Risk factor
Very poor trading liquidity
Profitability factor
Very unfavourable analyst view
About
Headquartered in New Taipei City, Taiwan, and established in 2000, Answer Technology Co., Ltd. is a prominent provider of a diverse range of integrated circuits (ICs). The company specializes in analog, mixed-signal, and digital signal processing ICs. Their product lineup further extends to advanced connectivity solutions such as USB3.0/3.1, PCIe bridge, and switch ICs. Beyond component supply, Answer Technology offers fabless IC design services, complemented by comprehensive support through various reference designs and technological expertise. They are actively involved in the design, manufacturing, and distribution of both discrete and embedded magnetoresistive RAM (MRAM), including cutting-edge spin-torque MRAM. Additionally, they supply critical circuit protection components and antenna products, serving diverse sectors such as computing, communications, consumer electronics, and automotive applications. The company's extensive portfolio also includes specialized optical communication products and sophisticated broadcast test and measurement equipment. Consultancy and design expertise are extended to professional broadcast, A/V, and image processing companies. Their sensor offerings encompass packaged infrared sensors crucial for gas, flame, and gesture/motion/presence detection, alongside comprehensive sensor solutions for a wide array of industrial applications. Answer Technology is also at the forefront of developing various silicon intellectual properties (IPs) and integrating system software/hardware technologies. They leverage Valens HDBaseT technology to enable seamless plug-and-play digital connectivity for high-definition video sources and remote displays. Furthermore, they provide general design services and develop Application-Specific Standard Products (ASSPs) tailored for the precise motion control of fractional horsepower stepper and brushless DC motors.
Company Valuation
Based on key historical and expected multiples, the stock is slightly overvalued relative to its peers. In particular, the stock is overpriced on P/E, of fair value on EV
Target Price
The average target price of 3528.TW is 41.2 and suggests 53.7% downside potential. Usually, this means a SELL recommendation among investment firms, or a recommendation t