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Sino-American Silicon Products Inc 5483

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Company Report

Taiwan Earthquake Poses Limited Short-Term Downside to Our Taiwan Tech Coverage

We retain our fair value estimates on Taiwanese technology companies in our coverage following a powerful earthquake and multiple strong aftershocks near the eastern city of Hualien on April 3, namely: Advantech at TWD 337; Delta Electronics at TWD 331; GlobalWafers at TWD 710; Largan at TWD 3,000; MediaTek at TWD 1,400; Sino-American Silicon at TWD 281; Taiwan Semiconductor Manufacturing Co at TWD 950 (USD 151 per ADR); United Microelectronics Corp at TWD 70; and Win Semiconductors at TWD 245 per share.

Price vs Fair Value

5483 is trading at a 33% discount.
Price
TWD 188.50
Fair Value
TWD 293.00
Uncertainty
High
1-Star Price
TWD 934.81
5-Star Price
TWD 476.70
Economic Moat
Lsyrkkx
Capital Allocation
Dsgqqst

Bulls Say, Bears Say

Bulls

SAS’ diversified geographical presence gives it an edge in transportation costs.

Bears

Chinese entrants like National Silicon Industry Group will limit industry profitability once they scale up 300mm wafer production.

Is it the right time to buy, sell, or hold?
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Trading Information

Previous Close Price
Day Range
52-Week Range
Bid/Ask
/
Market Cap
Volume/Avg
/

Key Statistics

Price/Earnings (Normalized)
15.07
Price/Sales
1.39
Dividend Yield (Trailing)
4.83%
Dividend Yield (Forward)
4.83%
Total Yield
4.79%

Company Profile

Founded in 1981, Sino-American Silicon Products Inc., or SAS, is a holding company specializing in the semiconductor industry. Its crown jewel is its 51% stake in silicon wafer producer GlobalWafers, which was carved out in 2011. GlobalWafers runs 17 production sites in nine countries across Asia, North America, and Europe. Other notable investments include Advanced Wireless Semiconductor Company, or AWSC, and Taiwan Specialty Materials. SAS started selling renewable energy to power grids in October 2022. SAS is headquartered in Hsinchu, Taiwan. SAS employs more than 8,000 people through its subsidiaries. Through GlobalWafers, SAS had nearly 18% market share in silicon wafers in 2023.
Sector
Technology
Industry
Semiconductor Equipment & Materials
Stock Style Box
Large Core
Total Number of Employees
403

Competitors

Valuation

Metric
5483
688126
SOI
Price/Earnings (Normalized)
15.07470.0614.78
Price/Book Value
3.122.362.35
Price/Sales
1.3911.183.40
Price/Cash Flow
4.2251.2011.21
Price/Earnings
5483
688126
SOI

Financial Strength

Metric
5483
688126
SOI
Quick Ratio
1.202.642.72
Current Ratio
1.383.403.51
Interest Coverage
36.12−2.7714.58
Quick Ratio
5483
688126
SOI

Profitability

Metric
5483
688126
SOI
Return on Assets (Normalized)
8.98%−0.42%9.76%
Return on Equity (Normalized)
53.88%−0.78%17.64%
Return on Invested Capital (Normalized)
13.48%−0.65%12.11%
Return on Assets
5483
688126
SOI
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