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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:78Outperform
Price Target:
¥1,852.00
▲(13.27% Upside)
Alps Alpine Co's stock score is driven by strong technical indicators and an attractive valuation, indicating potential upside. Financial performance is stable, with growth in revenue and profitability. However, mixed earnings call highlights suggest caution due to currency impacts and segment-specific issues.

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: 3.35%|
Next Earnings Date:Oct 29, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of positive developments such as record-breaking quarterly sales and reduced debt, alongside challenges including foreign exchange losses and segment-specific declines. While there are significant achievements, the lowlights, particularly the impacts of currency fluctuations and segment losses, balance out the positive aspects.
Q1-2025 Updates
Positive Updates
Record-Breaking Quarterly Sales
Achieved the highest quarterly sales in the company's history with revenue growth driven by mobile and consumer market products in the components segment.
Operating Profit Increase
Operating profit rose by JPY2.5 billion YoY to JPY3.7 billion, despite a JPY3.1 billion negative impact from currency appreciation.
Successful Structural Reforms
Structural reforms in the mobility segment led to cost reductions and improved performance, contributing to revenue and operating profit exceeding initial forecasts.
Revised Upward Earnings Forecast
Revised H1 earnings forecast upward due to better-than-expected tariff impact and successful price pass-through negotiations.
Reduction in Debt
Reduced cash and interest-bearing debt by JPY31.8 billion, mainly due to the repayment of JPY27.5 billion in short-term borrowings.
Strong Actuator Sales
Actuator sales increased due to strong demand driven by seasonal factors and procurement issues related to rare earth export regulations.
Negative Updates
Foreign Exchange Impact
The exchange rate appreciation had a negative impact of JPY13.3 billion on revenue and JPY3.1 billion on operating profit.
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 losses.
Sensor and Communication Segment Challenges
The segment recorded declines in both sales and operating profit YoY, impacted by lower keyless entry system sales and increased development costs.
Mobility Segment Loss
The mobility segment experienced a net sales decline and operating profit loss of JPY500 million, despite YoY improvement.
Increased Variable Costs
Variable costs rose by JPY4.1 billion due to increased actuator sales, impacting overall profit margins.
Company Guidance
In the financial results briefing for ALPS ALPINE CO., LTD. for Q1 of the fiscal year ending March 2026, the company reported significant growth in both revenue and operating profit year-over-year (YoY), marking the highest quarterly sales in its history at JPY238.9 billion. The revenue was boosted by strong demand in the components segment, particularly in mobile and consumer markets, and was supported by a weaker-than-expected yen, which offset a JPY13.3 billion negative currency impact. Operating profit increased by JPY2.5 billion YoY to JPY3.7 billion, despite a JPY3.1 billion negative impact from currency appreciation. Ordinary profit, however, decreased by JPY3.5 billion YoY due to a foreign exchange loss, resulting in a net loss of JPY2.8 billion. Structural reforms in the mobility segment contributed to cost reductions and improved performance. The company also revised its H1 sales forecast upward by JPY40 billion to JPY498 billion and operating profit by JPY8 billion to JPY12.1 billion, citing conservative initial estimates and successful price pass-through negotiations. Despite uncertainties around tariffs and foreign exchange for H2, the company maintained its initial plan, with a continued focus on achieving the goals outlined in its Medium-Term Plan 2027.

Alps Alpine Co Financial Statement Overview

Summary
Alps Alpine Co presents a stable financial outlook with notable improvements in profitability and cash flow generation. Revenue growth and profitability recovery reflect positive momentum. While the balance sheet is solid, careful management of debt levels is essential to mitigate potential risks.
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.
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue990.41B964.09B933.11B802.85B718.01B
Gross Profit174.75B166.07B167.53B138.80B114.49B
EBITDA94.06B28.10B79.92B80.26B53.71B
Net Income37.84B-29.81B11.47B22.96B-3.84B
Balance Sheet
Total Assets740.72B753.99B737.00B743.52B694.28B
Cash, Cash Equivalents and Short-Term Investments147.94B122.67B84.17B139.73B153.07B
Total Debt100.79B129.30B121.94B113.27B117.94B
Total Liabilities325.20B361.17B337.21B318.21B315.91B
Stockholders Equity414.00B391.17B398.21B389.61B345.13B
Cash Flow
Free Cash Flow22.78B33.13B-36.94B-13.89B4.67B
Operating Cash Flow65.82B89.17B15.41B34.30B42.64B
Investing Cash Flow-1.68B-55.09B-54.20B-45.51B-41.16B
Financing Cash Flow-37.30B-1.81B-742.00M-13.54B14.52B

Alps Alpine Co Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1635.00
Price Trends
50DMA
1521.63
Positive
100DMA
1462.16
Positive
200DMA
1502.22
Positive
Market Momentum
MACD
41.36
Negative
RSI
60.23
Neutral
STOCH
66.14
Neutral
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 1635 is above the 20-day moving average (MA) of 1598.65, above the 50-day MA of 1521.63, and above the 200-day MA of 1502.22, indicating a bullish trend. The MACD of 41.36 indicates Negative momentum. The RSI at 60.23 is Neutral, neither overbought nor oversold. The STOCH value of 66.14 is Neutral, 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 (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$341.16B9.808.55%3.57%1.69%
76
Outperform
¥204.57B13.04
0.95%15.13%31.79%
74
Outperform
¥360.71B13.34
2.75%-1.94%9.00%
70
Outperform
$167.87B17.617.13%2.45%-5.19%-10.59%
68
Neutral
¥242.18B15.626.62%2.44%9.08%2.46%
67
Neutral
¥66.13B22.37
3.53%6.60%-36.94%
59
Neutral
¥358.68B152.85
3.23%4.21%-135.36%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6770
Alps Alpine Co
1,635.00
211.57
14.86%
JP:4980
Dexerials Corp.
2,107.00
16.53
0.79%
JP:6787
Meiko Electronics Co., Ltd.
7,980.00
2,786.42
53.65%
JP:6908
IRISO Electronics Co., Ltd.
2,836.00
457.65
19.24%
JP:6976
Taiyo Yuden Co., Ltd.
2,812.00
-768.51
-21.46%
JP:6807
Japan Aviation Electronics Industry
2,447.00
104.90
4.48%

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 02, 2025