New Risk • May 12
New major risk - Dividend sustainability The dividend is not well covered by earnings and cash flows. Payout ratio: 91% The company is paying a dividend despite having no free cash flows. Dividend yield: 6.4% This is considered a major risk. Companies that pay out too much of their earnings and cash flows are at risk of having to reduce or cut their dividend in future. If earnings or cash flows stagnate or fall, then there may not be enough to maintain the same dividend. Or in extreme cases, companies may opt to dig into capital reserves or take on debt to maintain the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Major Risks Dividend is not well covered by earnings and cash flows. Payout ratio: 91% Paying a dividend despite having no free cash flows. High level of non-cash earnings (24% accrual ratio). New Risk • May 08
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 24% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risk High level of non-cash earnings (24% accrual ratio). Minor Risk Paying a dividend despite having no free cash flows. Reported Earnings • May 08
First quarter 2026 earnings released: EPS: NT$1.00 (vs NT$1.61 in 1Q 2025) First quarter 2026 results: EPS: NT$1.00 (down from NT$1.61 in 1Q 2025). Revenue: NT$15.9b (up 7.8% from 1Q 2025). Net income: NT$600.1m (down 19% from 1Q 2025). Profit margin: 3.8% (down from 5.0% in 1Q 2025). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 9.5% p.a. on average during the next 2 years, compared to a 23% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has remained flat whereas the company’s share price has increased by 5% per year. Announcement • Feb 26
Primax Electronics Ltd., Annual General Meeting, May 29, 2026 Primax Electronics Ltd., Annual General Meeting, May 29, 2026. Location: 4 floor no,2, hsu chou rd., jhongjheng district, taipei city Taiwan Reported Earnings • Feb 26
Full year 2025 earnings released: EPS: NT$5.71 (vs NT$5.61 in FY 2024) Full year 2025 results: EPS: NT$5.71 (up from NT$5.61 in FY 2024). Revenue: NT$60.2b (up 3.3% from FY 2024). Net income: NT$2.63b (up 2.7% from FY 2024). Profit margin: 4.4% (in line with FY 2024). Revenue is forecast to grow 8.2% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Buy Or Sell Opportunity • Feb 06
Now 21% overvalued Over the last 90 days, the stock has fallen 7.6% to NT$80.80. The fair value is estimated to be NT$66.81, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 12% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 20% in 2 years. Earnings are forecast to grow by 21% in the next 2 years. Announcement • Feb 03
Primax Electronics Ltd. together with Tymphany and Peerless to Showcase AI Sensor Fusion-Driven Conferencing and Professional Audio Systems At ISE 2026 Primax Electronics Ltd., together with Tymphany and Peerless, announced its participation at ISE 2026, where the Primax Tymphany Group will showcase how AI Sensor Fusion (AISF) is enabling smarter, more integrated conferencing and professional audio experiences through system-level innovation. As the Pro AV industry evolves toward AI-enabled and multi-sensory experiences, Primax Tymphany Group is advancing AISF by unifying audio, vision, interface, and edge intelligence to support more responsive performance in real-world environments. By bringing multiple sensing inputs together at the edge, AISF helps enable more natural interactions, improved reliability, and faster integration for partners developing next-generation solutions. At ISE 2026, the Group will highlight a portfolio of AISF-ready building blocks designed to help partners accelerate product development--from key sensing modules to system-level design support--enabling a more efficient path from concept to application-ready solutions. Visitors will also explore how the Group's integrated approach supports scalable product design across different conferencing and professional audio use cases. The Group's professional audio foundation is anchored by Tymphany's system-level audio technologies and reinforced by Peerless's transducer engineering expertise. In 2026, Peerless marks its 100-year milestone, reflecting a century of acoustic innovation that continues to shape high-performance, scalable audio system design. At the Primax Group booth, visitors will also explore key building blocks behind AI-enabled, multi-sensory solutions, including camera modules and supporting system components. Partners interested in a deeper discussions are welcome to book a session at the booth or contact the Primax team in advance to arrange a dedicated experience. Buy Or Sell Opportunity • Jan 07
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 3.1% to NT$79.10. The fair value is estimated to be NT$65.49, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 12% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 20% in 2 years. Earnings are forecast to grow by 21% in the next 2 years. Buy Or Sell Opportunity • Dec 12
