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Mechema Chemicals International Corp (4721) Fair Value & Analysis

Basic Materials · TW · Market cap 5.5B TWD

MC Mechema Chemicals International Corp 4721 · TWO
Price73.70 TWD
Fair Value47.48 TWD
Upside-35.6%
Quality68/100
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Mixed Growth
Solidly profitable · 10.5% net margin
Low debt · generates free cash flow
3.23% dividend yield
Ranks above peers (10/14)
Wide moat 65/100
Evidence: High Range 30.20 TWD – 63.97 TWD Share as image

Fair value as of: Jul 21, 2026

From 26 valuation models · updated 20 days ago

Fair value updated Jul 21, 2026, revised from 47.53 TWD to 47.48 TWD (−0.1%) since Jul 11, 2026. Share price −8.9% over the past month.

A solid business, but screening 36% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (63.97 TWD). The favourable scenario is already priced in.
  • Solid but not exceptional quality (68/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (30.20 TWD to 63.97 TWD) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

163.48 TWD 44.25 TWD Fair Value 47.48 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 44.25 TWD – 163.48 TWD · fair‑value band 30.20 TWD – 63.97 TWD · the 73.70 TWD price screens above the 47.48 TWD fair value. Dashed = 300-day average. As of Jul 21, 2026.

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Analysis

Mechema Chemicals International Corp (4721) currently trades at 73.70 TWD, while our model-based Fair Value estimate is 47.48 TWD, implying the stock looks roughly 35.6% overvalued today. The Quality Score stands at 68/100 (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, Mechema Chemicals International Corp generated revenue of 2.8B TWD at a net margin of 10.5%. Revenue grew 59.1% year over year. It earns a return on equity of 21.9%. Net debt stands at 203M TWD. Fundamentals as of Jul 21, 2026

Our scenario range runs from 30.20 TWD (bear case) to 63.97 TWD (bull case); at 73.70 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 27% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -58% fair-value upside, at -36%, 4721 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 Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF 22.86 TWD 31.09 TWD 42.64 TWD 80
Residual Income 18.92 TWD 23.18 TWD 45.30 TWD 76
Rev-Margin DCF 33.90 TWD 54.18 TWD 78.00 TWD 74
All 26 models by family
DCF Models
FCF DCF 22.72 TWD 32.25 TWD 46.63 TWD 38
Owner Earnings 36.71 TWD 54.27 TWD 80.75 TWD 31
5Y Revenue Exit 33.90 TWD 54.63 TWD 81.79 TWD 39
5Y EBITDA Exit 32.54 TWD 52.02 TWD 75.25 TWD 41
5Y P/E Exit 34.14 TWD 55.08 TWD 77.60 TWD 38
10Y Revenue Exit 28.52 TWD 46.26 TWD 71.36 TWD 36
10Y EBITDA Exit 28.72 TWD 44.48 TWD 66.38 TWD 37
10Y P/E Exit 29.72 TWD 46.58 TWD 68.17 TWD 35
Earnings-Based
Graham-Dodd 20.47 TWD 70.46 TWD 94.61 TWD 54
Lynch FV 16.27 TWD 23.24 TWD 30.21 TWD 50
PEG = 1.0 16.27 TWD 23.24 TWD 30.21 TWD 46
EPV 38.97 TWD 44.16 TWD 48.64 TWD 59
Dividend Discount
Gordon GGM 20.73 TWD 41.30 TWD 62.54 TWD 70
DDM Multi-Stage 20.73 TWD 35.29 TWD 43.60 TWD 61
Multiples
P/E Multiple 38.38 TWD 51.17 TWD 63.97 TWD 63
P/S Multiple 37.97 TWD 50.62 TWD 63.28 TWD 58
P/B Multiple 38.38 TWD 51.17 TWD 63.97 TWD 55
EV/EBIT 48.28 TWD 62.35 TWD 76.41 TWD 53
EV/EBITDA 41.70 TWD 53.57 TWD 65.44 TWD 54
EV/Revenue 41.53 TWD 56.72 TWD 71.90 TWD 43
Asset-Based
NCAV (Graham) 9.04 TWD 12.12 TWD 18.08 TWD 50
Growth DCF
Growth DCF 22.86 TWD 31.09 TWD 42.64 TWD 80
Rev-Margin DCF 33.90 TWD 54.18 TWD 78.00 TWD 74
Economic Profit
Residual Income 18.92 TWD 23.18 TWD 45.30 TWD 76
ROIC Compounder 41.39 TWD 50.05 TWD 59.72 TWD 72
Growth Earnings
Growth-Adj P/E 33.83 TWD 48.32 TWD 62.82 TWD 68

Widest divergence: Multiples (51.17 TWD) versus Asset-Based (12.12 TWD). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) 2.8B TWD
Revenue growth (YoY) +59.1%
Net margin 10.5%
Return on equity 21.9%
Free cash flow 112M TWD FY2025
P/E ratio 30.6
More key figures
Operating margin 20.1%
EPS (TTM) 3.01 TWD
Dividend yield 2.5%
EPS growth (YoY) +124%
Net debt 203M TWD FY2025

