Fact based stock research
Sunplus Technology (TSEC:2401)
TW0002401007
How to read the free ranks
For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".
Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".
Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.
Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.
(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).
(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.
Sunplus Technology stock research in summary
ANALYSIS: With an Obermatt Combined Rank of 10 (worse than 90% compared with investment alternatives), Sunplus Technology (Semiconductors, Taiwan) shares have lower financial characteristics compared with similar stocks. Shares of Sunplus Technology are low in value (priced high) with a consolidated Value Rank of 19 (worse than 81% of alternatives), show below-average growth (Growth Rank of 12), and are riskily financed (Safety Rank of 48), which means above-average debt burdens. ...read more
RECOMMENDATION: A Combined Rank of 10, is a sell recommendation based on Sunplus Technology's financial characteristics. As the company Sunplus Technology's key financial metrics all exhibit below-average performance, such as low value (Obermatt Value Rank of 19), low growth (Obermatt Growth Rank of 12), and risky financing practices (Obermatt Safety Rank of 48), it is a somewhat questionable stock investment, where the risk of paying too much for the shares is significant, unless the company has an exceptionally bright future. Such poor financial performance sometimes indicates that the company's business is all concentrated in some distant future. This is sometimes the case for high-tech or biotechnology companies. If they own properties that only provide cash flows in the future, the stock may look excessively expensive and risky today. In such cases, the Obermatt Method has limited value as it is based on facts we can observe today. If the facts are all in the future, stock investing becomes guesswork, and this should only be a driver in a limited number of investments that should only amount to a small fraction of a safe portfolio. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
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360° Viewnew| Country | Taiwan |
| Industry | Semiconductors |
| Index | FTSE Taiwan |
| Size class | Small |
14-Nov-2024. Stock data may be delayed. Log in or sign up to get the most recent research.
Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.
It’s easier said than done. When your stock drops, it’s easy to want to sell it and find a better performer. Think twice, or even three times, before trading. Those fees (especially the hidden ones) can eat up your gains.
Review the performance ranks of the individual metrics that form each investment strategy.
Research History: Sunplus Technology
| RESEARCH HISTORY | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 83 |
|
59 |
|
29 |
|
19 |
|
| GROWTH | ||||||||
| GROWTH | 65 |
|
69 |
|
13 |
|
12 |
|
| SAFETY | ||||||||
| SAFETY | 93 |
|
89 |
|
57 |
|
48 |
|
| SENTIMENT | ||||||||
| SENTIMENT | n/a |
|
15 |
|
6 |
|
new |
|
| 360° VIEW | ||||||||
| 360° VIEW | n/a |
|
67 |
|
6 |
|
new |
|
Combined financial peformance in Detail
ANALYSIS: With an Obermatt Combined Rank of 10 (worse than 90% compared with investment alternatives), Sunplus Technology (Semiconductors, Taiwan) shares have lower financial characteristics compared with similar stocks. Shares of Sunplus Technology are low in value (priced high) with a consolidated Value Rank of 19 (worse than 81% of alternatives), show below-average growth (Growth Rank of 12), and are riskily financed (Safety Rank of 48), which means above-average debt burdens. ...read more