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 1.9% to NT$78.90. The fair value is estimated to be NT$65.26, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 12% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 20% in 2 years. Earnings are forecast to grow by 21% in the next 2 years. Reported Earnings • Nov 09
Third quarter 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2025 results: EPS: NT$1.55 (down from NT$1.70 in 3Q 2024). Revenue: NT$15.9b (flat on 3Q 2024). Net income: NT$711.7m (down 7.9% from 3Q 2024). Profit margin: 4.5% (down from 4.8% in 3Q 2024). Revenue exceeded analyst estimates by 1.2%. Earnings per share (EPS) missed analyst estimates by 4.4%. Revenue is forecast to grow 5.8% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has increased by 17% per year, which means it is well ahead of earnings. Buy Or Sell Opportunity • Oct 13
Now 20% undervalued Over the last 90 days, the stock has risen 4.7% to NT$76.20. The fair value is estimated to be NT$95.44, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 13% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 5.0% in a year. Earnings are forecast to grow by 7.2% in the next year. Buy Or Sell Opportunity • Sep 15
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 2.3% to NT$77.20. The fair value is estimated to be NT$96.54, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 13% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 5.0% in a year. Earnings are forecast to grow by 7.2% in the next year. Reported Earnings • Aug 13
Second quarter 2025 earnings: EPS in line with expectations, revenues disappoint Second quarter 2025 results: EPS: NT$1.60 (in line with 2Q 2024). Revenue: NT$14.6b (down 5.1% from 2Q 2024). Net income: NT$733.5m (flat on 2Q 2024). Profit margin: 5.0% (up from 4.7% in 2Q 2024). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 4.4%. Earnings per share (EPS) were mostly in line with analyst estimates. Revenue is forecast to grow 5.3% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has remained flat whereas the company’s share price has increased by 5% per year. Buy Or Sell Opportunity • Aug 02
Now 21% overvalued Over the last 90 days, the stock has fallen 3.5% to NT$73.50. The fair value is estimated to be NT$60.83, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has declined by 12% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 2.5% in a year. Earnings are forecast to grow by 5.5% in the next year. Announcement • Jun 05
Primax Electronics Ltd. Announces Cash Dividend, Payable on July 18 , 2025 Primax Electronics Ltd. announced cash dividend of TWD 4.20137534 per share or total TWD 1,963,007,861. Date of the resolution by the board of directors or shareholders meeting or decision by the Company: June 03, 2025. Ex-rights (ex-dividend) trading date: June 19, 2025. Ex-rights (ex-dividend) record date: June 27, 2025. Payment date of common stock cash dividend distribution: July 18, 2025. Due to the recall of RSA, the number of outstanding common shares changed. In accordance with the resolution of Board of Directors meeting held on June 03, 2025, Chairman was authorized to adjust the cash dividend ratio. Original Cash dividend was TWD 1,963,007,861, each common share is entitled to receive TWD 4.2. Declared Dividend • Jun 05
Dividend increased to NT$4.20 Dividend of NT$4.20 is 5.0% higher than last year. Ex-date: 19th June 2025 Payment date: 18th July 2025 Dividend yield will be 5.3%, which is higher than the industry average of 4.0%. Sustainability & Growth Dividend is covered by both earnings (71% earnings payout ratio) and cash flows (52% cash payout ratio). The dividend has increased by an average of 18% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 35% over the next 3 years, which should provide support to the dividend and adequate earnings cover. Reported Earnings • May 09
First quarter 2025 earnings: EPS and revenues exceed analyst expectations First quarter 2025 results: EPS: NT$1.61 (up from NT$1.28 in 1Q 2024). Revenue: NT$14.8b (up 8.2% from 1Q 2024). Net income: NT$739.8m (up 27% from 1Q 2024). Profit margin: 5.0% (up from 4.3% in 1Q 2024). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 1.8%. Earnings per share (EPS) also surpassed analyst estimates by 11%. Revenue is forecast to grow 4.9% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 11% per year, which means it is well ahead of earnings. Buy Or Sell Opportunity • Apr 09
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 22% to NT$60.80. The fair value is estimated to be NT$77.18, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has declined by 11% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 17% in 2 years. Earnings are forecast to grow by 33% in the next 2 years. Valuation Update With 7 Day Price Move • Apr 08
