Buy Or Sell Opportunity • May 25
Now 24% overvalued after recent price rise Over the last 90 days, the stock has risen 65% to NT$1,435. The fair value is estimated to be NT$1,157, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 32% over the last 3 years. Earnings per share has grown by 53%. Revenue is forecast to grow by 89% in 2 years. Earnings are forecast to grow by 105% in the next 2 years. Major Estimate Revision • May 14
Consensus EPS estimates increase by 13% The consensus outlook for earnings per share (EPS) in fiscal year 2026 has improved. 2026 revenue forecast increased from NT$33.6b to NT$34.6b. EPS estimate increased from NT$44.04 to NT$49.74 per share. Net income forecast to grow 60% next year vs 37% growth forecast for Tech industry in Taiwan. Consensus price target up from NT$1,184 to NT$1,558. Share price rose 14% to NT$1,465 over the past week. Price Target Changed • May 09
Price target increased by 9.4% to NT$1,295 Up from NT$1,184, the current price target is an average from 8 analysts. New target price is 8.5% below last closing price of NT$1,415. Stock is up 393% over the past year. The company is forecast to post earnings per share of NT$43.47 for next year compared to NT$29.06 last year. Reported Earnings • May 08
First quarter 2026 earnings released: EPS: NT$10.00 (vs NT$5.53 in 1Q 2025) First quarter 2026 results: EPS: NT$10.00 (up from NT$5.53 in 1Q 2025). Revenue: NT$7.11b (up 71% from 1Q 2025). Net income: NT$1.34b (up 100% from 1Q 2025). Profit margin: 19% (up from 16% in 1Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 30% p.a. on average during the next 2 years, compared to a 22% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 53% per year but the company’s share price has increased by 155% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Apr 14
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to NT$961, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 13x in the Tech industry in Taiwan. Total returns to shareholders of 1,015% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$1,462 per share. New Risk • Mar 27
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 20% 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. This is currently the only risk that has been identified for the company. Reported Earnings • Mar 12
Full year 2025 earnings: EPS exceeds analyst expectations Full year 2025 results: EPS: NT$29.06 (up from NT$16.05 in FY 2024). Revenue: NT$22.0b (up 52% from FY 2024). Net income: NT$3.56b (up 84% from FY 2024). Profit margin: 16% (up from 13% in FY 2024). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 1.5%. Revenue is forecast to grow 29% p.a. on average during the next 2 years, compared to a 21% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 49% per year but the company’s share price has increased by 120% per year, which means it is tracking significantly ahead of earnings growth. Price Target Changed • Feb 11
Price target increased by 14% to NT$1,136 Up from NT$996, the current price target is an average from 8 analysts. New target price is 17% above last closing price of NT$975. Stock is up 256% over the past year. The company is forecast to post earnings per share of NT$28.56 for next year compared to NT$16.05 last year. Valuation Update With 7 Day Price Move • Feb 05
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to NT$1,085, the stock trades at a forward P/E ratio of 28x. Average forward P/E is 15x in the Tech industry in Taiwan. Total returns to shareholders of 1,226% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$1,538 per share. Announcement • Jan 14
Chenbro Micom Co., Ltd., Annual General Meeting, May 29, 2026 Chenbro Micom Co., Ltd., Annual General Meeting, May 29, 2026. Location: r floor no,558, chung yuan rd., sinjhuang district, new taipei city Taiwan Buy Or Sell Opportunity • Dec 08
Now 24% overvalued after recent price rise Over the last 90 days, the stock has risen 58% to NT$936. The fair value is estimated to be NT$757, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 23% over the last 3 years. Earnings per share has grown by 44%. Revenue is forecast to grow by 86% in 2 years. Earnings are forecast to grow by 94% in the next 2 years. Buy Or Sell Opportunity • Nov 20
Now 26% overvalued after recent price rise Over the last 90 days, the stock has risen 60% to NT$956. The fair value is estimated to be NT$761, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 23% over the last 3 years. Earnings per share has grown by 44%. Revenue is forecast to grow by 86% in 2 years. Earnings are forecast to grow by 94% in the next 2 years. Reported Earnings • Nov 07
