Valuation Update With 7 Day Price Move • 23h
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to JP¥10,610, the stock trades at a forward P/E ratio of 11x. Average forward P/E is 21x in the Semiconductor industry in Japan. Total returns to shareholders of 206% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥6,599 per share. Major Estimate Revision • May 21
Consensus EPS estimates increase by 26%, revenue downgraded The consensus outlook for fiscal year 2027 has been updated. 2027 revenue forecast fell from JP¥48.9b to JP¥46.3b. EPS estimate rose from JP¥158 to JP¥199. Net income forecast to shrink 68% next year vs 26% growth forecast for Semiconductor industry in Japan . Consensus price target of JP¥8,267 unchanged from last update. Share price fell 4.8% to JP¥11,320 over the past week. Reported Earnings • May 17
Full year 2026 earnings: EPS and revenues miss analyst expectations Full year 2026 results: EPS: JP¥578 (up from JP¥306 in FY 2025). Revenue: JP¥36.2b (down 14% from FY 2025). Net income: JP¥9.28b (up 73% from FY 2025). Profit margin: 26% (up from 13% in FY 2025). Revenue missed analyst estimates by 7.3%. Earnings per share (EPS) also missed analyst estimates by 18%. Revenue is forecast to grow 21% p.a. on average during the next 2 years, compared to a 4.2% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has increased by 54% per year, which means it is tracking significantly ahead of earnings growth. Announcement • May 14
MegaChips Corporation, Annual General Meeting, Jun 26, 2026 MegaChips Corporation, Annual General Meeting, Jun 26, 2026. Announcement • May 10
MegaChips Corporation to Report Fiscal Year 2026 Results on May 14, 2026 MegaChips Corporation announced that they will report fiscal year 2026 results on May 14, 2026 Valuation Update With 7 Day Price Move • May 08
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to JP¥11,700, the stock trades at a forward P/E ratio of 40x. Average forward P/E is 21x in the Semiconductor industry in Japan. Total returns to shareholders of 286% over the past three years. New Risk • May 07
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 7.0% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 62% per year for the foreseeable future. Minor Risks Share price has been volatile over the past 3 months (7.0% average weekly change). Large one-off items impacting financial results. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥250 per share Eligible shareholders must have bought the stock before 30 March 2026. Payment date: 30 May 2026. Payout ratio is a comfortable 7.6% and this is well supported by cash flows. Trailing yield: 1.6%. Lower than top quartile of Japanese dividend payers (3.6%). Higher than average of industry peers (1.0%). Reported Earnings • Feb 07
Third quarter 2026 earnings released: EPS: JP¥672 (vs JP¥19.24 in 3Q 2025) Third quarter 2026 results: EPS: JP¥672 (up from JP¥19.24 in 3Q 2025). Revenue: JP¥7.66b (down 21% from 3Q 2025). Net income: JP¥10.6b (up JP¥10.2b from 3Q 2025). Revenue is forecast to grow 21% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 8% per year but the company’s share price has increased by 44% per year, which means it is tracking significantly ahead of earnings growth. Price Target Changed • Jan 17
Price target increased by 13% to JP¥7,633 Up from JP¥6,733, the current price target is an average from 3 analysts. New target price is 8.3% below last closing price of JP¥8,320. Stock is up 37% over the past year. The company is forecast to post earnings per share of JP¥347 for next year compared to JP¥306 last year. Declared Dividend • Jan 08
Dividend increased to JP¥250 Dividend of JP¥250 is 79% higher than last year. Ex-date: 30th March 2026 Payment date: 30th May 2026 Dividend yield will be 3.2%, which is higher than the industry average of 1.0%. Sustainability & Growth Dividend is covered by earnings (37% earnings payout ratio) but the company has no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has increased by an average of 15% per year over the past 10 years. However, payments have been volatile during that time. EPS is expected to decline by 2.0% over the next 3 years. However, it would need to fall by 58% to increase the payout ratio to a potentially unsustainable range. Announcement • Jan 07
