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Hotai Motor Co Ltd (2207) Fair Value & Analysis

Consumer Cyclical · TW · Market cap 265B TWD (≈ $8.4B) · ISIN TW0002207008

What is Hotai Motor Co Ltd really worth?

HM Hotai Motor Co Ltd 2207 · TW
Price539.00 TWD
Fair Value475.00 TWD
Upside−11.9%
Quality36/100

Below-average quality, and trading another 13% above our fair value of 475.00 TWD.

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Strengths

Healthy Growth (revenue 5y +3.7 %/yr)
Low debt · generates free cash flow
Ranks above peers (10/15)

Risks

!Thin margins · 6.9% net margin
!Moderate moat 51/100
!Evidence only medium, so the estimate is less certain
!Weak on valuation: 17 out of 100

For context

·3.71% dividend yield
Evidence: Medium Range 356.25 TWD – 637.02 TWD

Fair value as of: Aug 13, 2026

From 26 valuation models · updated 22 days ago

Share price +5.9% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits in the upper half of our model range, so the margin of safety is thin.
  • Read the verdict with care: some models are missing inputs, so the estimate scatters more than usual.

Price vs Fair Value (5 years)

862.59 TWD 453.67 TWD Fair Value 475.00 TWD Mar 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range 453.67 TWD – 862.59 TWD · fair‑value band 356.25 TWD – 637.02 TWD · the 539.00 TWD price screens above the 475.00 TWD fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Hotai Motor Co Ltd (2207) currently trades at 539.00 TWD, while our model-based Fair Value estimate is 475.00 TWD, implying the stock looks roughly 13.5% overvalued today. The Quality Score stands at 36/100 (below-average quality), in the Consumer Cyclical sector. Bull case: the DCF Models group reads highest at a median of 803.00 TWD per share, and 19 of the 26 models we run sit above the 539.00 TWD price. Bear case: the Asset-Based group reads lowest at 103.62 TWD, and 7 of the 26 models stay below the price. Evidence for this calculation is medium.

Over the trailing twelve months, Hotai Motor Co Ltd generated revenue of 280B TWD at a net margin of 6.9%. Revenue declined 2.4% year over year. It earns a return on equity of 20.7%. Net debt stands at 291B TWD. Fundamentals as of Aug 13, 2026

Our scenario range runs from 356.25 TWD (bear case) to 637.02 TWD (bull case); at 539.00 TWD, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 15% below its 52-week high and 18% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −25% fair-value upside, at −12%, 2207 screens cheaper than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly 9.45 TWD per share, which is 2.0 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF 538.24 TWD 845.59 TWD 1,340 TWD 79
Growth DCF 548.69 TWD 822.26 TWD 1,236 TWD 78
Owner Earnings 215.59 TWD 328.83 TWD 510.88 TWD 75
All 26 models by family
DCF Models
FCF DCF 538.24 TWD 845.59 TWD 1,340 TWD 79
Owner Earnings 215.59 TWD 328.83 TWD 510.88 TWD 75
5Y Revenue Exit 464.94 TWD 719.69 TWD 1,043 TWD 72
5Y EBITDA Exit 629.12 TWD 1,028 TWD 1,494 TWD 74
5Y P/E Exit 530.68 TWD 843.03 TWD 1,170 TWD 70
10Y Revenue Exit 472.54 TWD 715.25 TWD 1,039 TWD 66
10Y EBITDA Exit 593.12 TWD 934.41 TWD 1,392 TWD 68
10Y P/E Exit 528.86 TWD 803.00 TWD 1,139 TWD 64
Earnings-Based
Graham-Dodd 230.70 TWD 727.14 TWD 968.28 TWD 64
Lynch FV 159.35 TWD 227.65 TWD 295.94 TWD 61
PEG = 1.0 159.35 TWD 227.65 TWD 295.94 TWD 57
EPV 479.71 TWD 559.54 TWD 630.49 TWD 74
Dividend Discount
Gordon GGM 192.38 TWD 420.00 TWD 706.67 TWD 65
DDM Multi-Stage 192.38 TWD 326.21 TWD 437.71 TWD 66
Multiples
P/E Multiple 559.78 TWD 746.38 TWD 932.97 TWD 63
P/S Multiple 432.56 TWD 576.75 TWD 720.93 TWD 58
P/B Multiple 432.56 TWD 576.75 TWD 720.93 TWD 55
EV/EBIT 758.04 TWD 1,002 TWD 1,245 TWD 66
EV/EBITDA 752.71 TWD 994.50 TWD 1,236 TWD 67
EV/Revenue 446.61 TWD 626.30 TWD 805.98 TWD 54
Asset-Based
NCAV (Graham) 77.33 TWD 103.62 TWD 154.65 TWD 54
Growth DCF
Growth DCF 548.69 TWD 822.26 TWD 1,236 TWD 78
Rev-Margin DCF 464.94 TWD 720.99 TWD 1,017 TWD 72
Economic Profit
Residual Income 220.47 TWD 274.61 TWD 905.42 TWD 64
ROIC Compounder 508.35 TWD 629.94 TWD 765.28 TWD 72
Growth Earnings
Growth-Adj P/E 462.61 TWD 660.87 TWD 859.14 TWD 67

