Focus turns to profit generation after sharp rally on AI demand expectations

研报英文原文证据摘录

Focus turns to profit generation after sharp rally on AI demand expectations

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Electronic Components

Focus turns to profit generation after

sharp rally on AI demand expectations

Price Objective Change

14 July 2026

Highlight Ibiden, TDK, and Murata Mfg. Equity

At present, we highlight Ibiden (4062), Murata Mfg. (6981), and TDK (6762) in the Japan

electronic components sector. The expansion of the AI server market is driving demand Electronics

for semiconductor package substrates and multi-layer ceramic capacitors (MLCC), which

should provide significant benefits to highly competitive players such as Ibiden and MasashiResearch AnalystKubota >>

Murata Mfg. While we believe TDK may face near-term difficulties in price negotiations BofAS Japan

+81 3 6225 7138

with a major customer in its small battery business, growth in battery backup unit (BBU)

batteries for AI data centers and passive components, including MLCCs, aluminum HazelResearchXueAnalyst>>

electrolytic capacitors, and inductors, should support share-price appreciation from 2H BofAS Japan

+81 3 6225 6275

FY3/27 onward. The valuation also remains attractive.

Profit creation strength in focus, including order outlook

At upcoming Apr-Jun 2026 results season we aim to focus on: (1) demand trends for AI

server-related products; (2) order outlook for non-AI applications such as smartphones Exhibit 1: We highlight Ibiden, TDK,

and automobiles; (3) product pricing outlook amid rising bill of materials (BOM) costs for and Murata Mfg

set makers; (4) updates on the impact of raw material prices, particularly gold and copper; Electronic components sector rating overview

and (5) progress in structural reforms at certain companies. In particular, concerns over

Price Objective Price