MegaChips Corporation announces Annual dividend, payable on May 30, 2026 MegaChips Corporation announced Annual dividend of JPY 250.0000 per share payable on May 30, 2026, ex-date on March 30, 2026 and record date on March 31, 2026. New Risk • Jan 07
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 1.9% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risk Earnings are forecast to decline by an average of 1.9% per year for the foreseeable future. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (7.0% net profit margin). Announcement • Dec 05
MegaChips Corporation to Report Q3, 2026 Results on Feb 06, 2026 MegaChips Corporation announced that they will report Q3, 2026 results on Feb 06, 2026 Announcement • Nov 28
MegaChips Corporation Revises Consolidated Earnings Guidance for the Fiscal Year Ending March 31, 2026 MegaChips Corporation revised consolidated earnings guidance for the fiscal year ending March 31, 2026. For the year, the company expects net sales of JPY 42,000 million, operating income of JPY 3,000 million, net income attributable to owners of the parent of JPY 11,500 million and earnings per share of JPY 724.32 against net sales of JPY 42,000 million, operating income of JPY 3,000 million, net income attributable to owners of parent of JPY 9,000 million and earnings per share of JPY 558.85 as previously forecasted. Reasons for the revisions of the forecast: The Company initially expected to record an extraordinary gain of JPY 11 billion from the sale of shares in SiTime, which it held as investment securities, in the forecast published on November 2025. However, it now anticipates recording a gain of approximately JPY 15 billion from the sale. As a result, the Company has revised its forecast as stated above. Valuation Update With 7 Day Price Move • Nov 19
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to JP¥7,450, the stock trades at a forward P/E ratio of 30x. Average forward P/E is 16x in the Semiconductor industry in Japan. Total returns to shareholders of 216% over the past three years. Reported Earnings • Nov 08
Second quarter 2026 earnings released: EPS: JP¥59.79 (vs JP¥49.34 in 2Q 2025) Second quarter 2026 results: EPS: JP¥59.79 (up from JP¥49.34 in 2Q 2025). Revenue: JP¥14.8b (down 2.3% from 2Q 2025). Net income: JP¥973.4m (up 11% from 2Q 2025). Profit margin: 6.6% (up from 5.8% in 2Q 2025). Revenue is forecast to grow 17% p.a. on average during the next 3 years, compared to a 7.7% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has fallen by 52% per year but the company’s share price has increased by 44% per year, which means it is well ahead of earnings. New Risk • Oct 02
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 5.5% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (5.5% average weekly change). Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (6.7% net profit margin). Valuation Update With 7 Day Price Move • Oct 02
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to JP¥8,740, the stock trades at a forward P/E ratio of 35x. Average forward P/E is 16x in the Semiconductor industry in Japan. Total returns to shareholders of 263% over the past three years. Announcement • Sep 18
MegaChips Corporation to Report Q2, 2026 Results on Nov 07, 2025 MegaChips Corporation announced that they will report Q2, 2026 results on Nov 07, 2025 Reported Earnings • Aug 08
First quarter 2026 earnings released: JP¥34.08 loss per share (vs JP¥85.74 profit in 1Q 2025) First quarter 2026 results: JP¥34.08 loss per share (down from JP¥85.74 profit in 1Q 2025). Revenue: JP¥6.49b (down 48% from 1Q 2025). Net loss: JP¥575.0m (down 138% from profit in 1Q 2025). Revenue is forecast to grow 16% p.a. on average during the next 3 years, compared to a 6.7% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 88 percentage points per year, which is a significant difference in performance. Announcement • Jul 15
