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Alps Alpine Co Ltd (JP:6770)
:6770
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Alps Alpine Co (6770) AI Stock Analysis

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JP:6770

Alps Alpine Co

(OTC:6770)

Rating:79Outperform
Price Target:
¥2,093.00
▲(12.50% Upside)
Alps Alpine Co's strong financial performance and bullish technical indicators drive a positive outlook. The reasonable valuation and positive earnings call further support the score, despite some risks from foreign exchange losses and segment challenges.

Alps Alpine Co (6770) vs. iShares MSCI Japan ETF (EWJ)

Alps Alpine Co Business Overview & Revenue Model

Company DescriptionAlps Alpine Co., Ltd. is a Japanese multinational corporation that specializes in the manufacturing and sale of electronic components, automotive infotainment systems, and communication devices. The company is involved in various sectors, including automotive, consumer electronics, and industrial, providing high-quality products such as sensors, switches, touchpads, and audio systems. With a focus on innovation and technology integration, Alps Alpine aims to enhance user experiences across different applications and industries.
How the Company Makes MoneyAlps Alpine Co., Ltd. generates its revenue primarily through the sale of its electronic components and systems. Key revenue streams include automotive components, such as infotainment systems and electronic control units (ECUs), utilized by leading automotive manufacturers. The company also earns from consumer electronics and industrial markets, supplying components like sensors and switches that are essential in various devices and machinery. Significant partnerships with automotive manufacturers and electronic device producers further bolster its earnings, as these collaborations often lead to long-term contracts and steady demand for its products.

Alps Alpine Co Earnings Call Summary

Earnings Call Date:Jul 31, 2025
(Q1-2025)
|
% Change Since: |
Next Earnings Date:Oct 29, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted significant achievements, including record-breaking sales and operating profit growth, along with successful cost structure reforms. However, challenges remain with foreign exchange losses impacting ordinary profit and net profit, and difficulties in the sensor and communication segment. Overall, the company's outlook for H1 has improved with an upward revision in forecast, but uncertainty remains for H2.
Q1-2025 Updates
Positive Updates
Record-breaking Quarterly Sales
Achieved the highest quarterly sales in the company's history for Q1 FY2026 with net sales reaching JPY238.9 billion, a YoY increase of JPY5.3 billion.
Operating Profit Growth
Operating profit increased by JPY2.5 billion YoY to JPY3.7 billion despite an adverse JPY3.1 billion impact from foreign exchange.
Upward Revision of Earnings Forecast
Revised the H1 earnings forecast upward with sales expected to increase by JPY40 billion to JPY498 billion and operating profit by JPY8 billion to JPY12.1 billion.
Cost Structure Reforms
Implemented structural reforms in the mobility segment leading to reduced abnormal costs and improved profit despite lower sales.
Strong Performance in Actuator Sales
Actuator sales for the mobile market contributed significantly to revenue growth despite being impacted by China's rare earth export regulations.
Negative Updates
Foreign Exchange Losses
Ordinary profit decreased by JPY3.5 billion YoY to JPY1.2 billion due to a foreign exchange loss of JPY3.7 billion.
Net Profit Decline
Net profit attributable to owners of the parent declined by JPY3.2 billion YoY, resulting in a net loss of JPY2.8 billion due to foreign exchange impacts.
Sensor and Communication Segment Challenges
The segment recorded declines in both sales and profit with net sales at JPY19.8 billion and an operating loss of JPY2.1 billion.
Mobility Segment Losses
Despite profit improvements, the mobility segment reported a net loss of JPY500 million due to foreign exchange effects and development cost burdens.
Company Guidance
In the recent financial results briefing for ALPS ALPINE CO., LTD., the company reported record-breaking quarterly sales for Q1 of FY2026, with revenue reaching JPY238.9 billion, a YoY increase of JPY5.3 billion. The operating profit also rose by JPY2.5 billion YoY to JPY3.7 billion despite a JPY3.1 billion negative impact from currency appreciation. Ordinary profit, however, fell by JPY3.5 billion YoY to JPY1.2 billion, primarily due to a foreign exchange loss of JPY3.7 billion. The components segment, driven by strong demand for actuators and game console products, achieved net sales of JPY82.9 billion, though operating profit declined YoY due to foreign exchange effects. Meanwhile, the mobility segment experienced lower sales but improved profitability due to structural reforms. The company has revised its H1 earnings forecast upward, anticipating sales of JPY498 billion, an increase of JPY40 billion from the initial forecast, and operating profit of JPY12.1 billion, reflecting early progress in price negotiations and a limited impact from tariffs. Despite uncertainties in H2, ALPS ALPINE remains committed to its medium-term management plan and will continue to monitor the business environment closely.

