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Alps Alpine Co., Ltd.

6770.TMEDIUMScore: 31.4

Connected Vehicle / BMS Angle Sensors / HMI Switches · Weight: 4%· Data as of 2026-05-17

Also in:EV

Investment Thesis

Vietnam factory (Alps Electric Vietnam Co., Ltd.) provides local content advantage for Honda's UC3 e-motorcycle production hub in Vietnam (spring 2026 launch). Alps supplies BLE/GNSS/5G connectivity modules enabling Honda's connected motorcycle roadmap and current-sensing angle sensors (GCBC series) used in BLDC motor position feedback. Honda Tier-1 relationship traceable to 1981 joint development of world's first car navigation system. Automotive connectivity module revenue growing against thin-margin infotainment headwind; EV/FCF 10.74x implies undemanding valuation for the components business. FY2026 Q1 highest-ever quarterly sales led by components segment.

Risk

Net margin only 2.6% with Alpine infotainment segment under Software-Defined Vehicle disruption pressure. Motorcycle-specific module revenue <5% of ¥1T total (concept stock flag — overridden: thesis is Vietnam local-content + whole-Honda relationship, not isolated motorcycle module). Connected-motorcycle could adopt Chinese modules if Honda India/Vietnam deprioritizes Japanese content cost control. ROE data inconsistent (-8.72% vs positive NI) — data quality flag for next evolve.

Monitoring Trigger

If Alpine infotainment segment OP turns positive in Q2 FY2027 (structural reform complete), add to position. If Alps Alpine loses Vietnam Honda connector program to Chinese rival in any EDINET filing, exit. Watch Honda Vietnam UC3 sales data H2 2026.

Key Dates

2026-08earningsQ1 FY2027 earnings — watch Alpine segment OP trend and Vietnam order update
2026-09monitoringHonda Vietnam UC3 H1 2026 sales data — validate volume ramp driving components demand

Key Metrics

18.3
PE
N/A
Fwd PE
N/A
P/B
N/A
ROE
2.4%
Op Margin
26%
D/E
N/A
Div Yield
N/A
FCF
¥424B
Mkt Cap

Business Segments

SegmentRevenueShareDescription
Components (Alps)~¥600B est~60%Switches, sensors (current/angle), wireless modules (BLE/5G/GNSS), IoT Smart Network Modules. Q1 FY2026 highest-ever quarterly sales driven by mobile + automotive electrification.
Mobility (Alpine)~¥400B est~40%Automotive infotainment, car navigation systems. Under structural reform due to SDV disruption pressure on traditional head units.

Supply Chain Evidence

EvidenceCustomerProductDetail
probableHonda MotorIoT/BLE connectivity modules + HMI switches for connected motorcycle systemAlps Alpine has long Honda Tier-1 relationship (1981 joint nav system). Vietnam factory (Alps Electric Vietnam Co., Ltd.) provides local content for Honda Vietnam UC3 e-scooter production. Alps' IoT Smart Network Modules and automotive BLE modules naturally extend to connected motorcycle IoT applications.
probableHonda Motor (Vietnam)Vietnam local content — electronic components for UC3 e-motorcycleAlps Electric Vietnam Co., Ltd. in production. Honda Vietnam is assembling UC3 from spring 2026. Japanese-origin component suppliers with local Vietnam plants have inherent advantage for Honda quality standards and local-content regulations.
confirmedMultiple automotive OEMs5G/GNSS/mmWave radar automotive modulesAlps Alpine demonstrated 5G in-vehicle communication devices and automotive high-precision GNSS at JSAE Automotive Engineering Exposition 2025. Production-grade modules for connected vehicle market (CASE trend).

Sources & References