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Powerchip Semiconductor Manufacturing Corp. (6770) Fair Value & Analysis

Technology · TW · Market cap 294B TWD (≈ $9.3B)

What is Powerchip Semiconductor Manufacturing Corp. really worth?

PS Powerchip Semiconductor Manufacturing Corp. 6770 · TW
Price68.50 TWD
Fair Value120.80 TWD
Upside+76.4%
Quality38/100

Below-average quality, trading 43% below our fair value of 120.80 TWD.

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Strengths

Solidly profitable · 15.3% net margin

Risks

!Weak Growth (revenue 5y +0.5 %/yr)
!Moderate debt · negative free cash flow
!Trails peers (5/13)
!Narrow moat 32/100
!Evidence only medium, so the estimate is less certain
!Weak on dividend: 8 out of 100
Evidence: Medium Range 68.53 TWD – 163.51 TWD

Fair value as of: Aug 26, 2026

From 4 valuation models · updated 10 days ago

Fair value updated Aug 26, 2026, revised from 120.60 TWD to 120.80 TWD (+0.2%) since Aug 23, 2026. Share price +3.6% over the past month.

What runs behind every stock

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

What matters now

  • The large discount to fair value meets weak quality (38/100). That raises the risk this is a value trap rather than a bargain.
  • A fairly wide model range (68.53 TWD to 163.51 TWD) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

88.70 TWD 11.95 TWD Fair Value 120.80 TWD Mar 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 26, 2026.

How to read this chart

60‑month range 11.95 TWD – 88.70 TWD · fair‑value band 68.53 TWD – 163.51 TWD · the 68.50 TWD price screens below the 120.80 TWD fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 26, 2026.

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Analysis

Powerchip Semiconductor Manufacturing Corp. (6770) currently trades at 68.50 TWD, while our model-based Fair Value estimate is 120.80 TWD, implying the stock looks roughly 43.3% undervalued today. The Quality Score stands at 38/100 (below-average quality), in the Technology sector. How firm this estimate is: it rests on 4 models at a data quality of 95/100, which puts the evidence level at medium.

Over the trailing twelve months, Powerchip Semiconductor Manufacturing Corp. generated revenue of 49.2B TWD at a net margin of 15.3%. Revenue grew 22.1% year over year. It earns a return on equity of 8.2%. Net debt stands at 44.8B TWD. Fundamentals as of Aug 26, 2026

Our scenario range runs from 68.53 TWD (bear case) to 163.51 TWD (bull case); at 68.50 TWD, the current price sits below 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 28% below its 52-week high and 372% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at −59% fair-value upside, at 76%, 6770 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 1.14 TWD per share, which is 0.9 % 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
DDM Multi-Stage 2.74 TWD 4.90 TWD 6.24 TWD 66
Gordon GGM 2.74 TWD 5.99 TWD 10.07 TWD 65
EV/EBITDA 0.6100 TWD 62
All 4 models by family
Dividend Discount
Gordon GGM 2.74 TWD 5.99 TWD 10.07 TWD 65
DDM Multi-Stage 2.74 TWD 4.90 TWD 6.24 TWD 66
Multiples
EV/EBITDA 0.6100 TWD 62
Asset-Based
NCAV (Graham) 9.61 TWD 12.87 TWD 19.22 TWD 54

Widest divergence: Asset-Based (12.87 TWD) versus Dividend Discount (4.90 TWD). Highest evidence: DDM Multi-Stage (66).

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Key figures & financial health

P/E ratio 41.0 as of Jul 18, 2026
P/S ratio 6.47 TTM
EPS (TTM) −1.86 TWD price ÷ EPS = P/E 41.0
Dividend yield 0.4%
Net margin −16.7% FY2025
Return on equity 8.2% TTM
More key figures
Profitability
Return on assets (EBIT) 4.0% avg 5y
Operating margin 105% TTM
Growth
Revenue (TTM) 49.2B TWD TTM
Revenue growth (YoY) +22.1% 3y avg −15.0%
EPS growth (YoY) −91.7%
Balance sheet & cash flow
Free cash flow −2.5B TWD FY2025
Net debt 44.8B TWD FY2025

Figures from reported company fundamentals · as of Aug 26, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 38/100

Of which business quality 36 · Market factors (momentum, volatility) 44

Profitability 3
Margins and returns on capital today
Quality Growth 27
Are margins and returns improving?
Cashflow 17
Earnings quality: real cash, not paper profit
Fin. Strength 57
Balance sheet, leverage, solvency risk
Investment 68
Disciplined investing over empire-building
Low Volatility 0
Calm price path (market factor)
Momentum 51
Price trend over the last 3–12 months (market factor)
52W Momentum 84
Distance to the 52-week high (market factor)
Net Issuance 70
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

Powerchip Semiconductor Manufacturing Corporation, together with its subsidiaries, engages in the research and development, manufacturing, testing, packaging, and sale of integrated circuit products in Taiwan, the United States, China, and internationally. It also provides foundry, design, overhaul, manufacturing, and memory wafer testing services.

