Chunghwa Telecom Co., Ltd. research snapshot

CHT AI Stock Analysis

CHT AI stock analysis as of the August 2, 2026 data cutoff views Chunghwa Telecom as Taiwan’s leading integrated telecom operator, supported by recurring mobile and fixed-broadband revenue, record enterprise ICT growth, an expanding AI and cloud offer, and a conservative balance sheet. The stock closed at $42.61 on July 31, 2026 with a market capitalization of about $33.1 billion, re-verified during this full refresh as $42.61 times 776 million ADR-equivalent shares, matching the $33.05 billion market cap recorded on the StockAnalysis market-cap history for July 31, 2026 with a 0.05% deviation. Q1 2026 revenue rose 7.5% to NT$59.99 billion and parent net income rose 3.2% to NT$10.11 billion, with revenue, operating income, net income, and EPS all above the high end of quarterly guidance. The trade-off is modest structural growth, regulated telecom economics, heavy network investment, Taiwan geopolitical exposure, a currency-sensitive ADR, and a valuation that now prices in continued execution. The CHT AI stock forecast uses scenarios, not a precise price prediction. At the August 2, 2026 data cutoff, business quality is stronger than the short-term chart, and the valuation leaves limited room for disappointment.

Current price

$42.61

Market cap

$33.1 billion verified market cap

AI score

63 / 100

Rating

Defensive Taiwan telecom leader at a fuller valuation with a soft short-term chart

Trend status

Neutral long-term trend and short-term downtrend, consolidating below the 50-day and 200-day averages near support

Data cutoff (updated monthly)

August 4, 2026

Informational use only. This page is not investment advice.

Research quality check

information Richness
A-level information richness. Chunghwa Telecom has a long public reporting record, audited annual filings, quarterly releases, monthly operating updates, investor presentations, third-party financial databases, and public technical data. The August 2, 2026 full refresh re-fetched and re-validated the key figures: the $42.61 close, the $33.07 billion market-cap calculation, FY2025 revenue and net income, and Q1 2026 results, which matched across StockAnalysis.com, the company Q1 2026 operating results release, and third-party coverage.
bias Check
The key AI bias risk is mistaking a stable incumbent telecom and an AI narrative for automatic upside. The review weights slower telecom growth, capex, regulation, competition, currency translation, dividend sustainability, and Taiwan geopolitical risk alongside ICT, IDC, cloud, and AI initiatives.
ai Confidence
High for FY2025 revenue and net income, Q1 2026 operating data, cash, share-count conversion, and market-cap math, which cross-validated during the August 2, 2026 refresh. Medium for forward valuation because ADR pricing, exchange rates, capex, telecom competition, and project revenue can change, and the next earnings date is August 5, 2026, after this cutoff.
investment Certainty
Medium. The business is easier to understand than a high-growth technology company, but a dependable operating profile and a 3.0% dividend yield do not establish a personal buy decision or a guaranteed return.

Quick verdict table

DimensionConclusionConfidence
Business qualityCHT sells recurring mobile, fixed broadband, enterprise ICT, cloud, data center, cybersecurity, and international connectivity services in Taiwan and selected overseas markets, with ICT revenue growing well above the core business.High
MoatNetwork scale, spectrum, fiber and submarine-cable assets, enterprise relationships, distribution, and a leading mobile revenue share support the moat, but pricing competition and regulation test its width.Medium-high
ManagementChairman and CEO Chih-Cheng Chien and President Rong-Shy Lin are allocating toward 5G standalone, the CHT AI Factory platform, IDC, cloud, cybersecurity, resilience, and international connectivity while maintaining a large dividend.Medium-high
Financial trendFY2025 revenue rose 2.7% to NT$236.11 billion and parent net income rose 4.0% to NT$38.69 billion. Q1 2026 revenue increased 7.5% to NT$59.99 billion and parent net income rose 3.2% to NT$10.11 billion, with all key metrics above quarterly guidance.High
ValuationAt $42.61, the verified reference valuation is about 27.45x TTM EPS, 22.2x free cash flow per share, 2.6x book value, and a 3.0% dividend yield. That is a quality and income valuation, not a distressed telecom multiple, and it sits above most global telecom peers.Medium-high
Technical trendThe long-term trend was neutral and the short-term trend was down. Price was below the 50-day ($43.89) and 200-day ($42.85) averages in the July 31, 2026 snapshot, with a neutral RSI near 44.Medium
Risk levelMain risks are Taiwan geopolitical disruption, regulation, network capex, mobile and broadband competition, project timing, currency translation, and a valuation reset if growth or cash generation disappoints.High
AI confidenceReported-business analysis is well supported. Forward-price confidence is lower because the chart, exchange rate, rates, and operating conditions are not static, and the next earnings release lands after the data cutoff.High data confidence
Investment certaintyMedium certainty. CHT has a durable connectivity franchise and a competitive dividend, but the current price requires ongoing proof that ICT growth and capital allocation justify a premium to lower-growth telecom peers.Medium

