This is research, not a buy or sell recommendation. Robo-advice in Taiwan requires an FSC licence; FEAF analyses, explains and monitors, and the investor makes the decision. Judgement thresholds are working rules pending review by the team's finance members.
Plain-language summary of valuation, growth, profitability, balance sheet, and recent MOPS filings.
Your risk profile
Conclusion
Several watch-outs (3) and no clear strengths in the data reviewed.
Points to watch for a moderate profile: see the items marked above.
In plain words
Company 1538 experienced modest revenue growth of 1.9% in 2025, but its Q3 2026 revenue dropped by -62.4% year on year. The company exhibits weak profitability, reflected by a return on equity of -114.1% and a net margin of -173.0%. Additionally, liabilities stood at 54.5% of total assets in Q3 2026, and free cash flow in 2025 was negative at -91 NT$ million as spending exceeded operating cash. Final investment decisions rest entirely with the investor.
Written by gemini-3.6-flash from the facts above; every number was checked against them.Strengths
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Watch-outs
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Return on equity -114.1% with a -173.0% net margin: weak profitability. source (Key Stats) →
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Liabilities are 54.5% of total assets (Q3 2026): a heavy debt load. source (Financials) →
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Free cash flow was negative in 2025: -91 NT$ million, so spending exceeded operating cash. source (Financials) →
What to check before deciding
?What would lift profitability, and how soon?
?Can operating cash cover the debt if conditions tighten?
?What is the spending for, and when does it start paying back?
What the analysis found
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Cash flow
Free cash flow was negative in 2025: -91 NT$ million, so spending exceeded operating cash. source →