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Sunonwealth Electric Machine Industry Co (2421) Fair Value & Analysis

Industrials · TW · Market cap 38.0B TWD

SE Sunonwealth Electric Machine Industry Co 2421 · TW
Price151.50 TWD
Fair Value159.00 TWD
Upside+5.0%
Quality70/100
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Healthy Growth
Solidly profitable · 12.0% net margin
Low debt · generates free cash flow
4.17% dividend yield
Ranks above peers (14/15)
Wide moat 71/100
Evidence: High Range 108.67 TWD – 198.75 TWD Share as image

Fair value as of: Jul 23, 2026

From 24 valuation models · updated 18 days ago

Share price +5.6% over the past month.

A solid business, currently priced close to our fair value.

What matters now

  • The price sits close to our fair value, market and models broadly agree here, little valuation tension.
  • A fairly wide model range (108.67 TWD to 198.75 TWD) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

189.50 TWD 29.77 TWD Fair Value 159.00 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 29.77 TWD – 189.50 TWD · fair‑value band 108.67 TWD – 198.75 TWD · the 151.50 TWD price screens below the 159.00 TWD fair value. Dashed = 300-day average. As of Jul 23, 2026.

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Analysis

Sunonwealth Electric Machine Industry Co (2421) currently trades at 151.50 TWD, while our model-based Fair Value estimate is 159.00 TWD, implying the stock looks roughly 5.0% fairly valued today. The Quality Score stands at 70/100 (solid quality), in the Industrials 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.

Over the trailing twelve months, Sunonwealth Electric Machine Industry Co generated revenue of 19.5B TWD at a net margin of 12.0%. Revenue grew 20.6% year over year. It earns a return on equity of 23.7%. The balance sheet holds a net cash position of 3.7B TWD. Fundamentals as of Jul 23, 2026

Our scenario range runs from 108.67 TWD (bear case) to 198.75 TWD (bull case); at 151.50 TWD, the current price sits within 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 22% below its 52-week high and 56% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -48% fair-value upside, at 5%, 2421 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 BearBaseBull Evidence
Highest evidence
Growth DCF 101.41 TWD 143.34 TWD 203.68 TWD 80
Residual Income 49.91 TWD 67.21 TWD 348.09 TWD 76
Rev-Margin DCF 96.63 TWD 145.29 TWD 201.52 TWD 74
All 24 models by family
DCF Models
FCF DCF 100.06 TWD 147.60 TWD 220.59 TWD 38
Owner Earnings 86.57 TWD 126.47 TWD 187.72 TWD 31
5Y Revenue Exit 96.63 TWD 145.27 TWD 207.35 TWD 39
5Y EBITDA Exit 111.96 TWD 174.08 TWD 246.64 TWD 41
5Y P/E Exit 114.73 TWD 179.27 TWD 247.21 TWD 38
10Y Revenue Exit 94.56 TWD 139.36 TWD 199.62 TWD 36
10Y EBITDA Exit 106.87 TWD 159.41 TWD 229.73 TWD 37
10Y P/E Exit 108.63 TWD 163.02 TWD 230.17 TWD 35
Earnings-Based
Graham-Dodd 51.48 TWD 163.61 TWD 218.04 TWD 54
Lynch FV 36.04 TWD 51.48 TWD 66.93 TWD 50
PEG = 1.0 36.04 TWD 51.48 TWD 66.93 TWD 46
EPV 88.75 TWD 100.84 TWD 111.42 TWD 59
Multiples
P/E Multiple 119.25 TWD 159.00 TWD 198.75 TWD 63
P/S Multiple 96.53 TWD 128.71 TWD 160.89 TWD 58
P/B Multiple 96.53 TWD 128.71 TWD 160.89 TWD 55
EV/EBIT 141.45 TWD 183.19 TWD 224.93 TWD 53
EV/EBITDA 130.74 TWD 168.90 TWD 207.07 TWD 54
EV/Revenue 98.51 TWD 133.77 TWD 169.03 TWD 43
Asset-Based
NCAV (Graham) 15.53 TWD 20.82 TWD 31.07 TWD 50
Growth DCF
Growth DCF 101.41 TWD 143.34 TWD 203.68 TWD 80
Rev-Margin DCF 96.63 TWD 145.29 TWD 201.52 TWD 74
Economic Profit
Residual Income 49.91 TWD 67.21 TWD 348.09 TWD 76
ROIC Compounder 92.26 TWD 109.16 TWD 126.90 TWD 72
Growth Earnings
Growth-Adj P/E 99.32 TWD 141.88 TWD 184.44 TWD 68

Widest divergence: DCF Models (147.60 TWD) versus Asset-Based (20.82 TWD). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 19.5B TWD
Revenue growth (YoY) +20.6%
Net margin 12.0%
Return on equity 23.7%
Free cash flow 2.1B TWD FY2025
P/E ratio 18.3
More key figures
Operating margin 15.7%
EPS (TTM) 7.89 TWD
Dividend yield 3.9%
EPS growth (YoY) +37.2%
Net cash 3.7B TWD FY2025

