ASIA TECHNOLOGY TRACKER

研报英文原文证据摘录

ASIA TECHNOLOGY TRACKER

we see plenty of

room for stocks to be rerated if strong earnings momentum is confirmed. We highlight Hitachi (6501),

Mitsubishi Electric (6503), and Sony Group (6758).

Electronic Components: Earnings Outlook (Apr-Jun)

Estimate solid earnings overall; difficult to tell how share prices will react (Akinori Kanemoto)

We estimate solid earnings momentum in the April-June 2026 quarter especially for AI server, industrial

machinery, and automotive applications, and also expect yen depreciation versus the dollar to boost

earnings. However, passive component makers and other AI server-related stocks’ share prices rose

sharply from April, so we think weak short-term earnings could lead to prices falling for stocks with share

prices far too high relative to earnings.

Semiconductor/Tech Materials: Earnings Outlook (Apr-Jun)

Watch WFE and pricing for semiconductors, semi-related for glass, and non-domestic for cement

(Mio Shikanai)

Our order of interest for Apr-Jun results is semiconductors > glass > cement. Semiconductor-related stocks

have recently corrected due to concerns about the AI market overheating, but we maintain a bullish stance

as consensus earnings outlooks are continuing to get revised. We raised our WFE market outlook on June

17, and now forecast growth at 28% YoY in 2026, 29% in 2027, and 16% in 2028 (see herefor details), but

we believe there is still upside potential. Amid discussions about price revisions, we are also watching for

initiatives to raise profit margins without relying solely on demand. Key focus points in the glass subsector

are production capacity trends at Nittobo (3110; Overweight) and longer-term TAM growth in terms of M9

and MLCs (multi-layer cores).