Murata Manufacturing stock: Citi sees AI mix lifting profits

Murata Manufacturing stock remains in focus after Citi retained its Buy rating but lowered its price target to 9,000 yen from 11,000 yen. Investing.com reported the analyst view on Friday, November 6, citing a higher risk premium and stronger expectations for Murata's product mix.

AI Products Shape The Outlook

Citi raised its operating-profit forecasts for Murata on expectations that higher-margin products will account for a larger share of sales. The bank sees the weighting of products used in AI data centers rising further from the fiscal year ending March 2028.

The analyst also expects Murata to secure price increases for some existing products. That combination could support profitability if demand for data-center components remains firm, although the lower target reflects a risk premium raised to 5.0 percent from 3.3 percent amid market uncertainty.

Citi said Murata's valuation had corrected sharply as investors became more aware of downside scenarios. At the same time, the bank pointed to the company's book-to-bill ratio, order backlog and average selling price trends as reasons for seeing limited downside from current levels.

Murata produces ceramic capacitors, inductors and other electronic components used in smartphones, automotive systems and data-center equipment. For investors, the analysis puts the focus on whether AI-related demand can translate into a sustained shift toward higher-value products rather than only higher shipment volumes.

Murata Manufacturing stock traded at 29.41 euros on Lang & Schwarz at 09:17 CET on Friday, November 13, 2026.

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