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Shinkong Synthetic Fibers Corporation (1409) Fair Value & Analysis

Consumer Cyclical · TW · Market cap 39.3B TWD

SS Shinkong Synthetic Fibers Corporation 1409 · TW
Price22.50 TWD
Fair Value17.37 TWD
Upside-22.8%
Quality30/100
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Mixed Growth
Thin margins · 5.5% net margin
Moderate debt · generates free cash flow
3.73% dividend yield
Mixed vs. peers (8/15)
Narrow moat 38/100
Evidence: Medium Range 13.02 TWD – 21.70 TWD Share as image

Fair value as of: Jul 23, 2026

From 22 valuation models · updated 18 days ago

Share price −23.1% over the past month.

Below-average quality, and screening another 23% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (21.70 TWD). The favourable scenario is already priced in.
  • Weak quality (30/100) and above fair value at the same time, the margin of safety is missing on both counts.
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Price vs Fair Value (5 years)

31.70 TWD 11.00 TWD Fair Value 17.37 TWD Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 23, 2026.

How to read this chart

60‑month range 11.00 TWD – 31.70 TWD · fair‑value band 13.02 TWD – 21.70 TWD · the 22.50 TWD price screens above the 17.37 TWD fair value. Dashed = 300-day average. As of Jul 23, 2026.

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Analysis

Shinkong Synthetic Fibers Corporation (1409) currently trades at 22.50 TWD, while our model-based Fair Value estimate is 17.37 TWD, implying the stock looks roughly 22.8% overvalued today. The Quality Score stands at 30/100 (below-average quality), in the Consumer Cyclical sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, Shinkong Synthetic Fibers Corporation generated revenue of 38.9B TWD at a net margin of 5.5%. Revenue declined 2.6% year over year. It earns a return on equity of 5.3%. Net debt stands at 48.4B TWD. Fundamentals as of Jul 23, 2026

Our scenario range runs from 13.02 TWD (bear case) to 21.70 TWD (bull case); at 22.50 TWD, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 26% below its 52-week high and 93% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -27% fair-value upside, at -23%, 1409 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF 8.79 TWD 13.00 TWD 19.79 TWD 80
Residual Income 19.64 TWD 19.71 TWD 18.47 TWD 76
Rev-Margin DCF 13.08 TWD 22.16 TWD 32.72 TWD 74
All 22 models by family
DCF Models
FCF DCF 8.36 TWD 12.72 TWD 20.24 TWD 38
Owner Earnings 13.60 TWD 19.91 TWD 30.81 TWD 31
5Y Revenue Exit 13.08 TWD 22.01 TWD 34.33 TWD 39
5Y EBITDA Exit 14.93 TWD 25.18 TWD 37.98 TWD 41
5Y P/E Exit 9.35 TWD 15.60 TWD 22.60 TWD 38
10Y Revenue Exit 10.60 TWD 18.16 TWD 27.12 TWD 36
10Y EBITDA Exit 12.31 TWD 20.27 TWD 29.59 TWD 37
10Y P/E Exit 8.87 TWD 13.91 TWD 19.18 TWD 35
Earnings-Based
Graham-Dodd 8.17 TWD 14.97 TWD 18.52 TWD 54
EPV 15.78 TWD 18.97 TWD 21.75 TWD 59
Multiples
P/E Multiple 15.32 TWD 20.43 TWD 25.53 TWD 63
P/S Multiple 15.32 TWD 20.43 TWD 25.53 TWD 58
P/B Multiple 15.32 TWD 20.43 TWD 25.53 TWD 55
EV/EBIT 20.57 TWD 28.54 TWD 36.51 TWD 53
EV/EBITDA 22.26 TWD 30.79 TWD 39.32 TWD 54
EV/Revenue 17.39 TWD 26.26 TWD 35.14 TWD 43
Asset-Based
NCAV (Graham) 12.94 TWD 17.34 TWD 25.88 TWD 50
Growth DCF
Growth DCF 8.79 TWD 13.00 TWD 19.79 TWD 80
Rev-Margin DCF 13.08 TWD 22.16 TWD 32.72 TWD 74
Economic Profit
Residual Income 19.64 TWD 19.71 TWD 18.47 TWD 76
ROIC Compounder 15.78 TWD 18.97 TWD 21.75 TWD 72
Growth Earnings
Growth-Adj P/E 10.97 TWD 15.67 TWD 20.37 TWD 68

Widest divergence: Multiples (20.43 TWD) versus Growth DCF (13.00 TWD). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 38.9B TWD
Revenue growth (YoY) -2.6%
Net margin 5.5%
Return on equity 5.3%
Free cash flow 1.8B TWD FY2025
P/E ratio 21.4
More key figures
Operating margin 17.2%
EPS (TTM) 1.19 TWD
Dividend yield 3.7%
EPS growth (YoY) +58.6%
Net debt 48.4B TWD FY2025

Figures from reported company fundamentals · as of Jul 23, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 30/100

Of which business quality 29 · Market factors (momentum, volatility) 79

Profitability 18
Margins and returns on capital today
Quality Growth 33
Are margins and returns improving?
Cashflow 46
Earnings quality: real cash, not paper profit
Fin. Strength 15
Balance sheet, leverage, solvency risk
Investment 77
Disciplined investing over empire-building
Low Volatility 59
Calm price path (market factor)
Momentum 96
Price trend over the last 3–12 months (market factor)
52W Momentum 73
Distance to the 52-week high (market factor)
Net Issuance 0
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Shinkong Synthetic Fibers Corporation researches for, manufactures, and sells polyester chips and polyester films in Asia.

