🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Jefferies boosts Nidec shares target, sees strong earnings growth

EditorEmilio Ghigini
Published 18/07/2024, 10:08
6594
-

On Thursday, Jefferies maintained a Buy rating on Nidec Corporation (6594:JP) (OTC: NNDNF) stock and increased the shares target to JPY9,600 from JPY8,000.

The firm anticipates a robust expansion of Nidec's earnings beginning in the fiscal year ending March 2026, suggesting that current consensus estimates may be unduly conservative.

Jefferies' positive outlook on Nidec is based on a few key factors. The firm expects sustained improvement in the company's near-term earnings. Additionally, Jefferies foresees potential for earnings growth in various segments of Nidec's business, including Motion Control (MOEN), Appliance, Commercial and Industrial Motor (ACIM), automotive, and machinery businesses.

The revised price target represents a significant increase and reflects confidence in the company's future performance. Nidec's diverse portfolio, which spans several industries, is seen as a strong point, with particular promise in its core businesses.

The upgrade comes at a time when investors are closely monitoring corporate earnings forecasts and growth potential. By setting a higher price target, Jefferies signals its belief that Nidec is well-positioned to outperform market expectations and deliver increased shareholder value.

Nidec Corporation, known for producing electric motors, has been expanding its reach in the automotive sector, especially in electric vehicle components, which could be a driving force behind the anticipated earnings growth. The firm's analysis suggests that Nidec's strategic moves and market positioning will likely lead to favorable outcomes in the coming years.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.