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6706

FittechLtd TWSE:6706 Stock Report

Last Price

NT$118.00

Market Cap

NT$8.7b

7D

4.4%

1Y

-28.5%

Updated

16 Aug, 2022

Data

Company Financials +
6706 fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance5/6
Financial Health5/6
Dividends3/6

6706 Stock Overview

Fittech Co.,Ltd provides automatic equipment and system integration services for the optoelectronic, semiconductor, and laser industries.

FittechLtd Competitors

Price History & Performance

Summary of all time highs, changes and price drops for FittechLtd
Historical stock prices
Current Share PriceNT$118.00
52 Week HighNT$259.00
52 Week LowNT$106.50
Beta1.51
1 Month Change-3.28%
3 Month Change-23.38%
1 Year Change-28.49%
3 Year Change82.95%
5 Year Changen/a
Change since IPO108.85%

Recent News & Updates

Shareholder Returns

6706TW SemiconductorTW Market
7D4.4%2.7%2.7%
1Y-28.5%-15.2%-8.2%

Return vs Industry: 6706 underperformed the TW Semiconductor industry which returned -15.2% over the past year.

Return vs Market: 6706 underperformed the TW Market which returned -8.2% over the past year.

Price Volatility

Is 6706's price volatile compared to industry and market?
6706 volatility
6706 Average Weekly Movement6.7%
Semiconductor Industry Average Movement6.5%
Market Average Movement5.0%
10% most volatile stocks in TW Market8.4%
10% least volatile stocks in TW Market2.5%

Stable Share Price: 6706 is not significantly more volatile than the rest of TW stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: 6706's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
n/an/aQiutian Xuhttps://www.fittech.com.tw

Fittech Co.,Ltd provides automatic equipment and system integration services for the optoelectronic, semiconductor, and laser industries. The company offers LED probing and testing equipment, including LED chip and wafer probing and testing systems; auto LED wafer prober systems; auto flip-chip probers; auto LED chip probers and tester; high accuracy automatic chip counters; and automatic detaching tape systems. It also provides LD probing and testing equipment, such as VCSEL(PD) probing and testing systems, and edge emitting laser probing and sorting systems; and laser micromachining equipment comprising automatic dual-arm laser wafer and laser wafer marking systems, fully-auto laser marking (inking) systems, and semi-auto PCB laser drilling systems, as well as semi-auto laser cutting, drilling, and scribing systems.

FittechLtd Fundamentals Summary

How do FittechLtd's earnings and revenue compare to its market cap?
6706 fundamental statistics
Market CapNT$8.68b
Earnings (TTM)NT$1.34b
Revenue (TTM)NT$6.44b

6.5x

P/E Ratio

1.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
6706 income statement (TTM)
RevenueNT$6.44b
Cost of RevenueNT$3.98b
Gross ProfitNT$2.46b
Other ExpensesNT$1.13b
EarningsNT$1.34b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)18.17
Gross Margin38.26%
Net Profit Margin20.75%
Debt/Equity Ratio8.9%

How did 6706 perform over the long term?

See historical performance and comparison

Dividends

8.5%

Current Dividend Yield

55%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 6706 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6706?

Other financial metrics that can be useful for relative valuation.

6706 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.1x
Enterprise Value/EBITDA4.4x
PEG Ratio15x

Price to Earnings Ratio vs Peers

How does 6706's PE Ratio compare to its peers?

6706 PE Ratio vs Peers
The above table shows the PE ratio for 6706 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average14.6x
5285 Jih Lin Technology
17.8xn/aNT$8.9b
3587 Materials Analysis Technology
14.2x16.4%NT$7.9b
8027 E&R Engineering
17.4xn/aNT$6.7b
6223 MPI
9.1xn/aNT$9.2b
6706 FittechLtd
6.5x0.4%NT$8.7b

Price-To-Earnings vs Peers: 6706 is good value based on its Price-To-Earnings Ratio (6.5x) compared to the peer average (14.6x).