Third quarter 2025 earnings released: EPS: NT$8.01 (vs NT$5.34 in 3Q 2024) Third quarter 2025 results: EPS: NT$8.01 (up from NT$5.34 in 3Q 2024). Revenue: NT$5.66b (up 33% from 3Q 2024). Net income: NT$993.3m (up 54% from 3Q 2024). Profit margin: 18% (up from 15% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 29% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 44% per year but the company’s share price has increased by 142% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Nov 03
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to NT$975, the stock trades at a forward P/E ratio of 31x. Average forward P/E is 17x in the Tech industry in Taiwan. Total returns to shareholders of 1,351% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$699 per share. Price Target Changed • Oct 23
Price target increased by 7.1% to NT$693 Up from NT$647, the current price target is an average from 7 analysts. New target price is 10% below last closing price of NT$770. Stock is up 161% over the past year. The company is forecast to post earnings per share of NT$26.22 for next year compared to NT$16.05 last year. Valuation Update With 7 Day Price Move • Oct 20
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to NT$728, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 16x in the Tech industry in Taiwan. Total returns to shareholders of 1,097% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$785 per share. Price Target Changed • Sep 27
Price target increased by 13% to NT$643 Up from NT$570, the current price target is an average from 7 analysts. New target price is 11% above last closing price of NT$577. Stock is up 110% over the past year. The company is forecast to post earnings per share of NT$25.82 for next year compared to NT$16.05 last year. Reported Earnings • Aug 13
Second quarter 2025 earnings released: EPS: NT$6.87 (vs NT$3.77 in 2Q 2024) Second quarter 2025 results: EPS: NT$6.87 (up from NT$3.77 in 2Q 2024). Revenue: NT$5.44b (up 51% from 2Q 2024). Net income: NT$828.9m (up 83% from 2Q 2024). Profit margin: 15% (up from 13% in 2Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 25% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 42% per year but the company’s share price has increased by 96% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Aug 11
Investor sentiment improves as stock rises 26% After last week's 26% share price gain to NT$602, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 16x in the Tech industry in Taiwan. Total returns to shareholders of 725% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$280 per share. Buy Or Sell Opportunity • Aug 07
Now 27% overvalued after recent price rise Over the last 90 days, the stock has risen 85% to NT$530. The fair value is estimated to be NT$418, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 17% over the last 3 years. Earnings per share has grown by 39%. Revenue is forecast to grow by 37% in a year. Earnings are forecast to grow by 31% in the next year. Price Target Changed • Aug 06
Price target increased by 13% to NT$524 Up from NT$463, the current price target is an average from 7 analysts. New target price is 5.0% above last closing price of NT$499. Stock is up 79% over the past year. The company is forecast to post earnings per share of NT$22.57 for next year compared to NT$16.05 last year. Buy Or Sell Opportunity • Jul 07
Now 24% overvalued after recent price rise Over the last 90 days, the stock has risen 142% to NT$502. The fair value is estimated to be NT$406, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 17% over the last 3 years. Earnings per share has grown by 39%. Revenue is forecast to grow by 37% in a year. Earnings are forecast to grow by 31% in the next year. Buy Or Sell Opportunity • Jun 19
Now 21% overvalued after recent price rise Over the last 90 days, the stock has risen 62% to NT$471. The fair value is estimated to be NT$389, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 17% over the last 3 years. Earnings per share has grown by 39%. Revenue is forecast to grow by 31% in a year. Earnings are forecast to grow by 24% in the next year. Price Target Changed • Jun 16