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

Quality Score breakdown

Overall quality 70/100

Of which business quality 70 · Market factors (momentum, volatility) 54

Profitability 70
Margins and returns on capital today
Quality Growth 79
Are margins and returns improving?
Cashflow 58
Earnings quality: real cash, not paper profit
Fin. Strength 94
Balance sheet, leverage, solvency risk
Investment 41
Disciplined investing over empire-building
Low Volatility 48
Calm price path (market factor)
Momentum 54
Price trend over the last 3–12 months (market factor)
52W Momentum 62
Distance to the 52-week high (market factor)
Net Issuance 65
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

Sunonwealth Electric Machine Industry Co., Ltd., together with its subsidiaries, researches, manufactures and sells precision motors and cooling fans worldwide. The company engages in general investment, real estate, sells garden fans. Sunonwealth Electric Machine Industry Co., Ltd. is headquartered in Kaohsiung City, Taiwan

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Sunonwealth Electric Machine Industry Co reported revenue of 18.7B TWD in FY2025 versus 13.6B TWD in FY2021, a compound +8.3%/yr. Reported net income was 2.2B TWD in FY2025, compounding +49.9%/yr from FY2021.

Growth Quality 86/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
18.7B TWD
Latest YoY
+27.7%
Avg. growth/yr (3Y)
+9.9%
Avg. growth/yr (5Y)
+7.9%
Avg. growth/yr (23Y)
+7.8%
Revenue +8.3%/yr
FY21 13.6B TWD
FY22 14.1B TWD
FY23 12.9B TWD
FY24 14.6B TWD
FY25 18.7B TWD
Net income +49.9%/yr
FY21 429M TWD
FY22 1.1B TWD
FY23 1.3B TWD
FY24 1.5B TWD
FY25 2.2B TWD

Watch 2421: get an alert when its fair value changes →

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Cite: Fair Value Calculator (2026). "Sunonwealth Electric Machine Industry Co Fair Value". https://www.fairvalue-calculator.com/stock/2421

Peer Group

Specialty Industrial Machinery · 809 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 70 · Top 25%
Fair Value upside +5% · Top 25%
Return on equity (TTM) 24% · Top 25%
Return on assets 11% · Top 25%
Net margin (TTM) 12% · Top 25%
Operating margin (TTM) 16% · Top 25%
Revenue growth 21% · Top 25%
Dividend yield (TTM) 4.2% · Top 25%
Debt / equity 0.07× · Lower than median

Valuation Multiples vs Specialty Industrial Machinery median · lower = cheaper

P/E (TTM) 15.6× · Cheaper than 75% of peers
P/B 4.28× · Pricier than median
P/S (TTM) 1.95× · Cheaper than median
P/FCF 0.6× · Cheaper than 75% of peers
EV/EBITDA 9.5× · Cheaper than 75% of peers
PEG 0.59× · Cheaper 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 40 · sector 0
FUTURE 100 · sector 23
PAST 95 · sector 28
HEALTH 97 · sector 96
DIVIDEND 83 · sector 24

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

Stock Price Fair Value vs Fair Value
GE Vernova Inc 1GEV €887.60 €186.93 -79%
1SIE 1SIE €273.20 €91.93 -66%
SMNS SMNS C$31.76 C$22.68 -29%
Eaton Corporation ETN $407.28 $171.92 -58%
Atlas Copco AB ATCOA kr 195.15 kr 112.59 -42%
Sandvik AB SAND kr 384.10 kr 193.01 -50%
Doosan Enerbility Co 034020 76,400 KRW 7,938 KRW -90%
Vestas Wind Systems A/S VWS kr 178.10 kr 124.54 -30%
Zhejiang Sanhua Intelligent Controls Co 002050 ¥43.20 ¥22.68 -48%
NARI Technology Co 600406 ¥22.19 ¥18.71 -16%

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Frequently asked questions

Is Sunonwealth Electric Machine Industry Co (2421) overvalued or undervalued?
As of Jul 23, 2026, our model estimates a fair value of 159.00 TWD versus a price of 151.50 TWD, about +5% (fairly valued).
What is the fair value of 2421?
Our model-based fair value for Sunonwealth Electric Machine Industry Co is 159.00 TWD (as of Jul 23, 2026), built from audited fundamentals. The current price is 151.50 TWD.
What is the quality score of 2421?
Sunonwealth Electric Machine Industry Co has a Quality Score of 70/100. 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 Sunonwealth Electric Machine Industry Co (2421)?
Sunonwealth Electric Machine Industry Co reported trailing-twelve-month revenue of about 19.5B TWD (latest available figure, as of Jul 23, 2026).
What is the net profit margin of 2421?
The net profit margin of Sunonwealth Electric Machine Industry Co is about 12.0%, meaning it keeps roughly 12.0% of revenue as net income. Based on the latest reported figures.
Does Sunonwealth Electric Machine Industry Co pay a dividend?
Sunonwealth Electric Machine Industry Co currently shows a dividend yield of about 3.87% 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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