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to NT$67.50, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 13x in the Electronic industry in Taiwan. Total returns to shareholders of 47% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$77.50 per share. Reported Earnings • Mar 03
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: NT$5.61 (up from NT$5.50 in FY 2023). Revenue: NT$58.2b (down 3.7% from FY 2023). Net income: NT$2.56b (up 2.9% from FY 2023). Profit margin: 4.4% (up from 4.1% in FY 2023). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 1.6%. Earnings per share (EPS) also missed analyst estimates by 6.0%. Revenue is forecast to grow 7.8% p.a. on average during the next 2 years, compared to a 14% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 1% per year but the company’s share price has increased by 19% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Dec 29
Third quarter 2024 earnings: EPS exceeds analyst expectations Third quarter 2024 results: EPS: NT$1.70 (up from NT$1.63 in 3Q 2023). Revenue: NT$16.0b (up 1.8% from 3Q 2023). Net income: NT$772.9m (up 4.9% from 3Q 2023). Profit margin: 4.8% (up from 4.7% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 2.5%. Revenue is forecast to grow 6.5% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has increased by 11% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • Nov 11
Third quarter 2024 earnings: EPS exceeds analyst expectations Third quarter 2024 results: EPS: NT$1.70 (up from NT$1.63 in 3Q 2023). Revenue: NT$16.0b (up 1.8% from 3Q 2023). Net income: NT$772.9m (up 4.9% from 3Q 2023). Profit margin: 4.8% (up from 4.7% in 3Q 2023). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 2.5%. Revenue is forecast to grow 7.0% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has increased by 14% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Aug 29
Primax Unveils Advanced HOC Miniature Camera Module Primax Electronics Ltd. announced its innovative HOC (Holder on Chip) miniature camera module. This breakthrough product is engineered to meet clients seeking superior camera solutions for their products. The global camera module market is witnessing remarkable growth, with a projected expansion at a CAGR of 10.4%, reaching over USD 86.63 billion by 2031, according to Transparency Market Research (2023). This surge is fueled by the rapid advancement of technology and an escalating demand for more immersive experiences in consumer electronics and automotive systems. As consumers seek products that offer enhanced functionality, miniaturization, and multi-functionality, the need for advanced, compact, and high-performance camera modules has become more pressing, highlighting the relevance and potential impact of Primax's HOC miniature camera module. Primax's HOC miniature camera module addresses these market demands by leveraging laser cutting techniques and multifunctional adhesives. The HOC module delivers a unique combination of durability, high image quality, and significantly reduced dimensions. These innovations ensure that Primax remains at the forefront of camera module technology, providing clients with customized solutions tailored to their specific requirements and ensuring seamless integration into their products. Primax's dedicated R&D team, composed of optical engineers, material scientists, and electronic engineers, continuously drives the innovation and optimization of this product. Significant investments in equipment and ongoing training ensure that Primax stays ahead in the industry. Primax's rigorous quality control measures meet or exceed industry standards. Every stage of the production process, from raw material inspection to final product testing, is meticulously monitored to ensure superior reliability and performance. The versatile HOC miniature camera module is suitable for a wide range of applications, including: Drone Photography: Lightweight and compact, improving flight efficiency and image quality. Medical Equipment: High-definition imaging for medical devices, maintaining a miniaturized design. Home Security Systems: Discreet design with high-quality imaging for security cameras. Smartphone Camera Modules: Enhanced image quality and performance in a reduced size. Wearable Devices: High-quality imaging for compact devices like smartwatches and AR/VR glasses. Reported Earnings • Aug 10
