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Mercuries Life Insurance Company (2867) Fair Value & Analysis

Financial Services · TW · Market cap 54.5B TWD

ML Mercuries Life Insurance Company 2867 · TW
Price9.81 TWD
Fair Value2.21 TWD
Upside-77.5%
Quality29/100
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Weak Growth
Thin margins · 1.0% net margin
Low debt · generates free cash flow
Mixed vs. peers (6/12)
Narrow moat 28/100
Evidence: High Range 1.66 TWD – 2.76 TWD Share as image

Fair value as of: Jul 21, 2026

From 6 valuation models · updated 20 days ago

Share price +10.7% over the past month.

Below-average quality, and screening another 77% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (2.76 TWD). The favourable scenario is already priced in.
  • Weak quality (29/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (5 years)

10.70 TWD 4.80 TWD Fair Value 2.21 TWD Mar 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 4.80 TWD – 10.70 TWD · fair‑value band 1.66 TWD – 2.76 TWD · the 9.81 TWD price screens above the 2.21 TWD fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 21, 2026.

Full chart & analysis →

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Analysis

Mercuries Life Insurance Company (2867) currently trades at 9.81 TWD, while our model-based Fair Value estimate is 2.21 TWD, implying the stock looks roughly 77.5% overvalued today. The Quality Score stands at 29/100 (below-average quality), in the Financial Services 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, Mercuries Life Insurance Company generated revenue of 124B TWD at a net margin of 1.0%. Revenue grew 63.2% year over year. It earns a return on equity of 2.9%. The balance sheet holds a net cash position of 6.5B TWD. Fundamentals as of Jul 21, 2026

Our scenario range runs from 1.66 TWD (bear case) to 2.76 TWD (bull case); at 9.81 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 104% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 1% fair-value upside, at -77%, 2867 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
Residual Income 9.09 TWD 8.55 TWD 6.50 TWD 76
Gordon GGM 0.6300 TWD 0.9600 TWD 1.30 TWD 70
P/E Multiple 1.95 TWD 2.60 TWD 3.25 TWD 63
All 6 models by family
Dividend Discount
Gordon GGM 0.6300 TWD 0.9600 TWD 1.30 TWD 70
DDM Multi-Stage 0.6300 TWD 0.9000 TWD 1.21 TWD 61
Multiples
P/E Multiple 1.95 TWD 2.60 TWD 3.25 TWD 63
P/B Multiple 2.55 TWD 3.39 TWD 4.24 TWD 55
Asset-Based
NCAV (Graham) 6.55 TWD 8.78 TWD 13.10 TWD 50
Economic Profit
Residual Income 9.09 TWD 8.55 TWD 6.50 TWD 76

Widest divergence: Asset-Based (8.78 TWD) versus Dividend Discount (0.9000 TWD). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 124B TWD
Revenue growth (YoY) +63.2%
Net margin 1.0%
Return on equity 2.9%
Free cash flow 10.1B TWD FY2025
P/E ratio 41.2
More key figures
Operating margin -37.7%
EPS (TTM) 0.2000 TWD
EPS growth (YoY) -95.0%
Net cash 6.5B TWD FY2025

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

Quality Score breakdown

Overall quality 29/100

Of which business quality 29 · Market factors (momentum, volatility) 89

Profitability 12
Margins and returns on capital today
Quality Growth 31
Are margins and returns improving?
Cashflow 71
Earnings quality: real cash, not paper profit
Fin. Strength 7
Balance sheet, leverage, solvency risk
Investment 59
Disciplined investing over empire-building
Low Volatility 86
Calm price path (market factor)
Momentum 85
Price trend over the last 3–12 months (market factor)
52W Momentum 100
Distance to the 52-week high (market factor)
Net Issuance 0
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

Mercuries Life Insurance Company Ltd. provides life insurance products in Taiwan. The company offers health, life, accident, annuities, group, universal, and investment insurance products.

