Kaori Heat Treatment Co Ltd (8996) fair value: what the stock is really worth
As of Nov 5, 2026: fair value (intrinsic value) of Kaori Heat Treatment Co Ltd stock TWD 141, price TWD 1,290, that is 89.0% below the price, quality 55 out of 100. Rating: strongly overvalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 4, 2026.
How to read this chart
60‑month range 40.31 TWD – 1,720 TWD · fair‑value band 81.28 TWD – 226.53 TWD · the 1,290 TWD price screens above the 141.28 TWD fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 4, 2026.
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Kaori Heat Treatment Co., Ltd. engages in the research, development, manufacture, and sale of heat exchanger and thermal energy products in Taiwan, Asia, the United States, Europe, and internationally.
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The company offers brazed and gasketed plate heat exchangers, methanol fuel cells, hydrogen generators, and automatic methanol mixers; plate heat exchange inverters; brazing and welding products; fuel cell products; and liquid cooling solutions.
It also engages in the manufacture and sales of mechanical hardware; and the development, manufacture, and sales of heat exchange products or thermal products.
The company serves refrigeration and HVAC, semiconductor and electronics, energy, machinery and manufacturing, marine and transportation, healthcare, and data center industries. The company was incorporated in 1970 and is headquartered in Taoyuan City, Taiwan.
Stock analysis
Kaori Heat Treatment Co Ltd (8996) currently trades at 1,290 TWD, while our model-based Fair Value estimate is 141.28 TWD, 89% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of 174.25 TWD per share, and 0 of the 26 models we run sit above the 1,290 TWD price.
Bear case: the Asset-Based group reads lowest at 17.48 TWD, and 26 of the 26 models stay below the price. Data coverage for this calculation is low.
Scenario range: 81.28 TWD (bear) to 226.53 TWD (bull), the price of 1,290 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 55/100 (solid quality), in the Industrials sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Kaori Heat Treatment Co Ltd reported revenue of 6.6B TWD in FY2025 versus 2.2B TWD in FY2021, a compound +31.0%/yr. Reported net income was 830M TWD in FY2025, compounding +53.6%/yr from FY2021. FY2021 was a trough year, so the rate overstates the trend.
Key figures
Market cap 120B TWD (≈ $3.6B) Mid · P/E ratio 87.0 · P/S ratio 12.2 · EPS (TTM) 14.83 TWD · Dividend yield 0.4% · Net margin 14.1% · Return on equity 33.3% · Return on assets (EBIT) 10.7%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 67 out of 100 (low confidence).
What moves the price
The share trades about 25% below its 52-week high and 179% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −46% fair-value upside, at −89%, 8996 screens richer than that median.
Fair Value models
The price assumes far more growth than our models allow for, so the models scatter widely (17.48 TWD to 292.87 TWD). Read the Fair Value as a cautious anchor, not a price target; the Growth Forecast section shows what the price assumes.
Bear81.28 TWDFair Value 141.28 TWDBull226.53 TWD
Price 1,290 TWD · Downside -89.0%
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. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then (8.69 TWD per share) are deliberately not added.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.
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.86/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
+64.4%
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.
+32.3%
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.
+25.9%
Start year 2020 (pandemic). Over 10 years: +11.7% a year
Revenue growth 21 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.
+11.8%
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What shareholders gained per year (last 5 years), in TWD ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Measured in TWD: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+40.7%
Earnings growth per share plus dividend.
Earnings per share, growth per year+40.3%
Dividend (yield on the price)0.4%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.40.3% vs 15.3%, picking up
Profit margin 2020 to 2025 ⓘ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.8% → 16%
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
A lot of optimism in the price
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).
more than +80 %
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+78.0%
Yearly sales growth analysts expect, extended to five years.
After inflation (Taiwan: IMF forecast 1.6% a year to 2030, 1.5% from 2016 to 2025) that is about +75.2% a year for the forecasts.
Compare Kaori Heat Treatment Co Ltd with another stock
Price, fair value, quality and upside side by side.
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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.Specialty Industrial Machinery · 808 stocks
Beats the industry median on 7/14 measures
A mixed picture versus its industry peers.
