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Furukawa Electric hits record high for consecutive days as major domestic brokerage raises target price to \48,500

Thu Apr 9, 2026 1:58 pm JST Catalyst

Furukawa Electric <5801> rose sharply for a second consecutive session. The stock continues to attract investors as a high-profile AI data center play, hitting fresh record highs daily on heavy trading volume. On the 8th, Nomura Securities maintained its "Buy" rating ? the highest on its three-tier scale ? while raising its target price from \33,000 to \48,500. The brokerage revised its earnings forecast upward, incorporating factors including: (1) tight global supply and demand for optical fiber, (2) investments in water-cooling modules and other areas, (3) strong performance at Taiwan-based equity-method affiliate Asia Vital Components, and (4) cost increases stemming from heightened tensions in the Middle East. According to the brokerage, the expected EPS growth rate from the fiscal year ending March 2027 through March 2031 has been revised up to approximately 28% annually, compared to its prior forecast of around 20%. The firm views the company as a compelling investment opportunity with strong growth potential, even in light of the escalating situation in the Middle East.

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.

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