CHT AI stock forecast

CHT AI Stock Forecast Scenarios

The CHT AI stock forecast uses a three-year earnings and multiple framework around the $42.61 quote and about $1.55 TTM ADR EPS. The audited scenario calculation produced about $53.90 in the bullish case, $44.09 in the base case, and $29.49 in the bearish case. These are conditional valuation ranges, not targets or promises.

Bullish case

$50 to $57

More likely if ICT, IDC, cloud, and AI-factory projects convert into recurring profitable revenue, mobile and broadband pricing stays firm, capex remains controlled, the dividend holds, and investors keep a premium multiple.

Base case

$41 to $46

More likely if core telecom growth stays modest, enterprise project growth offsets legacy-service pressure, 2026 guidance is broadly met, and the ADR continues to trade near its current earnings multiple.

Bearish case

$26 to $32

More likely if competitive pricing, higher capex, slower ICT conversion, a weaker currency, geopolitical stress, or lower risk appetite reduces earnings expectations and compresses the valuation multiple.

CHT AI technical analysis

CHT AI Technical Analysis

CHT AI technical analysis was soft as of the July 31, 2026 snapshot. ChartMill gave a 0 out of 10 technical rating with a 7 out of 10 setup, described a neutral long-term trend and a negative short-term trend, and flagged a support zone near $40.73 to $41.89 with resistance near $42.75 to $43.89. StockAnalysis listed a $43.89 50-day average, a $42.85 200-day average, and a 43.97 RSI. Confirm live data before relying on any chart level.

LevelValueWhy it matters
Current price$42.61NYSE ADR closing reference used for valuation and market-cap verification on July 31, 2026.
Support$40.73 to $41.89ChartMill identified this support zone from multiple trend lines and moving averages near the data cutoff.
Resistance$42.75 to $43.89ChartMill identified this first resistance zone. A sustained move through it would improve the short-term setup.
Upper resistance$45.05 and $46.10 to $46.87ChartMill cited a horizontal resistance line near $45.05 and a higher zone near $46.10 to $46.87.
50-day moving average$43.89StockAnalysis snapshot. Price below this average kept the intermediate trend under pressure.
200-day moving average$42.85StockAnalysis snapshot. This is an overhead trend reference and requires live confirmation.
MomentumRSI 43.97, MACD +0.11, neutralStockAnalysis and ChartMill snapshots. RSI was neutral and MACD was above zero but declining, so no reliable directional signal on its own.
Volume20-day average 183,617 ADRsUse a live chart to assess whether a breakout has confirmation from volume.
VolatilityLow historical beta, event-sensitiveStockAnalysis listed a 0.11 five-year beta and ChartMill an ATR around 1.6%, but earnings, Taiwan news, currency, and U.S. market conditions can still move the ADR.
InvalidationClose below $40.73A decisive break below the cited support zone would weaken a short-term rebound framework.

CHT AI trading strategy

CHT AI Trading Strategy Framework

The CHT AI trading strategy is a rules-based research framework, not personalized advice. It combines price confirmation with operating evidence from telecom services, enterprise ICT, cash flow, capex, dividend policy, and Taiwan-specific risk monitoring.

Trend-following setup

Wait for CHT to reclaim the $42.75 to $43.89 resistance area and then confirm above the relevant moving averages with volume, while monthly operating results and earnings preserve the core-service and ICT growth case.

Reduce setup confidence after a failed breakout or a close below $40.73. Do not use a technical signal to ignore material geopolitical or company disclosure changes.

Mean-reversion setup

If CHT revisits the support band without a deterioration in recurring service revenue, net cash, capex discipline, or guidance, compare the ADR valuation with updated EPS, free cash flow per ADR, dividend terms, and currency conditions.

Set a maximum loss and time horizon before entry. A lower price is not a signal by itself when the operating thesis or risk environment has changed.

Fundamental monitor

Track mobile market share and ARPU, FTTx adoption, ICT order intake and recurring revenue, IDC, cloud and AI-factory conversion, EBITDA, operating cash flow, capex, net debt, dividend coverage, and regulatory or geopolitical developments.

Treat large project revenue separately from recurring telecom demand and reassess exposure when foreign-exchange or Taiwan risk changes the ADR risk profile.