Full company description

Mercuries Life Insurance Company Ltd. provides life insurance products in Taiwan. The company offers health, life, accident, annuities, group, universal, and investment insurance products. It also provides term life, whole life, and pension insurance; immediate and deferred annuity; health, hospitalization, cancer or critical illness, and long-term care and disability insurance, and premium waiver/other; injury, accident, and travel insurance; investment; group; and others insurances. Mercuries Life Insurance Company Ltd. was incorporated in 1993 and is based in Taipei, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Mercuries Life Insurance Company reported revenue of 117B TWD in FY2025 versus 143B TWD in FY2021, a compound −4.8%/yr. Reported net income was 1.2B TWD in FY2025, compounding +1.9%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
117B TWD
Latest YoY
−14.4%
Avg. growth/yr (3Y)
+2.3%
Avg. growth/yr (5Y)
−5.7%
Avg. growth/yr (18Y)
+7.8%
Revenue −4.8%/yr
FY21 143B TWD
FY22 109B TWD
FY23 123B TWD
FY24 137B TWD
FY25 117B TWD
Net income +1.9%/yr
FY21 1.1B TWD
FY22 −13.7B TWD
FY23 −9.5B TWD
FY24 2.2B TWD
FY25 1.2B TWD

2867 screens 77% overvalued. Compare with China Life Insurance Company →

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Cite: Fair Value Calculator (2026). "Mercuries Life Insurance Company Fair Value". https://www.fairvalue-calculator.com/stock/2867

Peer Group

Insurance - Life · 95 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 28 · Bottom 25%
Fair Value upside −78% · Bottom 25%
Return on equity (TTM) 2% · Bottom 25%
Return on assets 2% · Top 25%
Net margin (TTM) 1% · Bottom 25%
Revenue growth 25% · Above median
Debt / equity 0.37× · Higher than median

Valuation Multiples vs Insurance - Life median · lower = cheaper

P/E (TTM) 46.2× · Pricier than 75% of peers
P/B 0.70× · Cheaper than median
P/S (TTM) 0.44× · Cheaper than 75% of peers
P/FCF 0.2× · Cheaper than median
EV/EBITDA 0.9× · 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 0 · sector 32
FUTURE 100 · sector 44
PAST 8 · sector 43
HEALTH 82 · sector 86
DIVIDEND 0 · sector 55

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

Stock Price Fair Value vs Fair Value
China Life Insurance Company 601628 ¥38.72 ¥70.87 +83%
Ping An Insurance (Group) Company 601318 ¥49.60 ¥96.76 +95%
AIA Group 1299 HK$75.55 HK$7.88 -90%
Manulife Financial Corporation MFC C$58.52 C$45.13 -23%
Great-West Lifeco Inc GWO C$92.34 C$59.64 -35%
Life Insurance Corporation LICI ₹438.30 ₹590.43 +35%
Fubon Financial Holding 2881 124.50 TWD 115.05 TWD -8%
Cathay Financial Holding 2882 94.00 TWD 94.95 TWD +1%
Samsung Life Insurance Co 032830 337,500 KRW 166,710 KRW -51%
China Pacific Insurance (Group) Co 601601 ¥29.75 ¥59.50 +100%

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Frequently asked questions

Is Mercuries Life Insurance Company (2867) overvalued or undervalued?
As of Jul 21, 2026, our model estimates a fair value of 2.21 TWD versus a price of 9.81 TWD, about −77% (overvalued).
What is the fair value of 2867?
Our model-based fair value for Mercuries Life Insurance Company is 2.21 TWD (as of Jul 21, 2026), built from audited fundamentals. The current price is 9.81 TWD.
What is the quality score of 2867?
Mercuries Life Insurance Company has a Quality Score of 29/100. 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 Mercuries Life Insurance Company (2867)?
Mercuries Life Insurance Company reported trailing-twelve-month revenue of about 124B TWD (latest available figure, as of Jul 21, 2026).
What is the net profit margin of 2867?
The net profit margin of Mercuries Life Insurance Company is about 1.0%, meaning it keeps roughly 1.0% of revenue as net income. Based on the latest reported figures.

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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