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Walsin Lihwa Corporation (1605) Fair Value & Analysis

Basic Materials · TW · Market cap 144B TWD

WL Walsin Lihwa Corporation 1605 · TW
Price34.55 TWD
Fair Value15.07 TWD
Upside-56.4%
Quality44/100
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Expensive Growth
Thin margins · 3.6% net margin
Low debt · negative free cash flow
1.44% dividend yield
Trails peers (2/14)
Narrow moat 28/100
Evidence: High Range 11.30 TWD – 18.84 TWD Share as image

Fair value as of: Jul 18, 2026

From 10 valuation models · updated 22 days ago

Fair value updated Jul 18, 2026, revised from 12.20 TWD to 15.07 TWD (+23.5%) since Jul 7, 2026. Share price −0.9% over the past month.

Below-average quality, and screening another 56% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (18.84 TWD). The favourable scenario is already priced in.
  • Weak quality (44/100) 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)

52.61 TWD 14.86 TWD Fair Value 15.07 TWD Mar 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range 14.86 TWD – 52.61 TWD · fair‑value band 11.30 TWD – 18.84 TWD · the 34.55 TWD price screens above the 15.07 TWD fair value. Dashed = 300-day average. As of Jul 18, 2026.

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Analysis

Walsin Lihwa Corporation (1605) currently trades at 34.55 TWD, while our model-based Fair Value estimate is 15.07 TWD, implying the stock looks roughly 56.4% overvalued today. The Quality Score stands at 44/100 (below-average quality), in the Basic Materials 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: high).

Over the trailing twelve months, Walsin Lihwa Corporation generated revenue of 170B TWD at a net margin of 3.6%. Revenue declined 8.4% year over year. It earns a return on equity of 3.3%. Net debt stands at 76.6B TWD. Fundamentals as of Jul 18, 2026

Our scenario range runs from 11.30 TWD (bear case) to 18.84 TWD (bull case); at 34.55 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 79% above its 52-week low, currently above its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -25% fair-value upside, at -56%, 1605 screens richer 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
Residual Income 26.41 TWD 25.29 TWD 19.96 TWD 76
Gordon GGM 4.18 TWD 5.89 TWD 7.65 TWD 70
Growth-Adj P/E 8.15 TWD 11.65 TWD 15.14 TWD 68
All 10 models by family
Earnings-Based
Graham-Dodd 4.88 TWD 9.58 TWD 12.00 TWD 54
Dividend Discount
Gordon GGM 4.18 TWD 5.89 TWD 7.65 TWD 70
DDM Multi-Stage 4.18 TWD 5.85 TWD 7.80 TWD 61
Multiples
P/E Multiple 11.30 TWD 15.07 TWD 18.84 TWD 63
P/S Multiple 9.15 TWD 12.20 TWD 15.25 TWD 58
P/B Multiple 9.15 TWD 12.20 TWD 15.25 TWD 55
EV/EBITDA 8.87 TWD 15.25 TWD 21.64 TWD 54
Asset-Based
NCAV (Graham) 18.71 TWD 25.08 TWD 37.43 TWD 50
Economic Profit
Residual Income 26.41 TWD 25.29 TWD 19.96 TWD 76
Growth Earnings
Growth-Adj P/E 8.15 TWD 11.65 TWD 15.14 TWD 68

Widest divergence: Economic Profit (25.29 TWD) versus Dividend Discount (5.85 TWD). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 170B TWD
Revenue growth (YoY) -8.4%
Net margin 3.6%
Return on equity 3.3%
Free cash flow −6.4B TWD FY2025
P/E ratio 52.7
More key figures
Operating margin 1.3%
EPS (TTM) 0.7500 TWD
Dividend yield 1.4%
EPS growth (YoY) +380%
Net debt 76.6B TWD FY2025

Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 44/100

Of which business quality 42 · Market factors (momentum, volatility) 57

Profitability 21
Margins and returns on capital today
Quality Growth 28
Are margins and returns improving?
Cashflow 27
Earnings quality: real cash, not paper profit
Fin. Strength 39
Balance sheet, leverage, solvency risk
Investment 63
Disciplined investing over empire-building
Low Volatility 33
Calm price path (market factor)
Momentum 60
Price trend over the last 3–12 months (market factor)
52W Momentum 78
Distance to the 52-week high (market factor)
Net Issuance 100
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

Walsin Lihwa Corporation engages in the manufacture and sale of wires and cables, and stainless-steel products in Asia, the United States, Europe, and internationally. The company operates through Wires and Cables; Stainless Steel; Resource; Real Estate; and Administration and Investing segments.