Full company description

Powerchip Semiconductor Manufacturing Corporation, together with its subsidiaries, engages in the research and development, manufacturing, testing, packaging, and sale of integrated circuit products in Taiwan, the United States, China, and internationally. It also provides foundry, design, overhaul, manufacturing, and memory wafer testing services. The company was formerly known as Maxchip Electronics Corp and changed its name to Powerchip Semiconductor Manufacturing Corporation in September 2018. The company was incorporated in 2008 and is based in Hsinchu City, Taiwan. Powerchip Semiconductor Manufacturing Corp. is a subsidiary of Powerchip Technology Corporation.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Powerchip Semiconductor Manufacturing Corp. reported revenue of 46.7B TWD in FY2025 versus 65.6B TWD in FY2021, a compound −8.1%/yr. Reported net income was −7.8B TWD in FY2025.

Growth Quality 25/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
46.7B TWD
Latest YoY
+4.5%
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.
−15.0%
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.
+0.5%
Avg. revenue growth/yr (9Y) 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.
+25.8%
Value creation/yr We only publish this rate when it is defensible. Reason: fiscal 2025 is a loss year, no rate is defined from a loss
not computed
Revenue −8.1%/yr
FY21 65.6B TWD
FY22 76.1B TWD
FY23 44.0B TWD
FY24 44.7B TWD
FY25 46.7B TWD
Net income
FY21 16.1B TWD
FY22 21.6B TWD
FY23 −1.6B TWD
FY24 −6.8B TWD
FY25 −7.8B TWD

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Cite: Fair Value Calculator (2026). "Powerchip Semiconductor Manufacturing Corp. Fair Value". https://www.fairvalue-calculator.com/stock/6770

Peer Group

Semiconductors · 325 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 38 · Bottom 25%
Fair Value upside +76% · Top 25%
Return on equity (TTM) 8% · Above median
Return on assets −2% · Bottom 25%
Net margin (TTM) 15% · Above median
Operating margin (TTM) −3% · Bottom 25%
Revenue growth 22% · Above median
Dividend yield (TTM) 0.4% · Below median
Debt / equity 0.72× · Higher than 75% of peers

Valuation Multiples vs Semiconductors median · lower = cheaper

P/E (TTM) 41.0× · Cheaper than median
P/B 3.59× · Pricier than median
P/S (TTM) 5.98× · Pricier than median
EV/EBITDA 64.3× · Pricier than 75% of peers

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
VALUE100 · sector 0
FUTURE100 · sector 65
PAST33 · sector 25
HEALTH64 · sector 96
DIVIDEND8 · sector 18

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 Semiconductors stocks, each showing price versus our Fair Value estimate (as of Aug 26, 2026).

Stock Price Fair Value vs Fair Value
NVIDIA Corporation NVDA $227.98 $98.98 −57%
Taiwan Semiconductor Manufacturing Company TSM $427.30 $296.10 −31%
Broadcom Inc AVGO $371.54 $118.27 −68%
SK hynix Inc 000660 1,647,000 KRW 1,481,291 KRW −10%
Micron Technology, Inc MU $932.86 $148.38 −84%
Advanced Micro Devices, Inc AMD $476.67 $55.02 −88%
Intel Corporation INTC $92.09 $35.41 −62%
Texas Instruments Incorporated TXN $266.54 $78.54 −71%
QUALCOMM Incorporated QCOM $164.78 $147.20 −11%
MediaTek Inc 2454 3,845 TWD 1,559 TWD −59%

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Frequently asked questions

Is Powerchip Semiconductor Manufacturing Corp. (6770) overvalued or undervalued?
As of Aug 26, 2026, our model estimates a fair value of 120.80 TWD versus a price of 68.50 TWD, about +76% upside (undervalued).
What is the fair value of 6770?
Our model-based fair value for Powerchip Semiconductor Manufacturing Corp. is 120.80 TWD (as of Aug 26, 2026), built from audited fundamentals. The current price: 68.50 TWD.
What is the quality score of 6770?
Powerchip Semiconductor Manufacturing Corp. has a Quality Score of 38/100. 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 Powerchip Semiconductor Manufacturing Corp. (6770)?
Powerchip Semiconductor Manufacturing Corp. reported trailing-twelve-month revenue of about 49.2B TWD (latest available figure, as of Aug 26, 2026).
What is the net profit margin of 6770?
The net profit margin of Powerchip Semiconductor Manufacturing Corp. is about 15.3%, meaning it keeps roughly 15.3% of revenue as net income. Based on the latest reported figures.
Does Powerchip Semiconductor Manufacturing Corp. pay a dividend?
Powerchip Semiconductor Manufacturing Corp. currently shows a dividend yield of about 0.38% relative to its recent price (as of Aug 26, 2026).
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