Price to Earnings Ratio vs Industry

How does 6706's PE Ratio compare vs other companies in the TW Semiconductor Industry?

Price-To-Earnings vs Industry: 6706 is good value based on its Price-To-Earnings Ratio (6.5x) compared to the TW Semiconductor industry average (12.6x)


Price to Earnings Ratio vs Fair Ratio

What is 6706'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.

6706 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.5x
Fair PE Ratio10.9x

Price-To-Earnings vs Fair Ratio: 6706 is good value based on its Price-To-Earnings Ratio (6.5x) compared to the estimated Fair Price-To-Earnings Ratio (10.9x).


Share Price vs Fair Value

What is the Fair Price of 6706 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6706 (NT$118) is trading above our estimate of fair value (NT$92.8)

Significantly Below Fair Value: 6706 is trading above our estimate of fair value.


Analyst Price Targets

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

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is FittechLtd forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


0.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6706's forecast earnings growth (0.4% per year) is below the savings rate (0.7%).

Earnings vs Market: 6706's earnings (0.4% per year) are forecast to grow slower than the TW market (6% per year).

High Growth Earnings: 6706's earnings are forecast to grow, but not significantly.

Revenue vs Market: 6706's revenue (9.5% per year) is forecast to grow faster than the TW market (7.2% per year).

High Growth Revenue: 6706's revenue (9.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 6706's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has FittechLtd performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


36.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 6706 has a high level of non-cash earnings.

Growing Profit Margin: 6706's current net profit margins (20.7%) are higher than last year (14.4%).


Past Earnings Growth Analysis

Earnings Trend: 6706's earnings have grown significantly by 36.8% per year over the past 5 years.

Accelerating Growth: 6706's earnings growth over the past year (127.7%) exceeds its 5-year average (36.8% per year).

Earnings vs Industry: 6706 earnings growth over the past year (127.7%) exceeded the Semiconductor industry 53.8%.


Return on Equity

High ROE: 6706's Return on Equity (33.1%) is considered high.


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Financial Health

How is FittechLtd's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 6706's short term assets (NT$5.5B) exceed its short term liabilities (NT$3.0B).

Long Term Liabilities: 6706's short term assets (NT$5.5B) exceed its long term liabilities (NT$400.0M).


Debt to Equity History and Analysis

Debt Level: 6706 has more cash than its total debt.

Reducing Debt: 6706's debt to equity ratio has increased from 8.7% to 8.9% over the past 5 years.

Debt Coverage: 6706's debt is well covered by operating cash flow (222.1%).

Interest Coverage: 6706 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is FittechLtd current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


8.47%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 6706's dividend (8.47%) is higher than the bottom 25% of dividend payers in the TW market (2.46%).

High Dividend: 6706's dividend (8.47%) is in the top 25% of dividend payers in the TW market (6.46%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, 6706 has been paying a dividend for less than 10 years.

Growing Dividend: 6706's dividend payments have increased, but the company has only paid a dividend for 3 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (54.6%), 6706's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (105.1%), 6706's dividend payments are not well covered by cash flows.


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Management

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

4.2yrs

Average board tenure


CEO

Qiutian Xu

no data

Tenure


Board Members

Experienced Board: 6706's board of directors are considered experienced (4.2 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

Fittech Co.,Ltd's employee growth, exchange listings and data sources


Key Information

  • Name: Fittech Co.,Ltd
  • Ticker: 6706
  • Exchange: TWSE
  • Founded: NaN
  • Industry: Semiconductor Equipment
  • Sector: Semiconductors
  • Implied Market Cap: NT$8.677b
  • Shares outstanding: 73.54m
  • Website: https://www.fittech.com.tw

Number of Employees


Location

  • Fittech Co.,Ltd
  • No. 3, Taichung Industrial Park
  • Gongyequ 35th Road
  • Taichung
  • 407
  • Taiwan

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/16 00:00
End of Day Share Price2022/08/16 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.