RECOMMENDATION: A Combined Rank of 10, is a sell recommendation based on Sunplus Technology's financial characteristics. As the company Sunplus Technology's key financial metrics all exhibit below-average performance, such as low value (Obermatt Value Rank of 19), low growth (Obermatt Growth Rank of 12), and risky financing practices (Obermatt Safety Rank of 48), it is a somewhat questionable stock investment, where the risk of paying too much for the shares is significant, unless the company has an exceptionally bright future. Such poor financial performance sometimes indicates that the company's business is all concentrated in some distant future. This is sometimes the case for high-tech or biotechnology companies. If they own properties that only provide cash flows in the future, the stock may look excessively expensive and risky today. In such cases, the Obermatt Method has limited value as it is based on facts we can observe today. If the facts are all in the future, stock investing becomes guesswork, and this should only be a driver in a limited number of investments that should only amount to a small fraction of a safe portfolio. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
| RESEARCH HISTORY | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 83 |
|
59 |
|
29 |
|
19 |
|
| GROWTH | ||||||||
| GROWTH | 65 |
|
69 |
|
13 |
|
12 |
|
| SAFETY | ||||||||
| SAFETY | 93 |
|
89 |
|
57 |
|
48 |
|
| COMBINED | ||||||||
| COMBINED | 100 |
|
93 |
|
11 |
|
10 |
|
Value Metrics in Detail
ANALYSIS: With an Obermatt Value Rank of 19 (worse than 81% compared with alternatives), Sunplus Technology shares are significantly more expensive than comparable stocks. The Value Rank is based on consolidating four value indicators where three out of four are below average for Sunplus Technology. Only the Price-to-Book Capital ratio (also referred to as market-to-book ratio) indicates good stock value with a Price-to-Book Rank of 56, which means that the stock price is lower compared with invested capital than for 56% of comparable investments. All other value indicators are below the market median. Price-to-Sales is 28 which means the stock price compared with what market professionals expect for future profits is higher than 72% of comparable companies, indicating a low value concerning Sunplus Technology's revenue levels. The same is valid for the Price-to-Book Capital ratio (also referred to as market-to-book ratio) with a Price-to-Book Rank of 56 and for the dividend yields rank which is lower than for 99% of comparable companies, making the stock more expensive as regards to with the company's expected dividend payouts. ...read more
RECOMMENDATION: The overall picture with a consolidated Value Rank of 19, is a sell recommendation based on Sunplus Technology's stock price compared with the company's operational size and dividend yields. Why are market participants paying such a high price for Sunplus Technology, where three out of four value indicators are below par? One reason could be that the company is well financed, indicated by the high book capital level, and has a promising future that is not yet visible in reported revenues and profits. That would also explain the low dividend yield because the company needs the cash to invest in its future. If investors can verify a picture in this sense, the stock may still be a good investment, even though current company-reported financials don't fully explain current stock prices. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision, which is essential in this case, as the financial indicators are inconclusive. ...read more
| VALUE METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| PRICE VS. REVENUES (P/S) | ||||||||
| PRICE VS. REVENUES (P/S) | 51 |
|
41 |
|
24 |
|
28 |
|
| PRICE VS. PROFITS (P/E) | ||||||||
| PRICE VS. PROFITS (P/E) | 71 |
|
37 |
|
9 |
|
9 |
|
| PRICE VS. CAPITAL (Market-to-Book) | ||||||||
| PRICE VS. CAPITAL (Market-to-Book) | 68 |
|
64 |
|
54 |
|
56 |
|
| DIVIDEND YIELD | ||||||||
| DIVIDEND YIELD | 80 |
|
85 |
|
41 |
|
1 |
|
| CONSOLIDATED RANK: VALUE | ||||||||
| CONSOLIDATED RANK: VALUE | 83 |
|
59 |
|
29 |
|
19 |
|
Growth Metrics in Detail
ANALYSIS: With an Obermatt Growth Rank of 12 (better than 12% compared with alternatives), Sunplus Technology shows one of the most restricted growth dynamics in its industry. There is little momentum in this company. The Growth Rank is based on consolidating four value indicators, with all four metrics below average for Sunplus Technology. Sales Growth has a rank of 33, which means that currently professionals expect the company to grow less than 67% of its competitors. The same is valid for Profit Growth, with a rank of 11, and Capital Growth with 31. In addition, Stock Returns have a below market rank of 45, which means that the stock returns have recently been below 55% of alternative investments. ...read more
