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APAC Opto Electronics Inc (4908) Fair Value & Analysis

Technology · TW · Market cap 11.3B TWD

AO APAC Opto Electronics Inc 4908 · TWO
Price143.50 TWD
Fair Value32.33 TWD
Upside-77.5%
Quality72/100
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Weak Growth
Solidly profitable · 17.8% net margin
generates free cash flow
0.69% dividend yield
Mixed vs. peers (7/13)
Moderate moat 63/100
Evidence: High Range 22.77 TWD – 43.35 TWD Share as image

Fair value as of: Jul 23, 2026

From 24 valuation models · updated 17 days ago

Fair value updated Jul 23, 2026, revised from 32.60 TWD to 32.33 TWD (−0.8%) since Jul 11, 2026. Share price −15.6% over the past month.

A solid business, but screening 77% overvalued on our models.

What matters now

  • A high-quality business (quality 72/100), yet the market already pays well above fair value. Quality at a full price, with little margin of safety.
  • The price sits above even our optimistic bull case (43.35 TWD). The favourable scenario is already priced in.
  • A fairly wide model range (22.77 TWD to 43.35 TWD) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

293.50 TWD 23.39 TWD Fair Value 32.33 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 23.39 TWD – 293.50 TWD · fair‑value band 22.77 TWD – 43.35 TWD · the 143.50 TWD price screens above the 32.33 TWD fair value. Dashed = 300-day average. As of Jul 23, 2026.

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Analysis

APAC Opto Electronics Inc (4908) currently trades at 143.50 TWD, while our model-based Fair Value estimate is 32.33 TWD, implying the stock looks roughly 77.5% overvalued today. The Quality Score stands at 72/100 (solid quality), in the Technology 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, APAC Opto Electronics Inc generated revenue of 868M TWD at a net margin of 17.8%. Revenue grew 25.0% year over year. It earns a return on equity of 8.7%. The balance sheet holds a net cash position of 113M TWD. Fundamentals as of Jul 23, 2026

Our scenario range runs from 22.77 TWD (bear case) to 43.35 TWD (bull case); at 143.50 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 54% below its 52-week high and 109% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -61% fair-value upside, at -77%, 4908 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 19.05 TWD 20.77 TWD 25.89 TWD 76
Growth DCF 24.33 TWD 32.92 TWD 47.62 TWD 72
Gordon GGM 16.07 TWD 17.59 TWD 19.90 TWD 70
All 24 models by family
DCF Models
FCF DCF 23.28 TWD 32.13 TWD 48.53 TWD 38
Owner Earnings 19.35 TWD 26.67 TWD 40.21 TWD 31
5Y Revenue Exit 19.68 TWD 27.80 TWD 39.58 TWD 39
5Y EBITDA Exit 22.64 TWD 32.91 TWD 46.52 TWD 41
5Y P/E Exit 25.00 TWD 37.00 TWD 51.34 TWD 38
10Y Revenue Exit 20.44 TWD 26.62 TWD 33.18 TWD 36
10Y EBITDA Exit 22.71 TWD 29.78 TWD 37.26 TWD 37
10Y P/E Exit 24.15 TWD 32.31 TWD 40.09 TWD 35
Earnings-Based
Graham-Dodd 13.43 TWD 16.42 TWD 18.47 TWD 54
EPV 17.73 TWD 20.56 TWD 23.04 TWD 59
Dividend Discount
Gordon GGM 16.07 TWD 17.59 TWD 19.90 TWD 70
DDM Multi-Stage 16.07 TWD 20.16 TWD 25.90 TWD 61
Multiples
P/E Multiple 29.64 TWD 39.51 TWD 49.39 TWD 63
P/S Multiple 19.53 TWD 26.04 TWD 32.55 TWD 58
P/B Multiple 25.19 TWD 33.59 TWD 41.98 TWD 55
EV/EBIT 30.89 TWD 40.94 TWD 51.00 TWD 53
EV/EBITDA 25.87 TWD 34.24 TWD 42.62 TWD 54
EV/Revenue 18.95 TWD 26.76 TWD 34.58 TWD 43
Asset-Based
NCAV (Graham) 11.04 TWD 14.79 TWD 22.08 TWD 50
Growth DCF
Growth DCF 24.33 TWD 32.92 TWD 47.62 TWD 72
Rev-Margin DCF 19.68 TWD 28.33 TWD 38.99 TWD 67
Economic Profit
Residual Income 19.05 TWD 20.77 TWD 25.89 TWD 76
ROIC Compounder 17.73 TWD 20.56 TWD 23.37 TWD 67
Growth Earnings
Growth-Adj P/E 20.97 TWD 29.95 TWD 38.94 TWD 68

Widest divergence: Multiples (33.59 TWD) versus Asset-Based (14.79 TWD). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) 868M TWD
Revenue growth (YoY) +25.0%
Net margin 17.8%
Return on equity 8.7%
Free cash flow 182M TWD FY2025
P/E ratio 73.1
More key figures
Operating margin 24.7%
EPS (TTM) 1.97 TWD
Dividend yield 0.7%
Net cash 113M TWD FY2023

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

Quality Score breakdown

Overall quality 72/100

Of which business quality 70 · Market factors (momentum, volatility) 58

Profitability 47
Margins and returns on capital today
Quality Growth 34
Are margins and returns improving?
Cashflow 81
Earnings quality: real cash, not paper profit
Fin. Strength 82
Balance sheet, leverage, solvency risk
Investment 95
Disciplined investing over empire-building
Low Volatility 32
Calm price path (market factor)
Momentum 72
Price trend over the last 3–12 months (market factor)
52W Momentum 65
Distance to the 52-week high (market factor)
Net Issuance 84
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

APAC Opto Electronics Inc. manufactures and sells fiber optical transmission components for local area networks, wide area networks, storage networks, metropolitan area networks, and access networks in Taiwan and internationally.