Second quarter 2024 earnings: EPS misses analyst expectations Second quarter 2024 results: EPS: NT$1.60 (up from NT$1.55 in 2Q 2023). Revenue: NT$15.4b (down 4.3% from 2Q 2023). Net income: NT$727.3m (up 4.0% from 2Q 2023). Profit margin: 4.7% (up from 4.4% in 2Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 6.6% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 4% per year but the company’s share price has increased by 19% per year, which means it is tracking significantly ahead of earnings growth. Major Estimate Revision • Jul 30
Consensus EPS estimates fall by 13% The consensus outlook for earnings per share (EPS) in fiscal year 2024 has deteriorated. 2024 revenue forecast decreased from NT$61.8b to NT$61.1b. EPS estimate also fell from NT$7.31 per share to NT$6.35 per share. Net income forecast to grow 16% next year vs 22% growth forecast for Electronic industry in Taiwan. Consensus price target broadly unchanged at NT$105. Share price fell 3.7% to NT$89.50 over the past week. New Risk • Jul 24
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Taiwanese stocks, typically moving 6.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (6.6% average weekly change). Valuation Update With 7 Day Price Move • Jun 25
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to NT$96.00, the stock trades at a forward P/E ratio of 13x. Average forward P/E is 17x in the Electronic industry in Taiwan. Total returns to shareholders of 112% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$97.33 per share. Major Estimate Revision • Jun 14
Consensus EPS estimates increase by 17% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate increased from NT$6.25 to NT$7.31. Revenue forecast unchanged at NT$61.8b. Net income forecast to grow 18% next year vs 26% growth forecast for Electronic industry in Taiwan. Consensus price target up from NT$103 to NT$106. Share price rose 2.8% to NT$111 over the past week. Upcoming Dividend • Jun 13
Upcoming dividend of NT$4.00 per share Eligible shareholders must have bought the stock before 20 June 2024. Payment date: 18 July 2024. Payout ratio is a comfortable 72% and this is well supported by cash flows. Trailing yield: 3.6%. Lower than top quartile of Taiwanese dividend payers (4.3%). Higher than average of industry peers (2.8%). Announcement • May 26
Primax Electronics Ltd. Announces Change of Chairperson and Vice Chairperson, Effective May 24, 2024 Primax Electronics Ltd. announced change of chairperson and vice chairperson, effective May 24, 2024. Name of the previous position holder: chairperson: Duh, Jia-Bin; vice chairperson: Pan, Yung-Tai. Name of the new position holder: chairperson: Pan, Yung-Chung; vice chairperson: Pan, Yung-Tai. Reported Earnings • May 09
First quarter 2024 earnings released: EPS: NT$1.28 (vs NT$1.23 in 1Q 2023) First quarter 2024 results: EPS: NT$1.28 (up from NT$1.23 in 1Q 2023). Revenue: NT$13.6b (down 7.0% from 1Q 2023). Net income: NT$581.4m (up 4.8% from 1Q 2023). Profit margin: 4.3% (up from 3.8% in 1Q 2023). The increase in margin was driven by lower expenses. Revenue is forecast to grow 6.1% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has increased by 23% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Apr 03
Primax Electronics Ltd. Unveils Comprehensive Range of Next-Gen Surveillance and Advanced Door Locks Primax Electronics Ltd. extends an invitation to attendees to discover the latest advancements showcasing from April 9th to 12th, 2024. This event is a unique chance to witness pioneering solutions designed to bolster security and enhance user convenience. Coinciding with the 2024 ISC West Expo in Las Vegas, Primax will showcase its latest security innovations near the event venue. This initiative, underscores Primax's commitment to advancing industry safety and technology. This year's exhibit showcases an array of smart security devices, emphasizing the company's dedication to providing a one stop, customized technological solutions. Each product exemplifies their commitment to address the varied requirements of clients with innovative and precise solutions. Featured highlights include: The Latest in Barrier Security for Private and Public Spaces: Primax's advanced sensor fusion technology seamlessly combines customizable AI-driven cameras with radar systems to deliver top-tier multi-object tracking and detection from the likes of vehicles, people, motorcycles, and bikes, ensuring adaptability, reliability, and accuracy for numerous applications. Equipped with a 4X ARM Cortex-A53 processor and an integrated AI engine, the company's new technology showcases a commitment to high performance and smart functionality. With 8MP CMOS image sensors for superior image quality and dual-frequency mmWave radar for enhanced detection, it supports advanced features like outdoor virtual fences and multi-threat detection, with reliable operation in challenging weather conditions. Another solution from Primax transcends traditional security measures by focusing on designs that cater specifically