MegaChips Corporation to Report Q1, 2026 Results on Aug 07, 2025 MegaChips Corporation announced that they will report Q1, 2026 results on Aug 07, 2025 Reported Earnings • Jun 25
Full year 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2025 results: EPS: JP¥306 (up from JP¥242 in FY 2024). Revenue: JP¥42.3b (down 27% from FY 2024). Net income: JP¥5.37b (up 20% from FY 2024). Profit margin: 13% (up from 7.7% in FY 2024). Revenue missed analyst estimates by 8.2%. Earnings per share (EPS) exceeded analyst estimates by 11%. Revenue is forecast to grow 9.6% p.a. on average during the next 3 years, compared to a 7.2% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 80 percentage points per year, which is a significant difference in performance. Major Estimate Revision • May 20
Consensus revenue estimates fall by 15% The consensus outlook for revenues in fiscal year 2026 has deteriorated. 2026 revenue forecast decreased from JP¥53.3b to JP¥45.3b. EPS estimate fell from JP¥249 to JP¥228 per share. Net income forecast to shrink 27% next year vs 0.1% decline forecast for Semiconductor industry in Japan. Consensus price target broadly unchanged at JP¥6,633. Share price was steady at JP¥4,905 over the past week. Announcement • May 16
MegaChips Corporation (TSE:6875) announces an Equity Buyback for 1,700,000 shares, representing 9.96% for ¥10,000 million. MegaChips Corporation (TSE:6875) announces a share repurchase program. Under the program, the company will repurchase 1,700,000 shares, representing 9.96% of its share capital (excluding treasury shares), for ¥ 10,000 million. The purpose of program is to return profits to shareholders and improve capital efficiency. The repurchased shares will be canceled. The program will run until April 30, 2026. As of March 31, 2025, the company had 17,070,280 shares outstanding (excluding treasury shares) and 3,582,120 shares in treasury. Announcement • May 14
MegaChips Corporation, Annual General Meeting, Jun 20, 2025 MegaChips Corporation, Annual General Meeting, Jun 20, 2025. Announcement • Mar 25
MegaChips Corporation to Report Fiscal Year 2025 Results on May 14, 2025 MegaChips Corporation announced that they will report fiscal year 2025 results on May 14, 2025 Upcoming Dividend • Mar 21
Upcoming dividend of JP¥140 per share Eligible shareholders must have bought the stock before 28 March 2025. Payment date: 02 June 2025. Payout ratio is a comfortable 15% but the company is not cash flow positive. Trailing yield: 2.5%. Lower than top quartile of Japanese dividend payers (3.7%). Higher than average of industry peers (1.8%). New Risk • Mar 07
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Japanese stocks, typically moving 7.6% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (7.6% average weekly change). Earnings are forecast to decline by an average of 2.0% per year for the foreseeable future. Minor Risks Paying a dividend despite having no free cash flows. Large one-off items impacting financial results. Reported Earnings • Feb 08
Third quarter 2025 earnings released: EPS: JP¥19.23 (vs JP¥21.65 in 3Q 2024) Third quarter 2025 results: EPS: JP¥19.23 (down from JP¥21.65 in 3Q 2024). Revenue: JP¥9.69b (down 13% from 3Q 2024). Net income: JP¥333.0m (down 16% from 3Q 2024). Profit margin: 3.4% (down from 3.6% in 3Q 2024). Revenue is forecast to grow 18% p.a. on average during the next 3 years, compared to a 8.3% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 87 percentage points per year, which is a significant difference in performance. New Risk • Jan 28
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 5.2% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Paying a dividend despite having no free cash flows. Share price has been volatile over the past 3 months (5.2% average weekly change). Large one-off items impacting financial results. Price Target Changed • Jan 08
Price target increased by 17% to JP¥6,733 Up from JP¥5,767, the current price target is an average from 3 analysts. New target price is 8.8% above last closing price of JP¥6,190. Stock is up 29% over the past year. The company is forecast to post earnings per share of JP¥282 for next year compared to JP¥242 last year. Announcement • Jan 03
