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Ace Pillar Co Ltd (8374) fair value: what the stock is really worth

As of Nov 9, 2026: fair value (intrinsic value) of Ace Pillar Co Ltd stock TWD 18.52, price TWD 61.90, that is 70.1% below the price, quality 57 out of 100. Rating: strongly overvalued. Calculated from audited financials with 14 of our 26 valuation models and 37 quality factors, updated daily.

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Industrials TW · ISIN TW0008374000

AP Ace Pillar Co Ltd logo Some data Nov 8, 2026

Ace Pillar Co Ltd

8374 · TW
Very expensive, in a downtrend

Our calculation puts a fair price 70% below what the stock costs today.

Low debt
Generates free cash flow
0.3% dividend yield · Cash covered
Last quarter vs. a year ago: revenue +48%, profit +91%.
Quality 57/100
Mixed Growth (revenue 5y +10.0 %/yr in TWD)
Some data
Fair value 18.52 TWD · Strongly overvalued
Loss-making · -0.3% net margin (TTM)
Trails peers (2/13)
Narrow moat 24/100 · thin data
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What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

Price vs Fair Value

155.36 TWD 24.70 TWD Fair Value 18.52 TWD Jun 2021 Nov 2026

White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.

How to read this chart

60‑month range 24.70 TWD – 155.36 TWD · fair‑value band 14.14 TWD – 22.89 TWD · the 61.90 TWD price screens above the 18.52 TWD fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. As of Nov 8, 2026.

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Company profile

Ace Pillar Co., Ltd., together with its subsidiaries, engages in the distribution of automation electromechanical components in Taiwan, China, Europe, the Americas, and internationally.

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The company offers IPC, motion and CNC controllers, PLC, HMI, ethernet solution, remote I/O, static eliminator, sensor, power supplier, and high-precision measurement; VFDs and smart energy saving, elevator-specific variable frequency drive, slide module, and precision positioning, as well as permanent-magnet synchronous, servo, linear, and DD motors; and reducer, coupling, power lock, electromagnetic clutch, safety brake, LED, ball screw/linear guide, and ball bearing/freebear.

It also provides F.R.L combination, cylinder, fitting, vacuum pump, hydraulic, flow and reed switches, and other pneumatic fluid components, as well as solenoid, fluid, and liquid valves; robotic arm and machine vision; strapping machine, electric servo press, and smart screwdriving system; charging pile and energy; and software products.

In addition, the company offers automation technology services, including advice, design, testing, repair, and post-sales services.

Further, it is involved in electromechanical integration; intelligent services of automation control and industrial transmission systems; and sale and repair services of semiconductor optoelectronic equipment, consumables, and energy management products.

The company offers its products under the Delta, CKD, AirTAC, Magnescale, TRANSPAK, Schneider, ABB, Epson, Techman Robot, DFI, PMI, Liming, MIKI PULLEY, PISCO, Nidec, INTORQ, AKribis, Mactech, Duplomatic, PBA SYSTEMS, Ewellix, Nabtesco, NIKKI, ATLANTA, ETP, CCS, PATLITE, FREEBEAR, TPI, TOYO, Vacutronics, HELICAL, Insynerger, Beijer, Mech-Mind, Moxa, TPM, and ACE PILLAR brand names.

It serves smart manufacturing, energy, and medical, as well as semiconductor, food manufacturing, and AIoT industries. The company was incorporated in 1984 and is headquartered in New Taipei City, Taiwan.

Stock analysis

Ace Pillar Co Ltd (8374) currently trades at 61.90 TWD, while our model-based Fair Value estimate is 18.52 TWD, 70% below the price, so the stock looks overvalued today.

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Valuation

Bull case: the DCF Models group reads highest at a median of 29.83 TWD per share, and 0 of the 14 models we run sit above the 61.90 TWD price.

Bear case: the Asset-Based group reads lowest at 4.26 TWD, and 14 of the 14 models stay below the price. Data coverage for this calculation is medium.

Scenario range: 14.14 TWD (bear) to 22.89 TWD (bull), the price of 61.90 TWD sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.

Quality & growth

The Quality Score stands at 57/100 (solid quality), in the Industrials sector.

Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.

Ace Pillar Co Ltd reported revenue of 4.4B TWD in FY2025 versus 3.6B TWD in FY2021, a compound +5.7%/yr. Reported net income was −61.7M TWD in FY2025.

Key figures

Market cap 6.9B TWD (≈ $209M) Micro · P/S ratio 1.52 · EPS (TTM) −0.1400 TWD · Dividend yield 0.3% · Net margin −0.3% · Return on equity 4.0% · Return on assets (EBIT) 3.1% (5-year average) · Operating margin 8.1%.