to discreet elderly care, with the use of its pioneering cameraless radar technology for true privacy. Primax's innovative approach also encompasses advanced fall detection, presence monitoring, safety virtual fencing, and instant alert features, significantly enhancing safety and care standards. These systems ensure easy installation and smooth network integration with ONVIF profiles, compatible with diverse power and connectivity protocols, including Power over Ethernet, facilitating straightforward incorporation into existing infrastructures. Advanced 3D Facial Authentication Door Access Controls | MATTER Complied: Primax specializes in creating cutting-edge security technologies for access control. The company integrates high-precision 3D AI facial recognition for identity authentication, along with NFC and PIN code access for secure and varied entry methods. These technologies are designed to provide efficient and reliable user access in different scenarios. The products are engineered to be weather-resistant and incorporate anti-spoofing features to prevent unauthorized entry. Energy management is also a focus, with devices capable of utilizing rechargeable batteries for consistent power supply. In terms of connectivity, expect Wi-Fi 6, Bluetooth 5.0, and Matter, ensuring compatibility with existing smart home and office networks. The systems facilitate remote management of user access and provide two-way audio for communication, enhancing security protocols. Primax offers straightforward installations and ease of use, offering in-stride authentication and the option for remote user enrollment. Reported Earnings • Feb 27
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: EPS: NT$5.50 (down from NT$6.10 in FY 2022). Revenue: NT$60.5b (down 24% from FY 2022). Net income: NT$2.49b (down 9.4% from FY 2022). Profit margin: 4.1% (up from 3.5% in FY 2022). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 1.0%. Earnings per share (EPS) also missed analyst estimates by 2.0%. Revenue is forecast to grow 5.8% p.a. on average during the next 2 years, compared to a 10% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 9% per year whereas the company’s share price has increased by 6% per year. Price Target Changed • Feb 23
Price target increased by 11% to NT$78.08 Up from NT$70.09, the current price target is an average from 7 analysts. New target price is 7.8% above last closing price of NT$72.40. Stock is up 21% over the past year. The company is forecast to post earnings per share of NT$5.61 for next year compared to NT$6.10 last year. Reported Earnings • Aug 05
Second quarter 2023 earnings released: EPS: NT$1.55 (vs NT$1.58 in 2Q 2022) Second quarter 2023 results: EPS: NT$1.55 (down from NT$1.58 in 2Q 2022). Revenue: NT$16.1b (down 21% from 2Q 2022). Net income: NT$699.2m (down 1.7% from 2Q 2022). Profit margin: 4.4% (up from 3.5% in 2Q 2022). The increase in margin was driven by lower expenses. Revenue is forecast to grow 1.6% p.a. on average during the next 3 years, compared to a 7.8% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 10% per year whereas the company’s share price has increased by 14% per year. Upcoming Dividend • Jun 27
Upcoming dividend of NT$3.90 per share at 6.1% yield Eligible shareholders must have bought the stock before 04 July 2023. Payment date: 28 July 2023. Payout ratio is a comfortable 64% and this is well supported by cash flows. Trailing yield: 6.1%. Within top quartile of Taiwanese dividend payers (5.5%). Higher than average of industry peers (4.2%). Announcement • Jun 03
Primax Electronics Ltd. Announces Cash Dividend, Payable on July 28, 2023 Primax Electronics Ltd. announced cash dividends total TWD 1,791,793,864 and the per share dividends to be distributed are TWD 3.9. Ex-rights (ex-dividend) trading date is July 04, 2023; Ex-rights (ex-dividend) record date is July 10, 2023; Payment date of cash dividend distribution is July 28, 2023. Announcement • May 25
Primax Electronics Ltd. Announces Change of the Nomination Committee Member and Risk Management Committee Member Primax Electronics Ltd. announced change of the Nomination Committee member and Risk Management Committee member. Name of the previous position holder: Liang, Li-Sheng. Circumstances of change: resignation. Major Estimate Revision • May 12
Consensus revenue estimates fall by 11% The consensus outlook for revenues in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from NT$76.9b to NT$68.1b. EPS estimate fell from NT$6.70 to NT$5.99 per share. Net income forecast to shrink 2.1% next year vs 14% decline forecast for Electronic industry in Taiwan. Consensus price target up from NT$65.91 to NT$69.60. Share price was steady at NT$61.80 over the past week. Announcement • May 10
