Cathay Chemical Works Inc (1713) fair value: what the stock is really worth
As of Nov 9, 2026: fair value (intrinsic value) of Cathay Chemical Works Inc stock TWD 27.23, price TWD 40.95, that is 33.5% below the price, quality 56 out of 100. Rating: overvalued. Calculated from audited financials with 18 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 6, 2026.
How to read this chart
60‑month range 20.42 TWD – 61.00 TWD · fair‑value band 23.57 TWD – 33.13 TWD · the 40.95 TWD price screens above the 27.23 TWD fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 6, 2026.
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Cathay Chemical Works Inc. manufactures and sells specialty and fine chemicals under the CATHAY brand in Taiwan.
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It provides sodium formaldehyde sulfoxylate, sodium metabisulfite, zinc oxide, calcined zinc oxide, sodium hydrosulfite, zinc dust, and sodium hydroxymethanesulfinate, as well as galvanized metal and steel sheets. The company exports its products to Asia, Europe, America, New Zealand, and Australia.
Cathay Chemical Works Inc. was founded in 1962 and is based in Taipei, Taiwan.
Stock analysis
Cathay Chemical Works Inc (1713) currently trades at 40.95 TWD, while our model-based Fair Value estimate is 27.23 TWD, 34% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Dividend Discount group reads highest at a median of 61.71 TWD per share, and 5 of the 18 models we run sit above the 40.95 TWD price.
Bear case: the Asset-Based group reads lowest at 3.15 TWD, and 13 of the 18 models stay below the price. Data coverage for this calculation is medium.
Scenario range: 23.57 TWD (bear) to 33.13 TWD (bull), the price of 40.95 TWD sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 56/100 (solid quality), in the Basic Materials sector.
Weak Growth: Revenue is shrinking: the last year, the last three and the last five years are all negative.
Cathay Chemical Works Inc reported revenue of 460M TWD in FY2025 versus 625M TWD in FY2021, a compound −7.4%/yr. Reported net income was 584M TWD in FY2025, compounding +38.8%/yr from FY2021.
Key figures
Market cap 6.2B TWD (≈ $189M) Micro · P/E ratio 8.7 · P/S ratio 11.0 · EPS (TTM) 4.72 TWD · Dividend yield 7.6% · Net margin 127% · Return on equity 20.2% · Return on assets (EBIT) 1.2% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 49 out of 100 (medium confidence).
What moves the price
The share trades about 22% below its 52-week high and 2% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Basic Materials peers we cover trades at −43% fair-value upside, at −34%, 1713 screens cheaper than that median.
Fair Value models
Bear23.57 TWDFair Value 27.23 TWDBull33.13 TWD
Price 40.95 TWD · Downside -33.5%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then (1.39 TWD per share) are deliberately not added.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. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.40/100
Revenue is shrinking: the last year, the last three and the last five years are all negative.
Revenue growth 1 year
−12.9%
Revenue growth 3 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
−7.0%
Revenue growth 5 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
−0.7%
Start year 2020 (pandemic). Over 10 years: −3.5% a year
Revenue growth 23 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
−2.2%
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What shareholders gained per year (last 5 years), in TWD (mathematically smoothed) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Smoothed = median of all growth paths between the years of the window (trend line on the logarithm of earnings per share): a single extreme year cannot distort the rate. The reported figure stays in the tooltip. Measured in TWD: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+64.0%
Earnings growth per share plus dividend.
Earnings per share, growth per year+56.4%
Dividend (yield on the price)7.6%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.43.3% vs 20.2%, picking up
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.4% → −17%
2025 sits 66% above its own trend. The rate follows the median trend of the last 5 years, not that single year.
Pace: the 5-year rate starts in 2020 (pandemic)
⚠ Revenue per share shrinking 3.2%/yr over ~10Y (margins eroding too) ⓘStructural-decline marker: revenue PER SHARE has fallen over the last decade (robust median trend, not a single year). Backtested across 2005 to 2017, such businesses trailed the market by about 2.5 percentage points per year. Display only: it does not change the fair value or the quality score.
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+35.7%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect
n/a
No analyst forecast available.
After inflation (Taiwan: IMF forecast 1.6% a year to 2030, 1.5% from 2016 to 2025) that is about +33.6% a year for the price.
Compare Cathay Chemical Works Inc with another stock
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Peer Groupⓘ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.Specialty Chemicals · 728 stocks
Beats the industry median on 6/12 measures
A mixed picture versus its industry peers.
