Strong 2Q/3Q16F outlook; valuation undemanding
Following our channel checks, we expect 2016F sales/earnings to grow 20%/101% to new highs, with EPS rising to NT$6.1. 1Q16 EPS of NT$1.28 beat our estimate by 30%. Sales in April hit a new high, and we thus expect 2Q16F sales to grow 15% QoQ, with EPS reaching NT$2. Despite stronger momentum in its share price recently, the company is still trading less than 9x P/E. We reiterate our BUY rating given 1) its strong performance in 2016/17F; and 2) much less impact from the EUR on earnings. Our TP of NT$67 is derived from our fair P/E model, based on 11x 2016F EPS of NT$6.1.
Arcadyan Technology Corporation is a Taiwan-based company principally engaged in the research, development, manufacture and sales of wireless local area network (LAN) products and broadband wireless gateways. The Company's main products include wireless LAN products, integrated digital home and mobile office multimedia gateways and wireless audio and video products. The Company distributes its products in domestic market and to overseas markets.
Yuanta is a Taiwan-headquartered brokerage with a growing presence in Asia, especially across Greater China. Our team of 140+ provides cutting-edge analysis on key sectors, spread across offices in Taiwan, Hong Kong, Shanghai (A-Share), Seoul and Jakarta. With an ever-expanding coverage universe of 400+ companies, we provide in depth analysis with unique local color to investors. Consistently being voted the Best Investment Consulting Firm in Taiwan in the AsiaMoney broker poll is evidence of our strength. We target providing an extensive range of research, from small, to mid-sized, to large cap. We bring you the big, well-covered names, as well as going off the beaten track to research the less-familiar companies.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.