RECOMMENDATION: The overall picture with a consolidated Growth Rank of 12, is a sell recommendation for growth and momentum investors. These are all bad growth momentum indicators. These are negative signals for investors interested in growth companies. Value is likely good for this company, as investors may have left this stock in the cold. If that is the case, investors should look at the company's outlook, especially Sentiment performance, because it may be a turnaround situation that could entail above-average stock returns in the future. But it remains a risky bet, as no growth signals are in the green zone yet. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is low here. ...read more
| GROWTH METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| REVENUE GROWTH | ||||||||
| REVENUE GROWTH | 35 |
|
27 |
|
25 |
|
33 |
|
| PROFIT GROWTH | ||||||||
| PROFIT GROWTH | 90 |
|
85 |
|
22 |
|
11 |
|
| CAPITAL GROWTH | ||||||||
| CAPITAL GROWTH | n/a |
|
45 |
|
21 |
|
31 |
|
| STOCK RETURNS | ||||||||
| STOCK RETURNS | 92 |
|
79 |
|
53 |
|
45 |
|
| CONSOLIDATED RANK: GROWTH | ||||||||
| CONSOLIDATED RANK: GROWTH | 65 |
|
69 |
|
13 |
|
12 |
|
Safety Metrics in Detail
ANALYSIS: With an Obermatt Safety Rank of 48 (better than 48% compared with alternatives), the company Sunplus Technology has financing practices on the riskier side, which means that their overall debt burden is above the industry average. This doesn't mean that the business of Sunplus Technology is also risky, it only means that the company is on the riskier side in respect to bankruptcy in case things turn sour, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators where two out of three are above average for Sunplus Technology.Leverage is at 66, meaning the company has a below-average debt-to-equity ratio. It has less debt than 66% of its competitors.Refinancing is at a rank of 77, meaning that the portion of the debt that is about to be refinanced is below average. It has less debt in the refinancing stage than 77% of its competitors. Liquidity is at 12, meaning that the company generates less profit to service its debt than 88% of its competitors. This indicates that the company is on the riskier side regarding debt service. ...read more
RECOMMENDATION: With a consolidated Safety Rank of 48 (worse than 52% compared with alternatives), Sunplus Technology has a financing structure that is riskier than that of its competitors. Low leverage and low refinancing risk mean a safer financing situation. However, low liquidity means that current company cash flows are low in relation to the level of debt. This is a sign of caution in case it is expected for profits to remain low. Investors should compare Obermatt’s Value, Growth, and Sentiment Ranks before deciding. They may also want to investigate why cash flows are expected to be low, making debt service for Sunplus Technology more challenging. ...read more
| SAFETY METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| LEVERAGE | ||||||||
| LEVERAGE | 88 |
|
74 |
|
66 |
|
66 |
|
| REFINANCING | ||||||||
| REFINANCING | 58 |
|
91 |
|
75 |
|
77 |
|
| LIQUIDITY | ||||||||
| LIQUIDITY | 85 |
|
45 |
|
23 |
|
12 |
|
| CONSOLIDATED RANK: SAFETY | ||||||||
| CONSOLIDATED RANK: SAFETY | 93 |
|
89 |
|
57 |
|
48 |
|
Sentiment Metrics in Detail
| SENTIMENT | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| ANALYST OPINIONS | ||||||||
| ANALYST OPINIONS | n/a |
|
63 |
|
63 |
|
new |
|
| OPINIONS CHANGE | ||||||||
| OPINIONS CHANGE | n/a |
|
50 |
|
50 |
|
new |
|
| PRO HOLDINGS | ||||||||
| PRO HOLDINGS | n/a |
|
21 |
|
20 |
|
new |
|
| MARKET PULSE | ||||||||
| MARKET PULSE | n/a |
|
6 |
|
9 |
|
new |
|
| CONSOLIDATED RANK: SENTIMENT | ||||||||
| CONSOLIDATED RANK: SENTIMENT | n/a |
|
15 |
|
6 |
|
new |
|
Free stock analysis by the purely fact based Obermatt Method for Sunplus Technology from November 14, 2024.
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