Alps Alpine Co Financial Statement Overview

Summary
Alps Alpine Co shows strong revenue growth and profitability recovery, with a robust gross profit margin. The balance sheet is healthy, but debt management needs attention. Cash flow is solid, though historical volatility suggests challenges in capital management.
Income Statement
78
Positive
Alps Alpine Co has exhibited a strong revenue growth trajectory, with a notable increase in revenue in the most recent year. The gross profit margin is robust, indicating efficient production and cost management. The company has improved its net profit margin, rebounding from previous losses, which highlights a recovery and stabilization in profitability. However, fluctuations in EBIT over the years may suggest some operational volatility.
Balance Sheet
75
Positive
The company maintains a healthy equity ratio, reflecting a strong capital structure with substantial stockholders' equity relative to total assets. The debt-to-equity ratio is reasonable, suggesting manageable leverage levels. Return on equity has improved significantly, indicating enhanced profitability relative to shareholder investment. However, the fluctuations in total debt over the years could pose potential risks if not managed carefully.
Cash Flow
70
Positive
Alps Alpine Co demonstrates solid operating cash flow performance, with an improving trend in free cash flow, signaling increased financial flexibility and capacity for reinvestment. The operating cash flow to net income ratio is strong, which underscores effective conversion of profits into cash. However, the historical volatility in free cash flow suggests potential challenges in managing capital expenditures and financing activities.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue990.41B990.41B964.09B933.11B802.85B718.01B
Gross Profit174.75B174.75B166.07B167.53B138.80B114.49B
EBITDA94.06B94.06B28.10B74.88B85.09B47.10B
Net Income37.84B37.84B-29.81B11.47B22.96B-3.84B
Balance Sheet
Total Assets740.72B740.72B753.99B737.00B743.52B694.28B
Cash, Cash Equivalents and Short-Term Investments147.94B147.94B122.67B84.17B139.73B153.07B
Total Debt100.79B100.79B129.30B121.94B113.27B117.94B
Total Liabilities325.20B325.20B361.17B337.21B318.21B315.91B
Stockholders Equity414.00B414.00B391.17B398.21B389.61B345.13B
Cash Flow
Free Cash Flow0.0022.78B33.13B-36.94B-13.89B4.67B
Operating Cash Flow0.0065.82B89.17B15.41B34.30B42.64B
Investing Cash Flow0.00-1.68B-55.09B-54.20B-45.51B-41.16B
Financing Cash Flow0.00-37.30B-1.81B-742.00M-13.54B14.52B

Alps Alpine Co Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1860.50
Price Trends
50DMA
1621.96
Positive
100DMA
1510.04
Positive
200DMA
1518.02
Positive
Market Momentum
MACD
63.40
Negative
RSI
75.45
Negative
STOCH
88.09
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6770, the sentiment is Positive. The current price of 1860.5 is above the 20-day moving average (MA) of 1730.00, above the 50-day MA of 1621.96, and above the 200-day MA of 1518.02, indicating a bullish trend. The MACD of 63.40 indicates Negative momentum. The RSI at 75.45 is Negative, neither overbought nor oversold. The STOCH value of 88.09 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:6770.

Alps Alpine Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
$378.88B10.668.55%3.22%1.69%
61
Neutral
$35.52B8.84-11.04%1.87%8.55%-8.14%
$1.17B18.647.13%2.43%
76
Outperform
¥238.02B15.17
0.82%15.13%31.79%
73
Outperform
¥330.76B12.27
3.03%-1.94%9.00%
67
Neutral
¥70.55B23.69
3.34%6.60%-36.94%
59
Neutral
¥372.87B152.85
2.92%4.21%-135.36%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6770
Alps Alpine Co
1,860.50
420.70
29.22%
JPAVF
Japan Aviation Electronics Industry
17.25
0.44
2.62%
JP:4980
Dexerials Corp.
1,910.50
-2.47
-0.13%
JP:6787
Meiko Electronics Co., Ltd.
9,820.00
4,261.09
76.65%
JP:6908
IRISO Electronics Co., Ltd.
3,070.00
651.17
26.92%
JP:6976
Taiyo Yuden Co., Ltd.
3,085.00
71.87
2.39%

Alps Alpine Co Corporate Events

Alps Alpine Revises Financial Forecasts Upward Amid Strong Market Performance
Jul 31, 2025

Alps Alpine Co., Ltd. has revised its financial forecasts for the fiscal year ending March 31, 2026, due to a weaker yen and better-than-expected performance in the automotive and mobile markets. The company anticipates increased net sales and operating income for the first half of the fiscal year, reflecting a more robust market performance than initially expected.

The most recent analyst rating on (JP:6770) stock is a Hold with a Yen1510.00 price target. To see the full list of analyst forecasts on Alps Alpine Co stock, see the JP:6770 Stock Forecast page.

