# Elite Material (2383.TW)

Canonical: https://gigainvestors.com/s/2383.TW

Analysis as of: 2026-10-16T07:33:52.112Z. Financial observations: FY2002–FY2025.

Listing currency: TWD. Reporting currency: TWD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: TWD 5,120.00 per share; close as of 2026-10-15.

Estimated value: low TWD 753.90 per share, central TWD 1,053.10 per share, high TWD 1,227.32 per share. Buy at or below the central value TWD 1,053.10 per share. Valuation as of 2026-10-16T07:33:52.112Z; scenarios are not confidence intervals.

Expected annual return: 4.4% at the stated quote. About 4.4% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; TW 10-year bond 2.0% + 4 points).

## Checklist

### understandable: pass

- 1 revenue decline in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 1

- Years with a net loss: 0

- Operating margin variation: 0.12×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.18×

- FY2017: 0.17×

- FY2018: 0.12×

- FY2019: 0.17×

- FY2020: 0.18×

- FY2021: 0.18×

- FY2022: 0.17×

- FY2023: 0.18×

- FY2024: 0.19×

- FY2025: 0.20×

### moat: pass

- ROIC, median of available years: 29.9%

- ROIC, second-lowest year: 21.0%

- Typical minus recent gross margin: -1.9 pp

- Typical gross margin (annual median): 26.0%

- Recent gross margin (lower of latest and 3-year median): 27.9%

- Years with nonpositive capital: 0

- Capital spending / revenue: 5.7%

- ROIC including acquisitions, ten-year median: 27.3%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 36.6%

- FY2017: 34.6%

- FY2018: 21.0%

- FY2019: 32.0%

- FY2020: 30.4%

- FY2021: 32.6%

- FY2022: 24.3%

- FY2023: 19.5%

- FY2024: 25.9%

- FY2025: 29.3%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: 0.79×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: TWD 32B

- Net income, five-year total: TWD 40B

- Return on incremental invested capital: 25.3%

- Working capital / revenue, annual change: 1.2 pp

- Working capital / revenue, change between three-year averages: 9.5 pp

- Working capital / revenue, final three-year average: 30.9%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.99×

- FY2022: -0.14×

- FY2023: 0.60×

- FY2024: 0.99×

- FY2025: 0.99×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 34.6% vs 25.9%

- Per-share earnings: 8.71 to 26.69 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 1.0%

- Ordinary dilution, 5-year annual growth: 1.3%

- Market cap gain: TWD 550B

- Cumulative retained earnings: TWD 24B

- Diluted shares, 10-year annual growth: 1.0%

- Diluted shares, 5-year annual growth: 1.3%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 15.0%

- Per-share value change: TWD 17.98

- Per-share value, starting three-year median: TWD 8.71

- Per-share value, ending three-year median: TWD 26.69

- Buyback history: 0 years

- Debt-funded buybacks: No

- Acquisition spending: TWD 744M

- Cumulative net income, 10 years: TWD 55B

- ROIC, first three-year median: 34.6%

- ROIC, last three-year median: 25.9%

Chart: Earnings per share; fiscal year observations.

- FY2016: TWD 8.71

- FY2017: TWD 8.73

- FY2018: TWD 5.49

- FY2019: TWD 10.14

- FY2020: TWD 11.18

- FY2021: TWD 16.50

- FY2022: TWD 14.57

- FY2023: TWD 15.77

- FY2024: TWD 26.69

- FY2025: TWD 41.67

### accounting: pass

- Sloan accruals: 2.5%

- Receivables to sales index (DSRI): 0.95×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.82×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.00×

Chart: Sloan accruals; fiscal year observations.

- FY2016: 0.9%

- FY2017: -1.3%

- FY2018: -1.5%

- FY2019: 3.0%

- FY2020: 0.6%

- FY2021: 4.0%

- FY2022: -5.6%

- FY2023: 4.9%

- FY2024: 3.0%

- FY2025: 2.5%

## Holders

## Price story

Price needs cash profits to grow 27.7% a year for ten years · sales +46.4%

Story as of 2026-10-16T09:59:58.043Z; price observation 2026-10-15.

Price needs cash profits to grow 27.7% a year for ten years

### Sales · FY2024–2025

sales +46.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: TWD 22B 

- FY2017: TWD 24B 

- FY2018: TWD 23B 

- FY2019: TWD 25B 

- FY2020: TWD 27B 

- FY2021: TWD 39B 

- FY2022: TWD 39B 

- FY2023: TWD 41B 

- FY2024: TWD 64B 

- FY2025: TWD 94B 

### Gross margin · FY2025

gross margin 29.8%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 26.1% 

- FY2017: 24.7% 

- FY2018: 20.0% 

- FY2019: 24.5% 

- FY2020: 25.9% 

- FY2021: 26.2% 

- FY2022: 25.1% 

- FY2023: 27.4% 

- FY2024: 27.9% 

- FY2025: 29.8% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in electronic components; annual sales are TWD 94.3 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2025: revenue 94260578000; grossProfit 28119910000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 2383.TW: Elite Material Co., Ltd. engages in the manufacturing and sales of copper clad laminates, electronic-industrial specialty chemical and raw materials, and electronic components in Taiwan, China, and internationally. The company also offers printed circuit boards, prepreg, and adhesive sheets. Its products are used in various industries, including mobile devices, infrastructure, automotives, aerospace, military, industrial, and autonomous driving applications. The company was incorporated in 1992 and is headquartered in Taoyuan City, Taiwan.

