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Eternal Materials Co (1717) Fair Value & Analysis

Basic Materials · TW · Market cap 73.0B TWD

EM Eternal Materials Co 1717 · TW
Price66.20 TWD
Fair Value18.29 TWD
Upside-72.4%
Quality52/100
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Weak Growth
Thin margins · 4.3% net margin
Low debt · generates free cash flow
1.55% dividend yield
Trails peers (2/14)
Narrow moat 33/100
Evidence: High Range 12.80 TWD – 23.56 TWD Share as image

Fair value as of: Jul 23, 2026

From 22 valuation models · updated 18 days ago

Fair value updated Jul 23, 2026, revised from 18.33 TWD to 18.29 TWD (−0.2%) since Jul 7, 2026. Share price −13.7% over the past month.

A solid business, but screening 72% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (23.56 TWD). The favourable scenario is already priced in.
  • Solid but not exceptional quality (52/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (12.80 TWD to 23.56 TWD) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

85.40 TWD 10.09 TWD Fair Value 18.29 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 10.09 TWD – 85.40 TWD · fair‑value band 12.80 TWD – 23.56 TWD · the 66.20 TWD price screens above the 18.29 TWD fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 23, 2026.

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Analysis

Eternal Materials Co (1717) currently trades at 66.20 TWD, while our model-based Fair Value estimate is 18.29 TWD, implying the stock looks roughly 72.4% overvalued today. The Quality Score stands at 52/100 (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, Eternal Materials Co generated revenue of 40.9B TWD at a net margin of 4.3%. Revenue grew 1.8% year over year. It earns a return on equity of 6.1%. Net debt stands at 16.1B TWD. Fundamentals as of Jul 23, 2026

Our scenario range runs from 12.80 TWD (bear case) to 23.56 TWD (bull case); at 66.20 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 183% above its 52-week low, currently above its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -58% fair-value upside, at -72%, 1717 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
Growth DCF 1.68 TWD 4.04 TWD 8.21 TWD 80
Residual Income 18.57 TWD 19.14 TWD 19.39 TWD 76
Rev-Margin DCF 4.73 TWD 10.30 TWD 17.15 TWD 74
All 22 models by family
DCF Models
FCF DCF 1.41 TWD 3.83 TWD 8.47 TWD 38
Owner Earnings 1.67 TWD 4.19 TWD 9.01 TWD 31
5Y Revenue Exit 4.73 TWD 10.21 TWD 18.21 TWD 39
5Y EBITDA Exit 10.82 TWD 20.58 TWD 33.50 TWD 41
5Y P/E Exit 6.85 TWD 13.82 TWD 22.10 TWD 38
10Y Revenue Exit 3.03 TWD 7.64 TWD 13.01 TWD 36
10Y EBITDA Exit 7.14 TWD 14.49 TWD 23.06 TWD 37
10Y P/E Exit 4.69 TWD 10.02 TWD 15.57 TWD 35
Earnings-Based
Graham-Dodd 9.58 TWD 16.34 TWD 19.95 TWD 54
EPV 2.84 TWD 4.21 TWD 5.41 TWD 59
Multiples
P/E Multiple 17.97 TWD 23.96 TWD 29.95 TWD 63
P/S Multiple 17.97 TWD 23.96 TWD 29.95 TWD 58
P/B Multiple 17.97 TWD 23.96 TWD 29.95 TWD 55
EV/EBIT 9.72 TWD 14.76 TWD 19.80 TWD 53
EV/EBITDA 19.93 TWD 28.38 TWD 36.82 TWD 54
EV/Revenue 7.70 TWD 13.32 TWD 18.94 TWD 43
Asset-Based
NCAV (Graham) 11.78 TWD 15.78 TWD 23.56 TWD 50
Growth DCF
Growth DCF 1.68 TWD 4.04 TWD 8.21 TWD 80
Rev-Margin DCF 4.73 TWD 10.30 TWD 17.15 TWD 74
Economic Profit
Residual Income 18.57 TWD 19.14 TWD 19.39 TWD 76
ROIC Compounder 2.84 TWD 4.21 TWD 5.41 TWD 72
Growth Earnings
Growth-Adj P/E 12.80 TWD 18.29 TWD 23.77 TWD 68

Widest divergence: Multiples (23.96 TWD) versus Growth DCF (4.04 TWD). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 40.9B TWD
Revenue growth (YoY) +1.8%
Net margin 4.3%
Return on equity 6.1%
Free cash flow 791M TWD FY2025
P/E ratio 49.9
More key figures
Operating margin 5.6%
EPS (TTM) 1.41 TWD
Dividend yield 1.5%
EPS growth (YoY) +21.5%
Net debt 16.1B TWD FY2025

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

Quality Score breakdown

Overall quality 52/100

Of which business quality 51 · Market factors (momentum, volatility) 53

Profitability 32
Margins and returns on capital today
Quality Growth 32
Are margins and returns improving?
Cashflow 41
Earnings quality: real cash, not paper profit
Fin. Strength 53
Balance sheet, leverage, solvency risk
Investment 83
Disciplined investing over empire-building
Low Volatility 25
Calm price path (market factor)
Momentum 56
Price trend over the last 3–12 months (market factor)
52W Momentum 81
Distance to the 52-week high (market factor)
Net Issuance 85
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

Eternal Materials Co., Ltd. manufactures and sells resin, high performance, electronic materials, and other related products.

