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Japan Aviation Electronics Industry, Ltd.

6807.TMEDIUMScore: 35.2

Connectors / Charging Infrastructure · Weight: 4%· Data as of 2026-05-14

Also in:EV

Investment Thesis

Confirmed Honda automotive OEM connector supplier with established supply relationships across Honda motorcycle and automotive platforms. CHAdeMO/CCS charging connector leader — KW series (150–200A, 750Vdc) deployed in charging station infrastructure Japan and globally. BMS signal connectors (MY05 1,000V rated, MX77, MX84B) designed specifically for EV/PHEV battery pack monitoring. Kyocera alliance (Oct 2025: NEC transferred 33% stake to Kyocera) removes conglomerate overhang and targets ¥17B cost/revenue synergy by FY2028 via network overlap. Defense aerospace segment (JGSDF/JASDF-qualified avionics) provides non-cyclical base as Japan raises defense budget to 2% of GDP. PB 1.19x vs Hirose Electric's ~2.5–3x — recovery optionality underpriced.

Risk

ROE 5.1% structurally below 8% FY2028 target — execution risk if EV automotive recovery stalls. EV slowdown in Europe explicitly flagged in FY2025 medium-term plan as headwind. Honda Mobile Power Pack/Emobi battery-swap pack connector not publicly confirmed — Honda MPP link is INFERRED. CHAdeMO standard losing global share to CCS/NACS in non-Japan markets; JAE has added KW11 CCS product but volume unconfirmed. Op profit fell 48% H1 FY2025 before partial recovery.

Monitoring Trigger

FY2026 ROE recovery toward 6%+. Kyocera synergy announcements (distribution wins, Asia automotive OEM new contracts). CHAdeMO V4 or CCS Japan deployment volumes. Honda EV platform BMS connector design-win announcement upgrades conviction to HIGH.

Key Dates

2026-08earningsQ1 FY2027 earnings — first read on Kyocera synergy realization + FY2026 ROE recovery trajectory
2027-03monitoringMid-term plan FY2028 ROE 8% target checkpoint — if not on track, thesis weakens
2028-03catalystFY2028 target: ROE 8%, revenue ¥260B, Kyocera ¥17B synergy — thesis validation date

Key Metrics

13.7
PE
null
Fwd PE
1.19
P/B
5.1%
ROE
7.1%
Op Margin
~60%
D/E
2.5%
Div Yield
thin (¥63B capex over 3yr)
FCF
¥161B
Mkt Cap

Business Segments

SegmentRevenueShareDescription
Connectors + Interface Solutions (merged FY2026)~¥135B (~60%)~60%Automotive, EV charging (KW series), BMS connectors, mobile, industrial. Being restructured into unified segment in new mid-term plan.
Aerospace / Defense~¥35–45B (~15–20%)~17%Avionics connectors and systems (JGSDF, JASDF qualified). Growing with Japan defense budget increase to GDP 2%.
Industrial / Infrastructure~¥45–55B (~20–25%)~22%Industrial connectors, infrastructure. Recovery mode.

Supply Chain Evidence

EvidenceCustomerProductDetail
confirmedHonda (automotive + motorcycle)Automotive connectors (MX series); confirmed on Honda GL1800 motorcycle platformHonda Part 070MZ-MCAA300 uses JAE MX23A series. Established Honda OEM supplier relationship spanning motorcycles and automotive platforms.
confirmedEV charging station operators (Japan, global)KW series CHAdeMO/CCS connectors (KW1C 150A, KW07C 200A, KW11 CCS Type-1)JAE makes CHAdeMO-compliant charging connectors deployed in charging stations globally. KW11 adds CCS Type-1 extending beyond CHAdeMO.
confirmedEV/PHEV battery pack makersMY05 1,000V BMS connector, MX84B PHEV/EV pack connector, MX77 compact BMS ECU connectorJAE's BMS e-mobility product line explicitly targets EV/PHEV battery pack signal monitoring. MY05 rated 1,000V for high-voltage BMS monitoring.
inferredHonda Mobile Power Pack / Emobi ecosystemSwap station connectors or MPP BMS signal interfaceHonda MPP US launch confirmed May 2026. JAE confirmed Honda OEM + BMS connector maker — MPP connector supplier is plausible but not publicly confirmed.

Primary IR Documentation

Values and insights cited from official company IR releases (earnings, 決算短信, MoUs, presentations).

Sources & References