Widest divergence: DCF Models (803.00 TWD) versus Asset-Based (103.62 TWD). Highest evidence: FCF DCF (79).

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Key figures & financial health

P/E ratio 15.9
P/S ratio 1.08 P/E × margin
EPS (TTM) 33.88 TWD price ÷ EPS = P/E 15.9
Dividend yield 3.7% payout 59.0%
Net margin 6.8% FY2025
Return on equity 20.7% TTM
More key figures
Profitability
Return on assets (EBIT) 4.7% avg 5y
Operating margin 13.0% TTM
Growth
Revenue (TTM) 280B TWD TTM
Revenue growth (YoY) −2.4% 3y avg +7.3%
EPS growth (YoY) +11.4%
Balance sheet & cash flow
Free cash flow 23.7B TWD FY2025
Net debt 291B TWD FY2025 · ≈ 12.3 yrs of FCF

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 36/100

Of which business quality 36 · Market factors (momentum, volatility) 52

Profitability 40
Margins and returns on capital today
Quality Growth 51
Are margins and returns improving?
Cashflow 58
Earnings quality: real cash, not paper profit
Fin. Strength 13
Balance sheet, leverage, solvency risk
Investment 39
Disciplined investing over empire-building
Low Volatility 81
Calm price path (market factor)
Momentum 41
Price trend over the last 3–12 months (market factor)
52W Momentum 39
Distance to the 52-week high (market factor)
Net Issuance 14
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Hotai Motor Co.,Ltd., together with its subsidiaries, exports and imports, trades, and sells vehicles, automobile air conditioners, and related parts in Taiwan and Mainland China.

Full company description

Hotai Motor Co.,Ltd., together with its subsidiaries, exports and imports, trades, and sells vehicles, automobile air conditioners, and related parts in Taiwan and Mainland China. It is also involved in the installment sales and vehicle leasing, used vehicles selling, property and casualty insurance, trading of vehicle products/accessories, solar power, energy storage, and vehicle repairing activities, electronic parts and components manufacturing, as well as property management business. In addition, the company provides e-commerce platform services, decision making, capital using and financial management, information, taxi, employee training, consulting, factoring, freight forwarding, transportation and storage, and other services; and designs and produces advertisement. It provides products under the TOYOTA, LEXUS, and HINO brands. Hotai Motor Co.,Ltd. was incorporated in 1947 and is headquartered in Taipei, Taiwan.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Hotai Motor Co Ltd reported revenue of 278B TWD in FY2025 versus 228B TWD in FY2021, a compound +5.1%/yr. Reported net income was 18.9B TWD in FY2025, compounding +3.9%/yr from FY2021.

