TOYO Co. Ltd Ordinary Shares (TOYO)

FairStock Score: 62/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I look for a durable business at a sensible price. TOYO operates across the solar supply chain — wafers, silicon, cells and modules — which gives it some vertical integration, but solar is a brutally competitive, capital-intensive industry with policy and pricing swings. In the latest reported quarter, 2026-Q2, revenue was $118.2 million and net income was $17.4 million, a 14.73% net margin. That is a real profit, not a story. Trailing free cash flow was $26.6 million, giving a 5.6% FCF yield on the $472.4 million market cap. FairStock's calculations at the 2026-10-13 close of $4.34 show a P/E of 1.93, P/B of 0.88, ROE of 57.47%, ROCE of 15.17%, and a Graham Number of $15.77, implying a 72.48% margin of safety. Those are attractive numbers on paper. However, Graham would demand a longer record. The company was founded in 2022, and FairStock's Lynch category is none because only zero years of filed annual results are available and it needs three. The Altman Z-Score of 1.64 and Piotroski F-Score of 5/9 suggest financial fragility and only average fundamental momentum. Debt-to-equity of 0.55 is not alarming, but the beta of 1.42 and the 52-week range of $4.12 to $17.43 show Mr. Market's violent mood swings. The growth trajectory is steep but unproven. The low multiple may be a genuine bargain or a warning that the boom in solar margins is temporary. I would want several years of consistent cash generation, a wider competitive moat, and better balance-sheet strength before trusting this as a Buffett-style compounder.

In plain English: TOYO makes parts for solar panels — wafers, cells and modules — mainly in Asia and the U.S. The latest reported quarter showed a profit and a double-digit profit margin, and the company has positive cash flow, but it was founded only in 2022 and has a very short public record. The stock price looks low compared with the company's reported profits and book value, though that low price may reflect real risks in a competitive solar industry.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer