Chang Hwa Commercial Bank, Ltd. (2801.TW) stock analysis

In our weekly check, Chang Hwa Commercial Bank, Ltd. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 13 pass, warnings: 3, red flags: 9.

About Chang Hwa Commercial Bank, Ltd.

Chang Hwa Commercial Bank, Ltd. is a Financial Services company (Banks - Regional) based in Taiwan, listed on TAI as 2801.TW.

What our checks show for 2801.TW

Red flags

• The gross margin fell by 33.1 points, to 47.2%: costs are rising faster than prices.
• Operating cash flow is negative while the company reports a profit: the profit does not arrive as cash.
• Analysts expect revenue to shrink about 36.1% a year.
• Free cash flow is negative (-25% of revenue): the business spends more cash than it brings in.
• The stock has fallen as much as 64% from a peak. Would you have held through that?
• Return on capital (ROCE) is only 0.7%.
• Pay in shares equals 0% of free cash flow: it dilutes shareholders.

Warning signs

• The net margin fell by 4.9 points over 5 years, to 19.8%: the company keeps less of each sale as profit.
• Analysts expect earnings per share to shrink about 20.4% a year.
• Recovering from its deepest fall took about 1.8 years.

Strengths

• Analysts expect the net margin to improve by 14 points from today's 19.8%.
• Revenue grew 25.4% a year over the last 3 years.
• Earnings per share grew 18.2% a year over the last 3 years.
• Net profit grew 22.1% a year over the last 3 years.
• The dividend takes 28% of profit: there is a cushion.
• A large company: market value $11.07 billion.

Next earnings report: 2026-11-12

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Questions

What grade does Chang Hwa Commercial Bank, Ltd. (2801.TW) have?

In our weekly check, Chang Hwa Commercial Bank, Ltd. is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 13 pass, warnings: 3, red flags: 9. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 2801.TW stock?

This week's biggest flags for Chang Hwa Commercial Bank, Ltd.: Gross margin falling, Profits not backed by cash, Weak revenue forecast. In total 12 of 25 checks show a warning or a red flag.

What does Chang Hwa Commercial Bank, Ltd. do?

Chang Hwa Commercial Bank, Ltd. is a Financial Services company (Banks - Regional) based in Taiwan, listed on TAI as 2801.TW.

When does Chang Hwa Commercial Bank, Ltd. report earnings next?

The next earnings report is expected on 2026-11-12. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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