Genius Electronic Optical Co.,Ltd.

TWSE:3406 Stock Report

Market Cap: NT$49.6b

Genius Electronic OpticalLtd Valuation

Is 3406 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • 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 3406 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 3406 (NT$439.5) is trading below our estimate of fair value (NT$1015.39)

Significantly Below Fair Value: 3406 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3406?

Key metric: As 3406 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 3406. This is calculated by dividing 3406's market cap by their current earnings.
What is 3406's PE Ratio?
PE Ratio10.7x
EarningsNT$4.62b
Market CapNT$49.55b

Price to Earnings Ratio vs Peers

How does 3406's PE Ratio compare to its peers?

The above table shows the PE ratio for 3406 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average26.7x
6805 Fositek
58.3x53.9%NT$57.7b
3023 SINBON Electronics
18.2x9.7%NT$61.9b
2313 Compeq Manufacturing
13.4x18.4%NT$73.3b
2368 Gold Circuit Electronics
16.8x16.8%NT$91.7b
3406 Genius Electronic OpticalLtd
10.7x-4.7%NT$49.6b

Price-To-Earnings vs Peers: 3406 is good value based on its Price-To-Earnings Ratio (10.7x) compared to the peer average (26.7x).

Price to Earnings Ratio vs Industry

How does 3406's PE Ratio compare vs other companies in the TW Electronic Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
3406 10.7xIndustry Avg. 22.7xNo. of Companies50PE01632486480+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 3406 is good value based on its Price-To-Earnings Ratio (10.7x) compared to the TW Electronic industry average (22.7x).

Price to Earnings Ratio vs Fair Ratio

What is 3406'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.

3406 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.7x
Fair PE Ratio12.8x

Price-To-Earnings vs Fair Ratio: 3406 is good value based on its Price-To-Earnings Ratio (10.7x) compared to the estimated Fair Price-To-Earnings Ratio (12.8x).

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 3406 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentNT$439.50
NT$540.71
+23.0%
17.7%NT$680.00NT$405.00n/a7
Nov ’25NT$445.50
NT$570.43
+28.0%
14.7%NT$680.00NT$435.00n/a7
Oct ’25NT$485.00
NT$593.86
+22.4%
19.3%NT$800.00NT$435.00n/a7
Sep ’25NT$565.00
NT$568.14
+0.6%
19.8%NT$800.00NT$435.00n/a7
Aug ’25NT$528.00
NT$544.57
+3.1%
20.7%NT$800.00NT$435.00n/a7
Jul ’25NT$656.00
NT$547.00
-16.6%
14.9%NT$700.00NT$435.00n/a6
Jun ’25NT$530.00
NT$511.71
-3.5%
8.2%NT$582.00NT$435.00n/a7
May ’25NT$441.00
NT$449.57
+1.9%
13.2%NT$500.00NT$315.00n/a7
Apr ’25NT$489.50
NT$449.57
-8.2%
13.2%NT$500.00NT$315.00n/a7
Mar ’25NT$426.00
NT$415.17
-2.5%
16.2%NT$500.00NT$315.00n/a6
Feb ’25NT$395.00
NT$407.67
+3.2%
15.3%NT$500.00NT$315.00n/a6
Jan ’25NT$420.50
NT$403.71
-4.0%
14.5%NT$500.00NT$315.00n/a7
Dec ’24NT$394.50
NT$407.63
+3.3%
13.7%NT$500.00NT$315.00n/a8
Nov ’24NT$385.50
NT$398.88
+3.5%
18.2%NT$500.00NT$275.00NT$445.508
Oct ’24NT$368.00
NT$398.88
+8.4%
18.2%NT$500.00NT$275.00NT$485.008
Sep ’24NT$383.50
NT$401.38
+4.7%
18.4%NT$500.00NT$275.00NT$565.008
Aug ’24NT$402.00
NT$399.13
-0.7%
18.1%NT$500.00NT$285.00NT$528.008
Jul ’24NT$396.00
NT$399.13
+0.8%
18.1%NT$500.00NT$285.00NT$656.008
Jun ’24NT$406.00
NT$400.38
-1.4%
17.6%NT$500.00NT$285.00NT$530.008
May ’24NT$370.50
NT$397.88
+7.4%
18.0%NT$500.00NT$285.00NT$441.008
Apr ’24NT$385.50
NT$398.50
+3.4%
17.8%NT$500.00NT$285.00NT$489.508
Mar ’24NT$394.50
NT$416.50
+5.6%
20.2%NT$550.00NT$285.00NT$426.008
Feb ’24NT$374.00
NT$416.50
+11.4%
20.2%NT$550.00NT$285.00NT$395.008
Jan ’24NT$335.50
NT$440.88
+31.4%
17.1%NT$550.00NT$285.00NT$420.508
Dec ’23NT$400.50
NT$440.88
+10.1%
17.1%NT$550.00NT$285.00NT$394.508
Nov ’23NT$302.00
NT$456.63
+51.2%
21.9%NT$600.00NT$285.00NT$385.508

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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