Formosa Petrochemical Corporation (6505) Fair Value & Analysis
Energy · TW · Market cap 757B TWD
Fair value as of: Aug 13, 2026
From 24 valuation models · updated yesterday
Fair value updated Aug 13, 2026, revised from 16.68 TWD to 26.41 TWD (+58.3%) since Jul 17, 2026. Share price −2.6% over the past month.
A solid business, but screening 63% overvalued on our models.
What matters now
- The price sits above even our optimistic bull case (33.01 TWD). The favourable scenario is already priced in.
- Solid but not exceptional quality (66/100) and above fair value, neither a clear bargain nor a standout compounder.
Price vs Fair Value (5 years)
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 30.95 TWD – 108.83 TWD · fair‑value band 19.81 TWD – 33.01 TWD · the 70.90 TWD price screens above the 26.41 TWD fair value. Dashed = 300-day average. As of Aug 13, 2026.
Analysis
Formosa Petrochemical Corporation (6505) currently trades at 70.90 TWD, while our model-based Fair Value estimate is 26.41 TWD, implying the stock looks roughly 62.8% overvalued today. The Quality Score stands at 66/100 (solid quality), in the Energy sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).
Over the trailing twelve months, Formosa Petrochemical Corporation generated revenue of 615B TWD at a net margin of 4.3%. Revenue declined 6.5% year over year. It earns a return on equity of 7.8%. The balance sheet holds a net cash position of 26.4B TWD. Fundamentals as of Aug 13, 2026
Our scenario range runs from 19.81 TWD (bear case) to 33.01 TWD (bull case); at 70.90 TWD, the current price sits above 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 near its 52-week high and 103% above its 52-week low, currently above its 200-day average. For context, the median of 10 Energy peers we cover trades at -56% fair-value upside, at -63%, 6505 screens richer than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted 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.
All 24 models by family
Widest divergence: Growth DCF (31.71 TWD) versus Dividend Discount (8.60 TWD). Highest evidence: Growth DCF (80).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 65 · Market factors (momentum, volatility) 81
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.
About the company
Formosa Petrochemical Corporation, together with its subsidiaries, engages in the production and sale of petroleum products and petrochemical raw materials in Taiwan, Australia, South Korea, the Philippines, Singapore, Malaysia, Mainland China, and internationally.
Full company description
Formosa Petrochemical Corporation, together with its subsidiaries, engages in the production and sale of petroleum products and petrochemical raw materials in Taiwan, Australia, South Korea, the Philippines, Singapore, Malaysia, Mainland China, and internationally. The company offers gasoline, diesel, jet fuel/kerosene, fuel oil/asphalt/sulfur, naphtha, base oil, liquified petroleum gas, and lubricants. It also provides ethylene, propylene, butadiene, and BTX; and electricity, steam, and other utilities products. Formosa Petrochemical Corporation was founded in 1992 and is headquartered in Mailiao, Taiwan.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Formosa Petrochemical Corporation reported revenue of 626B TWD in FY2025 versus 620B TWD in FY2021, a compound +0.2%/yr. Reported net income was 9.9B TWD in FY2025, compounding −33.1%/yr from FY2021.
of which total revenue +1.5 pp · buybacks/dilution +0.0 pp
Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).
6505 screens 63% overvalued. Compare with Reliance Industries Limited →
Peer Group
Oil & Gas Refining & Marketing · 115 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.
Valuation Multiples vs Oil & Gas Refining & Marketing median · lower = cheaper
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.
VALUE 0: the price sits above our fair-value range.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Oil & Gas Refining & Marketing stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Reliance Industries Limited RELIANCE | ₹1,329 | ₹751.26 | -43% |
| Valero Energy Corporation VLO | $330.21 | $127.32 | -61% |
| Marathon Petroleum Corporation MPC | $348.25 | $133.18 | -62% |
| Phillips 66 PSX | $225.58 | $99.41 | -56% |
| Neste Oyj NESTE | €29.61 | €3.83 | -87% |
| HF Sinclair Corporation DINO | $87.93 | $44.96 | -49% |
| Bharat Petroleum Corporation BPCL | ₹317.00 | ₹846.81 | +167% |
| SK Innovation Co 096770 | 122,400 KRW | 53,541 KRW | -56% |
| S-Oil Corporation 010950 | 140,900 KRW | 19,441 KRW | -86% |
| HD Hyundai Co 267250 | 230,500 KRW | 286,077 KRW | +24% |
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Frequently asked questions
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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