Price target increased by 11% to NT$397 Up from NT$358, the current price target is an average from 5 analysts. New target price is 5.8% below last closing price of NT$421. Stock is up 36% over the past year. The company is forecast to post earnings per share of NT$21.51 for next year compared to NT$16.05 last year. Valuation Update With 7 Day Price Move • Jun 13
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to NT$388, the stock trades at a forward P/E ratio of 19x. Average forward P/E is 15x in the Tech industry in Taiwan. Total returns to shareholders of 534% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$171 per share. Declared Dividend • May 31
Dividend increased to NT$7.50 Dividend of NT$7.50 is 50% higher than last year. Ex-date: 26th June 2025 Payment date: 31st July 2025 Dividend yield will be 2.3%, which is lower than the industry average of 3.0%. Sustainability & Growth Dividend is covered by both earnings (40% earnings payout ratio) and cash flows (55% cash payout ratio). The dividend has increased by an average of 9.6% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 15% over the next year, which should provide support to the dividend and adequate earnings cover. Announcement • May 30
Chenbro Micom Co., Ltd. Announces Cash Dividends, Payable on July 31, 2025 Chenbro Micom Co., Ltd. announced cash dividends to shareholders of TWD 907,407,660 (TWD 7.5 per share) of common stock. Ex-rights (ex-dividend) trading date: June 26, 2025. Ex-rights (ex-dividend) record date: July 2, 2025. Payment date of common stock cash dividend distribution: July 31, 2025. Announcement • May 23
Chenbro Debuts at COMPUTEX 2025 with AI Server Chassis Solutions and Three Service Models Chenbro is making its most significant appearance to date at COMPUTEX 2025, taking place from May 20 to 23 in Taiwan. This year's expanded presence highlights Chenbro's strategic focus on three core service models: OTS, JDM, and OEM Plus. Chenbro showcases its latest AI server enclosure solutions, along with cloud server products co-developed with leading partners from the U.S. and Taiwan. Demonstrating a full spectrum of capabilities--from standard products to fully customized solutions--Chenbro reaffirms its robust R&D and manufacturing strength in addressing the evolving needs of global enterprise and cloud markets. At COMPUTEX 2025, Chenbro showcases its strength through three key service models. The OTS demonstration highlights the latest NVIDIAMGX and DC-MHS solutions, along with a product roadmap spanning AI, Cloud, Storage, and Edge applications. Its modular design approach enables flexible configurations to meet diverse customer requirements, including OTS-customization solutions. In the JDM area, Chenbro features high-density AI servers and 21-inch OCP ORV3-compliant chassis, co-developed with clients. This model also underscores Chenbro's global R&D collaboration, along with its JPDP (Joint Product Design Process) and DFM (Design for Manufacturing) capabilities that enhance collaboration efficiency and improve product quality. Meanwhile, the OEM Plus showcase emphasizes Chenbro's manufacturing glocalization strategy, Lean Intelligent Manufacturing, and tooling knowledge management, demonstrating its achievements in lean production and manufacturing transformation. Chenbro also displays a full range of AI products based on the NVIDIA MGX architecture, including 1U, 2U, and 4U server chassis. Many leading technology companies at the event have also demonstrated AI servers co-developed with Chenbro, highlighting the collaborative momentum among industry leaders and the promising future of AI applications. In addition to its work with NVIDIA, Corona further emphasized that Chenbro will continue to strengthen its collaborations with CPU providers such as AMD, Intel, and Ampere. Chenbro is committed to investing in the R&D and manufacturing of next-generation servers, exploring the future landscape of AI, and addressing diverse application needs to build a mutually beneficial and thriving industry ecosystem. Buy Or Sell Opportunity • May 09
Now 20% overvalued after recent price rise Over the last 90 days, the stock has risen 8.9% to NT$287. The fair value is estimated to be NT$238, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 17% over the last 3 years. Earnings per share has grown by 39%. Revenue is forecast to grow by 28% in a year. Earnings are forecast to grow by 16% in the next year. Announcement • May 01
