In today’s briefing:
- Kokusai Electric (6525 JP): Q1 Miss; FY Guidance Maintained, 2H Ramp Critical, Valuation Discount
- Rohm Co Ltd(6963 JP): Advancing from Breakdown to Breakthrough; Strong Outlook for Q2
- Vikram Solar IPO – Riding India’s Renewable Energy Wave
- Astera Labs: Initiation of Coverage -Taurus & Aries Product Diversification As a Key Growth Strategy!
- Nittobo (3110 JP) – Q1 Solid, Guidance Retained; 2H Execution Key for AI-Led Growth
- Intel In The Hot Seat: U.S. Government Eyes Stake As Chipmaker Stumbles
- Jacobs Solutions: An Advanced Facilities & Water Sector Momentum for Future Revenue Growth & Project Execution!
- CHIPS Act Money For Equity Stake, Pay For China Play? For Goodness Sake!
- Broadridge Financial Solutions: These Are The 4 Biggest Challenges In Its Path In 2025 & Beyond!
- IFF Expands Global Footprint as Emerging Markets Unlock New Revenue Streams!
Kokusai Electric (6525 JP): Q1 Miss; FY Guidance Maintained, 2H Ramp Critical, Valuation Discount
- Results: Q1 revenue ¥51.8B (–21% YoY) and OP ¥10.9B (–44%) came in weak, with DRAM softness offset partly by NAND strength.
- Guidance: FY26/3 outlook (¥244B revenue, ¥55.2B OP) reiterated, implying a sharp 2H acceleration in shipments and margin recovery.
- Valuation: Shares trade at ~11× EV/EBITDA, a discount to peers, but execution risk keeps the multiple constrained.
Rohm Co Ltd(6963 JP): Advancing from Breakdown to Breakthrough; Strong Outlook for Q2
- Advancing from Breakdown to Breakthrough:ROHM Co Ltd (6963 JP) returned to profitability in Q1FY25 on improved demand and cost controls with strong outlook for Q2.
- Rohm is actively implementing structural reforms, with a priority on ensuring profitability in any market environment. It is also drafting its second Medium-Term Management Plan for FY26 to FY28.
- It continues to be available at significantly cheaper valuation versus peers of just 0.8x price to book. Also, it has been added to the Nikkei 225 Index recently.
Vikram Solar IPO – Riding India’s Renewable Energy Wave
- Vikram Solar’s IPO launch with INR 1,500 crore fresh issue underscores its ambition to fund large-scale expansion, boosting installed capacity from 4.5 GW to 20.5 GW by FY27.
- A robust 10.3 GW order book and Tier-1 global recognition reinforce demand visibility and credibility, positioning the company strongly amid India’s accelerating renewable transition.
- Execution risks in new facilities, raw material price volatility, and premium valuations temper the growth story, requiring cautious optimism from investors.
Astera Labs: Initiation of Coverage -Taurus & Aries Product Diversification As a Key Growth Strategy!
- Astera Labs, in its second quarter of fiscal year 2025, showcased robust financial performance and strategic advancement in its market positioning.
- The company reported revenue of $191.9 million, reflecting a 20% increase from the previous quarter and a notable 150% year-over-year rise.
- This substantial revenue growth was attributed to increased demand in both its signal conditioning and switch fabric product lines, notably with the Scorpio P-Series switches.
Nittobo (3110 JP) – Q1 Solid, Guidance Retained; 2H Execution Key for AI-Led Growth
- Results: Q1 FY26 came in solid, with strength in Electronic Materials offsetting weakness in Insulation.
- Guidance/Estimates: FY26 guidance was reiterated, and we retain our estimates, with 2H execution key.
- Valuation: At ~9.5x EV/EBITDA FY26E, Nittobo looks inexpensive, with its monopoly T-glass exposure offering direct leverage to NVIDIA-driven AI/data center demand.
Intel In The Hot Seat: U.S. Government Eyes Stake As Chipmaker Stumbles
- Intel is suddenly at the center of a high-stakes drama.
- Just this month, the Trump administration reversed its public criticism of CEO Lip Bu Tan—who had been accused of being “conflicted” due to his past China ties—and moved into “constructive discussions” about a possible government equity stake in the company .
- That shift followed a White House meeting that apparently reset the tone, with Trump calling Tan’s journey “amazing” after once demanding his resignation .
Jacobs Solutions: An Advanced Facilities & Water Sector Momentum for Future Revenue Growth & Project Execution!
- Jacobs presented strong fiscal third-quarter 2025 results, with both adjusted EPS and revenue targets meeting or surpassing expectations.
- The quarter was marked by a 25% increase in adjusted EPS to $1.62, buoyed by net revenue growth of 7% and substantial year-over-year margin expansion.
- The company’s backlog grew 14% to a record $23 billion, and bookings maintained a positive trajectory, positioning Jacobs favorably for upcoming quarters.
CHIPS Act Money For Equity Stake, Pay For China Play? For Goodness Sake!
- US commerce secretary Howard Lutnick confirmed that the US Administration is pursuing a strategy of converting CHIPS Act funding into equity stakes with Intel acting as its guinea pig
- It seems clear that Mr. Lutnick is bent on applying the same formula with other beneficiaries of US CHIPs Act funding
- CHIPs Act Dollars for Equity, Pay For China Play may seem like innovative ideas but in reality they are a slippery slope to confusion & chaos. Who or what’s next?
Broadridge Financial Solutions: These Are The 4 Biggest Challenges In Its Path In 2025 & Beyond!
- Broadridge Financial Solutions presented a robust financial performance in its fiscal fourth quarter and full year 2025 results, signaling positive momentum and strategic positioning for future growth.
- The company reported a 7% increase in recurring revenue on a constant currency basis and an 11% growth in adjusted earnings per share (EPS), in line with its long-term objectives.
- This financial achievement was complemented by the strategic execution in key areas such as democratization and digitization of governance, capital markets innovation, and modernization of wealth management.
IFF Expands Global Footprint as Emerging Markets Unlock New Revenue Streams!
- The recent financial results for International Flavors & Fragrances Inc. (IFF) reveal a balanced but challenging landscape for the company, marked by both growth strides and headwinds across various business segments.
- In the second quarter of 2025, IFF reported a revenue increase of over 3% year-over-year, reaching just above $2.75 billion.
- Additionally, the adjusted operating EBITDA grew by approximately 6% to $552 million, with a margin improvement of 50 basis points.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
