HomeMarket analysisHitachi stock split: what it means for traders

Hitachi stock split: what it means for traders

Hitachi’s 2024 split aligned with its objective to lower the investment unit and broaden shareholder participation. For anyone following the company, understanding how a stock split works and how it fits within Hitachi’s broader capital policies can help contextualise these structural changes.
By Dan Mitchell
Hitachi stock split
Photo: Shutterstock.com

Hitachi (6501) has continued to adjust its share structure and long-term strategy in recent years, reflecting broader developments across Japan’s capital markets. In June 2024, the company completed a 5-for-1 stock split of its common shares to make the stock more accessible to a wider investor base.

Hitachi live share price

Past performance is not a reliable indicator of future results.

What is a stock split?

A stock split is a corporate action in which a company increases the number of shares in circulation by issuing additional shares to existing shareholders at a fixed ratio. While the number of shares rises, the market value of each investor’s overall holding remains unchanged because the share price adjusts proportionally.

In a 5-for-1 split, for example, one pre-split share becomes five post-split shares, and the price per share falls to around one-fifth of its previous level. The company’s total market value does not change as a direct result of the split.

Companies may conduct stock splits to increase accessibility, align with market conventions or support liquidity. A split does not alter underlying business fundamentals.

Hitachi’s 5-for-1 stock split (2024)

Hitachi’s latest split took effect on or around 27 June 2024 at the Tokyo Stock Exchange. Approved by its board earlier that year, the action applied a 5-for-1 ratio, meaning each common share became five shares. The record date was 30 June 2024.

Data providers record the split factor as 5:1. While this increased the number of outstanding shares, each investor’s proportional economic interest stayed the same.

Why did Hitachi conduct the split?

Hitachi stated that the purpose of the 2024 split was to create a more investor-friendly environment. By lowering the per-unit share price, the company aimed to:

  • Broaden its potential shareholder base
  • Reduce the minimum investment size
  • Improve accessibility for retail participants
  • Align the share price with common trading units across the Japanese market

A stock split does not, on its own, influence valuation. However, a lower nominal share price can make the stock more accessible to those who trade in smaller units.

Will Hitachi split again in 2026?

As of 17 December 2025, Hitachi has not announced any additional splits or consolidations for 2026. Any future action would require a new board resolution and public disclosure similar to the April 2024 announcement.

Based solely on information currently available, there’s no indication of a 2026 split. This may change if the company decides to adjust its capital structure, but no such signal is present at this time.

Hitachi stock split history

Hitachi has carried out two major share-ratio actions since 2018, each serving different objectives. Together, they result in no long-term net change in the number of shares per original unit, although each action affected trading units and the nominal share price at the time.

Date Action type Ratio Purpose
1 October 2018 Share consolidation 1-for-5 consolidation Reduce the trading unit from 1,000 to 100 shares and align with Japanese market practice.
27 June 2024 Stock split 5-for-1 stock split Broaden investor access by lowering the per-unit share price and creating a more investor-friendly environment.

These steps reflect Hitachi’s broader efforts to streamline its capital structure in line with market reforms.

Latest earnings: Hitachi FY2025 results

Hitachi’s published results for the second quarter of FY2025, alongside updated full-year guidance, indicate continued revenue and profit growth.

The company’s FY2025 outlook highlights:

  • Expected revenue of around 10.3 trillion yen, higher than its previous forecast
  • Higher adjusted EBITA compared with earlier guidance
  • Higher net income, supported by improvements across business segments
  • Return on invested capital (ROIC) projected in the mid-teens

Demand strengthened across key areas, including:

  • Energy systems: grid technologies and equipment supporting the energy transition
  • Mobility: rail systems and automotive-related operations
  • Connective Industries: industrial solutions and automation
  • Digital services: Lumada and wider digital transformation projects

The company also continues to invest strategically and carry out share repurchases in line with its long-term capital allocation framework.

Past performance is not a reliable indicator of future results.

Summary

  • Hitachi completed a 5-for-1 stock split in June 2024 to broaden retail accessibility.
  • As of December 2025, there’s no public indication of another split planned for 2026.
  • The company has undertaken two key share-ratio adjustments since 2018: a 1-for-5 consolidation in 2018 and a 5-for-1 split in 2024.
  • FY2025 guidance highlights growth across energy, mobility, digital and industrial segments.
  • Hitachi’s medium- to long-term outlook focuses on digital transformation, energy transition and strategic investment.

FAQ

When did Hitachi stock split?

Hitachi’s most recent stock split was approved in April 2024 as a 5-for-1 split of its common shares. The allocation was based on shareholders of record as at 30 June 2024.

When did the Hitachi stock split take effect?

The split became effective in Japan on 1 July 2024. Trading in Hitachi shares (6501) began on a split-adjusted basis around 27 June 2024, reflecting the new ratio ahead of the effective date.

Did Hitachi have a stock split before?

Yes. Hitachi completed a 1-for-5 share consolidation in October 2018. Market databases often refer to this as a reverse split. The action was designed to align the trading unit with Japanese market practice.

How many times has Hitachi stock split?

Hitachi has undertaken two major share-ratio adjustments in recent years: the 1-for-5 consolidation in 2018 and the 5-for-1 stock split in 2024. These actions changed the nominal share price at each point but did not alter the long-term economic interest of shareholders.

How much was Hitachi stock after the split?

Immediately before the 2024 split, Hitachi traded at around 17,525 yen per share. Adjusting for the 5-for-1 ratio implies a post-split level near 3,500 yen, although actual prices varied once split-adjusted trading began on 27 June 2024. Past performance is not a reliable indicator of future results.

Why did Hitachi split its stock?

Hitachi stated that the purpose of the 5-for-1 split was to create a more investor-friendly environment by lowering the per-unit share price. The aim was to broaden participation, improve accessibility and align more closely with Japanese trading practices. The split did not change the company’s overall valuation.

Will Hitachi split again?

As of 17 December 2025, Hitachi has not announced any additional stock splits or consolidations beyond the 2024 action. Any future split would require a new board resolution and formal disclosure. Based on public information currently available, no further split has been indicated.

What was the most recent Hitachi stock split date?

The most recent split became effective in Japan on 1 July 2024, following a record date of 30 June 2024. Many markets began split-adjusted trading from 26–27 June 2024.

Can you trade Hitachi CFDs on Capital.com?

You can trade Hitachi share CFDs on Capital.com, allowing you to speculate on price movements without owning the underlying stock. Contracts for difference (CFDs) are traded on margin – leverage amplifies both profits and losses. Understand how CFDs work and how to use risk-management tools such as take-profit and stop-loss orders before opening a position. Past performance isn’t a reliable indicator of future results.*

*Standard stop-loss orders are not guaranteed. Guaranteed stop-loss orders incur a fee if activated.

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