Nidec Corp

6594.TAVOID

Motors / E-Axle · Weight: 5%· Data as of 2026-05-17

¥2,398+0.04%

6-month daily

Investment Thesis

E-Axle leader compromised by governance collapse. FY2026 results postponed — restatement of FY2022-2026 in progress. Quality misconduct (motors/materials/processes) disclosed May 12 2026 on top of accounting misconduct.

Risk

CRITICAL — AVOID. Accounting misconduct: 1,000+ cases; ¥160.7B net assets impact; potential additional ¥250B impairments (goodwill + automotive). Quality misconduct: May 12 2026 — motors with unapproved material/process changes shipped to OEMs. Moody's downgraded Baa1. Founder Nagamori resigned. No FY2026 results. No FY2027 guidance. Written Confirmation of Internal Controls not due until Oct 2026. OEM recall risk unknown.

Monitoring Trigger

DO NOT hold. Exit if still held. Re-evaluate only AFTER: (1) FY2026 results published with auditor opinion, (2) Written Confirmation submitted Oct 2026, (3) No further quality misconduct found, (4) Moody's rating restored. Earliest re-evaluation: Q2 2027.

Key Dates

2026monitoringFY2026 financial results — TBD: postponed as of April 27 2026

2026-10monitoringWritten Confirmation of Internal Management System — governance milestone (best case)

2027-Q2monitoringEarliest possible re-evaluation date if governance remediation on track

Update History

2026-05-17evolveDOWNGRADED

View report →

DOWNGRADED AVOID (confirmed worse). Quality misconduct May 12 2026 (stock -4.2%, -18% intraday). FY2026 results postponed. Moody's Baa1 downgrade. Founder resigned. Restatement ¥160.7B net assets impact + potential ¥250B additional.

conviction:LOWAVOIDrisk:Securities investigation + dividend cancelledQuality misconduct ADDED May 12 2026. Full accounting restatement ¥160.7B NAs + ¥250B potential. Moody's Baa1.pe:21.96forward_pe:13.74

Key Metrics

null

Fwd PE

1.48

P/B

6.3%

ROE

5.0%

Op Margin

40%

D/E

Div Yield

+¥174B

FCF

¥2.63T

Mkt Cap

Business Segments

Segment	Revenue	Share	Description
Automotive Components	¥786B	30%	E-Axle, EPS motors, thermal
Medium/Large Motors	¥655B	25%	Industrial motors
Small Precision Motors	¥524B	20%	HDD, consumer
Appliance/Commercial	¥655B	25%	HVAC, appliance motors

Supply Chain Evidence

Evidence	Customer	Product	Detail
inferred	Chinese NEV OEMs (BYD etc.)	E-Axle traction motors	Nidec announced China supply but no named OEM confirmed
probable	Stellantis	E-Axle for European EVs	Announced partnership

Primary IR Documentation

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

IR landingNidec Corporation Investor Relations landing↗

Cites: Primary IR portal

https://www.nidec.com/en/ir/

Press releaseNotice Regarding Postponement of Earnings Announcement for FY Ended March 31, 2026 (Apr 27, 2026)↗

Cites: FY2026 results postponed following Third-Party Committee final report (Apr 17, 2026); restatements back to FY March 2022 — material to e-axle thesis and PE re-rate risk

https://www.nidec.com/files/user/www-nidec-com/corporate/news/2026/0427-02/260427-02en.pdf

Earnings releaseNidec Q2 FY25 Financial Statements (Six Months Ended Sept 2025)↗

Cites: Most recent disclosed quarterly results — Nov 14, 2025 (Q2 FY25, half-year) before postponement

https://www.nidec.com/files/user/www-nidec-com/ir/library/earnings/2026/FY25Q2_1_en.pdf

Sources & References

↗StockAnalysishttps://stockanalysis.com/quote/tyo/6594/statistics/↗Yahoo Finance JPhttps://finance.yahoo.co.jp/quote/6594.T