Valuation
Quality Score55 · Above median
Fair Value upside−89.0% · Bottom 25%
Profitability
Return on equity (12 months)33.3% · Top 25%
Return on assets10.2% · Top 25%
Net margin (12 months)14.1% · Top 25%
Operating margin (12 months)12.9% · Above median
Growth and dividend
Revenue growth (quarter YoY)54.9% · Top 25%
Dividend yield (12 months)0.4% · Bottom 25%
Balance sheet
Debt / equity0.05× · Below median
Valuation Multiplesvs Specialty Industrial Machinery median · lower = cheaper
P/E (12 months)87.0× · Priciest 25%
P/B28.75× · Priciest 25%
P/S (12 months)12.23× · Priciest 25%
Price / free cash flow438.4× · Priciest 25%
EV/EBITDA65.8× · Priciest 25%
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 0
FUTURE (revenue growth)100· sector 31
PAST (return on equity)100· sector 28
HEALTH (low debt)97· sector 96
DIVIDEND (yield)7· sector 29
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Kaori Heat Treatment Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/8996
Frequently asked questions
Is Kaori Heat Treatment Co Ltd (8996) overvalued or undervalued?
As of Nov 4, 2026, our model estimates a fair value of 141.28 TWD versus a price of 1,290 TWD, about 89% lower (overvalued).
What is the fair value of 8996?
Our model-based fair value for Kaori Heat Treatment Co Ltd is 141.28 TWD (as of Nov 4, 2026), built from audited fundamentals. The current price: 1,290 TWD.
What is the quality score of 8996?
Kaori Heat Treatment Co Ltd has a Quality Score of 55/100. 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 Kaori Heat Treatment Co Ltd (8996)?
Our model-based price target is the fair value of 141.28 TWD (as of Nov 4, 2026) from 26 valuation models. Cautious scenario 81.28 TWD, optimistic scenario 226.53 TWD. It is a calculation from audited fundamentals, not an analyst target.
What is the Kaori Heat Treatment Co Ltd stock forecast for 2026?
Our models put fair value at 141.28 TWD, about 89% lower versus a price of 1,290 TWD (overvalued). Cautious scenario 81.28 TWD, optimistic scenario 226.53 TWD. The calculation is refreshed regularly with new filings.
What is the revenue of Kaori Heat Treatment Co Ltd (8996)?
Kaori Heat Treatment Co Ltd reported trailing-twelve-month revenue of about 9.8B TWD (latest available figure, as of Nov 4, 2026).
Does Kaori Heat Treatment Co Ltd pay a dividend?
Kaori Heat Treatment Co Ltd currently shows a dividend yield of 0.36% relative to its recent price (as of Nov 4, 2026).
What growth is priced into Kaori Heat Treatment Co Ltd (8996)?
For today's price to be fair in a discounted-cash-flow model, Kaori Heat Treatment Co Ltd would have to grow free cash flow by more than 80 % per year for five years (discount rate 11.8 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +26.0 % per year. As of Nov 4, 2026.
What discount rate (WACC) does the fair value of 8996 use?
Our models discount Kaori Heat Treatment Co Ltd at 11.8 %: a base by market capitalisation (mid), damped by beta 1.60, 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 Kaori Heat Treatment Co Ltd that is more than 80 % per year a year over ten years, using the same discount rate (11.8 %) and the same formula as our fair value.
How much growth has Kaori Heat Treatment Co Ltd (8996) delivered so far?
Over the past 5 years revenue at Kaori Heat Treatment Co Ltd grew +26.0 % a year. The price currently implies more than 80 % per year free-cash-flow growth a 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 Kaori Heat Treatment Co Ltd (8996) growing?
The median revenue growth in the sector is +7.8 % a year. That is the yardstick for the growth priced into Kaori Heat Treatment Co Ltd (more than 80 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Kaori Heat Treatment Co Ltd (8996)?
The free-cash-flow yield on the price is 0.23 %: that much free cash flow Kaori Heat Treatment Co Ltd produces per unit of market value. When it exceeds the discount rate of our models (11.8 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Kaori Heat Treatment Co Ltd (8996)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Kaori Heat Treatment Co Ltd it is 141.28 TWD per share (as of Nov 4, 2026), against a price of 1,290 TWD. It is the blended result of 26 valuation models (cash flow, earnings, asset, dividend).
Is Kaori Heat Treatment Co Ltd stock overvalued or undervalued in 2026?
As of Nov 4, 2026, 8996 trades above its calculated fair value: price 1,290 TWD, fair value 141.28 TWD, a gap of about −89% (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 8996?
No. The price is what the market pays today (1,290 TWD); the fair value is what the company's own numbers justify (141.28 TWD). For Kaori Heat Treatment Co Ltd the two are 1,149 TWD per share apart. That gap is exactly why we show both numbers side by side.
How much is Kaori Heat Treatment Co Ltd worth?
The market values Kaori Heat Treatment Co Ltd at about 120B TWD (market capitalisation, as of Nov 4, 2026). Per share that is 1,290 TWD; our models calculate a fair value of 141.28 TWD per share.
