Goldman Sachs initiates All Ring Tech stock with buy rating on CoWoS growth

Published 26/06/2025, 09:18
Goldman Sachs initiates All Ring Tech stock with buy rating on CoWoS growth

Investing.com - Goldman Sachs initiated coverage on All Ring Tech Co Ltd (TPE:6187) with a buy rating and a price target of NT$550.00 on Thursday.

The investment bank expects All Ring’s revenue to grow 359% year-over-year in 2024, followed by increases of 41%, 23%, and 13% through 2027, representing a compound annual growth rate exceeding 25% over the period.

All Ring Tech provides more than 10 types of Chip-on-Wafer-on-Substrate (CoWoS) related equipment and captures approximately 3-5% of CoWoS capital expenditure with nearly 100% market share in "WoS" underfill dispenser and thermal interface material heat sink attach equipment.

Goldman Sachs estimates All Ring will derive NT$150-200 million per 1,000 units of CoWoS capacity expansion with TSMC and ASE/SPIL, with CoWoS revenue projected to reach NT$9,187 million by 2027, accounting for 84% of the company’s total revenue compared to 66% in 2024.

The firm forecasts All Ring’s gross margin will improve to 56.3% by 2027 from 49.1% in 2024 as the contribution from higher-margin CoWoS products increases, with six-side inspection equipment gross margins ranging between 50-60%.

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