Peer Comparison

Company	PE	Fwd PE	ROE	Op Margin	FCF
Murata Manufacturing	~49.7x TTM (impairment-distorted; fwd PE ~37x on FY2026 guidance)	~37x (on FY2026 OP +34.8% guidance)	7.25%	15.4%	+¥239B
TDK Corp	26.51	23.71	11.4%	12.4%	+¥169B
Fuji Electric	20.59	17.97	8.2%	8.7%	+¥51B
Sumitomo Metal Mining	28.63	19.76	5.0%	5.0%	+¥87B
AGC Inc	17.89	14.7	4.7%	6.2%	+¥65B
Kureha Corp	N/A	19	-6.7%	-11.1%	~est. negative (capex ongoing)
Asahi Kasei	13.4	12.9	7.7%	7.5%	+¥134B
Mitsubishi Electric	32.85	30.6	10.1%	9.1%	+¥317B
Nidec Corp			6.3%	5.0%	+¥174B
Hirose Electric	23.3	23.5	9.0%	20.3%	~+¥36B
Sumitomo Electric	25.5	29.7	10.2%	8.2%	+¥102B (est.)
Resonac Holdings	83.53	~31.6x	5.72%	4.3%	+¥24B
Rohm Co.	Loss (NI -¥158.4B SiC impairment)	~125x (near-breakeven NI; FY2028 target >20% OP margin)	Loss	+1.6% Q3 FY2026 (recovering from -9.0% year ago)	-¥44B
Shindengen Electric Manufacturing Co., Ltd.	30.8	N/A	N/A	N/A	N/A
GS Yuasa Corporation	11.04	N/A	9.59%	N/A	N/A
Mitsuba Corporation	5.5	N/A	N/A	N/A	N/A
Daido Steel Co., Ltd.	~11x	N/A	N/A	N/A	+est.
Nippon Seiki Co., Ltd.	12.45	12.05	N/A	N/A	+confirmed
Musashi Seimitsu Industry Co., Ltd.	31.6	N/A	N/A	11.1%	N/A
Stanley Electric Co., Ltd.	13.8		4.5%	6.3%	N/A
Honda Motor Co., Ltd.	7.77		5.82%	7.0%	N/A
Mitsui High-tec, Inc.	15.3	13	11.8%	5.8%	-¥12B
MinebeaMitsumi Inc.	18.7	13.75	9.1%	6.2%	-¥21B
Ryobi Limited	~8x	N/A	4.4%	3.2%	N/A
Tokai Rika Co., Ltd.	~8x	N/A	10.9%	5.9%	+est. ¥15-20B
Nippon Chemi-Con Corporation	91	7	3.1%	2.9%	~0 (thin; ¥20B capex planned)
Japan Aviation Electronics Industry, Ltd.	13.7		5.1%	7.1%	thin (¥63B capex over 3yr)
ARCHION Corporation	11	11	~6%	~2.0%	Negative on integration capex through FY2027
Alps Alpine Co., Ltd.	18.3	N/A	N/A	2.4%	N/A
Nichicon Corporation	16.74	N/A	N/A	3.8%	N/A
Mikuni Corporation	4.2	N/A	N/A — confirm vs J-Quants	N/A — thin, est. 1-3%	N/A
T.RAD Co., Ltd.	N/A — confirm vs StockAnalysis	N/A	N/A — confirm vs J-Quants	N/A	N/A
Renesas Electronics Corporation	N/A (EPS negative — IDT amortization ¥370B/yr; operating profit positive)	N/A	~10.5% (pre-impairment FY2025; currently impaired by amortization)	N/A — confirm vs J-Quants	N/A
Shin-Etsu Chemical Co., Ltd.	24.79x TTM	22.32x (pre-PVC recovery)	~10.5-11.5%	~24.7% (FY2026; compressed -14.4% from PVC weakness)	+¥739.4B (FY2025 — outstanding)
Sumitomo Bakelite Co., Ltd.	~17.2x TTM	~12.0x (FY2025 guidance ¥25.5B NI)	6.54%	10.3% (FY2025 guidance)	+¥46B est (EV/FCF 8.73x, EV ~¥400B)
NSK Ltd	32.12	22.70	1.8%	2.96%	+¥44B (est.)
Toray Industries Inc	25.97	16.62	3.19%	5.0%	N/A