Chenbro Micom Co., Ltd. to Report Q1, 2025 Results on May 08, 2025 Chenbro Micom Co., Ltd. announced that they will report Q1, 2025 results on May 08, 2025 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$208, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 12x in the Tech industry in Taiwan. Total returns to shareholders of 231% over the past three years. Reported Earnings • Mar 13
Full year 2024 earnings: EPS exceeds analyst expectations Full year 2024 results: EPS: NT$16.05 (up from NT$9.03 in FY 2023). Revenue: NT$14.5b (up 29% from FY 2023). Net income: NT$1.93b (up 78% from FY 2023). Profit margin: 13% (up from 9.7% in FY 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 1.1%. Revenue is forecast to grow 23% p.a. on average during the next 2 years, compared to a 18% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 37% per year but the company’s share price has increased by 58% per year, which means it is tracking significantly ahead of earnings growth. Announcement • Mar 12
Chenbro Micom Co., Ltd. Proposes Dividend Distribution for the Year Ended December 31, 2024 Chenbro Micom Co., Ltd. proposed dividend distribution for the year ended December 31, 2024. Appropriations of earnings in cash dividends to shareholders TWD 7.50000000 per share. Total amount of cash distributed to shareholders TWD 907,407,660. Par value of common stock: TWD 10. Announcement • Mar 04
Chenbro Micom Co., Ltd. to Report Fiscal Year 2024 Results on Mar 11, 2025 Chenbro Micom Co., Ltd. announced that they will report fiscal year 2024 results on Mar 11, 2025 Valuation Update With 7 Day Price Move • Feb 13
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to NT$289, the stock trades at a forward P/E ratio of 16x. Average forward P/E is 15x in the Tech industry in Taiwan. Total returns to shareholders of 261% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$197 per share. New Risk • Feb 03
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). Announcement • Jan 15
Chenbro Micom Co., Ltd., Annual General Meeting, May 29, 2025 Chenbro Micom Co., Ltd., Annual General Meeting, May 29, 2025. Location: r floor no,558, chung yuan rd., sinjhuang district, new taipei city Taiwan Reported Earnings • Nov 11
Third quarter 2024 earnings: EPS exceeds analyst expectations Third quarter 2024 results: EPS: NT$5.34 (up from NT$2.08 in 3Q 2023). Revenue: NT$4.27b (up 81% from 3Q 2023). Net income: NT$643.8m (up 157% from 3Q 2023). Profit margin: 15% (up from 11% 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 24%. Revenue is forecast to grow 22% p.a. on average during the next 3 years, compared to a 19% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 31% per year but the company’s share price has increased by 61% per year, which means it is tracking significantly ahead of earnings growth. Buy Or Sell Opportunity • Oct 30
Now 21% overvalued Over the last 90 days, the stock has fallen 1.0% to NT$284. The fair value is estimated to be NT$235, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 21%. Revenue is forecast to grow by 27% in a year. Earnings are forecast to grow by 26% in the next year. Announcement • Oct 16
Chenbro Showcases Innovative AI Liquid Cooling and Cloud Server Chassis Solutions Chenbro is making its debut at the globally renowned OCP Summit, a prestigious event in the cloud service and server industry, held from October 15 to 17 in San Jose, California. Under the theme "AI X CHENBRO," Chenbro is showcasing cutting-edge chassis solutions based on the OCP DC-MHS (Data Center Modular Hardware System) and NVIDIA MGX architecture, including the first-time display of NVIDIA MGX 4U liquid-cooled and air-cooled server chassis. Chenbro is also displaying 1U and 2U models supporting GB200 NVL72 and NVL36. Reflecting the theme of this year's OCP Global Summit, "From Innovation to Impact," Chenbro is both demonstrating its innovative product development capabilities and collaborating with customers and partners to present co-developed servers. The exhibition features several AI and cloud server solutions jointly created by Chenbro and its partners, underscoring Chenbro's technical expertise and commitment to prosperous growth within the industry. As AI and HPC continue to thrive, data centers are facing unprecedented demands. The OCP DC-MHS architecture is designed to provide stable and efficient computing across a variety of workloads. Chenbro, in collaboration with Intel, developed the first DC-MHS platform, and has recently expanded its partnership with AMD to apply DC-MHS products in AMD's next-generation platform solutions. Chenbro has introduced