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Formosa International Hotels Corporation (2707) Fair Value & Analysis

Consumer Cyclical · TW · Market cap 22.9B TWD

FI Formosa International Hotels Corporation 2707 · TW
Price179.50 TWD
Fair Value198.71 TWD
Upside+10.7%
Quality83/100
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Healthy Growth
Highly profitable · 25.8% net margin
Low debt · generates free cash flow
6.02% dividend yield
Ranks above peers (13/15)
Wide moat 83/100
Evidence: High Range 143.02 TWD – 256.38 TWD Share as image

Fair value as of: Jul 21, 2026

From 25 valuation models · updated 20 days ago

A strong business, screening 11% undervalued on our models.

What matters now

  • Our model range runs from 143.02 TWD (bear) to 256.38 TWD (bull), base 198.71 TWD. The closer the price sits to the lower half, the larger the margin of safety.
  • Quality 83/100 (high quality) with high evidence: the data supports the verdict.
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Price vs Fair Value (5 years)

262.59 TWD 93.36 TWD Fair Value 198.71 TWD Feb 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 21, 2026.

How to read this chart

60‑month range 93.36 TWD – 262.59 TWD · fair‑value band 143.02 TWD – 256.38 TWD · the 179.50 TWD price screens below the 198.71 TWD fair value. Dashed = 300-day average. As of Jul 21, 2026.

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Analysis

Formosa International Hotels Corporation (2707) currently trades at 179.50 TWD, while our model-based Fair Value estimate is 198.71 TWD, implying the stock looks roughly 10.7% undervalued today. The Quality Score stands at 83/100 (high quality), in the Consumer Cyclical 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, Formosa International Hotels Corporation generated revenue of 6.9B TWD at a net margin of 25.8%. Revenue grew 4.9% year over year. It earns a return on equity of 49.6%. Net debt stands at 3.1B TWD. Fundamentals as of Jul 21, 2026

Our scenario range runs from 143.02 TWD (bear case) to 256.38 TWD (bull case); at 179.50 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 7% below its 52-week high and 7% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -62% fair-value upside, at 11%, 2707 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 167.84 TWD 230.69 TWD 315.39 TWD 80
Residual Income 65.43 TWD 77.64 TWD 260.95 TWD 76
Rev-Margin DCF 87.73 TWD 115.36 TWD 145.54 TWD 74
All 25 models by family
DCF Models
FCF DCF 162.64 TWD 229.27 TWD 322.57 TWD 38
Owner Earnings 159.96 TWD 225.47 TWD 317.21 TWD 31
5Y Revenue Exit 87.73 TWD 112.39 TWD 140.94 TWD 39
5Y EBITDA Exit 153.28 TWD 227.38 TWD 308.71 TWD 41
5Y P/E Exit 164.61 TWD 247.27 TWD 328.22 TWD 38
10Y Revenue Exit 113.35 TWD 140.18 TWD 170.16 TWD 36
10Y EBITDA Exit 155.37 TWD 217.35 TWD 290.91 TWD 37
10Y P/E Exit 162.42 TWD 230.70 TWD 304.95 TWD 35
Earnings-Based
Graham-Dodd 77.31 TWD 165.65 TWD 210.36 TWD 54
PEG = 1.0 25.47 TWD 36.38 TWD 47.30 TWD 46
EPV 103.51 TWD 120.38 TWD 135.15 TWD 59
Dividend Discount
Gordon GGM 131.86 TWD 203.02 TWD 280.12 TWD 70
DDM Multi-Stage 131.86 TWD 189.51 TWD 254.90 TWD 61
Multiples
P/E Multiple 187.60 TWD 250.14 TWD 312.67 TWD 63
P/S Multiple 48.27 TWD 64.36 TWD 80.45 TWD 58
P/B Multiple 97.49 TWD 129.98 TWD 162.48 TWD 55
EV/EBIT 183.39 TWD 243.77 TWD 304.15 TWD 53
EV/EBITDA 169.30 TWD 224.99 TWD 280.67 TWD 54
EV/Revenue 47.30 TWD 66.61 TWD 85.92 TWD 43
Asset-Based
NCAV (Graham) 16.25 TWD 21.77 TWD 32.50 TWD 50
Growth DCF
Growth DCF 167.84 TWD 230.69 TWD 315.39 TWD 80
Rev-Margin DCF 87.73 TWD 115.36 TWD 145.54 TWD 74
Economic Profit
Residual Income 65.43 TWD 77.64 TWD 260.95 TWD 76
ROIC Compounder 106.48 TWD 127.58 TWD 148.74 TWD 72
Growth Earnings
Growth-Adj P/E 138.05 TWD 197.22 TWD 256.38 TWD 68

Widest divergence: DCF Models (225.47 TWD) versus Asset-Based (21.77 TWD). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) 6.9B TWD
Revenue growth (YoY) +4.9%
Net margin 25.8%
Return on equity 49.6%
Free cash flow 1.9B TWD FY2025
P/E ratio 15.8
More key figures
Operating margin 28.9%
EPS (TTM) 11.36 TWD
Dividend yield 6.0%
EPS growth (YoY) +81.0%
Net debt 3.1B TWD FY2025

Figures from reported company fundamentals · as of Jul 21, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 83/100

Of which business quality 78 · Market factors (momentum, volatility) 59

Profitability 71
Margins and returns on capital today
Quality Growth 56
Are margins and returns improving?
Cashflow 90
Earnings quality: real cash, not paper profit
Fin. Strength 73
Balance sheet, leverage, solvency risk
Investment 99
Disciplined investing over empire-building
Low Volatility 100
Calm price path (market factor)
Momentum 42
Price trend over the last 3–12 months (market factor)
52W Momentum 40
Distance to the 52-week high (market factor)
Net Issuance 87
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

Formosa International Hotels Corporation, together with its subsidiaries, engages in the operation and management of hotels in Taiwan and internationally. It operates through four segments: Catering, Room, Technical Services and Management, and Leasing.