Full company description

APAC Opto Electronics Inc. manufactures and sells fiber optical transmission components for local area networks, wide area networks, storage networks, metropolitan area networks, and access networks in Taiwan and internationally. It also offers optical transceivers; copper transceivers; digital video transceivers; external laser source for optical engine; direct attach cables; optical extenders, such as display port, DVI, and USB extenders; and active optical cables. The company also provides OSA/FTTX and OSA/TOSA/FP LD cables; and TO-CAN OEM, an assembly and testing service for TO-CAN type packages that include die bond, wire bond, and cap sealing process. In addition, it supplies a range of optical communication components, including O/E transceivers, sub modules, and ethernet products. The company serves manufacturers of communications for Internet service providers and telecommunications operating companies. The company was founded in 1998 and is headquartered in Hsinchu City, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

APAC Opto Electronics Inc reported revenue of 815M TWD in FY2025 versus 779M TWD in FY2021, a compound +1.1%/yr. Reported net income was 155M TWD in FY2025, compounding +1.6%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
815M TWD
Latest YoY
−13.0%
Avg. growth/yr (3Y)
−2.7%
Avg. growth/yr (5Y)
+1.9%
Avg. growth/yr (9Y)
−2.1%
Revenue +1.1%/yr
FY21 779M TWD
FY22 885M TWD
FY23 941M TWD
FY24 936M TWD
FY25 815M TWD
Net income +1.6%/yr
FY21 145M TWD
FY22 261M TWD
FY23 205M TWD
FY24 220M TWD
FY25 155M TWD

4908 screens 77% overvalued. Compare with Cisco Systems, Inc →

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Cite: Fair Value Calculator (2026). "APAC Opto Electronics Inc Fair Value". https://www.fairvalue-calculator.com/stock/4908

Peer Group

Communication Equipment · 290 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 72 · Top 25%
Fair Value upside −78% · Bottom 25%
Return on equity (TTM) 9% · Above median
Return on assets 6% · Top 25%
Net margin (TTM) 18% · Top 25%
Operating margin (TTM) 25% · Top 25%
Revenue growth 25% · Above median
Dividend yield (TTM) 0.7% · Below median

Valuation Multiples vs Communication Equipment median · lower = cheaper

P/E (TTM) 73.1× · Pricier than 75% of peers
P/B 6.52× · Pricier than 75% of peers
P/S (TTM) 12.98× · Pricier than 75% of peers
P/FCF 1.9× · Cheaper than median
EV/EBITDA 54.3× · Pricier 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 0
FUTURE 100 · sector 30
PAST 35 · sector 15
HEALTH 0 · sector 98
DIVIDEND 14 · sector 24

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

Stock Price Fair Value vs Fair Value
Cisco Systems, Inc CSCO $119.25 $43.05 -64%
Zhongji Innolight Co 300308 ¥1,094 ¥171.09 -84%
Foxconn Industrial Internet Co 601138 ¥56.50 ¥28.65 -49%
Eoptolink Technology Inc 300502 ¥482.88 ¥155.05 -68%
Nokia Oyj NOK $11.25 $2.67 -76%
Motorola Solutions, Inc MSI $413.31 $190.43 -54%
Suzhou TFC Optical Communication Co 300394 ¥244.13 ¥32.04 -87%
Telefonaktiebolaget LM Ericsson (publ), ERIC $11.72 $15.96 +36%
Accton Technology Corporation 2345 2,090 TWD 846.28 TWD -60%
ZTE Corporation 000063 ¥40.00 ¥15.75 -61%

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Frequently asked questions

Is APAC Opto Electronics Inc (4908) overvalued or undervalued?
As of Jul 23, 2026, our model estimates a fair value of 32.33 TWD versus a price of 143.50 TWD, about −77% (overvalued).
What is the fair value of 4908?
Our model-based fair value for APAC Opto Electronics Inc is 32.33 TWD (as of Jul 23, 2026), built from audited fundamentals. The current price is 143.50 TWD.
What is the quality score of 4908?
APAC Opto Electronics Inc has a Quality Score of 72/100. 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 APAC Opto Electronics Inc (4908)?
APAC Opto Electronics Inc reported trailing-twelve-month revenue of about 868M TWD (latest available figure, as of Jul 23, 2026).
What is the net profit margin of 4908?
The net profit margin of APAC Opto Electronics Inc is about 17.8%, meaning it keeps roughly 17.8% 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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