several general-purpose computing products based on the DC-MHS architecture and is actively working with numerous brand and SI customers to develop customized products. With the flexible and scalable modular design of DC-MHS, Chenbro has launched server chassis solutions supporting the FLW model with dual-CPU sockets and the DNO model with single-CPU sockets. These solutions also offer high-performance E1.S and E3.S storage modules and highly interoperable modular configurations that meet the needs of cloud service providers and large data center applications. Additionally, in response to the increasing demand for cooling in data centers, Chenbro is actively developing both liquid-cooling and air-cooling chassis solutions. As a partner of NVIDIA, Chenbro is showcasing 1U and 2U compute trays equipped with GB200 motherboards, designed to fit into MGX racks. These products support liquid and air cooling for CSP data centers, as well as E1.S storage modules, making them ideal for high-performance storage applications. For the first time, Chenbro is also unveiling its 4U MGX server chassis, which offers both liquid and air cooling solutions, accommodating up to 16 liquid-cooled or 8 air-cooled PCIe GPU cards. With its highly flexible modular design and diverse service models, Chenbro helps clients innovate and design AI server products to meet the various demands of customers and end-user data centers. Buy Or Sell Opportunity • Oct 15
Now 21% overvalued Over the last 90 days, the stock has fallen 7.9% to NT$286. The fair value is estimated to be NT$235, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 21%. Revenue is forecast to grow by 31% in a year. Earnings are forecast to grow by 26% in the next year. Buy Or Sell Opportunity • Sep 12
Now 21% overvalued Over the last 90 days, the stock has fallen 6.6% to NT$284. The fair value is estimated to be NT$235, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 12% over the last 3 years. Earnings per share has grown by 21%. Revenue is forecast to grow by 31% in a year. Earnings are forecast to grow by 26% in the next year. Reported Earnings • Aug 13
Second quarter 2024 earnings: EPS and revenues exceed analyst expectations Second quarter 2024 results: EPS: NT$3.77 (up from NT$2.07 in 2Q 2023). Revenue: NT$3.61b (up 44% from 2Q 2023). Net income: NT$453.3m (up 82% from 2Q 2023). Profit margin: 13% (up from 9.9% in 2Q 2023). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 2.6%. Earnings per share (EPS) also surpassed analyst estimates by 16%. Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 20% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 21% per year but the company’s share price has increased by 60% per year, which means it is tracking significantly ahead of earnings growth. Buy Or Sell Opportunity • Aug 02
Now 22% undervalued The stock has been flat over the last 90 days, currently trading at NT$278. The fair value is estimated to be NT$355, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 10% over the last 3 years. Earnings per share has grown by 10%. Revenue is forecast to grow by 24% in a year. Earnings are forecast to grow by 30% in the next year. Announcement • Aug 01
Chenbro Micom Co., Ltd. to Report Q2, 2024 Results on Aug 08, 2024 Chenbro Micom Co., Ltd. announced that they will report Q2, 2024 results on Aug 08, 2024 Upcoming Dividend • Jun 19
Upcoming dividend of NT$5.00 per share Eligible shareholders must have bought the stock before 25 June 2024. Payment date: 31 July 2024. Payout ratio is a comfortable 42% and this is well supported by cash flows. Trailing yield: 1.7%. Lower than top quartile of Taiwanese dividend payers (4.2%). Lower than average of industry peers (2.9%). Price Target Changed • Jun 06
Price target increased by 9.2% to NT$312 Up from NT$286, the current price target is an average from 5 analysts. New target price is approximately in line with last closing price of NT$309. Stock is up 164% over the past year. The company is forecast to post earnings per share of NT$13.24 for next year compared to NT$9.03 last year. Declared Dividend • May 29
Dividend increased to NT$5.00 Dividend of NT$5.00 is 25% higher than last year. Ex-date: 25th June 2024 Payment date: 31st July 2024 Dividend yield will be 1.5%, which is lower than the industry average of 3.0%. Sustainability & Growth Dividend is well covered by both earnings (42% earnings payout ratio) and cash flows (22% cash payout ratio). The dividend has increased by an average of 7.2% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to grow by 22% over the next year, which should provide support to the dividend and adequate earnings cover. Announcement • May 29
