Nichicon Corporation
6996.TMEDIUMScore: 31.9Film Capacitors / EV Inverter DC-Bus / V2H Charging Infrastructure · Weight: 4%· Data as of 2026-05-17
Investment Thesis
Japan's specialist in film capacitors for EV inverter DC-bus links — complementary to Nippon Chemi-Con's aluminum electrolytic (both present in every e-motorcycle PCU). Honda UC3 PCU made by Shindengen requires Nichicon-grade film capacitors for the inverter stage: DC-bus film caps are non-substitutable by aluminum electrolytic due to ripple-current, size, and lifetime spec requirements. FY2026 xEV capacitor segment OP jumped +190%, confirming successful pivot toward high-margin EV applications. Additionally Nichicon is a CHAdeMO-certified V2H charger manufacturer (EV Power Station, Power Mover, 6-50kW range), positioning them as charging infrastructure supplier adjacent to Honda's battery swap ecosystem expansion. Market cap ¥133.78B (true small-cap), PE 16.74x with significant earnings beat (+51% vs estimate Q4 FY2026).
Risk
Revenue declined 3.4% FY2026 despite OP improvement (mix vs volume trade-off). Stock +45.59% LTM — re-rating already partially priced. Analyst consensus ¥1,523 is 6.89% BELOW current price ¥1,636 (consensus not yet updated post Q4 earnings beat). Honda's MPP swap station uses proprietary charging protocol (not CHAdeMO car standard) — limiting V2H charger crossover. TDK competes in film capacitor segment.
Monitoring Trigger
If Honda Emobi swap station supply chain names Nichicon as charging module supplier (press release/EDINET), upgrade to HIGH conviction. If FY2027 revenue returns to growth (+3%+) and xEV segment OP holds >4%, add. Exit if analyst consensus target converges with price after being updated (removes the stale-target discount).
Key Dates
Key Metrics
Business Segments
| Segment | Revenue | Share | Description |
|---|---|---|---|
| Capacitor Business | ~¥140B est | ~82% | Aluminum electrolytic + film capacitors for xEV and AI servers. xEV segment OP +190% in FY2026. Film caps critical for EV inverter DC-bus links (non-substitutable by aluminum electrolytic). |
| Power Electronics Systems | ~¥30B est | ~18% | V2H charging systems (EV Power Station, Power Mover), switching power supplies. CHAdeMO-certified products for residential/commercial EV charging infrastructure. |
Supply Chain Evidence
| Evidence | Customer | Product | Detail |
|---|---|---|---|
| probable | Honda Motor (via Shindengen PCU) | Film capacitors for DC-bus links in e-motorcycle PCU/inverter | Shindengen Electric (6844.T — confirmed Honda PCU maker) uses DC-bus film capacitors in all e-motorcycle power control units. Nichicon is one of few Japanese qualified suppliers for automotive-grade film caps meeting Honda quality standard (xEV product page dedicated to this application). |
| confirmed | CHAdeMO-standard EV charging infrastructure (including Honda ecosystem) | Nichicon EV Power Station and Power Mover V2G chargers (6-50kW) | Nichicon is CHAdeMO-certified V2G equipment manufacturer. EV Power Station and Power Mover listed at chademo.com. As Honda's battery swap expands to enterprise/delivery fleets with CHAdeMO-adjacent charging infrastructure, Nichicon has adjacency play. |