TDK Corp

6762: XTKS (JPN)
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TDK’s Lasting Edge in Rechargeable Batteries; AI Demand Drives Additional HDD Head Growth

Business Strategy and Outlook

TDK is one of the top suppliers of passive components, especially focusing on the automobile industry. We estimate that TDK’s market shares in multilayer ceramic capacitors, or MLCCs, and inductors for automobiles are approximately 10%-15% and 50%, respectively. While we expect electronic devices per automobile to continue increasing, owing to the progress of safety and environmental regulations, there are still a limited number of component manufacturers that could meet the tough requirements of automakers. Therefore, we expect TDK to remain one of the beneficiaries of auto digitalization.

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