The Discounted Cash Flow (DCF) valuation of Sanyang Motor Co Ltd (2206.TW) is 78.71 TWD. With the latest stock price at 63.50 TWD, the upside of Sanyang Motor Co Ltd based on DCF is 23.9%.
Based on the latest price of 63.50 TWD and our DCF valuation, Sanyang Motor Co Ltd (2206.TW) is a buy. Buying 2206.TW stocks now will result in a potential gain of 23.9%.
Range | Selected | |
WACC / Discount Rate | 5.7% - 7.8% | 6.7% |
Long-term Growth Rate | 0.5% - 1.5% | 1.0% |
Fair Price | 59.37 - 111.94 | 78.71 |
Upside | -6.5% - 76.3% | 23.9% |
(TWD in millions) | Projections | |||||
12-2024 | 12-2025 | 12-2026 | 12-2027 | 12-2028 | 12-2029 | |
Revenue | 65,625 | 58,871 | 66,423 | 72,997 | 82,122 | 92,302 |
% Growth | 2% | -10% | 13% | 10% | 13% | 12% |
Cost of goods sold | (52,244) | (46,867) | (52,880) | (58,114) | (65,378) | (73,483) |
% of Revenue | 80% | 80% | 80% | 80% | 80% | 80% |
Selling, G&A expenses | (6,081) | (5,455) | (6,155) | (6,764) | (7,610) | (8,553) |
% of Revenue | 9% | 9% | 9% | 9% | 9% | 9% |
Research & Development | (1,416) | (1,270) | (1,433) | (1,575) | (1,772) | (1,991) |
% of Revenue | 2% | 2% | 2% | 2% | 2% | 2% |
Net interest & other expenses | 592 | 531 | 599 | 659 | 741 | 833 |
% of Revenue | 1% | 1% | 1% | 1% | 1% | 1% |
Tax expense | (1,343) | (1,016) | (1,146) | (1,260) | (1,417) | (1,593) |
Tax rate | 21% | 17% | 17% | 17% | 17% | 17% |
Net profit | 5,132 | 4,794 | 5,408 | 5,944 | 6,687 | 7,516 |
% Margin | 8% | 8% | 8% | 8% | 8% | 8% |