First Read TDK: Significant upside due to underlying strength of batteries and AI benefits

研报英文原文证据摘录

First Read TDK: Significant upside due to underlying strength of batteries and AI benefits

Global Research

31 July 2026ab

First Read

EquitiesTDK

Significant upside due to underlying strength of Japan

batteries and AI benefits Electric Components & Equipment

12-month rating Buy

12m price target ¥4,950.0

Q: How did the results compare with expectations?

Q1 (April-June) OP came in at ¥86.3bn, 29% above consensus (¥67.0bn) and 16%

higher than our bullish forecast (¥74.2bn). Relative to our forecast, magnetic application Price (31 Jul 2026) ¥3,008

products (mainly HDD-related) were broadly in line, while batteries, sensors, and passive RIC: 6762.T BBG: 6762 JP

components all exceeded our expectations. In passive components, capacitors increased

Trading data and key metrics

16% qoq/35% yoy, driven by automobiles and data centre applications. In sensors,

automobiles/industrial machinery applications drove a 9% qoq/33% yoy increase in 52-wk range ¥4,111-1,781

sales, while the OP margin was 12.7%, improving 10ppt qoq and significantly exceeding Market cap. ¥5,710b/US$35.6b

our forecast (6%). Shares o/s 1,898m (ORD)

Free float 61%

Q: What were the most noteworthy aspects of the results? Avg. daily volume ('000) 15,333

1) The company explained that AI-related sales in Q1 reached around 10-15% of total Avg. daily value (m) ¥53,214.3

company sales, and that the sales growth rate was far higher than the FY3/27 plan of Common s/h equity (03/27E) ¥2381b

25% yoy. In passive components, aluminum capacitors, MLCCs, and inductors grew. In P/BV (03/27E) 2.4x

particular, for inductors, the company explained that business opportunities are Net debt to EBITDA (03/27E) NM

expected to expand significantly for compact thin-film inductors capable of handling

EPS (reported, basic) (¥)