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Furukawa Electric

5801.THIGHScore: 38

Optical Fiber / HTS Superconductor / Fusion · Weight: 18%· Data as of 2026-05-13

Investment Thesis

DUAL-engine photonics + fusion play with the strongest YoY profit recovery in the theme (NI +413% in FY25). Lightera subsidiary started mass production of 13,824-count optical fiber cable in March 2026 — 'one of world's highest fiber densities' for hyperscale data centers (2x existing capacity, <40mm diameter). SuperPower Inc. (US subsidiary) is one of world's 2-3 leading producers of REBCO HTS tape — signed HTS wire supply agreement with Tokamak Energy for ST80-HTS fusion prototype (2023). Goldman Sachs upgraded to Buy with ¥23,000 target. Cross-theme exposure to nuclear/fusion. Stock +949% 52w but Fwd PE 49 vs TTM 58 = earnings growth visible.

Risk

Same AP01 risk as Fujikura — stock +949% 52w on PE 58x. HTS REBCO production faces competition from American Superconductor. Hyperscale fiber demand could plateau if CPO adoption slower than projected. Goldman target ¥23,000 vs current price ¥50,430 implies stock has overshot — discount the price target as a relative-strength signal not absolute fair value.

Monitoring Trigger

If Tokamak Energy or Commonwealth Fusion Systems announce additional HTS REBCO procurement, upgrade conviction. If 13,824-count fiber cable wins named hyperscale design wins, upgrade. If FY27 NI growth guidance < 30% YoY, trim — the +413% bounce is not sustainable.

Key Dates

2026-05earningsFY2026 results
OngoingmonitoringTokamak Energy / CFS HTS procurement announcements

Key Metrics

65.7
PE
65.8
Fwd PE
N/A
P/B
N/A
ROE
N/A
Op Margin
N/A
D/E
0.32%
Div Yield
N/A
FCF
¥3.56T
Mkt Cap

Business Segments

SegmentRevenueShareDescription
Infrastructure (optical fiber, cable)MajorMajorOptical fiber cable, FTTH, hyperscale data center fiber (Lightera 13,824-count), submarine cable.
Electronics & automotive componentsModerateModerateWire harnesses, connectors, batteries.
Functional materials (incl. SuperPower HTS)SmallerSmallerREBCO HTS tape, copper foil, specialty alloys.

Supply Chain Evidence

EvidenceCustomerProductDetail
confirmedHyperscale data centers (via Lightera 13824-count fiber)Ultra-high-density optical fiber cableLightera (Furukawa subsidiary) started mass production March 2026 — 13,824-count optical fiber cable, world's highest fiber density, designed for hyperscale data centers.
confirmedTokamak Energy (UK fusion)REBCO HTS tape for ST80-HTS advanced prototypeSuperPower Inc. (Furukawa US subsidiary) signed HTS wire supply agreement 2023 for Tokamak Energy fusion compact tokamak.
probableData center operators (global)Comprehensive data center cable + connectivity solutionsFurukawa Data Center Solutions division targets hyperscale and enterprise data center buildouts.
probableITER (international fusion project)Superconducting cables for fusion magnetsLong-running supplier to fusion R&D community; specific ITER contract details not all public.

Sources & References