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Microprogram Information Co (7721) Fair Value & Analysis

Technology · TW · Market cap 3.4B TWD

MI Microprogram Information Co 7721 · TW
Price62.90 TWD
Fair Value11.40 TWD
Upside-81.9%
Quality31/100
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Expensive Growth
Thin margins · 6.2% net margin
negative free cash flow
Trails peers (4/12)
Narrow moat 35/100
Evidence: Medium Range 8.54 TWD – 14.25 TWD Share as image

Fair value as of: Jul 21, 2026

From 14 valuation models · updated 20 days ago

Share price −10.1% over the past month.

Below-average quality, and screening another 82% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (14.25 TWD). The favourable scenario is already priced in.
  • Weak quality (31/100) and above fair value at the same time, the margin of safety is missing on both counts.
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Price vs Fair Value (3 years)

90.55 TWD 42.29 TWD Fair Value 11.40 TWD Dec 2023 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

32‑month range 42.29 TWD – 90.55 TWD · fair‑value band 8.54 TWD – 14.25 TWD · the 62.90 TWD price screens above the 11.40 TWD fair value. Dashed = 300-day average. As of Jul 21, 2026.

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Analysis

Microprogram Information Co (7721) currently trades at 62.90 TWD, while our model-based Fair Value estimate is 11.40 TWD, implying the stock looks roughly 81.9% overvalued today. The Quality Score stands at 31/100 (below-average 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: medium).

Over the trailing twelve months, Microprogram Information Co generated revenue of 532M TWD at a net margin of 6.2%. Revenue grew 20.1% year over year. It earns a return on equity of 3.0%. Net debt stands at 1.2M TWD. Fundamentals as of Jul 21, 2026

Our scenario range runs from 8.54 TWD (bear case) to 14.25 TWD (bull case); at 62.90 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 33% below its 52-week high and 40% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at -50% fair-value upside, at -82%, 7721 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 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
Residual Income 16.45 TWD 15.88 TWD 12.66 TWD 76
Gordon GGM 15.88 TWD 17.72 TWD 20.14 TWD 70
Growth-Adj P/E 7.70 TWD 11.00 TWD 14.30 TWD 68
All 14 models by family
Earnings-Based
Graham-Dodd 3.57 TWD 5.10 TWD 5.98 TWD 54
EPV 9.23 TWD 9.86 TWD 10.41 TWD 59
Dividend Discount
Gordon GGM 15.88 TWD 17.72 TWD 20.14 TWD 70
DDM Multi-Stage 15.88 TWD 20.23 TWD 25.77 TWD 61
Multiples
P/E Multiple 11.01 TWD 14.68 TWD 18.35 TWD 63
P/S Multiple 6.68 TWD 8.91 TWD 11.14 TWD 58
P/B Multiple 6.68 TWD 8.91 TWD 11.14 TWD 55
EV/EBIT 15.28 TWD 18.64 TWD 21.99 TWD 53
EV/EBITDA 29.08 TWD 37.04 TWD 45.00 TWD 54
EV/Revenue 10.30 TWD 12.48 TWD 14.66 TWD 43
Asset-Based
NCAV (Graham) 11.69 TWD 15.66 TWD 23.37 TWD 50
Economic Profit
Residual Income 16.45 TWD 15.88 TWD 12.66 TWD 76
ROIC Compounder 9.23 TWD 9.86 TWD 10.41 TWD 67
Growth Earnings
Growth-Adj P/E 7.70 TWD 11.00 TWD 14.30 TWD 68

Widest divergence: Dividend Discount (17.72 TWD) versus Earnings-Based (5.10 TWD). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) 532M TWD
Revenue growth (YoY) +20.1%
Net margin 6.2%
Return on equity 3.0%
Free cash flow −33.1M TWD FY2025
P/E ratio 148.7
More key figures
Operating margin 9.4%
EPS (TTM) 0.5500 TWD
EPS growth (YoY) +38.0%
Net debt 1.2M TWD FY2021

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

Quality Score breakdown

Overall quality 31/100

Of which business quality 39 · Market factors (momentum, volatility) 42

Profitability 27
Margins and returns on capital today
Quality Growth 25
Are margins and returns improving?
Cashflow 50
Earnings quality: real cash, not paper profit
Fin. Strength 92
Balance sheet, leverage, solvency risk
Investment 0
Disciplined investing over empire-building
Low Volatility 61
Calm price path (market factor)
Momentum 40
Price trend over the last 3–12 months (market factor)
52W Momentum 25
Distance to the 52-week high (market factor)
Net Issuance 4
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

Microprogram Information Co.,Ltd engages in the research and development of computer hardware and software in Taiwan, Mainland China, and Europe.

