Rohm Co.

6963.TLOW

SiC Power Devices · Weight: 2%· Data as of 2026-06-04

¥3,487+2.62%

6-month daily

Investment Thesis

Anchor participant in Japan's government-backed power semiconductor consolidation (Rohm + Toshiba TDSC + Mitsubishi Electric MoU signed March 27, 2026). FY2025 kitchen-sink SiC impairment of ¥158.4B clears the balance sheet — depreciation falls sharply from FY2026, driving OP ¥30B (+176%) guided recovery. Gen 5 SiC MOSFET (~30% lower on-resistance at Tj=175°C) in samples July 2026. Toyota bZ5 (HAIMOSIC JV, ~360K units/yr), Schaeffler (mass production Sep 2025), Infineon MOU (Sep 2025) all confirmed. CAUTION: Denso ¥1.3T bid withdrawn April 28, 2026; JV talks delayed — more complex than expected; P/B 2.56x vs 1.3x historical; analyst consensus PT ¥2,944 (-47% from market ¥5,400+).

Risk

1) JV EXECUTION RISK: Three-party JV delayed; Rohm president warned talks slower than expected (May 15, 2026). No equity structure/timeline yet. 2) VALUATION RISK: P/B 2.56x approaching historical peak; stock 3x'd from lows on JV/M&A speculation. Analyst consensus PT ¥2,944 vs ¥5,400+ = -47% implied downside. 3) SiC structural headwinds: Chinese vertical integration, BEV slowdown. 4) FY2025 NI -¥158.4B was WORSE than prior year ¥-57B — management credibility under scrutiny. 5) OP ¥30B guidance still formulating NI estimate — unusual complexity.

Monitoring Trigger

DO NOT ADD at current levels (P/B at historical peak, analyst consensus -47% below market). Re-entry conditions: (1) formal JV equity structure announced, OR (2) first clean profitable quarter in FY2026, OR (3) stock retraces to ¥3,500-4,000 range (closer to fundamental valuation). Q1 FY2026 results (Aug 2026) — watch OP run-rate toward ¥30B target.

Key Dates

2026-07catalystGen 5 SiC MOSFET discrete samples — design win campaigns begin for automotive traction and AI power supply

2026-08earningsQ1 FY2026 results — first evidence toward ¥30B OP guidance; watch: OP run-rate, SiC quality resolution, JV structure

2026-H2catalystJV formal structure announcement expected — if reached; Rohm president warned of delays May 15, 2026

2027catalystTSMC GaN process integration for AI server power market — diversification beyond SiC automotive

Update History

2026-05-03evolveHOLD

View report →

Major thesis revision: three-way merger MOU (Toshiba+Mitsubishi Electric), Denso bid collapse, Toyota bZ5 confirmed, Schaeffler in mass production. Earnings date corrected to May 12.

pb:1.521.37market_cap:¥1.41T¥1.35Tforward_pe:55.75~125xop_margin:-4.1%+1.6% Q3 FY2026supply_chain:Tesla inferred (WRONG)Toyota bZ5 confirmed + Schaeffler mass production + Infineon MOU + Toshiba/Mitsubishi JVthesis:pure-play SiCJapan power semi consolidation anchor + SiC recoveryearnings_date:2026-05-082026-05-12

2026-06-04evolveHOLD

View report →

FY2025: OP ¥10.8B beat (¥5B guide), NI -¥158.4B SiC impairment. FY2026 OP ¥30B guided. PB 1.37→2.56x. Denso bid withdrawn Apr 28. JV delayed May 15. Gen 5 SiC samples Jul 2026. Analyst PT ¥2,944 vs ¥5,400+ market = -47%. HOLD-cautious; no add at current levels.

pe:LossLoss (NI -¥158.4B, worse than prior ¥57B)pb:1.372.56market_cap:¥1.35T¥1.32Tsupply_chain:4 entries (incl. JV MoU)4 entries confirmed (Toyota bZ5, Schaeffler, Infineon, JV MoU)monitoring_trigger:Watch May 2026 earningsDo not add at P/B 2.56x; re-entry: JV formal structure OR first profitable quarter OR price ¥3,500-4,000key_dates:May 12 earnings (passed)Refreshed: Gen5 Jul, Q1 Aug, JV H2, GaN 2027

Key Metrics

Loss (NI -¥158.4B SiC impairment)

~125x (near-breakeven NI; FY2028 target >20% OP margin)

Fwd PE

2.56

P/B

Loss

ROE

+1.6% Q3 FY2026 (recovering from -9.0% year ago)

Op Margin

43%

D/E

1.4%

Div Yield

-¥44B

FCF

¥1.32T

Mkt Cap

Business Segments

Segment	Revenue	Share	Description
Discrete (SiC, MOSFET)	¥210B	44%	SiC power devices — core EV play
LSI / ICs	¥175B	37%	Analog, power management
Modules	¥88B	19%	Power modules, LED

Supply Chain Evidence

Evidence	Customer	Product	Detail
confirmed	Toyota bZ5 (China-market BEV)	SiC MOSFETs via HAIMOSIC JV (Rohm + Zhenghai Group), ~360K units/year	Mass production in HAIMOSIC JV (Shanghai). Toyota bZ5 targeted at China market.[source](2025-06-23)
confirmed	Schaeffler	SiC MOSFET bare chips for HV inverter brick targeting major Chinese carmaker	Mass production commenced September 2025.[source](2025-09-04)
confirmed	Infineon Technologies	SiC package second-source MOU — on-board chargers, PV, energy storage, AI data centers	MOU September 25, 2025. Mutual SiC package second-source for selected device lines.[source](2025-09-25)
confirmed (MoU stage)	Rohm + Toshiba TDSC + Mitsubishi Electric (JV MoU)	Combined power semiconductor operating company — #2 global position if JV completes	MoU signed March 27, 2026 by all 5 parties including JIP and TBJH. Combined share ~9.7-11% global, ranking above onsemi. Formal JV not yet established; talks delayed per May 2026 warning.[source](2026-03-27)

Primary IR Documentation

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

IR landingROHM Investor Relations landing↗

Cites: Primary IR portal — FY2025 year-end materials posted May 12, 2026

https://www.rohm.com/ir

Earnings releaseROHM FY2025 Financial Report (Year ended March 2026)↗

Cites: FY2025 full-year financial report (May 12, 2026)

https://fscdn.rohm.com/en/financial/financial-report/2603_financialresults_en.pdf

Press releaseROHM SiC MOSFET Adopted for Mass Production in Toyota's New BEV (Jun 23, 2025)↗

Cites: 4th-gen SiC MOSFET adopted in Toyota bZ5 (FAW Toyota); power module from HAIMOSIC JV — confirms Toyota EV SiC platform supplier thesis

https://micro.rohm.com/en/financial/ir-news-releases/250623_news_en.pdf

Sources & References

↗StockAnalysishttps://stockanalysis.com/quote/tyo/6963/statistics/↗Yahoo Finance JPhttps://finance.yahoo.co.jp/quote/6963.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.