Chenbro Micom Co., Ltd. Approves Cash Dividend for the Year Ended December 31, 2023, Payable on July 31, 2024 Chenbro Micom Co., Ltd. approved cash dividends to shareholders is TWD 5.00000000 per share for the year ended December 31, 2023. Ex-rights (ex-dividend) record date: July 1, 2024. Payment date of cash dividend distribution July 31, 2024. Valuation Update With 7 Day Price Move • May 27
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to NT$341, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 18x in the Tech industry in Taiwan. Total returns to shareholders of 398% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$292 per share. Reported Earnings • May 11
First quarter 2024 earnings: EPS exceeds analyst expectations while revenues lag behind First quarter 2024 results: EPS: NT$3.03 (up from NT$0.23 in 1Q 2023). Revenue: NT$2.77b (up 68% from 1Q 2023). Net income: NT$364.9m (up NT$337.2m from 1Q 2023). Profit margin: 13% (up from 1.7% in 1Q 2023). The increase in margin was driven by higher revenue. Revenue missed analyst estimates by 1.8%. Earnings per share (EPS) exceeded analyst estimates by 3.6%. Revenue is forecast to grow 19% p.a. on average during the next 2 years, compared to a 17% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has increased by 10% per year but the company’s share price has increased by 55% per year, which means it is tracking significantly ahead of earnings growth. Buy Or Sell Opportunity • May 03
Now 20% undervalued after recent price drop Over the last 90 days, the stock has fallen 1.9% to NT$281. The fair value is estimated to be NT$352, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.8% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 55% in 2 years. Earnings are forecast to grow by 96% in the next 2 years. Announcement • May 02
Chenbro Micom Co., Ltd. to Report Q1, 2024 Results on May 09, 2024 Chenbro Micom Co., Ltd. announced that they will report Q1, 2024 results on May 09, 2024 Price Target Changed • Mar 20
Price target decreased by 7.1% to NT$286 Down from NT$308, the current price target is an average from 4 analysts. New target price is 13% above last closing price of NT$252. Stock is up 221% over the past year. The company is forecast to post earnings per share of NT$13.76 for next year compared to NT$9.03 last year. New Risk • Mar 15
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 2.1% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining 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: 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 (6.8% average weekly change). Reported Earnings • Mar 14
Full year 2023 earnings: EPS and revenues exceed analyst expectations Full year 2023 results: EPS: NT$9.03 (up from NT$8.32 in FY 2022). Revenue: NT$11.2b (up 6.5% from FY 2022). Net income: NT$1.09b (up 8.7% from FY 2022). Profit margin: 9.7% (in line with FY 2022). Revenue exceeded analyst estimates by 3.8%. Earnings per share (EPS) also surpassed analyst estimates by 5.2%. Revenue is forecast to grow 25% p.a. on average during the next 2 years, compared to a 16% growth forecast for the Tech 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 42% per year, which means it is tracking significantly ahead of earnings growth. Price Target Changed • Jan 18
Price target increased by 16% to NT$302 Up from NT$260, the current price target is an average from 4 analysts. New target price is approximately in line with last closing price of NT$295. Stock is up 246% over the past year. The company is forecast to post earnings per share of NT$8.15 for next year compared to NT$8.32 last year. Price Target Changed • Jan 18
Price target increased by 16% to NT$302 Up from NT$260, the current price target is an average from 4 analysts. New target price is approximately in line with last closing price of NT$295. Stock is up 246% over the past year. The company is forecast to post earnings per share of NT$8.15 for next year compared to NT$8.32 last year. Announcement • Jan 18