Competitive moat

Our AI-assisted moat analysis scores the competitive advantage at 24 out of 100 (low confidence).

What moves the price

The share trades about 45% below its 52-week high and 7% above its 52-week low, currently below its 200-day average.

For context, the median of 10 Industrials peers we cover trades at −28% fair-value upside, at −70%, 8374 screens richer than that median.

Fair Value models

Bear 14.14 TWD Fair Value 18.52 TWD Bull 22.89 TWD
Price 61.90 TWD · Downside -70.1%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. 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. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds. Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Best data coverage
FCF DCF 26.62 TWD 32.67 TWD 39.56 TWD 82
Growth DCF 26.81 TWD 32.23 TWD 38.15 TWD 80
Owner Earnings 11.70 TWD 13.39 TWD 15.32 TWD 78
All 14 models by family
DCF Models
FCF DCF 26.62 TWD 32.67 TWD 39.56 TWD 82
Owner Earnings 11.70 TWD 13.39 TWD 15.32 TWD 78
5Y Revenue Exit 20.18 TWD 24.66 TWD 29.91 TWD 74
5Y EBITDA Exit 26.27 TWD 35.50 TWD 45.68 TWD 76
10Y Revenue Exit 22.84 TWD 26.99 TWD 31.75 TWD 68
10Y EBITDA Exit 26.22 TWD 33.12 TWD 41.36 TWD 70
Earnings-Based
EPV 11.05 TWD 11.65 TWD 12.13 TWD 74
Multiples
EV/EBIT 14.14 TWD 18.52 TWD 22.89 TWD 66
EV/EBITDA 24.08 TWD 31.77 TWD 39.45 TWD 67
EV/Revenue 10.39 TWD 14.40 TWD 18.42 TWD 54
Asset-Based
NCAV (Graham) 3.18 TWD 4.26 TWD 6.36 TWD 54
Growth DCF
Growth DCF 26.81 TWD 32.23 TWD 38.15 TWD 80
Rev-Margin DCF 20.18 TWD 25.10 TWD 30.56 TWD 74
Economic Profit
ROIC Compounder 11.05 TWD 11.65 TWD 12.13 TWD 72

Open the full fair value analysis →

Quality Score breakdown

Overall quality 57/100

It rates the business: profits, how they develop, real cash, balance sheet, investing and share count.

Profitability 24
How much profit the company makes from its sales and capital
Quality Growth 53
Are margins and returns getting better?
Cashflow 57
Do the profits arrive as real cash?
Financial strength 70
Debt, balance sheet and risk of trouble
Investment 71
Does it invest with discipline instead of growing at any price?
Low Volatility 37
How calm the share price moves, does not count
Price momentum 13
Price momentum of the last 3 to 12 months, does not count
Near the 52-week high 4
Distance to the 52-week high, does not count
New shares 85
Buys back shares or issues new ones?

Open the full quality analysis →

Revenue & earnings trend

Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card. 53/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
+20.8%
Revenue growth 3 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+5.7%
Revenue growth 5 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+10.0%
Start year 2020 (pandemic). Over 10 years: +1.6% a year
Revenue growth 23 years ⓘ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. Per-share growth (which does include buybacks) is in the value-creation card.
+6.8%
Profit margin (trend) ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.
2.6% (2020) → 2.6% (2025)
What shareholders gained per year ⓘWe only publish this rate when it is defensible. Reason: fiscal 2025 is a loss year, no rate is defined from a loss
not computed

Growth Forecast

A lot of optimism in the price
The price assumes more growth than the company has delivered so far.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+20.2%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect
n/a
No analyst forecast available.
After inflation (Taiwan: IMF forecast 1.6% a year to 2030, 1.5% from 2016 to 2025) that is about +18.3% a year for the price.

8374 screens overvalued: fair value 70% below the price. Compare with W.W. Grainger, Inc →

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Peer Groupⓘ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.Industrial Distribution · 107 stocks

Beats the industry median on 2/13 measures
Overall it trails its industry peers.
Valuation
Quality Score 57 · Below median
Fair Value upside −70.1% · Bottom 25%
Profitability
Return on equity (12 months) 4.0% · Bottom 25%
Return on assets −1.2% · Bottom 25%
Net margin (12 months) −0.3% · Bottom 25%
Operating margin (12 months) 8.1% · Above median
Growth and dividend
Revenue growth (quarter YoY) 48.3% · Top 25%
Dividend yield (12 months) 0.3% · Bottom 25%
Balance sheet
Debt / equity 0.24× · Above median

Valuation Multiplesvs Industrial Distribution median · lower = cheaper

P/B 3.47× · Priciest 25%
P/S (12 months) 1.30× · Pricier than median
Price / free cash flow (fiscal year) 23.7× · Pricier than median
EV/EBITDA 22.0× · Priciest 25%

Strength profile in five axes (Snowflake)

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE (fair-value potential)0 · sector 45
FUTURE (revenue growth)100 · sector 40
PAST (return on equity)16 · sector 38
HEALTH (low debt)88 · sector 93
DIVIDEND (yield)6 · sector 38

VALUE 0: the price sits above our fair-value range.

