Formosan Union Chemical Corp (1709) Fair Value & Analysis
Basic Materials · TW · Market cap 13.3B TWD
Fair value as of: Jul 23, 2026
From 22 valuation models · updated 18 days ago
Share price +11.9% over the past month.
A solid business, but screening 35% overvalued on our models.
What matters now
- The price sits above even our optimistic bull case (25.69 TWD). The favourable scenario is already priced in.
- Solid but not exceptional quality (61/100) and above fair value, neither a clear bargain nor a standout compounder.
- A fairly wide model range (13.05 TWD to 25.69 TWD) leaves room in how you read the outcome.
Price vs Fair Value (5 years)
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 12.87 TWD – 30.30 TWD · fair‑value band 13.05 TWD – 25.69 TWD · the 27.30 TWD price screens above the 17.74 TWD fair value. Dashed = 300-day average. As of Jul 23, 2026.
Analysis
Formosan Union Chemical Corp (1709) currently trades at 27.30 TWD, while our model-based Fair Value estimate is 17.74 TWD, implying the stock looks roughly 35.0% overvalued today. The Quality Score stands at 61/100 (solid 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, Formosan Union Chemical Corp generated revenue of 8.8B TWD at a net margin of 7.5%. Revenue declined 7.5% year over year. It earns a return on equity of 7.3%. Net debt stands at 1.1B TWD. Fundamentals as of Jul 23, 2026
Our scenario range runs from 13.05 TWD (bear case) to 25.69 TWD (bull case); at 27.30 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 near its 52-week high and 70% above its 52-week low, currently above its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -46% fair-value upside, at -35%, 1709 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.
All 22 models by family
Widest divergence: Multiples (19.63 TWD) versus Earnings-Based (10.21 TWD). Highest evidence: Growth DCF (80).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 23, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 60 · Market factors (momentum, volatility) 90
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
Formosan Union Chemical Corp. produces and sells chemical products in Taiwan, China, Guatemala, the Philippines, Vietnam, the United States, and internationally.
Full company description
Formosan Union Chemical Corp. produces and sells chemical products in Taiwan, China, Guatemala, the Philippines, Vietnam, the United States, and internationally. The company offers alkyl benzene, which is used as a raw material for detergents; nonyl phenol that is used as a raw material for surfactants rubbers and plastic anti-oxidant agents, etc., as well as dodecyl phenol for lubricating oils.; and hydrogenated hydrocarbon resin, which is used as a raw material for the production of ethylene-vinyl acetate polymer EVA and thermal plastic rubber TPR series hot melt adhesives. It also trades in residential and commercial property and electronic materials, as well as engages in the solar photovoltaic system construction, maintenance, and operation; land development; and agency business of Huawei products; development of an online booking platform; and hotel operation. In addition, the company is involved in the manufacturing, processing, and trading of petroleum resins, polyester resins, melamine resins, plaque resins, urea resins, alkyd resins, acetate resins, butyl acrylate resins, alkylbenzene and sulfonic acid, and aromatic hydrocarbon fluxes; planning and design of petrochemical engineering; installation and trading of mechanical equipment; distribution of domestic liquefied petroleum gas; and repair and maintenance and inspection of steel cylinders. Further, it engages in the petrochemical raw materials, synthetic resins, rubber and plastics, other chemical products manufacturing and wholesale; and manufacturing and sales of pesticides and sugar, batteries, and electronic components, as well as power generation, transmission, and power distribution machinery; warehouse and silo lease activity; and food trading and bakery operations. The company was founded in 1973 and is based in Taipei, Taiwan.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Formosan Union Chemical Corp reported revenue of 9.0B TWD in FY2025 versus 9.2B TWD in FY2021, a compound −0.5%/yr. Reported net income was 586M TWD in FY2025, compounding −11.3%/yr from FY2021.
of which total revenue −0.1 pp · buybacks/dilution −0.1 pp
Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).
1709 screens 35% overvalued. Compare with BASF SE →
Peer Group
Chemicals · 333 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.
Valuation Multiples vs Chemicals median · lower = cheaper
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: 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.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Chemicals stocks, each showing price versus our Fair Value estimate (as of Jul 23, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| BASF SE BASN | 1,034 MXN | 532.13 MXN | -49% |
| Ningxia Baofeng Energy Group 600989 | ¥20.32 | ¥20.17 | -1% |
| Zhejiang Juhua Co 600160 | ¥42.85 | ¥23.35 | -46% |
| PT Barito Pacific Tbk, BRPT | 1,690 IDR | 1,628 IDR | -4% |
| LG Chem, Ltd 051910 | 260,500 KRW | 587,755 KRW | +126% |
| Formosa Chemicals & Fibre Corporation 1326 | 66.10 TWD | 6.79 TWD | -90% |
| PTT Global Chemical Public Company PTTGC | 35.50 THB | 18.21 THB | -49% |
| 542812 542812 | ₹4,369 | ₹791.05 | -82% |
| Indorama Ventures Public Company IVL | 24.50 THB | 17.95 THB | -27% |
| Navin Fluorine International Limited NAVINFLUOR | ₹8,650 | ₹2,146 | -75% |
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Frequently asked questions
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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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