ニチコン’s share price rebounded in late October on certain catalysts before falling below the previous day’s level on 30 October, when reports emerged that a major US securities firm had upgraded the stock and raised its target price. Attention is also focused on the earnings report and the maintenance of the full-year forecasts.
The share price fell to ¥2,124 on 26 October but rebounded to ¥2,264 on 29 October. On 30 October, it fell ¥131 from the previous day to ¥2,133, with the trading range widening again after the rebound.
On 19 October, reports emerged in succession that a major US securities firm had issued a bullish upgrade and raised its target price to ¥4,200. The share price continued to search for a new level while digesting the news. Trading volume surged to 1.819 million shares on 29 October, and the closing price was ¥2,264.
ニチコン announced its earnings summary for the first quarter of the fiscal year ending March 2027 on 5 August, reporting revenue of ¥44.7 billion, up 12.9% year on year, and operating profit of ¥2.8 billion, up 292.1%. Demand for components used in AI servers drove results. Full-year forecasts were maintained at revenue of ¥185.0 billion and operating profit of ¥8.7 billion, with the focus now on whether the recent improvement will continue through the full-year period.