Valuation
Quality Score56 · Above median
Fair Value upside−33.5% · Below median
Profitability
Return on equity (12 months)20.2% · Top 25%
Return on assets14.7% · Top 25%
Net margin (12 months)150.4% · Top 25%
Operating margin (12 months)−7.8% · Bottom 25%
Growth and dividend
Revenue growth (quarter YoY)11.8% · Below median
Dividend yield (12 months)7.6% · Top 25%
Valuation Multiplesvs Specialty Chemicals median · lower = cheaper
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Cathay Chemical Works Inc Fair Value". https://www.fairvalue-calculator.com/stock/1713
Frequently asked questions
Is Cathay Chemical Works Inc (1713) overvalued or undervalued?
As of Nov 6, 2026, our model estimates a fair value of 27.23 TWD versus a price of 40.95 TWD, about 34% lower (overvalued).
What is the fair value of 1713?
Our model-based fair value for Cathay Chemical Works Inc is 27.23 TWD (as of Nov 6, 2026), built from audited fundamentals. The current price: 40.95 TWD.
What is the quality score of 1713?
Cathay Chemical Works Inc has a Quality Score of 56/100. 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 price target for Cathay Chemical Works Inc (1713)?
Our model-based price target is the fair value of 27.23 TWD (as of Nov 6, 2026) from 18 valuation models. Cautious scenario 23.57 TWD, optimistic scenario 33.13 TWD. It is a calculation from audited fundamentals, not an analyst target.
What is the Cathay Chemical Works Inc stock forecast for 2026?
Our models put fair value at 27.23 TWD, about 34% lower versus a price of 40.95 TWD (overvalued). Cautious scenario 23.57 TWD, optimistic scenario 33.13 TWD. The calculation is refreshed regularly with new filings.
What is the revenue of Cathay Chemical Works Inc (1713)?
Cathay Chemical Works Inc reported trailing-twelve-month revenue of about 476M TWD (latest available figure, as of Nov 6, 2026).
Does Cathay Chemical Works Inc pay a dividend?
Cathay Chemical Works Inc currently shows a dividend yield of 7.57% relative to its recent price (as of Nov 6, 2026).
How much is the dividend of Cathay Chemical Works Inc (1713) and when is the ex-dividend date?
Cathay Chemical Works Inc pays a dividend of 3.10 TWD per share a year, a dividend yield of 7.6%. The last ex-dividend date was Aug 6, 2026. The payout ratio is 65.7% of earnings. Free cash flow covers the dividend 0.22 times. Our assessment: Watch coverage. The dividend isn’t fully covered by free cash flow or earnings, part of it is funded from reserves or debt. Fine for now, but worth watching: if it stays uncovered, the dividend could be cut.
What growth is priced into Cathay Chemical Works Inc (1713)?
For today's price to be fair in a discounted-cash-flow model, Cathay Chemical Works Inc would have to grow free cash flow by +35.7 % per year for five years (discount rate 11.8 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew -0.7 % per year. As of Nov 6, 2026.
What discount rate (WACC) does the fair value of 1713 use?
Our models discount Cathay Chemical Works Inc at 11.8 %: a base by market capitalisation (micro), damped by beta 0.08, country premium for Taiwan. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Cathay Chemical Works Inc that is +35.7 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (11.8 %) and the same formula as our fair value.
How much growth has Cathay Chemical Works Inc (1713) delivered so far?
Over the past 5 years revenue at Cathay Chemical Works Inc grew -0.7 % a year. The price currently implies free-cash-flow growth of +35.7 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Cathay Chemical Works Inc (1713) growing?
The median revenue growth in the sector is +9.8 % a year. That is the yardstick for the growth priced into Cathay Chemical Works Inc (+35.7 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Cathay Chemical Works Inc (1713)?
The free-cash-flow yield on the price is 1.65 %: that much free cash flow Cathay Chemical Works Inc produces per unit of market value. When it exceeds the discount rate of our models (11.8 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Cathay Chemical Works Inc (1713)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Cathay Chemical Works Inc it is 27.23 TWD per share (as of Nov 6, 2026), against a price of 40.95 TWD. It is the blended result of 18 valuation models in 8 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings).
Is Cathay Chemical Works Inc stock overvalued or undervalued in 2026?
