Analysts have modestly revised their price target for Renesas Electronics, maintaining an estimated fair value near ¥2,381 as underlying fundamentals such as revenue growth and profit margin expectations saw only slight improvements.
What's in the News
- Renesas Electronics is exploring the potential sale of its timing division, which could be valued at nearly $2 billion. Texas Instruments and Infineon are reported as possible buyers (Reuters).
- The company announced support for NVIDIA's new 800 Volt Direct Current power architecture. This enables more efficient and scalable data center AI power solutions.
- Renesas introduced a customizable family of magnet-free inductive position sensor ICs designed for automation, robotics, and automotive applications.
- A new RA8T2 microcontroller group was launched for high-end motor control. This targets industrial equipment and robotics sectors.
- Renesas has established a new U.S. subsidiary to strengthen and centralize its Software & Digitalization business. This move follows recent acquisitions, including Altium and Part Analytics Inc.
Valuation Changes
- Consensus Analyst Price Target: Remained unchanged at approximately ¥2,381.
- Discount Rate: Decreased slightly from 10.23% to 10.09%.
- Revenue Growth: Rose marginally from 8.24% to 8.27%.
- Net Profit Margin: Improved slightly from 17.27% to 17.30%.
- Future P/E: Declined modestly from 21.31x to 21.16x.
Disclaimer
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