Spotlight Stocks: Machine Tool Group Sees Spring Recovery as HIWIN and TAIROBOTEK Surge

The machine tool sector is seeing signs of recovery! HIWIN (2049-TW) and its affiliated company TAIROBOTEK (4576-TW) both reversed recent declines today (16th), posting strong gains in share prices. HIWIN surged upward, turning positive with a nearly 5% increase, reaching a high of NT$337, reclaiming support at the monthly moving average. The company has also seen foreign investors take a net long position for three consecutive days. TAIROBOTEK similarly rebounded by about 3.6%, peaking at NT$213.5, demonstrating strong capital inflow momentum.

Today’s Taiwan stock market was mixed, with the machine tool sector showing divergent movements. Nevertheless, both HIWIN and TAIROBOTEK demonstrated strong resilience and rebound strength, turning their share prices from negative to positive.

HIWIN Chairman Cho Wen-Heng recently stated that thanks to price hikes and robust demand from automation, semiconductors, AI server racks, and cooling connectors, the company’s ball screw order visibility now extends five months ahead. Analysts project that as capacity utilization improves and product mix optimizes in the second half, both companies’ profitability and gross margins could reach multi-year highs.

HIWIN’s consolidated revenue for June reached NT$2.554 billion, up 2.98% month-on-month and 31.62% year-on-year, marking the highest level since September 2022 and achieving four consecutive months of monthly growth. Its Q2 consolidated revenue totaled NT$7.508 billion, up 17.7% quarter-on-quarter and 26.71% year-on-year, the highest in nearly 15 quarters.

TAIROBOTEK’s June consolidated revenue reached NT$344 million, up 2.59% month-on-month and 62.56% year-on-year, setting a new monthly record. Its Q2 revenue surpassed the NT$1 billion mark, reaching NT$1.022 billion, up 19.47% quarter-on-quarter, also setting a new quarterly record.