MegaChips Corporation to Report Q3, 2025 Results on Feb 07, 2025 MegaChips Corporation announced that they will report Q3, 2025 results on Feb 07, 2025 Price Target Changed • Dec 23
Price target increased by 13% to JP¥6,167 Up from JP¥5,450, the current price target is an average from 3 analysts. New target price is approximately in line with last closing price of JP¥6,330. Stock is up 40% over the past year. The company is forecast to post earnings per share of JP¥287 for next year compared to JP¥242 last year. Reported Earnings • Nov 09
Second quarter 2025 earnings released: EPS: JP¥49.34 (vs JP¥40.05 in 2Q 2024) Second quarter 2025 results: EPS: JP¥49.34 (up from JP¥40.05 in 2Q 2024). Revenue: JP¥15.2b (down 21% from 2Q 2024). Net income: JP¥879.0m (up 19% from 2Q 2024). Profit margin: 5.8% (up from 3.8% in 2Q 2024). Revenue is forecast to grow 15% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 77 percentage points per year, which is a significant difference in performance. Announcement • Sep 26
MegaChips Corporation to Report Q2, 2025 Results on Nov 08, 2024 MegaChips Corporation announced that they will report Q2, 2025 results on Nov 08, 2024 Announcement • Aug 20
MegaChips Corporation (TSE:6875) announces an Equity Buyback for 1,000,000 shares, representing 5.59% for ¥4,500 million. MegaChips Corporation (TSE:6875) announces a share repurchase program. Under the program, the company will repurchase 1,000,000 shares, representing 5.59% of its share capital (excluding treasury shares), for ¥ 4,500 million. The purpose of program is to return profits to shareholders and improve capital efficiency. The program will run until March 31, 2025. As of July 31, 2024, the company had 17,892,598 shares outstanding (excluding treasury shares) and 2,759,802 shares in treasury. Valuation Update With 7 Day Price Move • Aug 05
Investor sentiment deteriorates as stock falls 21% After last week's 21% share price decline to JP¥3,350, the stock trades at a forward P/E ratio of 12x. Average forward P/E is 17x in the Semiconductor industry in Japan. Total returns to shareholders of 6.6% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at JP¥1,848 per share. New Risk • Jul 10
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Japanese stocks, typically moving 5.3% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (5.3% average weekly change). Large one-off items impacting financial results. Announcement • Jun 26
MegaChips Corporation to Report Q1, 2025 Results on Aug 08, 2024 MegaChips Corporation announced that they will report Q1, 2025 results on Aug 08, 2024 Reported Earnings • Jun 26
Full year 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2024 results: EPS: JP¥242 (down from JP¥369 in FY 2023). Revenue: JP¥57.9b (down 18% from FY 2023). Net income: JP¥4.49b (down 37% from FY 2023). Profit margin: 7.7% (down from 10.0% in FY 2023). Revenue missed analyst estimates by 8.3%. Earnings per share (EPS) exceeded analyst estimates by 22%. Revenue is forecast to grow 5.6% p.a. on average during the next 3 years, compared to a 12% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has fallen by 49% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Announcement • May 24
MegaChips Corporation (TSE:6875) announces an Equity Buyback for 35,000 shares, representing 0.19% for ¥149.28 million. MegaChips Corporation (TSE:6875) announces a share repurchase program. Under the program, the company will repurchase 35,000 shares, representing 0.19% of its share capital (excluding treasury shares), for ¥149.28 million. The purpose of program is to return profits to shareholders and improve capital efficiency. The repurchased shares will be cancelled. The program will run until July 31, 2024. As of December 31, 2023, the company had 18,384,098 shares outstanding (excluding treasury shares) and 2,748,302 shares in treasury. New Risk • May 18