As of Nov 6, 2026, 1713 trades above its calculated fair value: price 40.95 TWD, fair value 27.23 TWD, a gap of about −34% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of 1713?
No. The price is what the market pays today (40.95 TWD); the fair value is what the company's own numbers justify (27.23 TWD). For Cathay Chemical Works Inc the two are 13.72 TWD per share apart. That gap is exactly why we show both numbers side by side.
How much is Cathay Chemical Works Inc worth?
The market values Cathay Chemical Works Inc at about 6.2B TWD (market capitalisation, as of Nov 6, 2026). Per share that is 40.95 TWD; our models calculate a fair value of 27.23 TWD per share.
What do the bullish and bearish scenarios say about 1713?
Our models span a range for Cathay Chemical Works Inc: cautious scenario 23.57 TWD, base 27.23 TWD, optimistic 33.13 TWD per share (as of Nov 6, 2026, price 40.95 TWD). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of 1713?
Cathay Chemical Works Inc trades at a price-to-earnings ratio of 8.7 (as of Nov 6, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of 27.23 TWD is built from several models across several years. Median P/E at fiscal year-end, 10 fiscal years (2016 to 2025), reported earnings: 23.4. Other multiples: P/B 1.6, P/S 13.0.
How solid is the balance sheet of Cathay Chemical Works Inc (1713)?
Balance-sheet figures for Cathay Chemical Works Inc (as of Nov 6, 2026): return on equity 20.2%. They feed the Quality Score of 56/100, which measures business quality independently of the share price.
How far is 1713 from its 52-week high?
Cathay Chemical Works Inc trades at 40.95 TWD, about 22% below its 52-week high of 52.70 TWD and 2% above the low of 40.30 TWD (as of Nov 9, 2026). Distance from the high says nothing about value: that is what the fair value of 27.23 TWD is for.
Which stocks are comparable to Cathay Chemical Works Inc?
From the same area (Basic Materials) we also value Linde plc, Ecolab Inc, The Sherwin-Williams Company, Nan Ya Plastics Corporation, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Cathay Chemical Works Inc stock attractive at the current price?
The data as of Nov 6, 2026: price 40.95 TWD, calculated fair value 27.23 TWD (−34%), Quality Score 56/100, from 18 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of 1713 calculated?
We run Cathay Chemical Works Inc through 18 models from 8 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of 27.23 TWD builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.3% above its aggregate fair value. Cathay Chemical Works Inc itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Cathay Chemical Works Inc (1713)?
The closing price on Nov 9, 2026 was 40.95 TWD. Our model-based fair value is 27.23 TWD, about 34% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Cathay Chemical Works Inc right now?
The price sits above even our optimistic bull case (33.13 TWD). The favourable scenario is already priced in. Solid but not exceptional quality (56/100) and above fair value, neither a clear bargain nor a standout compounder.
Key figures of Cathay Chemical Works Inc
How large is the market capitalisation of Cathay Chemical Works Inc (1713)?
The market capitalisation of Cathay Chemical Works Inc is 6.2B TWD (≈ $189M). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Cathay Chemical Works Inc (1713)?
The price-to-sales ratio of Cathay Chemical Works Inc is 11.0 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Cathay Chemical Works Inc (1713)?
Earnings per share at Cathay Chemical Works Inc are 4.72 TWD (price ÷ EPS = P/E 8.7). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Cathay Chemical Works Inc (1713)?
The dividend yield of Cathay Chemical Works Inc is 7.6% (payout 65.7%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Cathay Chemical Works Inc (1713)?
The net margin of Cathay Chemical Works Inc is 127% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Cathay Chemical Works Inc (1713)?
The return on equity (ROE) of Cathay Chemical Works Inc is 20.2% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Cathay Chemical Works Inc (1713)?
On an EBIT basis the return on assets of Cathay Chemical Works Inc is 1.2% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Cathay Chemical Works Inc (1713)?
The operating margin of Cathay Chemical Works Inc is −7.8% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Cathay Chemical Works Inc (1713)?
Revenue at Cathay Chemical Works Inc is growing +11.8% versus a year earlier (3y avg −7.0%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Cathay Chemical Works Inc (1713)?
Earnings per share at Cathay Chemical Works Inc are growing +41.9% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Cathay Chemical Works Inc (1713) hold?
Cathay Chemical Works Inc holds more cash than debt, 99.5M TWD net (fiscal year 2025). The company holds more cash than debt, a safety cushion.
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Some data
Nov 6, 2026