Panasonic Holdings, the Japanese electronics conglomerate, is attracting renewed investor attention as a beneficiary of the artificial-intelligence boom.
Demand for products that support AI infrastructure, including electronic components, circuit-board materials and storage batteries used in servers, has helped to more than double the company’s stock this year, giving it a record valuation of ¥11.5 trillion ($71 billion).
Once a global leader in consumer electronics, Panasonic has been reducing its reliance on appliances and has become a key supplier of batteries to Tesla. Chief Executive Officer Yuki Kusumi has been revamping the business to cut costs and take advantage of global growth areas. Panasonic plans to leverage its partnerships with major sector players, and is aiming for about ¥1.4 trillion in sales from AI infrastructure-related businesses in three years.