Full company description

Formosa International Hotels Corporation, together with its subsidiaries, engages in the operation and management of hotels in Taiwan and internationally. It operates through four segments: Catering, Room, Technical Services and Management, and Leasing. The company is involved in the operation of hotels under the Regent Taipei, Silks Place, Wellspring by Silks, Just Sleep, and Silks Club brand names; restaurants under the Silks Palace, Spice Market, Mihan Beitou, Bando Club, and Garden Villa brand names; and apartments under the Shin Kong Jasper Villa Xinyi brand name. It also engages in the provision of management consulting for hotel and tourism/recreation businesses; general investment activities; real estate management services; and trademark registration and cruise ship trademark businesses. The company was founded in 1990 and is headquartered in Taipei, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Formosa International Hotels Corporation reported revenue of 6.8B TWD in FY2025 versus 4.9B TWD in FY2021, a compound +8.5%/yr. Reported net income was 1.4B TWD in FY2025, compounding −9.7%/yr from FY2021.

Growth Quality 78/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
6.8B TWD
Latest YoY
+8.5%
Avg. growth/yr (3Y)
+6.9%
Avg. growth/yr (5Y)
+4.7%
Avg. growth/yr (25Y)
+3.6%
Revenue +8.5%/yr
FY21 4.9B TWD
FY22 5.6B TWD
FY23 6.8B TWD
FY24 6.3B TWD
FY25 6.8B TWD
Net income −9.7%/yr
FY21 2.2B TWD
FY22 903M TWD
FY23 1.4B TWD
FY24 1.3B TWD
FY25 1.4B TWD

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Cite: Fair Value Calculator (2026). "Formosa International Hotels Corporation Fair Value". https://www.fairvalue-calculator.com/stock/2707

Peer Group

Lodging · 170 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 83 · Top 25%
Fair Value upside +11% · Top 25%
Return on equity (TTM) 50% · Top 25%
Return on assets 10% · Top 25%
Net margin (TTM) 26% · Top 25%
Operating margin (TTM) 29% · Top 25%
Revenue growth 5% · Above median
Dividend yield (TTM) 6.0% · Top 25%

Valuation Multiples vs Lodging median · lower = cheaper

P/E (TTM) 15.8× · Cheaper than median
P/B 5.52× · Pricier than 75% of peers
P/S (TTM) 3.30× · Pricier than median
P/FCF 0.4× · Cheaper than median
EV/EBITDA 10.8× · Cheaper than median
PEG 0.85× · Cheaper 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 48 · sector 1
FUTURE 25 · sector 18
PAST 100 · sector 11
HEALTH 100 · sector 91
DIVIDEND 100 · sector 23

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 Lodging stocks, each showing price versus our Fair Value estimate (as of Jul 21, 2026).

Stock Price Fair Value vs Fair Value
Marriott International, Inc MAR $369.05 $135.64 -63%
Hilton Worldwide Holdings HLT $328.48 $123.67 -62%
InterContinental Hotels Group IHG $159.87 $85.18 -47%
Hyatt Hotels Corporation H $191.00 $47.69 -75%
H World Group HTHT $42.67 $47.55 +11%
Accor SA AC €47.25 €39.26 -17%
The Indian Hotels Company INDHOTEL ₹743.20 ₹260.68 -65%
Wyndham Hotels & Resorts, Inc WH $78.54 $24.02 -69%
Hanjin Kal, 180640 113,500 KRW 36,890 KRW -67%
Jabal Omar Development Company 4250 16.00 SAR 11.64 SAR -27%

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Frequently asked questions

Is Formosa International Hotels Corporation (2707) overvalued or undervalued?
As of Jul 21, 2026, our model estimates a fair value of 198.71 TWD versus a price of 179.50 TWD, about +11% (undervalued).
What is the fair value of 2707?
Our model-based fair value for Formosa International Hotels Corporation is 198.71 TWD (as of Jul 21, 2026), built from audited fundamentals. The current price is 179.50 TWD.
What is the quality score of 2707?
Formosa International Hotels Corporation has a Quality Score of 83/100. 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 Formosa International Hotels Corporation (2707)?
Formosa International Hotels Corporation reported trailing-twelve-month revenue of about 6.9B TWD (latest available figure, as of Jul 21, 2026).
What is the net profit margin of 2707?
The net profit margin of Formosa International Hotels Corporation is about 25.8%, meaning it keeps roughly 25.8% of revenue as net income. Based on the latest reported figures.
Does Formosa International Hotels Corporation pay a dividend?
Formosa International Hotels Corporation currently shows a dividend yield of about 5.99% relative to its recent price (as of Jul 21, 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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