Full company description

Microprogram Information Co.,Ltd engages in the research and development of computer hardware and software in Taiwan, Mainland China, and Europe. The company offers E-bike products, including IoT devices, e-bike computer products, smart locks, device and store management systems, and cycling data platform, as well as e-bike app; E-payment card reader, NFC reader, antenna changeover, module, EM reader module, and reader of electronic ticket modules, as well as Linux ARM system on modules and development kits; and controllers, such as door access card-reading, and smart identification and access card reader controllers. It also provides Bluetooth low energy USB dongles; equipment sensing, environmental sensing, and production process tracking; and smart robot blade/fork, ultra-thin production line detector, and VRS smart vibration sensor products. In addition, the company engages in the wholesale and retail of parts; manufacturing wireless communication machinery and equipment; production of telecommunications control radio frequency equipment; and provision of information software services. It serves transportation, finance, retail, semiconductor manufacturing, and cycling sectors. The company was founded in 1995 and is headquartered in Taichung, Taiwan.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Microprogram Information Co reported revenue of 508M TWD in FY2025 versus 434M TWD in FY2021, a compound +4.0%/yr. Reported net income was 29.0M TWD in FY2025.

Growth Quality 21/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
508M TWD
Latest YoY
−36.1%
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.
+3.3%
Revenue +4.0%/yr
FY21 434M TWD
FY22 461M TWD
FY23 678M TWD
FY24 794M TWD
FY25 508M TWD
Net income
FY21 −30.3M TWD
FY22 5.3M TWD
FY23 92.1M TWD
FY24 152M TWD
FY25 29.0M TWD

7721 screens 82% overvalued. Compare with Microsoft Corporation →

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Cite: Fair Value Calculator (2026). "Microprogram Information Co Fair Value". https://www.fairvalue-calculator.com/stock/7721

Peer Group

Software - Infrastructure · 370 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 31 · Bottom 25%
Fair Value upside −82% · Bottom 25%
Return on equity (TTM) 3% · Below median
Return on assets 2% · Above median
Net margin (TTM) 6% · Above median
Operating margin (TTM) 9% · Above median
Revenue growth 20% · Above median
Dividend yield (TTM) 0.0% · Bottom 25%

Valuation Multiples vs Software - Infrastructure median · lower = cheaper

P/E (TTM) 112.2× · Pricier than 75% of peers
P/B 2.64× · Pricier than median
P/S (TTM) 6.42× · Pricier than 75% of peers
EV/EBITDA 54.8× · 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 46
PAST 12 · sector 15
HEALTH 0 · sector 98
DIVIDEND 0 · sector 28

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

Stock Price Fair Value vs Fair Value
Microsoft Corporation MSFT $384.00 $274.17 -29%
Oracle Corporation ORAC C$9.08 C$2.94 -68%
Fortinet, Inc FTNT $160.78 $44.96 -72%
Synopsys, Inc 1SNPS €354.50 €93.61 -74%
Block, Inc XYZ A$114.53 A$70.69 -38%
CoreWeave, Inc CRWV $79.94 $44.89 -44%
Range Intelligent Computing Technology Group 300442 ¥71.60 ¥34.00 -53%
Oracle Financial Services Software Limited OFSS ₹11,651 ₹5,821 -50%
360 Security Technology Inc 601360 ¥9.64 ¥5.05 -48%
One97 Communications Limited PAYTM ₹1,342 ₹181.50 -86%

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Frequently asked questions

Is Microprogram Information Co (7721) overvalued or undervalued?
As of Jul 21, 2026, our model estimates a fair value of 11.40 TWD versus a price of 62.90 TWD, about −82% (overvalued).
What is the fair value of 7721?
Our model-based fair value for Microprogram Information Co is 11.40 TWD (as of Jul 21, 2026), built from audited fundamentals. The current price is 62.90 TWD.
What is the quality score of 7721?
Microprogram Information Co has a Quality Score of 31/100. 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 Microprogram Information Co (7721)?
Microprogram Information Co reported trailing-twelve-month revenue of about 532M TWD (latest available figure, as of Jul 21, 2026).
What is the net profit margin of 7721?
The net profit margin of Microprogram Information Co is about 6.2%, meaning it keeps roughly 6.2% 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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