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Hitachi Ltd 6501

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Stock XTKS Rating as of
¥5,094.00 +23.00 (0.45%)
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Hitachi Is the Market Leader in High-Voltage Electrification; Record Orders to Underpin Earnings

Ahmad Halim

Hitachi is shifting from portfolio restructuring to organic growth, with Lumada, its artificial intelligence and digital services layer, as the core of the equity story. It aims to monetize its installed base of grid, rail, and industrial assets by layering domain knowledge and AI on top, lifting margins and cash conversion while continuing to reshape the portfolio.

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Price vs Fair Value

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6501 is trading at a LOCK|CPDsH& premium.
Price
¥5,094.00
Fair Value
LOCK|Q$@
Uncertainty
LOCK|?c
1-Star Price
LOCK|lZy
5-Star Price
LOCK|N^
Economic Moat
LOCK|<V!JV
Capital Allocation
LOCK|Y#K!G>

Bulls Say, Bears Say

Bulls

The grid equipment cycle, driven by data center load, transmission buildout, and HVDC, is structural rather than a short-term spike. Energy is a multiyear earnings engine, and Hitachi is investing ahead of demand.

Bears

Hitachi is adding capacity near the top of the grid-equipment cycle, which could lead to margin pressure, underutilization or delayed returns if data center and transmission demand normalizes

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Trading Information

Previous Close Price
¥5,071.00
Day Range
¥5,006.00–5,196.00
52-Week Range
¥4,388.00–6,039.00
Bid/Ask
¥5,085.00 / ¥5,095.00
Shares Outstanding
4.46B
Market Cap
¥22.70T
Volume/Avg
17M / 12M

Key Statistics

Price/Earnings (Normalized)
31.65
Price/Sales
2.01
Dividend Yield (Trailing)
1.16%
Dividend Yield (Forward)
1.26%
Dividend Payment Schedule
Jun, Nov
Total Yield
3.22%

Company Profile

Hitachi is a Tokyo-based industrial conglomerate that has spent the past two decades transforming from a sprawling “General Electric of Japan” into a more focused, digital-centric company. It exited consumer electronics and hard disk drives after a record 2009 loss, and sold its thermal energy construction business in 2019. It has built scale in grid infrastructure and digital engineering through the 2020 ABB Power Grids and 2021 GlobalLogic acquisitions. Growth today is driven by grid modernization, AI/data-center demand, and rail expansion, with the strongest competitive positioning in grid equipment and rail signaling and the weakest in more commoditized industrial lines like elevators.
Sector
Industrials
Industry
Conglomerates
Stock Style Box
Large Growth
Total Number of Employees
287,901
Website
https://www.hitachi.com

Competitors

Valuation

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Metric
6501
GEV
ENR
Price/Earnings (Normalized)
 31.6530.8336.95
Price/Book Value
 3.4819.9510.09
Price/Sales
 2.015.272.66
Price/Cash Flow
 16.55—21.77
Price/Earnings
6501
GEV
ENR

Financial Strength

Metric
6501
GEV
ENR
Quick Ratio
 0.770.600.61
Current Ratio
 1.090.830.90
Interest Coverage
 43.23—19.83
Quick Ratio
6501
GEV
ENR

Profitability

Metric
6501
GEV
ENR
Return on Assets (Normalized)
 —9.65%7.42%
Return on Equity (Normalized)
 —60.84%41.57%
Return on Invested Capital (Normalized)
 —44.64%29.64%
Return on Assets
6501
GEV
ENR

Conglomerates Industry Comparables

Screen With Investor
1-Day Chart
Name
Price
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
Hitachi Ltd
HTHIF
—LOCK|^Jm#q$144B
 Hitachi Ltd ADR
HTHIY
—LOCK|J@cN&$144B
 Mitsubishi Corp ADR (Unsponsored)
MTSUY
—LOCK|tZ?$112B
 Mitsubishi Corp
MSBHF
—LOCK|T?D$112B
 ITOCHU Corp ADR
ITOCY
—LOCK|<fHl$102B
 ITOCHU Corp
ITOCF
—LOCK|>>NgF$102B
 3M Co
MMM
LOCK|@C>!R?LOCK|GPwBV$90B
 Honeywell International Inc
HON
LOCK|&d@&?!qLOCK|z?K$69B
 Kyocera Corp ADR - Unsponsor
KYOAY
LOCK|^%N&Jx^LOCK|$z$28B
 First State Financial Corp
FSTF
—LOCK|%K$201,290

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