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 2.1% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. Currently, the following risks have been identified for the company: Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Large one-off items impacting financial results. Major Estimate Revision • May 17
Consensus revenue estimates decrease by 13% The consensus outlook for fiscal year 2025 has been updated. 2025 revenue forecast fell from JP¥64.0b to JP¥55.9b. EPS estimate unchanged at JP¥258 per share. Net income forecast to grow 4.8% next year vs 17% growth forecast for Semiconductor industry in Japan. Consensus price target of JP¥5,600 unchanged from last update. Share price rose 9.3% to JP¥4,300 over the past week. Announcement • May 15
MegaChips Corporation, Annual General Meeting, Jun 21, 2024 MegaChips Corporation, Annual General Meeting, Jun 21, 2024. Reported Earnings • May 12
Full year 2024 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2024 results: EPS: JP¥242 (down from JP¥369 in FY 2023). Revenue: JP¥57.9b (down 18% from FY 2023). Net income: JP¥4.49b (down 37% from FY 2023). Profit margin: 7.7% (down from 10.0% in FY 2023). Revenue missed analyst estimates by 8.3%. Earnings per share (EPS) exceeded analyst estimates by 22%. Revenue is forecast to grow 9.8% p.a. on average during the next 2 years, compared to a 13% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has fallen by 49% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. Announcement • Mar 27
MegaChips Corporation to Report Fiscal Year 2024 Results on May 10, 2024 MegaChips Corporation announced that they will report fiscal year 2024 results on May 10, 2024 Upcoming Dividend • Mar 21
Upcoming dividend of JP¥50.00 per share Eligible shareholders must have bought the stock before 28 March 2024. Payment date: 03 June 2024. Payout ratio is a comfortable 13% and this is well supported by cash flows. Trailing yield: 1.2%. Lower than top quartile of Japanese dividend payers (3.2%). Higher than average of industry peers (0.9%). Reported Earnings • Feb 10
Third quarter 2024 earnings released: EPS: JP¥21.65 (vs JP¥93.36 in 3Q 2023) Third quarter 2024 results: EPS: JP¥21.65 (down from JP¥93.36 in 3Q 2023). Revenue: JP¥11.1b (down 45% from 3Q 2023). Net income: JP¥398.0m (down 78% from 3Q 2023). Profit margin: 3.6% (down from 8.9% in 3Q 2023). Revenue is forecast to grow 6.6% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has fallen by 27% per year but the company’s share price has increased by 16% per year, which means it is well ahead of earnings. Price Target Changed • Jan 17
Price target increased by 7.3% to JP¥5,600 Up from JP¥5,217, the current price target is an average from 3 analysts. New target price is 11% above last closing price of JP¥5,050. Stock is up 97% over the past year. The company is forecast to post earnings per share of JP¥194 for next year compared to JP¥369 last year. Major Estimate Revision • Jan 12
Consensus EPS estimates fall by 10% The consensus outlook for fiscal year 2024 has been updated. 2024 EPS estimate fell from JP¥216 to JP¥194 per share. Revenue forecast steady at JP¥69.7b. Net income forecast to shrink 25% next year vs 3.0% growth forecast for Semiconductor industry in Japan . Consensus price target broadly unchanged at JP¥5,267. Share price rose 10% to JP¥5,030 over the past week. Announcement • Dec 12
MegaChips Corporation to Report Q3, 2024 Results on Feb 09, 2024 MegaChips Corporation announced that they will report Q3, 2024 results on Feb 09, 2024 Reported Earnings • Nov 09
Second quarter 2024 earnings released: EPS: JP¥40.05 (vs JP¥88.99 in 2Q 2023) Second quarter 2024 results: EPS: JP¥40.05 (down from JP¥88.99 in 2Q 2023). Revenue: JP¥19.2b (down 8.8% from 2Q 2023). Net income: JP¥737.0m (down 57% from 2Q 2023). Profit margin: 3.8% (down from 8.1% in 2Q 2023). Revenue is forecast to stay flat during the next 3 years compared to a 9.1% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has fallen by 4% per year but the company’s share price has increased by 14% per year, which means it is well ahead of earnings. Announcement • Aug 10
