ROHM Co., Ltd. (6963.T) fair value

ACCE thesis

ROHM designs and manufactures power semiconductors, including SiC (silicon carbide) MOSFETs, analog ICs and discrete components sold largely into automotive and industrial equipment. Its edge is vertical integration in silicon carbide, where it makes substrates and devices in-house, which supports supply security and cost position as EV inverters and industrial power stages shift from silicon to SiC. Revenue growth of 16.8% reflects that mix shift, though a 7.1% operating margin against a 24.8% gross margin shows the profit pool is still thin and sensitive to utilisation and depreciation on new capacity. At a forward P/E of 43.3 the market is already paying for a recovery in earnings, so the question for a deeper look is whether margins can widen as SiC volumes scale faster than fixed costs. Coverage is limited to a single data point on each metric here, so the next step is to pull segment margins and the capex schedule before drawing a conclusion.