### Why customers stay

Margins ranged from 27.4% to 29.8% during 2023–25; it earns 29.9% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2023: grossProfit / revenue = 27.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2024: grossProfit / revenue = 27.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2025: grossProfit / revenue = 29.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); 10-year return on capital observations [[2016,0.36593700526516415],[2017,0.3456644621728776],[2018,0.2100584889803888],[2019,0.32003223559595256],[2020,0.3037746197938879],[2021,0.3259380028727756],[2022,0.24332686669978967],[2023,0.1951774839063837],[2024,0.25948971176095936],[2025,0.2932254261667387]]; median 0.2985000229803133. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Spends 54.9% of cash earnings on expansion; earns 25.3% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2016: growth capex 54615000; upkeep 468671000; owner earnings 2770355000. Growth capex / owner earnings = 0.019714079964481088.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2017: growth capex 278113000; upkeep 445288000; owner earnings 2790957000. Growth capex / owner earnings = 0.09964789855236035.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2018: growth capex 0; upkeep 752379000; owner earnings 1466626000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2019: growth capex 433215788.0074395; upkeep 730853211.9925605; owner earnings 3002048788.0074396. Growth capex / owner earnings = 0.1443067113825886.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2020: growth capex 524358636.20259774; upkeep 718493363.7974023; owner earnings 3579118636.2025976. Growth capex / owner earnings = 0.14650496099758684.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2021: growth capex 1870221000; upkeep 719394000; owner earnings 5432569000. Growth capex / owner earnings = 0.3442608828346221.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2023: growth capex 821130358.4478254; upkeep 3424372641.5521746; owner earnings 3304026958.4478254. Growth capex / owner earnings = 0.2485241097528993.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2024: growth capex 4143151000; upkeep 1769446000; owner earnings 9442737200. Growth capex / owner earnings = 0.4387658908901965.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); FY2025: growth capex 7967860000; upkeep 1849254000; owner earnings 14519328600. Growth capex / owner earnings = 0.5487760639290167.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); Incremental return on capital 0.25323301285868377, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); Dividend observations: [[2016,1370894000],[2017,1502359000],[2018,1534332000],[2019,1216465000],[2020,1923434000],[2021,2330428000],[2022,3333150000],[2023,2829806000],[2024,3439332000],[2025,5893695000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 19% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 2383.TW SharesStats.PercentInsiders = 19.021 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 27.7% yearly over ten years; actual growth was 17.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:33:52.112Z); Ten-year compound average after fade. Initial solved rate 0.3933597800716856. Price 5120; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 8.486265054157094 → FY2025 41.31276116876133. Closing-price date 2026-10-15.