Full company description

Walsin Lihwa Corporation engages in the manufacture and sale of wires and cables, and stainless-steel products in Asia, the United States, Europe, and internationally. The company operates through Wires and Cables; Stainless Steel; Resource; Real Estate; and Administration and Investing segments. It also offers copper wires and rods, power cables, communication cables, optical cables, industrial cables, steel cable and wire, and submarine cables for use in power, telecommunication, electrical engineering, information household appliance, construction, ship, heavy machinery, solar power, wind power, and electric vehicles; and copper rods, connectors, and components. In addition, the company provides stainless steel products, including billets, slabs, ingots, hot-rolled bars, cold- and hot-rolled coils, wire rods, cold-finished bars, seamless pipes and tubes, and precision foils. Further, the company engages in the production and sale of nickel pig iron and nickel matte. Further, it designs, installs, and manages solar power systems; invests in rental design and interior decoration business; and manufactures and sells flat-rolled products, and alloy materials. Additionally, the company provides mechanical, electrical, communications, and power systems; waste disposal, resource recovery, and cement products; solar power systems; and business and assets management, consulting, and advertising services. It also provides property and asset management services. The company was incorporated in 1966 and is headquartered in Taipei, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Walsin Lihwa Corporation reported revenue of 174B TWD in FY2025 versus 157B TWD in FY2021, a compound +2.7%/yr. Reported net income was 3.2B TWD in FY2025, compounding −31.7%/yr from FY2021.

Growth Quality 41/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
174B TWD
Latest YoY
−2.8%
Avg. growth/yr (3Y)
−1.2%
Avg. growth/yr (5Y)
+9.1%
Avg. growth/yr (25Y)
+6.3%
Revenue +2.7%/yr
FY21 157B TWD
FY22 180B TWD
FY23 190B TWD
FY24 179B TWD
FY25 174B TWD
Net income −31.7%/yr
FY21 14.6B TWD
FY22 19.4B TWD
FY23 5.1B TWD
FY24 2.8B TWD
FY25 3.2B TWD

1605 screens 56% overvalued. Compare with Tata Steel Limited →

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Cite: Fair Value Calculator (2026). "Walsin Lihwa Corporation Fair Value". https://www.fairvalue-calculator.com/stock/1605

Peer Group

Steel · 378 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 44 · Below median
Fair Value upside −56% · Bottom 25%
Return on equity (TTM) 3% · Below median
Return on assets -0% · Bottom 25%
Net margin (TTM) 4% · Above median
Operating margin (TTM) 1% · Below median
Revenue growth -8% · Below median
Dividend yield (TTM) 1.4% · Below median
Debt / equity 0.35× · Higher than 75% of peers

Valuation Multiples vs Steel median · lower = cheaper

P/E (TTM) 43.5× · Pricier than 75% of peers
P/B 0.87× · Cheaper than median
P/S (TTM) 0.85× · Pricier than median
EV/EBITDA 24.9× · Pricier than 75% of peers
PEG 5.31× · Pricier 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 0 · sector 20
FUTURE 0 · sector 4
PAST 13 · sector 15
HEALTH 82 · sector 95
DIVIDEND 29 · sector 41

VALUE 0: the price sits above our fair-value range.

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 Steel stocks, each showing price versus our Fair Value estimate (as of Jul 18, 2026).

Stock Price Fair Value vs Fair Value
Tata Steel Limited TTST $0.2010 $0.2000 -0%
JSW Steel Limited JSWSTEEL ₹1,227 ₹1,140 -7%
Baoshan Iron & Steel Co 600019 ¥5.89 ¥8.07 +37%
China Steel Corporation 2002A 38.55 TWD 8.74 TWD -77%
POSCO Holdings 005490 313,500 KRW 155,270 KRW -50%
Companhia Siderúrgica Nacional, SID 13,670 ARS 15,940 ARS +17%
Jindal Steel Limited JINDALSTEL ₹1,028 ₹545.12 -47%
Lloyds Metals and Energy Limited LLOYDSME ₹1,844 ₹1,098 -40%
SSAB AB SSABA kr 96.04 kr 72.43 -25%
Gerdau S.A GGBN 83.50 MXN 42.64 MXN -49%

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Frequently asked questions

Is Walsin Lihwa Corporation (1605) overvalued or undervalued?
As of Jul 18, 2026, our model estimates a fair value of 15.07 TWD versus a price of 34.55 TWD, about −56% (overvalued).
What is the fair value of 1605?
Our model-based fair value for Walsin Lihwa Corporation is 15.07 TWD (as of Jul 18, 2026), built from audited fundamentals. The current price is 34.55 TWD.
What is the quality score of 1605?
Walsin Lihwa Corporation has a Quality Score of 44/100. 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 Walsin Lihwa Corporation (1605)?
Walsin Lihwa Corporation reported trailing-twelve-month revenue of about 170B TWD (latest available figure, as of Jul 18, 2026).
What is the net profit margin of 1605?
The net profit margin of Walsin Lihwa Corporation is about 3.6%, meaning it keeps roughly 3.6% of revenue as net income. Based on the latest reported figures.
Does Walsin Lihwa Corporation pay a dividend?
Walsin Lihwa Corporation currently shows a dividend yield of about 1.44% relative to its recent price (as of Jul 18, 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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