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Reward Wool Industry Corporation (1423) Fair Value & Analysis

Consumer Cyclical · TW · Market cap 3.6B TWD

RW Reward Wool Industry Corporation 1423 · TW
Price35.95 TWD
Fair Value68.39 TWD
Upside+90.2%
Quality64/100
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Weak Growth
generates free cash flow
9.89% dividend yield
Ranks above peers (7/10)
Narrow moat 26/100
Evidence: High Range 48.89 TWD – 92.54 TWD Share as image

Fair value as of: Jul 23, 2026

From 15 valuation models · updated 19 days ago

Share price −2.6% over the past month.

A solid business, screening 90% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (48.89 TWD). The market is more pessimistic than our downside scenario.
  • Solid quality (64/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (48.89 TWD to 92.54 TWD) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

45.50 TWD 22.38 TWD Fair Value 68.39 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 22.38 TWD – 45.50 TWD · fair‑value band 48.89 TWD – 92.54 TWD · the 35.95 TWD price screens below the 68.39 TWD fair value. Dashed = 300-day average. As of Jul 23, 2026.

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Analysis

Reward Wool Industry Corporation (1423) currently trades at 35.95 TWD, while our model-based Fair Value estimate is 68.39 TWD, implying the stock looks roughly 90.2% undervalued today. The Quality Score stands at 64/100 (solid quality), in the Consumer Cyclical sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Trailing-twelve-month revenue stands at 88.2M TWD. Revenue grew 10.0% year over year. It earns a return on equity of 10.6%. The balance sheet holds a net cash position of 101M TWD. Fundamentals as of Jul 23, 2026

Our scenario range runs from 48.89 TWD (bear case) to 92.54 TWD (bull case); at 35.95 TWD, the current price sits below 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 20% below its 52-week high and 1% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -27% fair-value upside, at 90%, 1423 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 Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income 33.43 TWD 38.72 TWD 71.27 TWD 76
Growth DCF 43.09 TWD 57.31 TWD 80.88 TWD 72
Growth-Adj P/E 50.65 TWD 72.36 TWD 94.07 TWD 68
All 15 models by family
DCF Models
FCF DCF 41.38 TWD 56.15 TWD 82.65 TWD 38
Owner Earnings 41.69 TWD 56.58 TWD 83.29 TWD 31
5Y Revenue Exit 17.52 TWD 18.91 TWD 20.82 TWD 39
5Y P/E Exit 54.08 TWD 82.19 TWD 115.73 TWD 38
10Y Revenue Exit 26.90 TWD 28.80 TWD 30.25 TWD 36
10Y P/E Exit 48.62 TWD 67.04 TWD 84.70 TWD 35
Earnings-Based
Graham-Dodd 29.61 TWD 36.19 TWD 40.72 TWD 54
Multiples
P/E Multiple 71.86 TWD 95.81 TWD 119.76 TWD 63
P/S Multiple 0.7700 TWD 1.03 TWD 1.29 TWD 58
P/B Multiple 55.53 TWD 74.04 TWD 92.54 TWD 55
EV/Revenue 1.73 TWD 2.04 TWD 2.35 TWD 43
Asset-Based
NCAV (Graham) 18.41 TWD 24.68 TWD 36.83 TWD 50
Growth DCF
Growth DCF 43.09 TWD 57.31 TWD 80.88 TWD 72
Economic Profit
Residual Income 33.43 TWD 38.72 TWD 71.27 TWD 76
Growth Earnings
Growth-Adj P/E 50.65 TWD 72.36 TWD 94.07 TWD 68

Widest divergence: Growth Earnings (72.36 TWD) versus Multiples (2.04 TWD). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 88.2M TWD
Revenue growth (YoY) +10.0%
Net margin 426%
Return on equity 10.6%
Free cash flow 434M TWD FY2025
P/E ratio 10.4
More key figures
Operating margin -2.0%
EPS (TTM) 4.33 TWD
Dividend yield 9.9%
EPS growth (YoY) -79.1%
Net cash 101M TWD FY2025