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

Quality Score breakdown

Overall quality 68/100

Of which business quality 64 · Market factors (momentum, volatility) 42

Profitability 59
Margins and returns on capital today
Quality Growth 40
Are margins and returns improving?
Cashflow 33
Earnings quality: real cash, not paper profit
Fin. Strength 88
Balance sheet, leverage, solvency risk
Investment 98
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 44
Price trend over the last 3–12 months (market factor)
52W Momentum 31
Distance to the 52-week high (market factor)
Net Issuance 82
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

Mechema Chemicals International Corp. manufactures, imports, exports, and trades cobalt acetate, manganese acetate, cobalt compounds, and manganese compounds, as well as engages in the trading, import, and export of cobalt metal and manganese metal in Taiwan, China, South Korea, Thailand, Malaysia, Indonesia, Japan, and internationally.

Full company description

Mechema Chemicals International Corp. manufactures, imports, exports, and trades cobalt acetate, manganese acetate, cobalt compounds, and manganese compounds, as well as engages in the trading, import, and export of cobalt metal and manganese metal in Taiwan, China, South Korea, Thailand, Malaysia, Indonesia, Japan, and internationally. It offers battery cathode and catalyst materials. The company provides sulfate, acetate, and bromide solution molecular cobalt related products; sulfate, chloride, carbonate, and acetate nickel; and black and green nickel oxide products. In addition, it offers CTA waste catalyst recovery and PTA mother liquor systems. Mechema Chemicals International Corp. was founded in 1981 and is based in Taoyuan City, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Mechema Chemicals International Corp reported revenue of 2.5B TWD in FY2025 versus 4.1B TWD in FY2021, a compound −11.5%/yr. Reported net income was 226M TWD in FY2025, compounding −11.1%/yr from FY2021.

Growth Quality 59/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
2.5B TWD
Latest YoY
+19.3%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−21.7%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+2.5%
Avg. growth/yr (16Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+3.3%
Revenue −11.5%/yr
FY21 4.1B TWD
FY22 5.3B TWD
FY23 2.3B TWD
FY24 2.1B TWD
FY25 2.5B TWD
Net income −11.1%/yr
FY21 361M TWD
FY22 381M TWD
FY23 −24.5M TWD
FY24 252M TWD
FY25 226M TWD
Character of growth · EPS growth decomposed (2012-2023) +18.8 % p.a.
Revenue per share +8.7 pp

of which total revenue +8.7 pp · buybacks/dilution +0.0 pp

EBIT margin +16.2 pp
Tax rate −0.5 pp
Residual (interest, one-offs) −5.6 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

4721 screens 36% overvalued. Compare with Linde plc →

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Cite: Fair Value Calculator (2026). "Mechema Chemicals International Corp Fair Value". https://www.fairvalue-calculator.com/stock/4721

Peer Group

Specialty Chemicals · 673 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 68 · Top 25%
Fair Value upside −36% · Below median
Return on equity (TTM) 22% · Top 25%
Return on assets 10% · Top 25%
Net margin (TTM) 10% · Top 25%
Operating margin (TTM) 20% · Top 25%
Revenue growth 59% · Top 25%
Dividend yield (TTM) 3.2% · Top 25%

Valuation Multiples vs Specialty Chemicals median · lower = cheaper

P/E (TTM) 24.3× · Cheaper than median
P/B 4.04× · Pricier than 75% of peers
P/S (TTM) 1.95× · Pricier than median
P/FCF 1.5× · Cheaper than median
EV/EBITDA 11.4× · 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 100 · sector 19
PAST 87 · sector 23
HEALTH 100 · sector 95
DIVIDEND 65 · 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.

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Linde India Limited LINDEINDIA ₹7,115 ₹757.93 -89%
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Frequently asked questions

Is Mechema Chemicals International Corp (4721) overvalued or undervalued?
As of Jul 21, 2026, our model estimates a fair value of 47.48 TWD versus a price of 73.70 TWD, about −36% (overvalued).
What is the fair value of 4721?
Our model-based fair value for Mechema Chemicals International Corp is 47.48 TWD (as of Jul 21, 2026), built from audited fundamentals. The current price is 73.70 TWD.
What is the quality score of 4721?
Mechema Chemicals International Corp has a Quality Score of 68/100. 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 Mechema Chemicals International Corp (4721)?
Mechema Chemicals International Corp reported trailing-twelve-month revenue of about 2.8B TWD (latest available figure, as of Jul 21, 2026).
What is the net profit margin of 4721?
The net profit margin of Mechema Chemicals International Corp is about 10.5%, meaning it keeps roughly 10.5% of revenue as net income. Based on the latest reported figures.
Does Mechema Chemicals International Corp pay a dividend?
Mechema Chemicals International Corp currently shows a dividend yield of about 2.51% 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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