A&D Holon Holdings: Semicondutor-related segment likely to recover from 27/3 H2

研报英文原文证据摘录

A&D Holon Holdings: Semicondutor-related segment likely to recover from 27/3 H2

Global Markets Research

3 July 2026A&D Holon Holdings

7745.T 7745 JP / EQUITY: JAPAN SEMICONDUCTOR PRODUCTION EQUIPMENT

RatingSemiconductor-related segment likely to recover

Remains Buyfrom 27/3 H2

Target price JPY 3,400 RemainsWe expect H1 to be a fallow period

Closing price

We look to strong earnings from 27/3 H2 onwards, reiterate Buy rating 2 July 2026 JPY 2,887

We lower our forecasts for A&D Holon Holdings as we expect sluggish earnings in 27/3

H1 at the semiconductor-related segment, which is the main earnings driver, owing to Implied upside +17.8%

corrections in demand, primarily on the Chinese market. However, we expect earnings to

turn upwards from H2 in view of strong enquiries through H2, and accordingly roll the base

year for our valuation methodology forward to 28/3 and multiply our 28/3 EPS forecast of

Relative performance chart¥263.3 by a P/E of around 13x, as before, to obtain our target price of ¥3,400. We

reiterate our Buy rating.

Semiconductor-related segment: We think the fallow period seen in 26/3 H2 will extend

into 27/3 H1. We forecast 27/3 operating profits of ¥2.05bn (down 43.5% y-y), breaking

down as operating losses of ¥0.27bn in H1 (versus year-earlier profits of ¥1.57bn) and

profits of ¥2.32bn in H2 (up 12.7%). A major Taiwanese customer is planning to increase

production capacity in Japan, at Kaohsiung in Taiwan, and in Arizona in the US, which we

think bodes well for demand for A&D Holon Holdings' products over the medium term. We

also expect to see increased usage of its next-generation HSS-1000 CD-SEM system

through 28/3.

Measuring & weighing equipment segment: We forecast 27/3 operating profits of