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

Quality Score breakdown

Overall quality 64/100

Of which business quality 67 · Market factors (momentum, volatility) 48

Profitability 44
Margins and returns on capital today
Quality Growth 49
Are margins and returns improving?
Cashflow 84
Earnings quality: real cash, not paper profit
Fin. Strength 77
Balance sheet, leverage, solvency risk
Investment 72
Disciplined investing over empire-building
Low Volatility 99
Calm price path (market factor)
Momentum 33
Price trend over the last 3–12 months (market factor)
52W Momentum 16
Distance to the 52-week high (market factor)
Net Issuance 78
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

Reward Wool Industry Corporation manufactures and sells wool products in Taiwan, Japan, South Korea, and internationally. It offers wool tops; special processing tops comprising superwash, superwash soft, kroy treated only, soft lustre, bosolan, open, and brokern tops; and lanolin and carbonized noils.

Full company description

Reward Wool Industry Corporation manufactures and sells wool products in Taiwan, Japan, South Korea, and internationally. It offers wool tops; special processing tops comprising superwash, superwash soft, kroy treated only, soft lustre, bosolan, open, and brokern tops; and lanolin and carbonized noils. The company was incorporated in 1964 and is headquartered in Taipei, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Reward Wool Industry Corporation reported revenue of 85.4M TWD in FY2025 versus 190M TWD in FY2021, a compound −18.1%/yr. Reported net income was 434M TWD in FY2025, compounding +29.6%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
85.4M TWD
Latest YoY
−18.2%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−21.4%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−15.9%
Avg. growth/yr (23Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−13.6%
Revenue −18.1%/yr
FY21 190M TWD
FY22 176M TWD
FY23 124M TWD
FY24 104M TWD
FY25 85.4M TWD
Net income +29.6%/yr
FY21 154M TWD
FY22 73.4M TWD
FY23 70.5M TWD
FY24 80.8M TWD
FY25 434M TWD

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Cite: Fair Value Calculator (2026). "Reward Wool Industry Corporation Fair Value". https://www.fairvalue-calculator.com/stock/1423

Peer Group

Textile Manufacturing · 307 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 64 · Top 25%
Fair Value upside +90% · Top 25%
Return on equity (TTM) 11% · Top 25%
Return on assets -1% · Bottom 25%
Operating margin (TTM) -2% · Bottom 25%
Revenue growth 10% · Above median
Dividend yield (TTM) 9.9% · Top 25%

Valuation Multiples vs Textile Manufacturing median · lower = cheaper

P/E (TTM) 8.3× · Cheaper than 75% of peers
P/S (TTM) 1.27× · Pricier than median
P/FCF 0.3× · Cheaper than median

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 100 · sector 8
FUTURE 50 · sector 0
PAST 42 · sector 15
HEALTH 0 · sector 95
DIVIDEND 100 · 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%
Far Eastern New Century Corporation 1402 27.55 TWD 28.72 TWD +4%
K.P.R. Mill Limited KPRMILL ₹1,083 ₹467.49 -57%
HMT (Xiamen) New Technical Materials Co 603306 ¥78.00 ¥11.85 -85%
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 Reward Wool Industry Corporation (1423) overvalued or undervalued?
As of Jul 23, 2026, our model estimates a fair value of 68.39 TWD versus a price of 35.95 TWD, about +90% (undervalued).
What is the fair value of 1423?
Our model-based fair value for Reward Wool Industry Corporation is 68.39 TWD (as of Jul 23, 2026), built from audited fundamentals. The current price is 35.95 TWD.
What is the quality score of 1423?
Reward Wool Industry Corporation has a Quality Score of 64/100. 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 Reward Wool Industry Corporation (1423)?
Reward Wool Industry Corporation reported trailing-twelve-month revenue of about 88.2M TWD (latest available figure, as of Jul 23, 2026).
Does Reward Wool Industry Corporation pay a dividend?
Reward Wool Industry Corporation currently shows a dividend yield of about 9.89% 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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