Revising our forecasts: Updating our outlook for optical component orders

研报英文原文证据摘录

Revising our forecasts: Updating our outlook for optical component orders

Global Markets Research

22 June 2026Fujikura

5803.T 5803 JP / EQUITY: JAPAN STEEL, NONFERROUS METALS, WIRE & CABLE

RatingRevising our forecasts: Updating our outlook for

Remains Buyoptical component orders

Target price

Increased from 5,500 JPY 7,000Growth in products that do not require optical fiber production capacity

Closing price JPY 5,161We keep our Buy rating, look for growth in parts that do not rely on optical fiber 19 June 2026

production capacity

We raise our earnings forecasts and target price for Fujikura in light of revisions to Implied upside +35.6%

guidance announced on 18 June. We had thought that growth in volumes in the

telecommunication systems segment would slow because of constraints on optical fiber

production capacity, but one reason for the company's upward revisions is orders from

hyperscalers for optical components that are not particularly dependent on production Relative performance chart

capacity for optical fiber. We raise our earnings forecasts accordingly. We also still regard

this upwardly revised guidance as cautious. We expect investors to gradually recognize

that earnings growth is higher than guidance and think the share price will rise further. We

roll forward the base year for our target price calculation from 27/3 to 28/3 now that the

fiscal year is well under way. We obtain our target price by multiplying our 28/3 EPS

forecast by a P/E of just over 39x, slightly more than double the Russell/Nomura Large

Cap manufacturing sector average of around 19x, as our EPS CAGR forecast for the 4

years through 32/3 of 23% is higher than the benchmark average of 7–8%.

Company raises guidance for three reasons