Delta Electronics Hits Limit-Down as Shareholders Jump 70%, Institutions Call Buy

陳陳柏宏 證券線記者2026-10-30 10:18

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Delta Electronics plunged to NT$1335 limit-down on October 30, while the broader market tumbled 1642 points. The stock has more than halved from its high, down over NT$1000, while shareholder count rose 70% against the trend. Institutions expect operations to recover in the fourth quarter, maintaining a Buy rating with a target price of NT$2100, with momentum from AI power ramp-up.

Taiwan Stocks Plunge as Delta Electronics Hits Limit-Down

Taiwan stocks faced heavy selling pressure after opening on October 30, with the broader market falling to an intraday low of 44726.26 points, down as much as 1642.07 points. Power supply leader Delta Electronics (2308) saw selling emerge after the open, with its share price falling 145 to 1335 limit-down, down 9.8%. Since its swing high of 2585 in May this year, the stock has pulled back 1250, nearly halving, as market volatility intensified.

Share Price Halved as Retail Investors Buy the Dip

Despite the sharp pullback, bargain-hunting demand has been active. According to Taiwan Depository & Clearing Corporation statistics, total Delta Electronics shareholders rose from 386633 on May 22, 2026 to 664867 on October 22, 2026, an increase of nearly 280000 in 5 months, up over 70%. Among them, odd-lot retail investors holding less than 1 lot rose from 321746 to 573084, showing strong willingness by retail investors to enter on pullbacks.

NT$3.9 Billion Provision in Q3, Earnings Below Expectations

Reviewing third-quarter operations, quarterly revenue reached 1971 billion, up 7.5% quarter-on-quarter, but power supply shipments were affected by PMIC and MOSFET shortages, while the new-platform 18KW power supply faced unsmooth verification of current overflow with a Japanese capacitor supplier, plus supply-chain assembly disruptions, affecting customer pull-ins. A 39 billion inventory write-down was booked in the quarter, hitting gross margin by 1.7 percentage points, with gross margin falling to 34.1%, down 1.6 percentage points quarter-on-quarter, and quarterly EPS of 9.0, down 7% quarter-on-quarter, 16% below institutional expectations.

Institutions Expect Q4 Recovery, Call Buy at 2100

Institutions expect the operational adjustment is nearing its end, with fourth-quarter revenue reaching 2232 billion, up 13% quarter-on-quarter, and quarterly EPS rebounding to 12.3, up 36% quarter-on-quarter. Growth momentum comes from ramp-up of new-platform AI server power supplies, plus/minus 400V high-voltage direct current HVDC shipments and pass-through of cost increases, with gross margin estimated to recover to 37.3%. Institutions forecast 2026 and 2027 EPS of 38.9 and 75.0 respectively, and based on 2027 EPS of 75 and a 28x P/E ratio, maintain a Buy rating with a target price of 2100.

FAQ

Why did Delta Electronics hit limit-down?

On October 30, the Taiwan stock market plunged 1642.07 points intraday, while Delta Electronics fell 145, or 9.8%, to 1335 limit-down, mainly due to a 39 billion inventory write-down in the third quarter, with quarterly EPS of 9.0 coming in below expectations.

Why did shareholder count surge as the stock fell?

During the pullback of 1250 from the May high of 2585, total shareholders rose from 386633 to 664867, while odd-lot retail investors rose from 321746 to 573084, showing active bargain-hunting demand.

Why do institutions maintain a Buy rating?

Institutions forecast fourth-quarter revenue of 2232 billion and EPS of 12.3, with momentum from AI server power ramp-up and HVDC shipments, and based on 2027 EPS of 75 and a 28x P/E ratio, set a target price of 2100.