Chenbro Micom Co., Ltd., Annual General Meeting, May 27, 2024 Chenbro Micom Co., Ltd., Annual General Meeting, May 27, 2024. Location: RF., No. 558, Zhongyuan Rd., Xinzhuang Dist New Taipei City Taiwan Agenda: To consider 2023 Business Report; to consider audit Committee's review of 2023 financial statements; to consider distribution of employee compensation and remuneration to directors for 2023; to consider report on the Company's investment in mainland China; to consider report on the status of endorsements/guarantees and funds loaned to others and to consider other matters. Valuation Update With 7 Day Price Move • Jan 15
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to NT$283, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 17x in the Tech industry in Taiwan. Total returns to shareholders of 288% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$280 per share. Valuation Update With 7 Day Price Move • Dec 01
Investor sentiment improves as stock rises 24% After last week's 24% share price gain to NT$277, the stock trades at a forward P/E ratio of 22x. Average forward P/E is 16x in the Tech industry in Taiwan. Total returns to shareholders of 274% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$276 per share. Buying Opportunity • Nov 27
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 2.7%. The fair value is estimated to be NT$276, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.6% over the last 3 years. Earnings per share has declined by 4.0%. Revenue is forecast to grow by 82% in 2 years. Earnings is forecast to grow by 180% in the next 2 years. Price Target Changed • Nov 13
Price target increased by 27% to NT$264 Up from NT$207, the current price target is an average from 4 analysts. New target price is 13% above last closing price of NT$234. Stock is up 226% over the past year. The company is forecast to post earnings per share of NT$7.65 for next year compared to NT$8.32 last year. Announcement • Nov 10
Chenbro Micom Co., Ltd. Announces Changes of Financial Officer Chenbro Micom Co., Ltd. announced changes of Financial Officer. Name, title, and resume of the previous position holder: Eric Wong, Assistant Vice President of Global Finance Division. Name, title, and resume of the new position holder: Jane Yu, Assistant Vice President of Global Finance Division. Effective date: November 8, 2023. Reason for the change: Personal career planning. Announcement • Nov 09
Chenbro Micom Co., Ltd. Announces Changes of Accounting Officer and Corporate Governance Officer Chenbro Micom Co., Ltd. announced changes of accounting officer and Corporate Governance Officer. Name, title, and resume of the previous position holder: Eric Wong, Assistant Vice President of Global Finance Division. Name, title, and resume of the new position holder: Jane Yu, Assistant Vice President of Global Finance Division. Effective date: November 8, 2023. Reason for the change: Personal career planning. Valuation Update With 7 Day Price Move • Nov 06
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to NT$220, the stock trades at a forward P/E ratio of 23x. Average forward P/E is 18x in the Tech industry in Taiwan. Total returns to shareholders of 186% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$384 per share. Valuation Update With 7 Day Price Move • Oct 19
Investor sentiment deteriorates as stock falls 22% After last week's 22% share price decline to NT$183, the stock trades at a forward P/E ratio of 20x. Average forward P/E is 17x in the Tech industry in Taiwan. Total returns to shareholders of 126% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$240 per share. Buying Opportunity • Oct 19
Now 24% undervalued after recent price drop Over the last 90 days, the stock is down 19%. The fair value is estimated to be NT$240, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 60% in 2 years. Earnings is forecast to grow by 78% in the next 2 years. Buying Opportunity • Sep 12
Now 20% undervalued Over the last 90 days, the stock is up 51%. The fair value is estimated to be NT$244, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% over the last 3 years, while earnings per share has been flat. Revenue is forecast to grow by 60% in 2 years. Earnings is forecast to grow by 78% in the next 2 years. Valuation Update With 7 Day Price Move • Aug 17
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to NT$223, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 20x in the Tech industry in Taiwan. Total returns to shareholders of 192% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$246 per share. Reported Earnings • Aug 10
