--- title: "Yokogawa Electric (TSE:6841) Valuation Check After Rolls Royce SMR Deal And Upgraded Outlook" type: "News" locale: "zh-HK" url: "https://longbridge.com/zh-HK/news/275455954.md" description: "Yokogawa Electric (TSE:6841) has gained investor interest following its agreement to supply control systems for Rolls-Royce SMR’s small modular reactor program, alongside upgraded earnings guidance and a higher dividend outlook. Despite a mixed share price performance, the company shows strong long-term returns. Currently trading at a P/E of 21.7x, above its peers and fair value estimates, it suggests overvaluation. A DCF analysis indicates a future cash flow value of ¥3,960.81 per share, also suggesting overvaluation. Investors are encouraged to explore further opportunities in the nuclear energy sector." datetime: "2026-02-10T11:49:44.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/275455954.md) - [en](https://longbridge.com/en/news/275455954.md) - [zh-HK](https://longbridge.com/zh-HK/news/275455954.md) --- > 支持的語言: [简体中文](https://longbridge.com/zh-CN/news/275455954.md) | [English](https://longbridge.com/en/news/275455954.md) # Yokogawa Electric (TSE:6841) Valuation Check After Rolls Royce SMR Deal And Upgraded Outlook Yokogawa Electric (TSE:6841) has drawn fresh investor attention after agreeing to supply control systems for Rolls-Royce SMR’s small modular reactor program, along with updated earnings guidance and a higher dividend outlook. See our latest analysis for Yokogawa Electric. The recent SMR agreement and upgraded guidance come after a mixed few months for the share price. A 7.76% 90 day share price return contrasts with a softer year to date move, while the 1 year total shareholder return of 73.55% and 5 year total shareholder return of 147.04% point to momentum that has built over a longer horizon. If the Rolls Royce SMR news has you thinking more broadly about nuclear and power infrastructure, it could be a good moment to scan our 87 nuclear energy infrastructure stocks and see what else stands out. With earnings guidance raised, a higher dividend and a fresh SMR contract in hand, the share price already reflects a strong run. Is Yokogawa Electric still mispriced, or is the market already baking in the next leg of growth? ## Preferred P/E of 21.7x: Is it justified? Yokogawa Electric is currently trading on a P/E of 21.7x, which sits above its peers and the level suggested by Simply Wall St’s fair multiple work. The P/E multiple links the current share price to earnings, so a higher figure usually means investors are willing to pay more for each ¥ of profit. For a company like Yokogawa Electric, which operates across industrial automation, test and measurement, and industrial IoT, that often reflects expectations for steady earnings rather than fast growth. Here, the current 21.7x P/E is higher than the estimated fair P/E of 18.8x. This suggests the market is placing a richer value on Yokogawa Electric’s earnings than the SWS fair ratio model implies. The same P/E of 21.7x also stands well above the JP Electronic industry average of 15.5x and above the 20x peer average. The fair ratio work frames this gap as a level the valuation could eventually move closer to if sentiment cools or earnings do not keep pace. Explore the SWS fair ratio for Yokogawa Electric **Result: Price-to-Earnings of 21.7x (OVERVALUED)** However, a richer 21.7x P/E, the recent share price run, and dependence on large industrial and nuclear contracts could all turn quickly if sentiment or orders soften. Find out about the key risks to this Yokogawa Electric narrative. ## Another View: DCF points to a different story While the 21.7x P/E suggests Yokogawa Electric is priced richly against earnings, our DCF model arrives at a future cash flow value of ¥3,960.81 per share versus the recent ¥4,969 level, which screens as overvalued on this lens. So which signal should matter more to you? Look into how the SWS DCF model arrives at its fair value. 6841 Discounted Cash Flow as at Feb 2026 Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Yokogawa Electric for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 22 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity. ## Build Your Own Yokogawa Electric Narrative If parts of this view do not quite fit how you see Yokogawa Electric, you can stress test the same data yourself and shape your own story in just a few minutes, then Do it your way. A good starting point is our analysis highlighting 2 key rewards investors are optimistic about regarding Yokogawa Electric. ## Looking for more investment ideas? If Yokogawa Electric has sharpened your focus, do not stop here. The screener can help you spot other opportunities you would regret missing later. - Target quality at a discount by checking companies that pass our filters for 22 high quality undervalued stocks with earnings and fundamentals that may appeal to value focused investors. - Prioritise resilience and sleep easier at night by scanning 49 resilient stocks with low risk scores that score well on stability and risk checks. - Hunt for underfollowed stories by reviewing our screener containing 63 high quality undiscovered gems that combine solid fundamentals with less market attention. _This article by Simply Wall St is general in nature. **We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.** It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned._ ### **New:** Manage All Your Stock Portfolios in One Place We've created the **ultimate portfolio companion** for stock investors, **and it's free.** • Connect an unlimited number of Portfolios and see your total in one currency • Be alerted to new Warning Signs or Risks via email or mobile • Track the Fair Value of your stocks Try a Demo Portfolio for Free ### 相關股票 - [Yokogawa Bridge Holdings Corp. (5911.JP)](https://longbridge.com/zh-HK/quote/5911.JP.md) - [Yokogawa Electric Corp. 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