Formosa Chemicals & Fibre Corporation

TWSE:1326 Stock Report

Market Cap: NT$167.6b

Formosa Chemicals & Fibre Valuation

Is 1326 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1326 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
NT$14.98
Fair Value
91.3% overvalued intrinsic discount
7
Number of Analysts

Below Fair Value: 1326 (NT$28.65) is trading above our estimate of fair value (NT$14.98)

Significantly Below Fair Value: 1326 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1326?

Key metric: As 1326 is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 1326. This is calculated by dividing 1326's market cap by their current revenue.
What is 1326's PS Ratio?
PS Ratio0.5x
SalesNT$348.61b
Market CapNT$167.57b

Price to Sales Ratio vs Peers

How does 1326's PS Ratio compare to its peers?

The above table shows the PS ratio for 1326 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1x
1301 Formosa Plastics
1.2x1.1%NT$248.6b
1303 Nan Ya Plastics
1x3.4%NT$261.3b
1717 Eternal Materials
0.8xn/aNT$34.9b
1314 China Petrochemical Development
1xn/aNT$29.4b
1326 Formosa Chemicals & Fibre
0.5x-0.2%NT$167.6b

Price-To-Sales vs Peers: 1326 is good value based on its Price-To-Sales Ratio (0.5x) compared to the peer average (1x).

Price to Sales Ratio vs Industry

How does 1326's PS Ratio compare vs other companies in the TW Chemicals Industry?

4 CompaniesPrice / SalesEstimated GrowthMarket Cap
1304 USI
0.2xn/aUS$383.36m
1313 UPC Technology
0.2xn/aUS$380.19m
1718 China Man-Made Fiber
0.2xn/aUS$297.15m
1309 Taita Chemical Company
0.3xn/aUS$169.85m
No more companies available in this PS range
1326 0.5xIndustry Avg. 1.7xNo. of Companies16PS01.63.24.86.48+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 1326 is good value based on its Price-To-Sales Ratio (0.5x) compared to the TW Chemicals industry average (1.7x).

Price to Sales Ratio vs Fair Ratio

What is 1326's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1326 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.5x
Fair PS Ratio1x

Price-To-Sales vs Fair Ratio: 1326 is good value based on its Price-To-Sales Ratio (0.5x) compared to the estimated Fair Price-To-Sales Ratio (1x).

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 1326 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentNT$28.65
NT$32.57
+13.7%
37.6%NT$57.00NT$21.00n/a7
Mar ’26NT$29.70
NT$32.57
+9.7%
37.6%NT$57.00NT$21.00n/a7
Feb ’26n/a
NT$33.86
0%
40.6%NT$57.00NT$21.00n/a7
Jan ’26NT$27.30
NT$44.17
+61.8%
33.4%NT$65.00NT$25.00n/a6
Dec ’25NT$33.85
NT$51.29
+51.5%
18.6%NT$65.00NT$37.00n/a7
Nov ’25NT$38.40
NT$51.75
+34.8%
17.4%NT$65.00NT$37.00n/a8
Oct ’25NT$43.35
NT$53.20
+22.7%
14.0%NT$65.00NT$40.00n/a10
Sep ’25NT$43.80
NT$54.40
+24.2%
11.2%NT$65.00NT$42.00n/a10
Aug ’25NT$49.85
NT$55.55
+11.4%
12.3%NT$67.00NT$42.00n/a11
Jul ’25NT$49.75
NT$56.91
+14.4%
9.1%NT$67.00NT$49.00n/a11
Jun ’25NT$52.90
NT$58.15
+9.9%
9.0%NT$67.00NT$49.00n/a10
May ’25NT$55.50
NT$58.61
+5.6%
10.3%NT$67.00NT$49.00n/a9
Apr ’25NT$56.10
NT$61.82
+10.2%
9.2%NT$68.00NT$49.00n/a11
Mar ’25NT$56.10
NT$63.09
+12.5%
10.3%NT$72.00NT$49.00NT$29.7011
Feb ’25NT$57.70
NT$63.62
+10.3%
11.0%NT$72.80NT$49.00n/a11
Jan ’25NT$62.30
NT$63.94
+2.6%
11.2%NT$72.80NT$49.00NT$27.3011
Dec ’24NT$64.00
NT$64.21
+0.3%
11.7%NT$75.00NT$49.00NT$33.8511
Nov ’24NT$60.80
NT$64.03
+5.3%
11.5%NT$75.00NT$49.00NT$38.4011
Oct ’24NT$61.50
NT$64.30
+4.6%
12.8%NT$77.00NT$47.00NT$43.3511
Sep ’24NT$63.30
NT$64.48
+1.9%
12.9%NT$77.00NT$47.00NT$43.8011
Aug ’24NT$66.50
NT$63.50
-4.5%
13.7%NT$77.00NT$47.00NT$49.859
Jul ’24NT$67.10
NT$64.56
-3.8%
13.6%NT$77.00NT$47.00NT$49.759
Jun ’24NT$68.20
NT$62.89
-7.8%
12.2%NT$77.00NT$51.00NT$52.909
May ’24NT$68.90
NT$62.89
-8.7%
12.2%NT$77.00NT$51.00NT$55.509
Apr ’24NT$69.10
NT$62.44
-9.6%
12.9%NT$79.00NT$50.00NT$56.109
Mar ’24NT$70.50
NT$62.56
-11.3%
12.8%NT$79.00NT$50.00NT$56.109
Analyst Price Target
Consensus Narrative from 7 Analysts
NT$32.57
Fair Value
12.0% undervalued intrinsic discount
7
Number of Analysts

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

Discover undervalued companies

7D

1Y

7D

1Y

7D

1Y

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/03/22 07:51
End of Day Share Price 2025/03/21 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Formosa Chemicals & Fibre Corporation is covered by 23 analysts. 7 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Changming YehBarclays
Yong Liang PorBNP Paribas Securities (Asia)
Joon-Ho LeeBofA Global Research