Alps Alpine Reports Q1 Financial Results and Revises Forecast
Jul 31, 2025

Alps Alpine Co., Ltd. reported its consolidated financial results for the three months ending June 30, 2025, showing a slight increase in net sales by 2.3% year-on-year, but a significant drop in ordinary profit by 73.5%. The company also revised its earnings forecast for the fiscal year ending March 31, 2026, indicating expected declines in net sales and profits, which could impact its market positioning and stakeholder confidence.

The most recent analyst rating on (JP:6770) stock is a Hold with a Yen1420.00 price target. To see the full list of analyst forecasts on Alps Alpine Co stock, see the JP:6770 Stock Forecast page.

Alps Alpine Completes Disposal of Treasury Stock for Executive Remuneration
Jul 28, 2025

Alps Alpine Co., Ltd. has completed the disposal of 71,100 shares of its treasury stock as restricted stock remuneration, following a resolution by its Board of Directors. This move, involving a total disposal value of 101,317,500 yen, is aimed at incentivizing its directors and executive officers, potentially impacting the company’s governance and operational strategies.

The most recent analyst rating on (JP:6770) stock is a Sell with a Yen1500.00 price target. To see the full list of analyst forecasts on Alps Alpine Co stock, see the JP:6770 Stock Forecast page.

Alps Alpine Announces Share Repurchase to Boost Shareholder Value
Jul 4, 2025

Alps Alpine Co., Ltd. has announced the acquisition of 1,350,300 of its own shares in June 2025, as part of its shareholder return policy aimed at enhancing share value and capital efficiency. The acquisition, conducted through market purchases on the Tokyo Stock Exchange, is part of a broader plan to repurchase up to 20 million shares by March 2026, with a total purchase price cap of 20 billion yen.

The most recent analyst rating on (JP:6770) stock is a Sell with a Yen1500.00 price target. To see the full list of analyst forecasts on Alps Alpine Co stock, see the JP:6770 Stock Forecast page.

Alps Alpine Announces Treasury Stock Disposal for Long-term Incentive Plan
Jun 25, 2025

Alps Alpine Co., Ltd. has announced the disposal of 71,100 shares of its treasury stock as part of a restricted stock remuneration plan aimed at providing long-term incentives to its directors and executive officers. This move is intended to align the interests of the company’s leadership with those of its shareholders and to attract and retain competent personnel. The plan includes transfer restrictions on the stock for 40 years, with provisions for lifting these restrictions upon the expiration of the term of office or retirement for justifiable reasons.

The most recent analyst rating on (JP:6770) stock is a Sell with a Yen1500.00 price target. To see the full list of analyst forecasts on Alps Alpine Co stock, see the JP:6770 Stock Forecast page.

Alps Alpine Initiates Treasury Share Disposal to Boost Employee Engagement
Jun 25, 2025

Alps Alpine Co., Ltd. has announced a new initiative to dispose of treasury shares to its Employee Stock Ownership Plan (ESOP) as part of a special incentive scheme. This move aims to enhance employee benefits, encourage personal wealth building, and incentivize employees to contribute to the company’s sustainable growth. The disposal will involve 753,300 shares, representing a minor dilution of 0.34% of outstanding shares, and is intended to align employee interests with those of shareholders, thereby enhancing corporate value.

The most recent analyst rating on (JP:6770) stock is a Sell with a Yen1500.00 price target. To see the full list of analyst forecasts on Alps Alpine Co stock, see the JP:6770 Stock Forecast page.

Alps Alpine Co. Announces Share Buyback to Enhance Shareholder Value
Jun 6, 2025

Alps Alpine Co., Ltd. announced the acquisition of 100,100 of its own shares in May 2025, as part of a shareholder return policy aimed at increasing share value and improving capital efficiency. The acquisition, executed through market purchases on the Tokyo Stock Exchange, is part of a larger plan approved by the Board of Directors to repurchase up to 20 million shares by March 2026, with a total purchase price cap of 20 billion yen.

The most recent analyst rating on (JP:6770) stock is a Hold with a Yen1600.00 price target. To see the full list of analyst forecasts on Alps Alpine Co stock, see the JP:6770 Stock Forecast page.

Alps Alpine Co. Announces Annual Dividend Payment
May 27, 2025

Alps Alpine Co., Ltd. announced its decision to pay annual dividends from surplus, with a record date of March 31, 2025, and a dividend per share of ¥30.00. This decision reflects the company’s commitment to balancing growth investments, maintaining sound financial health, and ensuring stable shareholder returns. The company aims to provide continuous returns to shareholders, targeting a dividend on equity ratio of 3% over the medium to long term, with a forecast of ¥60 per share for the fiscal year ending March 31, 2026.

The most recent analyst rating on (JP:6770) stock is a Sell with a Yen1500.00 price target. To see the full list of analyst forecasts on Alps Alpine Co stock, see the JP:6770 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 29, 2025