ROHM Co., Ltd.

TSE:6963 Stock Report

Market Cap: JP¥545.8b

ROHM Valuation

Is 6963 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 6963 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 6963 (¥1414) is trading below our estimate of fair value (¥7245.27)

Significantly Below Fair Value: 6963 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 6963?

Key metric: As 6963 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 6963. This is calculated by dividing 6963's market cap by their current earnings.
What is 6963's PE Ratio?
PE Ratio29.1x
EarningsJP¥18.73b
Market CapJP¥545.78b

Price to Earnings Ratio vs Peers

How does 6963's PE Ratio compare to its peers?

The above table shows the PE ratio for 6963 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.3x
6526 Socionext
18.9x11.8%JP¥423.4b
6967 Shinko Electric Industries
41.7x21.5%JP¥710.0b
6966 Mitsui High-tec
9.4x7.6%JP¥139.4b
7826 Furuya Metal
11.3x13.5%JP¥86.2b
6963 ROHM
29.1x35.7%JP¥545.8b

Price-To-Earnings vs Peers: 6963 is expensive based on its Price-To-Earnings Ratio (29.1x) compared to the peer average (20.3x).

Price to Earnings Ratio vs Industry

How does 6963's PE Ratio compare vs other companies in the JP Semiconductor Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
3856 Abalance
1.9xn/aUS$90.55m
No more companies available in this PE range
6963 29.1xIndustry Avg. 14.1xNo. of Companies7PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 6963 is expensive based on its Price-To-Earnings Ratio (29.1x) compared to the JP Semiconductor industry average (14.1x).

Price to Earnings Ratio vs Fair Ratio

What is 6963's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

6963 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio29.1x
Fair PE Ratio23.4x

Price-To-Earnings vs Fair Ratio: 6963 is expensive based on its Price-To-Earnings Ratio (29.1x) compared to the estimated Fair Price-To-Earnings Ratio (23.4x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 6963 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥1,414.00
JP¥1,918.18
+35.7%
26.8%JP¥2,900.00JP¥1,200.00n/a11
Nov ’25JP¥1,652.00
JP¥2,122.73
+28.5%
26.8%JP¥2,900.00JP¥1,200.00n/a11
Oct ’25JP¥1,715.00
JP¥2,197.27
+28.1%
29.4%JP¥3,150.00JP¥1,200.00n/a11
Sep ’25JP¥1,825.00
JP¥2,447.00
+34.1%
19.6%JP¥3,150.00JP¥1,600.00n/a10
Aug ’25JP¥1,990.00
JP¥2,609.09
+31.1%
17.5%JP¥3,200.00JP¥1,750.00n/a11
Jul ’25JP¥2,130.00
JP¥2,797.92
+31.4%
21.1%JP¥3,875.00JP¥1,750.00n/a12
Jun ’25JP¥2,028.00
JP¥2,827.08
+39.4%
21.8%JP¥3,875.00JP¥1,750.00n/a12
May ’25JP¥2,305.50
JP¥3,106.25
+34.7%
16.5%JP¥3,875.00JP¥2,100.00n/a12
Apr ’25JP¥2,426.00
JP¥3,229.17
+33.1%
13.3%JP¥3,875.00JP¥2,100.00n/a12
Mar ’25JP¥2,568.50
JP¥3,279.17
+27.7%
14.3%JP¥3,875.00JP¥2,100.00n/a12
Feb ’25JP¥2,591.50
JP¥3,383.33
+30.6%
13.5%JP¥3,875.00JP¥2,100.00n/a12
Jan ’25JP¥2,702.50
JP¥3,494.23
+29.3%
13.3%JP¥3,950.00JP¥2,100.00n/a13
Dec ’24JP¥2,743.50
JP¥3,494.64
+27.4%
12.8%JP¥3,950.00JP¥2,100.00n/a14
Nov ’24JP¥2,491.50
JP¥3,544.64
+42.3%
13.3%JP¥4,100.00JP¥2,100.00JP¥1,652.0014
Oct ’24JP¥2,817.00
JP¥3,712.50
+31.8%
11.6%JP¥4,250.00JP¥2,625.00JP¥1,715.0014
Sep ’24JP¥3,040.00
JP¥3,736.67
+22.9%
12.9%JP¥4,350.00JP¥2,625.00JP¥1,825.0015
Aug ’24JP¥3,382.50
JP¥3,755.00
+11.0%
12.8%JP¥4,350.00JP¥2,625.00JP¥1,990.0015
Jul ’24JP¥3,380.00
JP¥3,525.00
+4.3%
11.4%JP¥4,175.00JP¥2,500.00JP¥2,130.0015
Jun ’24JP¥3,017.50
JP¥3,431.67
+13.7%
9.6%JP¥3,950.00JP¥2,500.00JP¥2,028.0015
May ’24JP¥2,602.50
JP¥3,430.00
+31.8%
10.3%JP¥3,950.00JP¥2,375.00JP¥2,305.5015
Apr ’24JP¥2,742.50
JP¥3,433.93
+25.2%
10.6%JP¥3,950.00JP¥2,375.00JP¥2,426.0014
Mar ’24JP¥2,665.00
JP¥3,433.93
+28.9%
10.6%JP¥3,950.00JP¥2,375.00JP¥2,568.5014
Feb ’24JP¥2,617.50
JP¥3,434.62
+31.2%
11.7%JP¥4,000.00JP¥2,375.00JP¥2,591.5013
Jan ’24JP¥2,382.50
JP¥3,410.71
+43.2%
11.5%JP¥4,000.00JP¥2,375.00JP¥2,702.5014
Dec ’23JP¥2,780.00
JP¥3,392.86
+22.0%
11.6%JP¥4,000.00JP¥2,375.00JP¥2,743.5014
Nov ’23JP¥2,635.00
JP¥3,332.14
+26.5%
10.4%JP¥3,775.00JP¥2,375.00JP¥2,491.5014

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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