Growth Quality 71/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
278B TWD
Latest YoY
+8.6%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+7.3%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+3.7%
Avg. revenue growth/yr (25Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.4%
Value creation/yr (5Y, in TWD) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year. Measured in TWD: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+6.5% (2.8 + 3.7)
Revenue +5.1%/yr
FY21 228B TWD
FY22 225B TWD
FY23 275B TWD
FY24 256B TWD
FY25 278B TWD
Net income +3.9%/yr
FY21 16.2B TWD
FY22 −15.7B TWD
FY23 22.9B TWD
FY24 20.5B TWD
FY25 18.9B TWD
Character of growth · EPS growth decomposed (2014-2025) +7.8 % p.a.
Revenue per share +4.9 %

of which total revenue +5.6 % · buybacks/dilution −0.7 %

EBIT margin +7.6 %
Tax rate +0.3 %
Residual (interest, one-offs) −4.8 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

2207 screens 13% overvalued. Compare with Carvana Co →

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Cite: Fair Value Calculator (2026). "Hotai Motor Co Ltd Fair Value". https://www.fairvalue-calculator.com/stock/2207

Peer Group

Auto & Truck Dealerships · 97 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 36 · Bottom 25%
Fair Value upside −12% · Below median
Return on equity (TTM) 21% · Top 25%
Return on assets 4% · Above median
Net margin (TTM) 7% · Top 25%
Operating margin (TTM) 13% · Top 25%
Revenue growth −2% · Below median
Dividend yield (TTM) 3.7% · Above median
Debt / equity 0.10× · Lower than median

Valuation Multiples vs Auto & Truck Dealerships median · lower = cheaper

P/E (TTM) 15.9× · Cheaper than median
P/B 3.08× · Pricier than 75% of peers
P/S (TTM) 0.95× · Pricier than median
P/FCF 0.4× · Cheaper than median
EV/EBITDA 5.1× · Cheaper than median
PEG 0.80× · Cheaper than median

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE17 · sector 32
FUTURE0 · sector 13
PAST83 · sector 20
HEALTH95 · sector 90
DIVIDEND74 · sector 71

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Auto & Truck Dealerships stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Carvana Co CVNA $74.04 $17.59 −76%
Penske Automotive Group PAG $219.62 $217.41 −1%
D'Ieteren Group DIE €175.00 €105.40 −40%
CarMax, Inc KMX $62.11 $29.44 −53%
Lithia Motors, Inc LAD $369.61 $498.50 +35%
AutoNation, Inc AN $196.57 $329.77 +68%
AUTO1 Group AG1 €21.78 €5.84 −73%
Rush Enterprises, Inc RUSHA $76.27 $66.27 −13%
Valvoline Inc VVV $33.96 $24.55 −28%
Eagers Automotive Limited APE A$23.44 A$17.66 −25%

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Frequently asked questions

Is Hotai Motor Co Ltd (2207) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of 475.00 TWD versus a price of 539.00 TWD, about −12% upside (overvalued).
What is the fair value of 2207?
Our model-based fair value for Hotai Motor Co Ltd is 475.00 TWD (as of Aug 13, 2026), built from audited fundamentals. The current price: 539.00 TWD.
What is the quality score of 2207?
Hotai Motor Co Ltd has a Quality Score of 36/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Hotai Motor Co Ltd (2207)?
Hotai Motor Co Ltd reported trailing-twelve-month revenue of about 280B TWD (latest available figure, as of Aug 13, 2026).
What is the net profit margin of 2207?
The net profit margin of Hotai Motor Co Ltd is about 6.9%, meaning it keeps roughly 6.9% of revenue as net income. Based on the latest reported figures.
Does Hotai Motor Co Ltd pay a dividend?
Hotai Motor Co Ltd currently shows a dividend yield of about 3.71% relative to its recent price (as of Aug 13, 2026).
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