Context: sector, industry, market

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

Similar stocks

10 more Industrial Distribution stocks, each showing price versus our Fair Value estimate.

Stock Price Fair Value vs Fair Value Compare
Indutrade AB INDT kr 267.20 kr 293.92 +10% vs 8374
Finning International Inc FTT C$88.62 C$74.26 −16% vs 8374
Watsco, Inc WSO $304.34 $250.18 −18% vs 8374
Fastenal Company FAST $52.99 $41.28 −22% vs 8374
Applied Industrial Technologies, Inc AIT $283.39 $205.08 −28% vs 8374
Toromont Industries Ltd TIH C$184.15 C$127.80 −31% vs 8374
WESCO International, Inc WCC $292.68 $151.74 −48% vs 8374
W.W. Grainger, Inc GWW $1,441 $634.60 −56% vs 8374
QXO, Inc QXO $11.56 $1.62 −86% vs 8374
Ferguson Enterprises Inc FERG $233.70 $32.42 −86% vs 8374

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Ace Pillar Co Ltd: fair value per Fair Value Calculator

Cite: Fair Value Calculator (2026). "Ace Pillar Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/8374

Frequently asked questions

Is Ace Pillar Co Ltd (8374) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of 18.52 TWD versus a price of 61.90 TWD, about 70% lower (overvalued).
What is the fair value of 8374?
Our model-based fair value for Ace Pillar Co Ltd is 18.52 TWD (as of Nov 8, 2026), built from audited fundamentals. The current price: 61.90 TWD.
What is the quality score of 8374?
Ace Pillar Co Ltd has a Quality Score of 57/100. 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 price target for Ace Pillar Co Ltd (8374)?
Our model-based price target is the fair value of 18.52 TWD (as of Nov 8, 2026) from 14 valuation models. Cautious scenario 14.14 TWD, optimistic scenario 22.89 TWD. It is a calculation from audited fundamentals, not an analyst target.
What is the Ace Pillar Co Ltd stock forecast for 2026?
Our models put fair value at 18.52 TWD, about 70% lower versus a price of 61.90 TWD (overvalued). Cautious scenario 14.14 TWD, optimistic scenario 22.89 TWD. The calculation is refreshed regularly with new filings.
What is the revenue of Ace Pillar Co Ltd (8374)?
Ace Pillar Co Ltd reported trailing-twelve-month revenue of about 5.3B TWD (latest available figure, as of Nov 8, 2026).
Does Ace Pillar Co Ltd pay a dividend?
Ace Pillar Co Ltd currently shows a dividend yield of 0.32% relative to its recent price (as of Nov 8, 2026).
How much is the dividend of Ace Pillar Co Ltd (8374) and when is the ex-dividend date?
Ace Pillar Co Ltd pays a dividend of 0.2 TWD per share a year, a dividend yield of 0.3%. The last ex-dividend date was Jul 9, 2026. A dividend has been paid every year since 2017. Free cash flow covers the dividend 12.89 times. Our assessment: Cash covered. The dividend is fully funded by free cash flow. The payout ratio on earnings is not available for this company.
What growth is priced into Ace Pillar Co Ltd (8374)?
For today's price to be fair in a discounted-cash-flow model, Ace Pillar Co Ltd would have to grow free cash flow by +20.2 % per year for five years (discount rate 13.0 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +10.0 % per year. As of Nov 8, 2026.
What discount rate (WACC) does the fair value of 8374 use?
Our models discount Ace Pillar Co Ltd at 13.0 %: a base by market capitalisation (micro), damped by beta 0.92, country premium for Taiwan. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Ace Pillar Co Ltd that is +20.2 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (13.0 %) and the same formula as our fair value.
How much growth has Ace Pillar Co Ltd (8374) delivered so far?
Over the past 5 years revenue at Ace Pillar Co Ltd grew +10.0 % a year. The price currently implies free-cash-flow growth of +20.2 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Ace Pillar Co Ltd (8374) growing?
The median revenue growth in the sector is +7.8 % a year. That is the yardstick for the growth priced into Ace Pillar Co Ltd (+20.2 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Ace Pillar Co Ltd (8374)?
The free-cash-flow yield on the price is 4.19 %: that much free cash flow Ace Pillar Co Ltd produces per unit of market value. When it exceeds the discount rate of our models (13.0 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Ace Pillar Co Ltd (8374)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Ace Pillar Co Ltd it is 18.52 TWD per share (as of Nov 8, 2026), against a price of 61.90 TWD. It is the blended result of 14 valuation models in 6 families (DCF Models, Earnings-Based, Multiples, Asset-Based, Growth DCF, Economic Profit).