MegaChips Corporation to Report Q2, 2024 Results on Nov 08, 2023 MegaChips Corporation announced that they will report Q2, 2024 results on Nov 08, 2023 Reported Earnings • Aug 08
First quarter 2024 earnings released: EPS: JP¥50.18 (vs JP¥61.55 in 1Q 2023) First quarter 2024 results: EPS: JP¥50.18 (down from JP¥61.55 in 1Q 2023). Revenue: JP¥17.3b (up 16% from 1Q 2023). Net income: JP¥952.0m (down 19% from 1Q 2023). Profit margin: 5.5% (down from 7.9% in 1Q 2023). Revenue is forecast to stay flat during the next 3 years compared to a 7.9% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 19% per year whereas the company’s share price has increased by 24% per year. Price Target Changed • Jul 20
Price target increased by 7.2% to JP¥4,983 Up from JP¥4,650, the current price target is an average from 3 analysts. New target price is 21% above last closing price of JP¥4,130. Stock is up 24% over the past year. The company is forecast to post earnings per share of JP¥228 for next year compared to JP¥369 last year. Reported Earnings • May 16
Full year 2023 earnings: Revenues and EPS in line with analyst expectations Full year 2023 results: EPS: JP¥369 (down from JP¥1,349 in FY 2022). Revenue: JP¥70.7b (down 6.0% from FY 2022). Net income: JP¥7.09b (down 74% from FY 2022). Profit margin: 10.0% (down from 37% in FY 2022). Revenue was in line with analyst estimates. Earnings per share (EPS) were also in line with analyst expectations. Revenue is forecast to stay flat during the next 3 years compared to a 6.9% growth forecast for the Semiconductor industry in Japan. Over the last 3 years on average, earnings per share has increased by 43% per year but the company’s share price has only increased by 19% per year, which means it is significantly lagging earnings growth. Announcement • May 12
MegaChips Corporation to Report Q1, 2024 Results on Aug 04, 2023 MegaChips Corporation announced that they will report Q1, 2024 results on Aug 04, 2023 Major Estimate Revision • Mar 30
Consensus EPS estimates increase by 17%, revenue downgraded The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast fell from JP¥73.3b to JP¥71.0b. EPS estimate rose from JP¥309 to JP¥361. Net income forecast to shrink 8.1% next year vs 6.2% decline forecast for Semiconductor industry in Japan. Consensus price target of JP¥4,567 unchanged from last update. Share price fell 2.2% to JP¥3,270 over the past week. Major Estimate Revision • Mar 24
Consensus EPS estimates increase by 17%, revenue downgraded The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast fell from JP¥73.3b to JP¥71.0b. EPS estimate rose from JP¥309 to JP¥361. Net income forecast to shrink 8.1% next year vs 7.3% decline forecast for Semiconductor industry in Japan. Consensus price target of JP¥4,567 unchanged from last update. Share price rose 13% to JP¥3,310 over the past week. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥40.00 per share at 1.2% yield Eligible shareholders must have bought the stock before 30 March 2023. Payment date: 05 June 2023. Payout ratio is a comfortable 13% and this is well supported by cash flows. Trailing yield: 1.2%. Lower than top quartile of Japanese dividend payers (3.6%). Lower than average of industry peers (2.2%). Price Target Changed • Mar 08
Price target decreased by 12% to JP¥4,567 Down from JP¥5,183, the current price target is an average from 3 analysts. New target price is 58% above last closing price of JP¥2,897. Stock is down 12% over the past year. The company is forecast to post earnings per share of JP¥309 for next year compared to JP¥1,349 last year. Reported Earnings • Feb 04
Third quarter 2023 earnings released: EPS: JP¥93.36 (vs JP¥1,193 in 3Q 2022) Third quarter 2023 results: EPS: JP¥93.36 (down from JP¥1,193 in 3Q 2022). Revenue: JP¥20.1b (down 11% from 3Q 2022). Net income: JP¥1.79b (down 93% from 3Q 2022). Profit margin: 8.9% (down from 107% in 3Q 2022). Revenue is expected to decline by 3.0% p.a. on average during the next 3 years, while revenues in the Semiconductor industry in Japan are expected to grow by 7.1%. Over the last 3 years on average, earnings per share has increased by 68% per year but the company’s share price has only increased by 16% per year, which means it is significantly lagging earnings growth. Price Target Changed • Nov 16
