Hitachi: Still Positive With Data Center Opportunity And Capacity Expansion Plans

Summary Hitachi, Ltd. remains a 'Buy' as it places a greater focus on high-potential AI-driven data center and transformer markets. HTHIY targets HMAX AI solution's revenue growth of 50–60% annually and EBITA margins above 20%, outpacing group-level forecasts. Major investments in U.S. and China capacity position HTHIY to exploit global grid bottlenecks and rising transformer prices. Looking for more investing ideas like this one? Get them exclusively at Asia Value & Moat Stocks. Learn More » Miroslaw Durma/iStock Editorial via Getty Images I've continued to award a 'Buy' rating to Hitachi, Ltd. ( HTHIY ) ( HTHIF ) (6501.T). The company is well-placed to meet its mid-term revenue and profitability goals, considering its latest corporate moves pertaining to data centers and transformers. The favorable updates for This article was written by The Value Pendulum 13.6K Followers Follow The Value Pendulum is an Asian equity market specialist with over a decade of experience on both the buy and sell sides.He is the author of the investing group Asia Value & Moat Stocks, providing ideas for value investors seeking investment opportunities listed in Asia, with a particular focus on the Hong Kong market. He hunts for deep value balance sheet bargains and wide moat stocks and provides a range of watch lists with monthly updates within his investing group. Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.