$32.50
NT$32.67
+0.5%
11.5%NT$38.00NT$30.00n/a3
Apr ’25NT$33.25
NT$32.67
-1.8%
11.5%NT$38.00NT$30.00n/a3
Mar ’25NT$31.90
NT$32.67
+2.4%
11.5%NT$38.00NT$30.00n/a3
Feb ’25NT$31.30
NT$32.67
+4.4%
11.5%NT$38.00NT$30.00n/a3
Jan ’25NT$31.20
NT$32.67
+4.7%
11.5%NT$38.00NT$30.00n/a3
Dec ’24NT$30.95
NT$31.67
+2.3%
14.7%NT$38.00NT$27.00n/a3
Nov ’24NT$29.40
NT$31.00
+5.4%
12.1%NT$36.00NT$27.00NT$37.003
Oct ’24NT$28.75
NT$31.00
+7.8%
12.1%NT$36.00NT$27.00NT$39.003
Sep ’24NT$28.80
NT$31.00
+7.6%
12.1%NT$36.00NT$27.00NT$36.253
Aug ’24NT$29.65
NT$31.00
+4.6%
12.1%NT$36.00NT$27.00NT$35.153
Jul ’24NT$33.45
NT$31.00
-7.3%
12.1%NT$36.00NT$27.00NT$36.003
Jun ’24NT$31.70
NT$31.00
-2.2%
12.1%NT$36.00NT$27.00NT$33.803
May ’24NT$31.90
NT$32.75
+2.7%
13.5%NT$38.00NT$27.00NT$32.504
Apr ’24NT$31.30
NT$33.25
+6.2%
14.6%NT$38.00NT$27.00NT$33.254
Mar ’24NT$32.00
NT$34.25
+7.0%
11.0%NT$38.00NT$30.00NT$31.904
Feb ’24NT$32.70
NT$34.25
+4.7%
11.0%NT$38.00NT$30.00NT$31.304
Jan ’24NT$31.90
NT$34.25
+7.4%
11.0%NT$38.00NT$30.00NT$31.204
Dec ’23NT$32.65
NT$33.00
+1.1%
10.8%NT$38.00NT$30.00NT$30.953
Nov ’23NT$32.45
NT$34.25
+5.5%
8.4%NT$38.00NT$31.00NT$29.404

Analyst Forecast: Target price is less than 20% higher than the current share price.

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