Full company description

Eternal Materials Co., Ltd. manufactures and sells resin, high performance, electronic materials, and other related products. The company offers resin materials, including acrylic for adhesives and overprinting, polyester polyol, polyurethane, optoelectronic materials, alkyd, solvent-based acrylic coating, water-based acrylic coating, amino, fluorocarbon, polyester, other coatings, unsaturated polyester, vinyl ester, fire retardant, epoxy system, structural adhesive, and polyester for polyurethane foam. It also provides UV monomers, oligomers, special coatings, silicone powder, additives, and 3D printing material; and electronic materials, comprising printed circuit board material-dry film photoresist, material-dry film solder mask, material-UV ink, material-dry film photosensitive polyimide, material-paper phenolic copper clad and material-composite epoxy copper clad laminate, flat panel display and touch panel material-dry film photoresist, flat panel display and touch panel material-liquid polyimide, vacuum laminator, and toll coating service. In addition, the company offers hydrophilic film, biomaterials-enzymes for biochemical diagnosis, biomaterials-enzymes for molecular diagnosis, biomaterials-recombinant proteins, biomaterials-antibodies, in vitro diagnostic (IVD) rapid test strips, liquid molding compound for WLP, lithium battery materials, green process-less CTP plate photoresist, and thermoplastic composites. The company was formerly known as Eternal Chemical Co., Ltd. and changed its name to Eternal Materials Co., Ltd. in 2014. Eternal Materials Co., Ltd. was incorporated in 1964 and is headquartered in Kaohsiung, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Eternal Materials Co reported revenue of 40.7B TWD in FY2025 versus 50.5B TWD in FY2021, a compound −5.2%/yr. Reported net income was 1.7B TWD in FY2025, compounding −17.4%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
40.7B TWD
Latest YoY
−7.9%
Avg. growth/yr (3Y)
−6.0%
Avg. growth/yr (5Y)
+1.2%
Avg. growth/yr (25Y)
+4.5%
Revenue −5.2%/yr
FY21 50.5B TWD
FY22 49.0B TWD
FY23 42.5B TWD
FY24 44.2B TWD
FY25 40.7B TWD
Net income −17.4%/yr
FY21 3.5B TWD
FY22 2.6B TWD
FY23 1.5B TWD
FY24 1.8B TWD
FY25 1.7B TWD

1717 screens 72% overvalued. Compare with Linde plc →

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Cite: Fair Value Calculator (2026). "Eternal Materials Co Fair Value". https://www.fairvalue-calculator.com/stock/1717

Peer Group

Specialty Chemicals · 676 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 52 · Below median
Fair Value upside −72% · Bottom 25%
Return on equity (TTM) 6% · Above median
Return on assets 2% · Below median
Net margin (TTM) 4% · Below median
Operating margin (TTM) 5% · Below median
Revenue growth 2% · Below median
Dividend yield (TTM) 1.6% · Above median
Debt / equity 0.45× · Higher than 75% of peers

Valuation Multiples vs Specialty Chemicals median · lower = cheaper

P/E (TTM) 44.0× · Pricier than median
P/B 2.64× · Pricier than median
P/S (TTM) 1.79× · Pricier than median
P/FCF 2.9× · Pricier than median
EV/EBITDA 19.9× · Pricier 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 0 · sector 0
FUTURE 9 · sector 19
PAST 24 · sector 23
HEALTH 78 · sector 95
DIVIDEND 31 · sector 25

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 Specialty Chemicals stocks, each showing price versus our Fair Value estimate (as of Jul 23, 2026).

Stock Price Fair Value vs Fair Value
Linde plc LIN $489.98 $222.03 -55%
Nan Ya Plastics Corporation 1303 181.50 TWD 255.83 TWD +41%
Wanhua Chemical Group 600309 ¥70.04 ¥68.03 -3%
Novozymes A/S NSISB kr 428.20 kr 179.66 -58%
Asian Paints Limited ASIANPAINT ₹2,689 ₹668.81 -75%
Solar Industries India Limited SOLARINDS ₹18,236 ₹2,793 -85%
Pidilite Industries Limited PIDILITIND ₹1,560 ₹351.84 -77%
PT Chandra Asri Pacific Tbk TPIA 1,805 IDR 2,888 IDR +60%
Linde India Limited LINDEINDIA ₹7,115 ₹757.93 -89%
Berger Paints India Limited BERGEPAINT ₹493.70 ₹164.29 -67%

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Frequently asked questions

Is Eternal Materials Co (1717) overvalued or undervalued?
As of Jul 23, 2026, our model estimates a fair value of 18.29 TWD versus a price of 66.20 TWD, about −72% (overvalued).
What is the fair value of 1717?
Our model-based fair value for Eternal Materials Co is 18.29 TWD (as of Jul 23, 2026), built from audited fundamentals. The current price is 66.20 TWD.
What is the quality score of 1717?
Eternal Materials Co has a Quality Score of 52/100. 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 Eternal Materials Co (1717)?
Eternal Materials Co reported trailing-twelve-month revenue of about 40.9B TWD (latest available figure, as of Jul 23, 2026).
What is the net profit margin of 1717?
The net profit margin of Eternal Materials Co is about 4.3%, meaning it keeps roughly 4.3% of revenue as net income. Based on the latest reported figures.
Does Eternal Materials Co pay a dividend?
Eternal Materials Co currently shows a dividend yield of about 1.47% 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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