What do the bullish and bearish scenarios say about 8996?
Our models span a range for Kaori Heat Treatment Co Ltd: cautious scenario 81.28 TWD, base 141.28 TWD, optimistic 226.53 TWD per share (as of Nov 4, 2026, price 1,290 TWD). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of 8996?
Kaori Heat Treatment Co Ltd trades at a price-to-earnings ratio of 87.0 (as of Nov 4, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of 141.28 TWD is built from several models across several years. Other multiples: P/B 28.8, P/S 12.2, EV/EBITDA 65.8.
How solid is the balance sheet of Kaori Heat Treatment Co Ltd (8996)?
Balance-sheet figures for Kaori Heat Treatment Co Ltd (as of Nov 4, 2026): return on equity 33.3%, debt of 0.05 per unit of equity. They feed the Quality Score of 55/100, which measures business quality independently of the share price.
How far is 8996 from its 52-week high?
Kaori Heat Treatment Co Ltd trades at 1,290 TWD, about 25% below its 52-week high of 1,720 TWD and 179% above the low of 462.00 TWD (as of Nov 5, 2026). Distance from the high says nothing about value: that is what the fair value of 141.28 TWD is for.
Which stocks are comparable to Kaori Heat Treatment Co Ltd?
From the same area (Industrials) we also value SIE, GE Vernova Inc, Eaton Corporation, Parker-Hannifin Corporation, 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 Kaori Heat Treatment Co Ltd stock attractive at the current price?
The data as of Nov 4, 2026: price 1,290 TWD, calculated fair value 141.28 TWD (−89%), Quality Score 55/100, from 26 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 8996 calculated?
We run Kaori Heat Treatment Co Ltd through 26 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of 141.28 TWD, 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 15.5% above its aggregate fair value. Kaori Heat Treatment 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 Kaori Heat Treatment Co Ltd (8996)?
The closing price on Nov 5, 2026 was 1,290 TWD. Our model-based fair value is 141.28 TWD, about 89% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Kaori Heat Treatment Co Ltd right now?
The price sits above even our optimistic bull case (226.53 TWD). The favourable scenario is already priced in. The model range is unusually wide (81.28 TWD to 226.53 TWD). The outcome hinges heavily on assumptions, so read the point estimate with caution. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution. Solid but not exceptional quality (55/100) and above fair value, neither a clear bargain nor a standout compounder.
Where does the earnings growth of Kaori Heat Treatment Co Ltd (8996) come from?
Earnings per share at Kaori Heat Treatment Co Ltd grew +12.3 % a year from 2014 to 2025. Broken into its drivers: revenue per share +8.2 %, EBIT margin +4.1 %, tax rate −0.9 %, residual (interest, one-offs) +0.6 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Kaori Heat Treatment Co Ltd
How large is the market capitalisation of Kaori Heat Treatment Co Ltd (8996)?
The market capitalisation of Kaori Heat Treatment Co Ltd is 120B TWD (≈ $3.6B). 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 Kaori Heat Treatment Co Ltd (8996)?
The price-to-sales ratio of Kaori Heat Treatment Co Ltd is 12.2 (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 Kaori Heat Treatment Co Ltd (8996)?
Earnings per share at Kaori Heat Treatment Co Ltd are 14.83 TWD (price ÷ EPS = P/E 87.0). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Kaori Heat Treatment Co Ltd (8996)?
The dividend yield of Kaori Heat Treatment Co Ltd is 0.4% (payout 31.0%). 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 Kaori Heat Treatment Co Ltd (8996)?
The net margin of Kaori Heat Treatment Co Ltd is 14.1% (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 Kaori Heat Treatment Co Ltd (8996)?
The return on equity (ROE) of Kaori Heat Treatment Co Ltd is 33.3% (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 Kaori Heat Treatment Co Ltd (8996)?
On an EBIT basis the return on assets of Kaori Heat Treatment Co Ltd is 10.7% (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 Kaori Heat Treatment Co Ltd (8996)?
The operating margin of Kaori Heat Treatment Co Ltd is 12.9% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Kaori Heat Treatment Co Ltd (8996)?
Revenue at Kaori Heat Treatment Co Ltd is growing +54.9% versus a year earlier (3y avg +32.3%). 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 Kaori Heat Treatment Co Ltd (8996)?
Earnings per share at Kaori Heat Treatment Co Ltd are growing +65.9% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Kaori Heat Treatment Co Ltd (8996) hold?
Kaori Heat Treatment Co Ltd holds more cash than debt, 227M TWD net (fiscal year 2025). The company holds more cash than debt, a safety cushion.
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Thin data
Nov 4, 2026