Price target decreased to JP¥5,183 Down from JP¥5,583, the current price target is an average from 3 analysts. New target price is 99% above last closing price of JP¥2,610. Stock is down 38% over the past year. The company is forecast to post earnings per share of JP¥321 for next year compared to JP¥1,349 last year. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 6 non-independent directors. Independent Outside Director Heihachi Matsumoto was the last independent director to join the board, commencing their role in 2022. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Reported Earnings • Nov 10
Second quarter 2023 earnings released: EPS: JP¥88.99 (vs JP¥74.69 in 2Q 2022) Second quarter 2023 results: EPS: JP¥88.99 (up from JP¥74.69 in 2Q 2022). Revenue: JP¥21.1b (down 2.3% from 2Q 2022). Net income: JP¥1.71b (up 11% from 2Q 2022). Profit margin: 8.1% (up from 7.1% in 2Q 2022). Revenue is expected to decline by 3.8% p.a. on average during the next 3 years, while revenues in the Semiconductor industry in Japan are expected to grow by 7.0%. Over the last 3 years on average, earnings per share has increased by 93% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Price Target Changed • Nov 09
Price target decreased to JP¥5,183 Down from JP¥5,583, the current price target is an average from 3 analysts. New target price is 97% above last closing price of JP¥2,637. Stock is down 38% over the past year. The company is forecast to post earnings per share of JP¥317 for next year compared to JP¥1,349 last year. Reported Earnings • Aug 07
First quarter 2023 earnings released: EPS: JP¥61.55 (vs JP¥34.44 in 1Q 2022) First quarter 2023 results: EPS: JP¥61.55 (up from JP¥34.44 in 1Q 2022). Revenue: JP¥14.9b (down 14% from 1Q 2022). Net income: JP¥1.18b (up 58% from 1Q 2022). Profit margin: 7.9% (up from 4.3% in 1Q 2022). Over the next year, revenue is forecast to grow 2.9%, compared to a 22% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 106% per year but the company’s share price has only increased by 23% per year, which means it is significantly lagging earnings growth. Price Target Changed • Jul 08
Price target decreased to JP¥5,700 Down from JP¥6,500, the current price target is an average from 4 analysts. New target price is 89% above last closing price of JP¥3,020. Stock is down 7.4% over the past year. The company is forecast to post earnings per share of JP¥319 for next year compared to JP¥1,349 last year. Reported Earnings • May 17
Full year 2022 earnings: EPS in line with expectations, revenues disappoint Full year 2022 results: EPS: JP¥1,349 (up from JP¥961 in FY 2021). Revenue: JP¥75.3b (down 10% from FY 2021). Net income: JP¥27.5b (up 32% from FY 2021). Profit margin: 37% (up from 25% in FY 2021). Revenue missed analyst estimates by 4.4%. Earnings per share (EPS) were mostly in line with analyst estimates. Over the next year, revenue is forecast to grow 1.2%, compared to a 21% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 118% per year but the company’s share price has only increased by 42% per year, which means it is significantly lagging earnings growth. Price Target Changed • Apr 27
Price target increased to JP¥6,350 Up from JP¥5,567, the current price target is an average from 3 analysts. New target price is 92% above last closing price of JP¥3,300. Stock is down 13% over the past year. The company is forecast to post earnings per share of JP¥1,354 for next year compared to JP¥961 last year. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 6 non-independent directors. Independent Outside Director Jiun-Hao Lai was the last independent director to join the board, commencing their role in 2022. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Apr 08
MegaChips Corporation to Report Q3, 2023 Results on Feb 03, 2023 MegaChips Corporation announced that they will report Q3, 2023 results on Feb 03, 2023 Price Target Changed • Apr 05
