JPMorgan initiates Alps Alpine stock with Neutral rating citing execution risk

Published 15/10/2025, 16:26
JPMorgan initiates Alps Alpine stock with Neutral rating citing execution risk

Investing.com - JPMorgan has initiated coverage on Alps Alpine Co Ltd. (6770:JP) (OTC:APELF) with a Neutral rating and a price target of JPY1,910.00, targeting end-December 2026.

The investment bank notes that Alps Alpine plans to substantially improve profitability in its mobility and sensor & communication segments starting from fiscal year 2026 through fixed-cost reductions, discontinuation of unprofitable products, and expansion of high-value-added products.

Despite these improvement plans, JPMorgan indicates it is "too early to fully factor this in" given the company’s track record of execution issues, which have been persistent for Alps Alpine.

The firm states it currently sees "no changes yet in these two segments that would point to full-scale improvement in profitability from FY2026 onward," leading to its cautious stance on the stock.

JPMorgan is taking a "wait-and-see stance" until it can verify earnings trends following the full-scale launch of new products, concluding that the shares are not currently undervalued.

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
© 2007-2025 - Fusion Media Limited. All Rights Reserved.