Full company description

Shinkong Synthetic Fibers Corporation researches for, manufactures, and sells polyester chips and polyester films in Asia. The company's products primarily include partially oriented yarns, polyester filament yarns, fully drawn yarns, polyester staple fibers, polyester draw textured yarns, industrial yarns, polyester pellets, PET bottle grade resins, PET bottles, PET bottle preforms, engineering polymers, optical films, polyester films, and A-PET sheets. It also offers synthetic resins, plastic products; chemical fiber weaving, printing, and dyeing services; and leasing, investment, human resources management and securities investment consulting, and life and property insurance agency services, as well as electronic information software. In addition, the company manufactures magnetic tapes for recording and video disks, and polyester films; manufactures synthetic fibers; and manufactures electronic parts and components, and precision chemical materials, as well as engages in the wholesale and retail sale of textile products. Further, the company is involved in the precision chemical materials and mold manufacturing wholesale; consignment trading of securities and futures; and sale and rental of housing and building development projects; and provision of consulting, biotechnology research, and development services. Additionally, it contracts for air pollution prevention, piping engineering and machine installation projects; provides real estate development and leasing services. It serves textiles, food, packaging, electronics, and optronics industries. The company was founded in 1967 and is based in Taipei City, Taiwan.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Shinkong Synthetic Fibers Corporation reported revenue of 37.5B TWD in FY2025 versus 43.6B TWD in FY2021, a compound −3.7%/yr. Reported net income was 1.9B TWD in FY2025, compounding −16.1%/yr from FY2021.

Growth Quality 53/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
37.5B TWD
Latest YoY
−16.5%
Avg. growth/yr (3Y)
−5.6%
Avg. growth/yr (5Y)
+3.1%
Avg. growth/yr (25Y)
+4.0%
Revenue −3.7%/yr
FY21 43.6B TWD
FY22 44.6B TWD
FY23 39.0B TWD
FY24 44.9B TWD
FY25 37.5B TWD
Net income −16.1%/yr
FY21 3.9B TWD
FY22 2.8B TWD
FY23 764M TWD
FY24 1.7B TWD
FY25 1.9B TWD

1409 screens 23% overvalued. Compare with Shenzhou International Group →

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Cite: Fair Value Calculator (2026). "Shinkong Synthetic Fibers Corporation Fair Value". https://www.fairvalue-calculator.com/stock/1409

Peer Group

Textile Manufacturing · 309 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 30 · Bottom 25%
Fair Value upside −23% · Below median
Return on equity (TTM) 5% · Above median
Return on assets 2% · Above median
Net margin (TTM) 6% · Above median
Operating margin (TTM) 17% · Top 25%
Revenue growth -3% · Below median
Dividend yield (TTM) 3.7% · Above median
Debt / equity 0.53× · Higher than 75% of peers

Valuation Multiples vs Textile Manufacturing median · lower = cheaper

P/E (TTM) 20.6× · Pricier than median
P/B 0.95× · Cheaper than median
P/S (TTM) 1.01× · Pricier than median
P/FCF 0.7× · Pricier than median
EV/EBITDA 5.9× · Cheaper than median
PEG 0.22× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 3 · sector 11
FUTURE 0 · sector 0
PAST 21 · sector 14
HEALTH 74 · sector 95
DIVIDEND 75 · sector 34

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Textile Manufacturing stocks, each showing price versus our Fair Value estimate (as of Jul 23, 2026).

Stock Price Fair Value vs Fair Value
Shenzhou International Group 2313 HK$44.40 HK$75.65 +70%
Tongkun Group 601233 ¥23.56 ¥14.53 -38%
Inner Mongolia ERDOS Resources Co 600295 ¥12.04 ¥14.35 +19%
HMT (Xiamen) New Technical Materials Co 603306 ¥91.75 ¥12.85 -86%
Far Eastern New Century Corporation 1402 27.55 TWD 28.72 TWD +4%
K.P.R. Mill Limited KPRMILL ₹1,083 ₹467.49 -57%
Zhejiang Orient Holdings 600120 ¥5.18 ¥2.21 -57%
Vardhman Textiles Limited VTL ₹602.20 ₹437.53 -27%
Isiklar Enerji ve Yapi Holding IEYHO 174.20 TRY 323.84 TRY +86%
Shandong Fiberglass Group 605006 ¥16.75 ¥6.42 -62%

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Frequently asked questions

Is Shinkong Synthetic Fibers Corporation (1409) overvalued or undervalued?
As of Jul 23, 2026, our model estimates a fair value of 17.37 TWD versus a price of 22.50 TWD, about −23% (overvalued).
What is the fair value of 1409?
Our model-based fair value for Shinkong Synthetic Fibers Corporation is 17.37 TWD (as of Jul 23, 2026), built from audited fundamentals. The current price is 22.50 TWD.
What is the quality score of 1409?
Shinkong Synthetic Fibers Corporation has a Quality Score of 30/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Shinkong Synthetic Fibers Corporation (1409)?
Shinkong Synthetic Fibers Corporation reported trailing-twelve-month revenue of about 38.9B TWD (latest available figure, as of Jul 23, 2026).
What is the net profit margin of 1409?
The net profit margin of Shinkong Synthetic Fibers Corporation is about 5.5%, meaning it keeps roughly 5.5% of revenue as net income. Based on the latest reported figures.
Does Shinkong Synthetic Fibers Corporation pay a dividend?
Shinkong Synthetic Fibers Corporation currently shows a dividend yield of about 3.65% relative to its recent price (as of Jul 23, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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