## Monthly share-price history (TWD per share)

- 2016-10: TWD 88.10 per share

- 2016-11: TWD 83.80 per share

- 2016-12: TWD 90.00 per share

- 2017-01: TWD 109.50 per share

- 2017-02: TWD 112.50 per share

- 2017-03: TWD 118.00 per share

- 2017-04: TWD 120.50 per share

- 2017-05: TWD 125.00 per share

- 2017-06: TWD 147.50 per share

- 2017-07: TWD 149.50 per share

- 2017-08: TWD 152.00 per share

- 2017-09: TWD 144.00 per share

- 2017-10: TWD 120.00 per share

- 2017-11: TWD 114.00 per share

- 2017-12: TWD 101.50 per share

- 2018-01: TWD 102.50 per share

- 2018-02: TWD 109.50 per share

- 2018-03: TWD 93.80 per share

- 2018-04: TWD 73.00 per share

- 2018-05: TWD 80.20 per share

- 2018-06: TWD 79.80 per share

- 2018-07: TWD 88.00 per share

- 2018-08: TWD 88.80 per share

- 2018-09: TWD 86.00 per share

- 2018-10: TWD 61.90 per share

- 2018-11: TWD 72.90 per share

- 2018-12: TWD 65.70 per share

- 2019-01: TWD 80.00 per share

- 2019-02: TWD 95.20 per share

- 2019-03: TWD 106.50 per share

- 2019-04: TWD 99.20 per share

- 2019-05: TWD 85.90 per share

- 2019-06: TWD 93.70 per share

- 2019-07: TWD 120.00 per share

- 2019-08: TWD 132.00 per share

- 2019-09: TWD 125.50 per share

- 2019-10: TWD 127.50 per share

- 2019-11: TWD 122.00 per share

- 2019-12: TWD 137.00 per share

- 2020-01: TWD 115.50 per share

- 2020-02: TWD 120.00 per share

- 2020-03: TWD 106.00 per share

- 2020-04: TWD 130.00 per share

- 2020-05: TWD 147.50 per share

- 2020-06: TWD 159.50 per share

- 2020-07: TWD 177.00 per share

- 2020-08: TWD 170.00 per share

- 2020-09: TWD 146.00 per share

- 2020-10: TWD 150.00 per share

- 2020-11: TWD 156.00 per share

- 2020-12: TWD 157.00 per share

- 2021-01: TWD 150.50 per share

- 2021-02: TWD 169.00 per share

- 2021-03: TWD 169.00 per share

- 2021-04: TWD 178.00 per share

- 2021-05: TWD 164.00 per share

- 2021-06: TWD 218.00 per share

- 2021-07: TWD 225.00 per share

- 2021-08: TWD 234.00 per share

- 2021-09: TWD 217.50 per share

- 2021-10: TWD 240.50 per share

- 2021-11: TWD 280.00 per share

- 2021-12: TWD 278.00 per share

- 2022-01: TWD 264.50 per share

- 2022-02: TWD 270.00 per share

- 2022-03: TWD 258.00 per share

- 2022-04: TWD 222.00 per share

- 2022-05: TWD 232.50 per share

- 2022-06: TWD 178.50 per share

- 2022-07: TWD 166.00 per share

- 2022-08: TWD 162.00 per share

- 2022-09: TWD 160.00 per share

- 2022-10: TWD 146.50 per share

- 2022-11: TWD 190.50 per share

- 2022-12: TWD 171.00 per share

- 2023-01: TWD 180.50 per share

- 2023-02: TWD 190.50 per share

- 2023-03: TWD 182.00 per share

- 2023-04: TWD 163.50 per share

- 2023-05: TWD 211.00 per share

- 2023-06: TWD 243.50 per share

- 2023-07: TWD 414.00 per share

- 2023-08: TWD 437.50 per share

- 2023-09: TWD 428.00 per share

- 2023-10: TWD 359.00 per share

- 2023-11: TWD 380.00 per share

- 2023-12: TWD 382.00 per share

- 2024-01: TWD 461.00 per share

- 2024-02: TWD 495.00 per share

- 2024-03: TWD 403.50 per share

- 2024-04: TWD 412.00 per share

- 2024-05: TWD 408.50 per share

- 2024-06: TWD 475.00 per share

- 2024-07: TWD 438.00 per share

- 2024-08: TWD 465.00 per share

- 2024-09: TWD 447.00 per share

- 2024-10: TWD 419.50 per share

- 2024-11: TWD 468.50 per share

- 2024-12: TWD 618.00 per share

- 2025-01: TWD 614.00 per share

- 2025-02: TWD 632.00 per share

- 2025-03: TWD 545.00 per share

- 2025-04: TWD 556.00 per share

- 2025-05: TWD 749.00 per share

- 2025-06: TWD 882.00 per share

- 2025-07: TWD 1,105.00 per share

- 2025-08: TWD 1,220.00 per share

- 2025-09: TWD 1,225.00 per share

- 2025-10: TWD 1,360.00 per share

- 2025-11: TWD 1,525.00 per share

- 2025-12: TWD 1,645.00 per share

- 2026-01: TWD 1,745.00 per share

- 2026-02: TWD 2,440.00 per share

- 2026-03: TWD 2,600.00 per share

- 2026-04: TWD 4,545.00 per share

- 2026-05: TWD 5,120.00 per share

- 2026-06: TWD 5,390.00 per share

- 2026-07: TWD 4,745.00 per share

- 2026-08: TWD 5,485.00 per share

- 2026-09: TWD 4,935.00 per share

- 2026-10: TWD 5,545.00 per share

## Annual estimated value (TWD per share)

- FY2016: low TWD 90.96 per share, central TWD 124.83 per share, high TWD 144.55 per share

- FY2017: low TWD 133.71 per share, central TWD 184.55 per share, high TWD 214.15 per share

- FY2018: low TWD 132.72 per share, central TWD 182.13 per share, high TWD 210.89 per share

- FY2019: low TWD 154.71 per share, central TWD 217.27 per share, high TWD 252.17 per share

- FY2020: low TWD 160.21 per share, central TWD 226.50 per share, high TWD 263.47 per share

- FY2021: low TWD 220.40 per share, central TWD 313.42 per share, high TWD 365.30 per share

- FY2022: low TWD 207.26 per share, central TWD 280.19 per share, high TWD 324.06 per share

- FY2023: low TWD 218.76 per share, central TWD 301.85 per share, high TWD 350.33 per share

- FY2024: low TWD 359.09 per share, central TWD 496.60 per share, high TWD 576.68 per share

- FY2025: low TWD 566.07 per share, central TWD 786.55 per share, high TWD 914.94 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:39:36.223Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.