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Mercuries & Associates Holding (2905) Fair Value & Analysis

Financial Services · TW · Market cap 16.2B TWD

MA Mercuries & Associates Holding 2905 · TW
Price16.40 TWD
Fair Value9.32 TWD
Upside-43.2%
Quality37/100
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Weak Growth
Thin margins · 0.5% net margin
Moderate debt · generates free cash flow
Trails peers (4/13)
Narrow moat 25/100
Evidence: High Range 6.99 TWD – 11.65 TWD Share as image

Fair value as of: Jul 21, 2026

From 6 valuation models · updated 20 days ago

Share price +6.8% over the past month.

Below-average quality, and screening another 43% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (11.65 TWD). The favourable scenario is already priced in.
  • Weak quality (37/100) 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)

24.49 TWD 10.80 TWD Fair Value 9.32 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 10.80 TWD – 24.49 TWD · fair‑value band 6.99 TWD – 11.65 TWD · the 16.40 TWD price screens above the 9.32 TWD fair value. Dashed = 300-day average. As of Jul 21, 2026.

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Analysis

Mercuries & Associates Holding (2905) currently trades at 16.40 TWD, while our model-based Fair Value estimate is 9.32 TWD, implying the stock looks roughly 43.2% overvalued today. The Quality Score stands at 37/100 (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 & Associates Holding generated revenue of 159B TWD at a net margin of 0.5%. Revenue declined 69.1% year over year. It earns a return on equity of 2.8%. The balance sheet holds a net cash position of 34.9B TWD. Fundamentals as of Jul 21, 2026

Our scenario range runs from 6.99 TWD (bear case) to 11.65 TWD (bull case); at 16.40 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 5% below its 52-week high and 38% 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 -43%, 2905 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 34.89 TWD 33.24 TWD 25.28 TWD 76
Gordon GGM 5.73 TWD 11.91 TWD 18.90 TWD 70
P/E Multiple 6.99 TWD 9.32 TWD 11.65 TWD 63
All 6 models by family
Dividend Discount
Gordon GGM 5.73 TWD 11.91 TWD 18.90 TWD 70
DDM Multi-Stage 5.73 TWD 10.04 TWD 12.50 TWD 61
Multiples
P/E Multiple 6.99 TWD 9.32 TWD 11.65 TWD 63
P/B Multiple 9.14 TWD 12.19 TWD 15.23 TWD 55
Asset-Based
NCAV (Graham) 25.03 TWD 33.54 TWD 50.06 TWD 50
Economic Profit
Residual Income 34.89 TWD 33.24 TWD 25.28 TWD 76

Widest divergence: Asset-Based (33.54 TWD) versus Multiples (9.32 TWD). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 159B TWD
Revenue growth (YoY) -6.7%
Net margin 0.5%
Return on equity 2.8%
Free cash flow 11.2B TWD FY2025
P/E ratio 21.4
More key figures
Operating margin -30.8%
EPS (TTM) 0.7200 TWD
EPS growth (YoY) -73.9%
Net cash 34.9B TWD FY2025

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

Quality Score breakdown

Overall quality 37/100

Of which business quality 37 · Market factors (momentum, volatility) 73

Profitability 12
Margins and returns on capital today
Quality Growth 30
Are margins and returns improving?
Cashflow 66
Earnings quality: real cash, not paper profit
Fin. Strength 16
Balance sheet, leverage, solvency risk
Investment 59
Disciplined investing over empire-building
Low Volatility 86
Calm price path (market factor)
Momentum 62
Price trend over the last 3–12 months (market factor)
52W Momentum 78
Distance to the 52-week high (market factor)
Net Issuance 50
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 & Associates Holding, Ltd., an investment holding company, engages in the life insurance, consumer goods and catering retail, pharmaceuticals, and information services businesses.

Full company description

Mercuries & Associates Holding, Ltd., an investment holding company, engages in the life insurance, consumer goods and catering retail, pharmaceuticals, and information services businesses. It offers personal insurance business, footwear, shoes, and accessories, backpacks and cloths, computer machine, raw materials, processing of active pharmaceutical ingredients (APIs) and intermediate, videotape import and manufacturing agency, rental and sale of various machinery and equipment, furniture chain stores and interior decoration, beverage, cigar and cigarette, as well as tobacco and alcohol. The company also offers beef noodles, other types of rice and noodles, pizza and fried chicken restaurant chain business, sells tobacco and alcohol, leisure and entertainment business, consultation, pharmacy and cosmetics, chemical solvent purification, information software, biotechnology services, solar power plants and residential development and building rental industry, and pet retail industry. The company was formerly known as Mercuries & Associates, Ltd. and changed its name to Mercuries & Associates Holding, Ltd. in January 2015. Mercuries & Associates Holding, Ltd. was founded in 1964 and is headquartered in Taipei, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Mercuries & Associates Holding reported revenue of 156B TWD in FY2025 versus 166B TWD in FY2021, a compound −1.5%/yr. Reported net income was 755M TWD in FY2025, compounding −20.5%/yr from FY2021.

Growth Quality 33/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
156B TWD
Latest YoY
−4.4%
Avg. growth/yr (3Y)
+2.0%
Avg. growth/yr (5Y)
−2.8%
Avg. growth/yr (25Y)
+15.2%
Revenue −1.5%/yr
FY21 166B TWD
FY22 148B TWD
FY23 160B TWD
FY24 164B TWD
FY25 156B TWD
Net income −20.5%/yr
FY21 1.9B TWD
FY22 −5.1B TWD
FY23 −2.9B TWD
FY24 1.5B TWD
FY25 755M TWD

2905 screens 43% overvalued. Compare with China Life Insurance Company →

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Cite: Fair Value Calculator (2026). "Mercuries & Associates Holding Fair Value". https://www.fairvalue-calculator.com/stock/2905

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 36 · Bottom 25%
Fair Value upside −43% · Bottom 25%
Return on equity (TTM) 3% · Bottom 25%
Return on assets 2% · Top 25%
Net margin (TTM) 1% · Bottom 25%
Operating margin (TTM) -31% · Bottom 25%
Revenue growth -7% · Bottom 25%
Dividend yield (TTM) 0.0% · Bottom 25%
Debt / equity 0.72× · Higher than 75% of peers

Valuation Multiples vs Insurance - Life median · lower = cheaper

P/E (TTM) 21.4× · Pricier than 75% of peers
P/B 0.31× · Cheaper than 75% of peers
P/S (TTM) 0.10× · Cheaper than 75% of peers
P/FCF 0.0× · 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 0 · sector 44
PAST 11 · sector 43
HEALTH 64 · 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 & Associates Holding (2905) overvalued or undervalued?
As of Jul 21, 2026, our model estimates a fair value of 9.32 TWD versus a price of 16.40 TWD, about −43% (overvalued).
What is the fair value of 2905?
Our model-based fair value for Mercuries & Associates Holding is 9.32 TWD (as of Jul 21, 2026), built from audited fundamentals. The current price is 16.40 TWD.
What is the quality score of 2905?
Mercuries & Associates Holding has a Quality Score of 37/100. 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 & Associates Holding (2905)?
Mercuries & Associates Holding reported trailing-twelve-month revenue of about 159B TWD (latest available figure, as of Jul 21, 2026).
What is the net profit margin of 2905?
The net profit margin of Mercuries & Associates Holding is about 0.5%, meaning it keeps roughly 0.5% 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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