Second quarter 2023 earnings: EPS exceeds analyst expectations while revenues lag behind Second quarter 2023 results: EPS: NT$2.07 (down from NT$2.31 in 2Q 2022). Revenue: NT$2.51b (down 9.6% from 2Q 2022). Net income: NT$249.2m (down 10.0% from 2Q 2022). Profit margin: 9.9% (in line with 2Q 2022). Revenue missed analyst estimates by 2.2%. Earnings per share (EPS) exceeded analyst estimates by 19%. Revenue is forecast to grow 24% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 28% per year, which means it is well ahead of earnings. Valuation Update With 7 Day Price Move • Jul 21
Investor sentiment improves as stock rises 15% After last week's 15% share price gain to NT$226, the stock trades at a forward P/E ratio of 27x. Average forward P/E is 24x in the Tech industry in Taiwan. Total returns to shareholders of 191% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$321 per share. New Risk • Jul 11
New minor risk - Financial position The company has a high level of debt. Net debt to equity ratio: 42% This is considered a minor risk. Having a high level of debt increases the company's balance sheet risk. The company has a higher interest repayment burden, leading to the need to allocate a greater amount of its earnings towards servicing the debt, potentially limiting growth options or shareholder distributions. It can also increase the risk of bankruptcy if business conditions deteriorate enough that the company can no longer meet its debt obligations. Currently, the following risks have been identified for the company: Major Risk Share price has been highly volatile over the past 3 months (9.2% average weekly change). Minor Risks High level of debt (42% net debt to equity). Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Price Target Changed • Jul 06
Price target increased by 19% to NT$170 Up from NT$142, the current price target is an average from 4 analysts. New target price is 9.7% below last closing price of NT$188. Stock is up 192% over the past year. The company is forecast to post earnings per share of NT$7.28 for next year compared to NT$8.32 last year. Valuation Update With 7 Day Price Move • Jul 03
Investor sentiment improves as stock rises 26% After last week's 26% share price gain to NT$185, the stock trades at a forward P/E ratio of 24x. Average forward P/E is 19x in the Tech industry in Taiwan. Total returns to shareholders of 129% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$154 per share. Valuation Update With 7 Day Price Move • Jun 15
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to NT$138, the stock trades at a forward P/E ratio of 18x. Average forward P/E is 18x in the Tech industry in Taiwan. Total returns to shareholders of 64% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at NT$122 per share. Upcoming Dividend • Jun 14
Upcoming dividend of NT$4.00 per share at 3.4% yield Eligible shareholders must have bought the stock before 21 June 2023. Payment date: 31 July 2023. Payout ratio is a comfortable 48% and this is well supported by cash flows. Trailing yield: 3.4%. Lower than top quartile of Taiwanese dividend payers (5.5%). Lower than average of industry peers (4.1%). Price Target Changed • May 30
Price target increased by 26% to NT$120 Up from NT$95.00, the current price target is an average from 2 analysts. New target price is 8.1% above last closing price of NT$111. Stock is up 60% over the past year. The company is forecast to post earnings per share of NT$7.57 for next year compared to NT$8.32 last year. Major Estimate Revision • Mar 23
Consensus revenue estimates fall by 12% The consensus outlook for revenues in fiscal year 2023 has deteriorated. 2023 revenue forecast decreased from NT$12.0b to NT$10.6b. EPS estimate fell from NT$9.04 to NT$7.47 per share. Net income forecast to shrink 10% next year vs 1.4% decline forecast for Tech industry in Taiwan. Consensus price target down from NT$95.00 to NT$75.00. Share price fell 5.5% to NT$78.50 over the past week. Reported Earnings • Mar 18
Full year 2022 earnings: EPS misses analyst expectations Full year 2022 results: EPS: NT$8.32 (up from NT$5.62 in FY 2021). Revenue: NT$10.6b (up 12% from FY 2021). Net income: NT$998.7m (up 48% from FY 2021). Profit margin: 9.5% (up from 7.1% in FY 2021). The increase in margin was driven by higher revenue. Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 9.1%. Revenue is forecast to grow 6.2% p.a. on average during the next 2 years, compared to a 4.4% growth forecast for the Tech industry in Taiwan. Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 4% per year, which means it is well ahead of earnings. 
