Formosa Chemicals & Fibre Corporation produces and sells petrochemical products, nylon fibers, and rayon staple fibers in Taiwan, China, and internationally.
Flawless balance sheet with moderate growth potential.
Share Price & News
How has Formosa Chemicals & Fibre's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 1326 has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: 1326 underperformed the TW Chemicals industry which returned -19.2% over the past year.
Return vs Market: 1326 underperformed the TW Market which returned 10.4% over the past year.
Price Volatility Vs. Market
How volatile is Formosa Chemicals & Fibre's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall StHow Much Of Formosa Chemicals & Fibre Corporation (TPE:1326) Do Institutions Own?
2 weeks ago | Simply Wall StIs Formosa Chemicals & Fibre Corporation (TPE:1326) Struggling With Its 1.5% Return On Capital Employed?
1 month ago | Simply Wall StWhy Formosa Chemicals & Fibre Corporation's (TPE:1326) High P/E Ratio Isn't Necessarily A Bad Thing
Is Formosa Chemicals & Fibre undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 1326 (NT$75.6) is trading above our estimate of fair value (NT$34.57)
Significantly Below Fair Value: 1326 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 1326 is poor value based on its PE Ratio (28.2x) compared to the Chemicals industry average (17.9x).
PE vs Market: 1326 is poor value based on its PE Ratio (28.2x) compared to the TW market (17.9x).
Price to Earnings Growth Ratio
PEG Ratio: 1326 is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: 1326 is overvalued based on its PB Ratio (1.4x) compared to the TW Chemicals industry average (1.2x).
How is Formosa Chemicals & Fibre forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 1326's forecast earnings growth (19.4% per year) is above the savings rate (0.9%).
Earnings vs Market: 1326's earnings (19.4% per year) are forecast to grow faster than the TW market (15.2% per year).
High Growth Earnings: 1326's earnings are forecast to grow, but not significantly.
Revenue vs Market: 1326's revenue (9.2% per year) is forecast to grow faster than the TW market (7.4% per year).
High Growth Revenue: 1326's revenue (9.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 1326's Return on Equity is forecast to be low in 3 years time (6.5%).
How has Formosa Chemicals & Fibre performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 1326 has high quality earnings.
Growing Profit Margin: 1326's current net profit margins (5.4%) are lower than last year (10.9%).
Past Earnings Growth Analysis
Earnings Trend: 1326's earnings have grown by 9% per year over the past 5 years.
Accelerating Growth: 1326's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 1326 had negative earnings growth (-63.3%) over the past year, making it difficult to compare to the Chemicals industry average (-20%).
Return on Equity
High ROE: 1326's Return on Equity (5.6%) is considered low.
How is Formosa Chemicals & Fibre's financial position?
Financial Position Analysis
Short Term Liabilities: 1326's short term assets (NT$201.5B) exceed its short term liabilities (NT$96.9B).
Long Term Liabilities: 1326's short term assets (NT$201.5B) exceed its long term liabilities (NT$54.6B).
Debt to Equity History and Analysis
Debt Level: 1326's debt to equity ratio (31.8%) is considered satisfactory.
Reducing Debt: 1326's debt to equity ratio has reduced from 48.3% to 31.8% over the past 5 years.
Debt Coverage: 1326's debt is well covered by operating cash flow (39.9%).
Interest Coverage: 1326's interest payments on its debt are well covered by EBIT (3.7x coverage).
What is Formosa Chemicals & Fibre's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 1326's dividend (5.03%) is higher than the bottom 25% of dividend payers in the TW market (2.46%).
High Dividend: 1326's dividend (5.03%) is low compared to the top 25% of dividend payers in the TW market (5.48%).
Stability and Growth of Payments
Stable Dividend: 1326's dividend payments have been volatile in the past 10 years.
Growing Dividend: 1326's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (141.8%), 1326's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 1326's dividends in 3 years are forecast to be covered by earnings (74.1% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Wen Chìn Lu
Mr. Wen Chìn Lu serves as President and Director at Formosa Chemicals & Fibre Corporation since June 15, 2018. Wen Chìn Lu serves as the President of Formosa ABS Plastics (Ningbo) Co., Ltd. and Formosa Pol ...
|President & Director||no data||no data||0.000060% NT$265.3k|
|MD & Vice Chairman||5yrs||no data||0.0047% NT$20.7m|
|MD & Director||14.08yrs||no data||0.32% NT$1.4b|
|Executive VP & Director||8yrs||no data||no data|
|MD & Independent Director||8yrs||no data||no data|
|VP & Director||2yrs||no data||no data|
|VP & Director||2yrs||no data||0.000090% NT$398.0k|
|Senior VP & Director||2yrs||no data||no data|
|VP & Director||2yrs||no data||no data|
|Chairman||no data||no data||2.21% NT$9.8b|
Experienced Board: 1326's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Formosa Chemicals & Fibre Corporation's company bio, employee growth, exchange listings and data sources
- Name: Formosa Chemicals & Fibre Corporation
- Ticker: 1326
- Exchange: TSEC
- Founded: 1965
- Industry: Commodity Chemicals
- Sector: Materials
- Market Cap: NT$442.186b
- Shares outstanding: 5.85b
- Website: https://www.fcfc.com.tw
- Formosa Chemicals & Fibre Corporation
- No. 201 Zhongshan Road
- Section 3
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|1326||TSEC (Taiwan Stock Exchange)||Yes||Common Stock||TW||TWD||Jan 1992|
Formosa Chemicals & Fibre Corporation produces and sells petrochemical products, nylon fibers, and rayon staple fibers in Taiwan, China, and internationally. It offers various petrochemical products, including benzene, para-xylene, ortho-xylene, meta-xylene, styrene monomer, phenol, acetone, purified terephthalic acid, and purified isophthalic acid; and plastic products comprising polystyrene, acrylonitrile butadiene styrene (ABS) resin, polypropylene resin, polycarbonate (PC) resin, PC/ABS alloy, SAN resin, and ASA resin. The company also provides viscose rayon staple fiber, sodium sulphate, nylon 6 chip, filament of clothing and industry, and fireproof cloth products, as well as flame retardant, mosaic, compact, slub, recycle, modal, siro, multi-blended, and ring spun yarns. In addition, it is involved in the spinning, dyeing, printing, finishing, and manufacturing synthetic fibre, rug, and carpet; investment activities; cogeneration and power generation business; manufacturing and sale of cleaner and cosmetics; removal and disposal of waste; importing, exporting, and wholesale of food products; research and development, assembly, testing, and processing of various integrated circuits; providing employment services and temporary worker services; and import, trade, export processing, warehousing, design, and drawing of black, white, and colour graphs. Formosa Chemicals & Fibre Corporation was founded in 1965 and is headquartered in Changhua, Taiwan.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/06/06 15:45|
|End of Day Share Price||2020/06/05 00:00|
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.