SMC Corporation	29.0	27.24	7.9%	N/A	+¥200B (est., high net income + minimal capex)
Mitsui Kinzoku Company, Limited	~29.7x TTM / ~22.3x forward (StockAnalysis/Simply Wall St, May 2026)	~22.3x	~18.4%	~15.6% (implied: OP ¥117B / revenue ¥750B FY2025E)	N/A (verify J-Quants; positive expected given OP margins)
UBE Corporation	~8.4x TTM (cheaply valued)	N/A	~5.1% (WARNING: below TSE 8% target — ROE guardrail triggered. Override: capex-heavy transition period; electrolyte growth pipeline.)	~4.7% (thin — monitor for recovery to 7%+)	N/A (capex-heavy with Louisiana plant — verify against J-Quants when available)
Taiyo Yuden Co., Ltd.	20.79x TTM (StockAnalysis, May 2026)	27.52x (FY2026 guidance: +8% revenue, +50% OP income)	3.92%	~3.3% TTM (trough); guided to ~4.8–5% FY2026 on +50% OP recovery	N/A
F.C.C. Co., Ltd.	9.5x	N/A	N/A	N/A	N/A
Nittoku Co., Ltd.	14.12x	15.45x	N/A	N/A	N/A
NOK Corporation	15.5x	N/A	~3-5%	4.9%	N/A
Yokowo Co., Ltd.	N/A	N/A	N/A	5.1%	N/A
Yamaha Motor Co., Ltd.	7.5	N/A	1.4%	5.0%	+¥52.5B
Hioki E.E. Corporation	27.8x	N/A	N/A	N/A	N/A
Tsubakimoto Chain Co.	~11.2x	N/A	8.75%	~8.1%	est. +¥20-25B
Central Glass Co., Ltd.	17.7x	~14x (26% EPS growth forecast; analyst consensus)	~8.2% (est: NI ¥8.36B / book value ¥101B)	~3.2% (compressed; was ~6-9% pre-Chinese LiPF6 price war)	N/A (J-Quants not available; cross-validate before entry)
CKD Corporation	~36x	~20x (analyst forecast; likely conservative given 35.7% recent earnings growth)	9.19%	12.4%	N/A
Panasonic Holdings Corporation	32.4x	~15x (FY2027 NI expected +2.2x from ¥75B base)	4.77% (FY2026 trough; guided higher FY2027)	~2.9% (FY2026: OP ¥236.4B / Revenue ¥8,049B; compressed by restructuring charges)	N/A (Panasonic Energy capex-heavy; cross-validate before entry)
UACJ Corporation	15.46x	~22x (FY2027 NI guided ¥28B from ¥38.8B; NI decline; caution)	11.21%	~5.4% (Q3 FY2026 9M operating profit margin improving from prior year)	N/A (capital-intensive aluminum rolling; verify before entry)
Kanto Denka Kogyo Co., Ltd.	N/A (loss year FY2026 due to fire). Forward PE ~32x on FY2027 guided EPS ¥118.3	~32x (FY2027 guided NI ¥6.8B / shares 57.46M = ¥118.3 EPS; price ¥3,775)	-4.74% (FY2026 fire loss). FY2027 guided ROE ~10% (¥6.8B NI / ¥68B book)	~8.7% guided FY2027 (¥10B OP / ¥95B revenue). Depressed in FY2026 (fire losses)	Negative FY2026 (fire year). Recovery expected FY2027.
Niterra Co., Ltd.	15.42	14.67	14.80%	~19% (FY2027 guide: ¥150B OP / ¥790B rev)	+¥80B est.
Nippon Sanso Holdings Corporation	~18.6x est.	N/A	~10% est.	~15-16% (Q4 FY2026: ¥56.8B / ¥361.8B)	+¥90B est.