Primax Electronics Ltd. Appoints Jiabin Duh as General Manager, Effective June 1, 2023 Primax Electronics Ltd. announced the appointment of Jiabin Duh as general manager, effective June 1, 2023. Resume of the new position holder: The company's CSO. Reported Earnings • Feb 26
Full year 2022 earnings: Revenues and EPS in line with analyst expectations Full year 2022 results: EPS: NT$6.10 (up from NT$5.13 in FY 2021). Revenue: NT$79.2b (up 11% from FY 2021). Net income: NT$2.74b (up 19% from FY 2021). Profit margin: 3.5% (up from 3.2% in FY 2021). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to stay flat during the next 2 years compared to a 5.0% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 8% per year whereas the company’s share price has increased by 7% per year. Price Target Changed • Nov 16
Price target decreased to NT$66.77 Down from NT$78.00, the current price target is an average from 7 analysts. New target price is 20% above last closing price of NT$55.70. Stock is down 0.7% over the past year. The company is forecast to post earnings per share of NT$6.17 for next year compared to NT$5.13 last year. Board Change • Nov 16
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 6 experienced directors. 3 highly experienced directors. Independent Director Jia-Qi Wang was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Reported Earnings • Nov 06
Third quarter 2022 earnings released: EPS: NT$1.95 (vs NT$1.50 in 3Q 2021) Third quarter 2022 results: EPS: NT$1.95 (up from NT$1.50 in 3Q 2021). Revenue: NT$22.3b (up 26% from 3Q 2021). Net income: NT$877.6m (up 31% from 3Q 2021). Profit margin: 3.9% (up from 3.8% in 3Q 2021). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.8% p.a. on average during the next 3 years, compared to a 7.3% growth forecast for the Electronic industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 7% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Price Target Changed • Nov 02
Price target decreased to NT$71.57 Down from NT$78.00, the current price target is an average from 7 analysts. New target price is 35% above last closing price of NT$53.20. Stock is up 5.8% over the past year. The company is forecast to post earnings per share of NT$6.20 for next year compared to NT$5.13 last year. Reported Earnings • Aug 07
Second quarter 2022 earnings: Revenues and EPS in line with analyst expectations Second quarter 2022 results: EPS: NT$1.58 (up from NT$1.37 in 2Q 2021). Revenue: NT$20.3b (up 23% from 2Q 2021). Net income: NT$711.1m (up 16% from 2Q 2021). Profit margin: 3.5% (down from 3.7% in 2Q 2021). The decrease in margin was driven by higher expenses. Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Over the next year, revenue is forecast to grow 11%, compared to a 8.7% growth forecast for the industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 6% per year and the company’s share price has also increased by 6% per year. Board Change • Aug 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 8 experienced directors. 1 highly experienced director. Independent Director Jia-Qi Wang was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Price Target Changed • Jul 31
Price target increased to NT$76.57 Up from NT$70.50, the current price target is an average from 7 analysts. New target price is 9.7% above last closing price of NT$69.80. Stock is up 13% over the past year. The company is forecast to post earnings per share of NT$6.18 for next year compared to NT$5.13 last year. Buying Opportunity • Jul 26
Now 21% undervalued Over the last 90 days, the stock is up 16%. The fair value is estimated to be NT$81.74, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Earnings per share has grown by 5.9%. Revenue is forecast to grow by 26% in 2 years. Earnings is forecast to grow by 34% in the next 2 years. Board Change • Jul 02
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 8 experienced directors. 1 highly experienced director. Independent Director Jia-Qi Wang was the last director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Insufficient board refreshment. Upcoming Dividend • Jun 16
Upcoming dividend of NT$3.10 per share Eligible shareholders must have bought the stock before 23 June 2022. Payment date: 21 July 2022. Payout ratio is a comfortable 59% but the company is not cash flow positive. Trailing yield: 5.0%. Lower than top quartile of Taiwanese dividend payers (6.0%). Higher than average of industry peers (4.3%). Reported Earnings • May 08
First quarter 2022 earnings: EPS exceeds analyst expectations First quarter 2022 results: EPS: NT$1.23 (up from NT$1.13 in 1Q 2021). Revenue: NT$17.9b (up 4.3% from 1Q 2021). Net income: NT$552.3m (up 9.3% from 1Q 2021). Profit margin: 3.1% (up from 2.9% in 1Q 2021). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 12%. Over the next year, revenue is forecast to grow 13%, compared to a 10% growth forecast for the industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Announcement • Mar 03