Investment research summary

Four-master Research Compression

Business essence

Customers pay Chunghwa Telecom for essential connectivity and digital infrastructure. The company earns recurring revenue from mobile and fixed broadband, then adds enterprise ICT, cloud, data-center, cybersecurity, international circuit, and digital-service revenue, with ICT growing faster than the core.

Moat

The moat rests on nationwide network scale, spectrum, fiber, fixed-line infrastructure, submarine-cable participation, brand, distribution, and enterprise and public-sector relationships. Its durability is tested by mobile competition, broadband alternatives, regulation, and technology investment needs.

Munger risk inversion

The thesis fails if stable core services turn into a price competition, ICT growth is low margin or project based, capex rises faster than cash flow, the dividend constrains reinvestment, regulation changes returns, or a Taiwan disruption impairs operations or the ADR multiple.

Management

Management is investing in 5G standalone capability, the CHT AI Factory platform, cloud and AI internet data centers, cybersecurity, submarine cables, and service resilience. The capital-allocation test is whether these investments create durable recurring returns while preserving balance-sheet flexibility and dividend coverage.

Industry trend

Demand for data, cloud, AI infrastructure, cybersecurity, and resilient connectivity supports the long-term industry case. Telecom economics remain capital intensive, however, and higher traffic does not automatically translate into pricing power or superior returns.

Valuation and margin of safety

At the cutoff reference, CHT priced in a dependable but not high-growth profile at about 27.5x trailing earnings. The margin of safety depends on recurring cash flow, disciplined capex, dividend policy, currency effects, and whether the company can turn ICT and AI demand into profitable recurring revenue.

Source-backed data

CHT Data Table

Every metric below includes a source and last verification date.

MetricValueSourceLast verified
CHT ADR quote and market capitalization$42.61 close on July 31, 2026 and about $33.1 billion market cap, with $42.61 x 776 million ADR-equivalent shares calculating to $33.07 billion, matching the $33.05 billion market cap on the market-cap history for July 31, 2026StockAnalysis market-cap data and Pineify financial_rigor.pyAugust 2, 2026
Shares outstanding and ADR conversion7.76 billion ordinary shares, equivalent to about 776 million ADRs using 10 ordinary shares per ADRStockAnalysis statistics and Chunghwa Telecom 2025 Form 20-FAugust 2, 2026
FY2025 revenue and parent net incomeNT$236.11 billion revenue (up 2.7%) and NT$38.69 billion net income attributable to parent shareholders (up 4.0%)Chunghwa Telecom FY2025 release and StockAnalysisAugust 2, 2026
Q1 2026 operating performanceNT$59.99 billion revenue (up 7.5%), NT$13.10 billion operating income (up 4.6%), NT$10.11 billion parent net income (up 3.2%), and NT$1.30 basic EPS, all above quarterly guidanceChunghwa Telecom Q1 2026 operating resultsAugust 2, 2026
Cash and debt positionNT$35.10 billion cash and cash equivalents at March 31, 2026, up 20.8% year over year; third-party data listed low leverage with a current ratio of 1.64 and low debt relative to EBITDAChunghwa Telecom Q1 2026 operating results and StockAnalysisAugust 2, 2026
2026 company guidanceRevenue guidance of NT$241.99 billion to NT$243.68 billion, parent net-income guidance of NT$37.39 billion to NT$38.94 billion, and EPS guidance of NT$4.82 to NT$5.02Chunghwa Telecom 2026 guidanceAugust 2, 2026
Technical data snapshot50-day average $43.89, 200-day average $42.85, RSI 43.97, support $40.73 to $41.89, and resistance $42.75 to $43.89, $45.05, $46.10 to $46.87StockAnalysis and ChartMill technical-analysis snapshotsAugust 2, 2026
Valuation and scenario math27.45x TTM P/E, 2.6x P/B, 22.2x P/FCF, 3.0% dividend yield, 4.50% FCF yield; three-year scenario values of $53.90, $44.09, and $29.49Pineify financial_rigor.py using the documented quote, EPS, book value, free-cash-flow, and dividend inputsAugust 2, 2026

Frequently Asked Questions

This CHT AI stock analysis is an informational research tool only. It is not investment advice, not a recommendation to buy or sell securities, and not a guarantee of future returns. Forecast scenarios are based on available public data as of the August 2, 2026 data cutoff, with the ADR quote as of July 31, 2026, and can be wrong if business conditions, financial data, technical trends, currency, interest rates, geopolitical conditions, or market sentiment change. The next earnings release is scheduled for August 5, 2026.