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Renesas Electronics Corp
TSE:6723

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Renesas Electronics Corp
TSE:6723
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Price: 3 300 JPY 6.69%
Market Cap: ¥6.2T

EV/EBITDA

15.9
Current
66%
More Expensive
vs 3-y average of 9.6

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
15.9
=
Enterprise Value
¥4.8T
/
EBITDA
¥417.2B

Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBITDA
15.9
=
Enterprise Value
¥4.8T
/
EBITDA
¥417.2B

Valuation Scenarios

Renesas Electronics Corp is trading above its 3-year average

If EV/EBITDA returns to its 3-Year Average (9.6), the stock would be worth ¥1 993.31 (40% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-45%
Maximum Upside
No Upside Scenarios
Average Downside
34%
Scenario EV/EBITDA Value Implied Price Upside/Downside
Current Multiple 15.9 ¥3 300
0%
3-Year Average 9.6 ¥1 993.31
-40%
5-Year Average 9.6 ¥1 992.08
-40%
Industry Average 14.3 ¥2 973.19
-10%
Country Average 8.7 ¥1 801.68
-45%

Forward EV/EBITDA
Today’s price vs future ebitda

Today's Enterprise Value EBITDA Forward EV/EBITDA
¥4.8T
/
Jan 2026
¥417.2B
=
15.9
Current
¥4.8T
/
Dec 2026
¥551.4B
=
8.7
Forward
¥4.8T
/
Dec 2027
¥603.9B
=
7.9
Forward
¥4.8T
/
Dec 2028
¥664.3B
=
7.2
Forward

Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.

Peer Comparison

All Multiples
EV/EBITDA
P/E
All Countries
Close
Market Cap EV/EBITDA P/E
JP
Renesas Electronics Corp
TSE:6723
6T JPY 15.9 -115.6
US
NVIDIA Corp
NASDAQ:NVDA
4.9T USD 36.4 41
US
Broadcom Inc
NASDAQ:AVGO
2T USD 55.2 80.2
TW
Taiwan Semiconductor Manufacturing Co Ltd
TWSE:2330
53.2T TWD 18.1 28.7
US
Micron Technology Inc
NASDAQ:MU
549.9B USD 14.8 22.8
KR
SK Hynix Inc
KRX:000660
701.7T KRW 13.7 19.5
US
Advanced Micro Devices Inc
NASDAQ:AMD
494.6B USD 72.6 114.1
US
Intel Corp
NASDAQ:INTC
326B USD 28.6 -1 220.8
US
Texas Instruments Inc
NASDAQ:TXN
214.3B USD 27.5 43.1
UK
Arm Holdings PLC
NASDAQ:ARM
208.8B USD 186.2 260.6
US
Analog Devices Inc
NASDAQ:ADI
186.2B USD 34.8 68.8
P/E Multiple
Earnings Growth PEG
JP
Renesas Electronics Corp
TSE:6723
Average P/E: 75.4
Negative Multiple: -115.6
N/A N/A
US
NVIDIA Corp
NASDAQ:NVDA
41
39%
1.1
US
Broadcom Inc
NASDAQ:AVGO
80.2
65%
1.2
TW
Taiwan Semiconductor Manufacturing Co Ltd
TWSE:2330
28.7
29%
1
US
Micron Technology Inc
NASDAQ:MU
22.8
125%
0.2
KR
SK Hynix Inc
KRX:000660
19.5
61%
0.3
US
Advanced Micro Devices Inc
NASDAQ:AMD
114.1
75%
1.5
US
Intel Corp
NASDAQ:INTC
Negative Multiple: -1 220.8 N/A N/A
US
Texas Instruments Inc
NASDAQ:TXN
43.1
21%
2.1
UK
Arm Holdings PLC
NASDAQ:ARM
260.6
58%
4.5
US
Analog Devices Inc
NASDAQ:ADI
68.8
48%
1.4

Market Distribution

Higher than 80% of companies in Japan
Percentile
80th
Based on 5 051 companies
80th percentile
15.9
Low
0.1 — 6.7
Typical Range
6.7 — 12.2
High
12.2 —
Distribution Statistics
Japan
Min 0.1
30th Percentile 6.7
Median 8.7
70th Percentile 12.2
Max 214 699 781.2

Renesas Electronics Corp
Glance View

Market Cap
6.2T JPY
Industry
Semiconductors

Renesas Electronics Corp., a pivotal player in the microcontroller and semiconductor realm, has firmly rooted its origins in the convergence of leading technology pioneers. Born out of the merger of NEC Electronics, Renesas Technology, and Intersil Corporation, this Japanese powerhouse operates at the intersection of innovation and practical application. Renesas harnesses its engineering expertise to develop cutting-edge microcontrollers, system-on-chip (SoC) solutions, and a variety of analog and power devices. The company's product portfolio is crucial across a spectrum of industries, including automotive, industrial automation, and broader consumer electronics, where reliable and efficient semiconductors are the backbone of technological advancement. Renesas thrives on a robust business model that taps into the cyclical nature of the semiconductor industry while strategically positioning itself amidst burgeoning technological trends such as electric vehicles, smart homes, and IoT. The company earns revenue by selling its highly specialized and customized semiconductor solutions to original equipment manufacturers (OEMs) and contract manufacturers globally. Its focus on research and development ensures a steady flow of innovative products that meet the evolving needs of its clientele. By optimizing manufacturing processes and maintaining strategic relationships with key industry players, Renesas mitigates risks associated with supply chain constraints, enabling it to sustain profits and reinforce its standing as a leader in the electronics sector.

Intrinsic Value
2 228.58 JPY
Overvaluation 32%
Intrinsic Value
Price ¥3 300
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