Price target increased to JP¥6,350 Up from JP¥5,567, the current price target is an average from 3 analysts. New target price is 67% above last closing price of JP¥3,795. Stock is up 4.3% over the past year. The company is forecast to post earnings per share of JP¥1,354 for next year compared to JP¥961 last year. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥35.00 per share Eligible shareholders must have bought the stock before 30 March 2022. Payment date: 06 June 2022. Payout ratio is a comfortable 1.7% but the company is not cash flow positive. Trailing yield: 0.9%. Lower than top quartile of Japanese dividend payers (3.4%). Lower than average of industry peers (1.9%). Reported Earnings • Feb 07
Third quarter 2022 earnings: EPS and revenues exceed analyst expectations Third quarter 2022 results: EPS: JP¥1,193 (up from JP¥44.80 in 3Q 2021). Revenue: JP¥22.5b (down 3.9% from 3Q 2021). Net income: JP¥24.0b (up JP¥23.0b from 3Q 2021). Revenue exceeded analyst estimates by 3.2%. Earnings per share (EPS) also surpassed analyst estimates by 4.5%. Over the next year, revenue is forecast to grow 4.1%, compared to a 23% growth forecast for the industry in Japan. Over the last 3 years on average, earnings per share has increased by 129% per year but the company’s share price has only increased by 28% per year, which means it is significantly lagging earnings growth. Major Estimate Revision • Nov 27
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 EPS estimate increased from JP¥170 to JP¥190. Revenue forecast steady at JP¥77.0b. Net income forecast to shrink 81% next year vs 20% growth forecast for Semiconductor industry in Japan . Consensus price target up from JP¥4,633 to JP¥5,567. Share price fell 3.7% to JP¥4,720 over the past week. Price Target Changed • Nov 26
Price target increased to JP¥5,567 Up from JP¥4,500, the current price target is an average from 4 analysts. New target price is 18% above last closing price of JP¥4,720. Stock is up 70% over the past year. The company is forecast to post earnings per share of JP¥190 for next year compared to JP¥961 last year. Reported Earnings • Nov 07
Second quarter 2022 earnings released: EPS JP¥74.69 (vs JP¥32.26 in 2Q 2021) The company reported a decent second quarter result with improved earnings and profit margins, although revenues were weaker. Second quarter 2022 results: Revenue: JP¥21.6b (down 13% from 2Q 2021). Net income: JP¥1.54b (up 120% from 2Q 2021). Profit margin: 7.1% (up from 2.8% in 2Q 2021). Over the last 3 years on average, earnings per share has increased by 124% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Price Target Changed • Aug 10
Price target increased to JP¥4,200 Up from JP¥3,850, the current price target is an average from 3 analysts. New target price is 30% above last closing price of JP¥3,240. Stock is up 56% over the past year. Reported Earnings • Aug 09
First quarter 2022 earnings released: EPS JP¥34.44 (vs JP¥68.79 in 1Q 2021) The company reported a poor first quarter result with weaker earnings, revenues and profit margins. First quarter 2022 results: Revenue: JP¥17.3b (down 18% from 1Q 2021). Net income: JP¥745.0m (down 50% from 1Q 2021). Profit margin: 4.3% (down from 7.1% in 1Q 2021). Over the last 3 years on average, earnings per share has increased by 116% per year but the company’s share price has only increased by 20% per year, which means it is significantly lagging earnings growth. Reported Earnings • May 17
Full year 2021 earnings released: EPS JP¥961 (vs JP¥82.34 loss in FY 2020) The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2021 results: Revenue: JP¥83.8b (up 27% from FY 2020). Net income: JP¥20.9b (up JP¥22.7b from FY 2020). Profit margin: 25% (up from net loss in FY 2020). Over the last 3 years on average, earnings per share has increased by 87% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Upcoming Dividend • Mar 23
Upcoming dividend of JP¥17.00 per share Eligible shareholders must have bought the stock before 30 March 2021. Payment date: 05 June 2021. Trailing yield: 0.5%. Lower than top quartile of Japanese dividend payers (2.7%). Lower than average of industry peers (1.4%).