Is Ace Pillar Co Ltd stock overvalued or undervalued in 2026?
As of Nov 8, 2026, 8374 trades above its calculated fair value: price 61.90 TWD, fair value 18.52 TWD, a gap of about −70% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of 8374?
No. The price is what the market pays today (61.90 TWD); the fair value is what the company's own numbers justify (18.52 TWD). For Ace Pillar Co Ltd the two are 43.38 TWD per share apart. That gap is exactly why we show both numbers side by side.
How much is Ace Pillar Co Ltd worth?
The market values Ace Pillar Co Ltd at about 6.9B TWD (market capitalisation, as of Nov 8, 2026). Per share that is 61.90 TWD; our models calculate a fair value of 18.52 TWD per share.
What do the bullish and bearish scenarios say about 8374?
Our models span a range for Ace Pillar Co Ltd: cautious scenario 14.14 TWD, base 18.52 TWD, optimistic 22.89 TWD per share (as of Nov 8, 2026, price 61.90 TWD). The range comes from different growth and margin assumptions, not from analyst opinions.
How solid is the balance sheet of Ace Pillar Co Ltd (8374)?
Balance-sheet figures for Ace Pillar Co Ltd (as of Nov 8, 2026): return on equity 4.0%, debt of 0.24 per unit of equity. They feed the Quality Score of 57/100, which measures business quality independently of the share price.
How far is 8374 from its 52-week high?
Ace Pillar Co Ltd trades at 61.90 TWD, about 45% below its 52-week high of 112.74 TWD and 7% above the low of 57.90 TWD (as of Nov 9, 2026). Distance from the high says nothing about value: that is what the fair value of 18.52 TWD is for.
Which stocks are comparable to Ace Pillar Co Ltd?
From the same area (Industrials) we also value W.W. Grainger, Inc, Fastenal Company, Ferguson Enterprises Inc, WESCO International, Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Ace Pillar Co Ltd stock attractive at the current price?
The data as of Nov 8, 2026: price 61.90 TWD, calculated fair value 18.52 TWD (−70%), Quality Score 57/100, from 14 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of 8374 calculated?
We run Ace Pillar Co Ltd through 14 models from 6 families: DCF Models, Earnings-Based, Multiples, Asset-Based, Growth DCF, Economic Profit. Every model gets the same audited fundamentals; the fair value of 18.52 TWD builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.3% above its aggregate fair value. Ace Pillar Co Ltd itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Ace Pillar Co Ltd (8374)?
The closing price on Nov 9, 2026 was 61.90 TWD. Our model-based fair value is 18.52 TWD, about 70% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Ace Pillar Co Ltd right now?
The price sits above even our optimistic bull case (22.89 TWD). The favourable scenario is already priced in. Solid but not exceptional quality (57/100) and above fair value, neither a clear bargain nor a standout compounder.

Key figures of Ace Pillar Co Ltd

How large is the market capitalisation of Ace Pillar Co Ltd (8374)?
The market capitalisation of Ace Pillar Co Ltd is 6.9B TWD (≈ $209M). The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Ace Pillar Co Ltd (8374)?
The price-to-sales ratio of Ace Pillar Co Ltd is 1.52 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Ace Pillar Co Ltd (8374)?
Earnings per share at Ace Pillar Co Ltd are −0.1400 TWD. Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Ace Pillar Co Ltd (8374)?
The dividend yield of Ace Pillar Co Ltd is 0.3%. Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Ace Pillar Co Ltd (8374)?
The net margin of Ace Pillar Co Ltd is −0.3% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Ace Pillar Co Ltd (8374)?
The return on equity (ROE) of Ace Pillar Co Ltd is 4.0% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Ace Pillar Co Ltd (8374)?
On an EBIT basis the return on assets of Ace Pillar Co Ltd is 3.1% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Ace Pillar Co Ltd (8374)?
The operating margin of Ace Pillar Co Ltd is 8.1% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Ace Pillar Co Ltd (8374)?
Revenue at Ace Pillar Co Ltd is growing +48.3% versus a year earlier (3y avg +5.7%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Ace Pillar Co Ltd (8374)?
Earnings per share at Ace Pillar Co Ltd are growing +90.7% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Ace Pillar Co Ltd (8374) hold?
Ace Pillar Co Ltd holds more cash than debt, 114M TWD net (fiscal year 2025). The company holds more cash than debt, a safety cushion.
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