The PSA Weekly Research Round up for the Week to 8 November 2024

Weekly Comment Summary
Japan’s economy is perceptibly slowing. At the same time the Bank of Japan is, again, under pressure to raise rates. Does this matter? Pelham Smithers discusses.

PSA Company Visits, Tours and Interviews
• Visited / 1-on-1 Calls with: CUC (9158 JT), Insource (6200 JT), Moriya (6226 JT), Sanrio (8136 JT), Kyoritsu Maintenance (9616 JT), Amvis (7071 JT)
• Conference Calls with: Daikin (6367 JT), IHI (7013 JT), KHI (7012 JT), Fujikura (5803 JT), MHI (7011 JT)
• Presentations at: Sanrio (8136 JT), Sumitomo Bakelite (4203 JT), Tosoh (4042 JT), KH Neochem (4189 JT), Toray (3402 JT), Fujifilm Holdings (4901 JT), Mitsui Chemicals (4183 JT), Teijin (3401 JT), UBE Corp (4208 JT), Shin-Etsu Polymer (7970 JT), Sumco (3436 JT), Mitsubishi Gas Chemical (4182 JT), Nissha (7915 JT), Toyota Motor (7203 JT), Honda Motor (7267 JT)

PSA Weekly Contents at a Glance
Reports / Flash Notes Summaries
1. Fujikura (5803 JT) – Still Riding the AI Theme FY24~FY26

Company / Sector / Thematic Comments
Technology: Consumer Electronics, Gaming
1. Nintendo FY24 Q2 OP -29% YoY
2. Bandai Namco FY24 Q2 OP +86% YoY
3. Sony Launches PS5 Pro to Mixed Reviews
4. Sony FY24 Q2 Preview / Results
5. Square Enix FY24 Q2 OP -27% YoY
6. Other News & Moves That Caught Our Eye
Technology: Industrial Electronics / Components / Semis & SPE / Precision
7. Ricoh Revises Down After Only Breaking Even in FY24 Q2
8. Other News & Moves That Caught Our Eye
Chemicals / Materials
9. UBE Corp Shares Down on Earnings Concerns
10. Other News & Moves That Caught Our Eye
Autos / New Mobility
11. Toyota’s FY24 Q2 Short of Estimates, No Guidance Upgrade
12. Honda FY24 Q2 OP Below Estimates; Incentives and Currency Lower Profits
13. Mazda Cuts FY24 Guidance on Higher Incentives
14. Nissan: Major Restructuring as FY24 Q2 Profits Slump; Revises Down Full-Year Guidance
15. Suzuki Raises FY24 OP Guidance, Net Sales Unchanged
16. Other News & Moves That Caught Our Eye
Auto Parts / Machinery / Capital Goods
17. MHI’s FY24 Q2 Disappoints Despite Strong BP
18. Daikin Q2 OP +11% YoY Surprise
19. IHI Limit Up on Powerful FY24 Q2
20. Fujikura Raises Full-Year OP by 17%
21. KHI Up +23% Over Past Five Sessions
22. Daifuku Raises OP Guidance Again
Internet / eCommerce
23. Mercari FY25 Q1 OP -3% YoY
24. LY Corp FY24 Q2 OP +16% YoY, Kakaku.com +15% YoY.
Enterprise Software / IT Services
25. JMDC Puts in a Strong FY24 Q2 Performance
26. NTT Data’s FY24 Q2 OP Blows Through Consensus Estimates in
27. PKSHA FY24 Q4 Preview
Pharma / Healthcare
28. Sysmex Reports Another Impressive Quarter, Revises OP Up
29. Omron Misses Consensus Again
30. Shimadzu Upwards Revision Beats Consensus
31. Scandal-Ridden Olympus Reports No Surprises in its FY24 Q2 Results
Small- / Mid-Cap Insights
32. Insource FY24 Q4 and MTP Announced
33. Moriya Transportation E&M Revises Up
34. Japan Elevator Service FY24 Q2 Preview
35. Other News & Moves That Caught Our Eye
Miscellaneous / Market / Strategy / Macro
36. Is a Trump Victory Good News for Japanese Stocks?
37. Other News & Moves That Caught Our Eye

List of Recently Published PSA Notes & Reports