Primax Electronics Ltd., Annual General Meeting, May 26, 2022 Primax Electronics Ltd., Annual General Meeting, May 26, 2022. Reported Earnings • Feb 27
Full year 2021 earnings: EPS misses analyst expectations Full year 2021 results: EPS: NT$5.13 (up from NT$4.31 in FY 2020). Revenue: NT$71.6b (up 5.0% from FY 2020). Net income: NT$2.30b (up 20% from FY 2020). Profit margin: 3.2% (up from 2.8% in FY 2020). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 5.2%. Over the next year, revenue is forecast to grow 6.6%, compared to a 9.3% growth forecast for the industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has fallen by 4% per year, which means it is significantly lagging earnings. Reported Earnings • Nov 09
Third quarter 2021 earnings released: EPS NT$1.50 (vs NT$1.73 in 3Q 2020) The company reported a poor third quarter result with weaker earnings, revenues and profit margins. Third quarter 2021 results: Revenue: NT$17.7b (down 6.5% from 3Q 2020). Net income: NT$671.8m (down 13% from 3Q 2020). Profit margin: 3.8% (down from 4.1% in 3Q 2020). The decrease in margin was driven by lower revenue. Over the last 3 years on average, earnings per share has increased by 5% per year whereas the company’s share price has increased by 7% per year. Reported Earnings • Aug 09
Second quarter 2021 earnings released: EPS NT$1.37 (vs NT$1.13 in 2Q 2020) The company reported a strong second quarter result with improved earnings, revenues and profit margins. Second quarter 2021 results: Revenue: NT$16.4b (up 1.2% from 2Q 2020). Net income: NT$611.1m (up 22% from 2Q 2020). Profit margin: 3.7% (up from 3.1% in 2Q 2020). Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Upcoming Dividend • Aug 02
Upcoming dividend of NT$3.00 per share Eligible shareholders must have bought the stock before 09 August 2021. Payment date: 10 September 2021. Trailing yield: 5.0%. Within top quartile of Taiwanese dividend payers (5.0%). In line with average of industry peers (5.2%). Reported Earnings • May 07
First quarter 2021 earnings released: EPS NT$1.13 (vs NT$0.62 in 1Q 2020) The company reported a strong first quarter result with improved earnings, revenues and profit margins. First quarter 2021 results: Revenue: NT$17.2b (up 27% from 1Q 2020). Net income: NT$505.2m (up 83% from 1Q 2020). Profit margin: 2.9% (up from 2.0% in 1Q 2020). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 4% per year whereas the company’s share price has remained flat. Price Target Changed • May 07
Price target increased to NT$72.20 Up from NT$66.80, the current price target is an average from 4 analysts. New target price is 26% above last closing price of NT$57.40. Stock is up 20% over the past year. Analyst Estimate Surprise Post Earnings • Feb 28
Revenue beats expectations Revenue exceeded analyst estimates by 0.3%. Over the next year, revenue is forecast to grow 5.4%, compared to a 5.6% growth forecast for the Tech industry in Taiwan. Announcement • Feb 27
Primax Electronics Ltd., Annual General Meeting, May 28, 2021 Primax Electronics Ltd., Annual General Meeting, May 28, 2021. Location: 4F No. 2, Xuzhou Road Zhongzheng District 100 Taipei City Taiwan Agenda: To consider the company's 2020 business report, audit committee's review report on the 2020 financial statements; to consider company's 2020 distribution of earnings ; to consider amendments to the company's Articles of Incorporation; to consider and approve the issuance of restricted employee stock awards; to consider and approve the election of all directors; and to consider and approve other business. Reported Earnings • Feb 27
Full year 2020 earnings released: EPS NT$4.30 (vs NT$4.80 in FY 2019) The company reported a soft full year result with weaker earnings and revenues, although profit margins were improved. Full year 2020 results: Revenue: NT$68.2b (down 15% from FY 2019). Net income: NT$1.92b (down 10% from FY 2019). Profit margin: 2.8% (up from 2.6% in FY 2019). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has fallen by 6% per year, which means it is significantly lagging earnings. Is New 90 Day High Low • Feb 20
New 90-day high: NT$65.40 The company is up 37% from its price of NT$47.85 on 20 November 2020. The Taiwanese market is up 19% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Tech industry, which is up 11% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is NT$38.15 per share. Price Target Changed • Feb 19
Price target raised to NT$66.80 Up from NT$60.36, the current price target is an average from 3 analysts. The new target price is close to the current share price of NT$64.20. As of last close, the stock is up 21% over the past year. 