The independent financial analyst theScreener just lowered the general evaluation of MEIJI HOLDINGS (JP), active in the Food Products industry. As regards its fundamental valuation, the title now shows 0 out of 4 stars while market behaviour can be considered defensive. theScreener believes that the title remains under pressure due to the loss of a star(s) and downgrades its general evaluation to Neutral. As of the analysis date February 25, 2022, the closing price was JPY 6,750.00 and its targe...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
emain Overweight EM vs. EAFE The MSCI EM index (local currency) has continued to outperform relative to the MSCI EAFE index while the US dollar (DXY) forms a tight consolidation pattern. As a result we continue to favor EM over EAFE; and if EM is going to continue to outperform we would expect to see a breakdown below 98.50 support on the DXY. Like many global indexes, the MSCI EM index remains below resistance from a price perspective. Short-term levels we are watching include resistance at...
Narrow-moat Meiji’s fourth-quarter results fell short of its guidance and our expectation due to underperformance of the moaty food business. The newly announced 2019 guidance, indicating an 8% growth in operating profits, is above our forecasts of flat profits. We have maintained our forecasts given that the company has not factored in any impact of a drug price cut that should be announced by the government during the summer. We continue to find that the midterm profit target of JPY 125 bill...
Narrow-moat Meiji’s fourth-quarter results fell short of its guidance and our expectation due to underperformance of the moaty food business. The newly announced 2019 guidance, indicating an 8% growth in operating profits, is above our forecasts of flat profits. We have maintained our forecasts given that the company has not factored in any impact of a drug price cut that should be announced by the government during the summer. We continue to find that the midterm profit target of JPY 125 bill...
Narrow-moat Meiji posted another quarter of solid growth, beating our expectations, thanks to rigorous cost control and contribution of newly consolidated KM Biology. Meiji seems on track to meet its profit guidance although the size of inventory return of influenza vaccines remains a swing factor of the fourth-quarter profits. Despite the recent weakness in its probiotic yogurt sales, we expect the company will leverage its product development and marketing capabilities as well as brand equity ...
Narrow-moat Meiji posted another quarter of solid growth, beating our expectations, thanks to rigorous cost control and contribution of newly consolidated KM Biology. Meiji seems on track to meet its profit guidance although the size of inventory return of influenza vaccines remains a swing factor of the fourth-quarter profits. Despite the recent weakness in its probiotic yogurt sales, we expect the company will leverage its product development and marketing capabilities as well as brand equity ...
Meiji’s strong profit rebound in the second quarter was a positive surprise as we had expected the unfavorable hot summer would continue depressing sales and profits. Rigorous cost control in the food business combined with a solid pharmaceutical sales growth contributed to the 15% like-for-like growth in operating profits. Management has revised up its full-year guidance marginally, with sales up 0.5% and operating profits by 1.5% to reflect consolidation of KM Biologics and sales/profit shor...
Meiji’s strong profit rebound in the second quarter was a positive surprise as we had expected the unfavorable hot summer would continue depressing sales and profits. Rigorous cost control in the food business combined with a solid pharmaceutical sales growth contributed to the 15% like-for-like growth in operating profits. Management has revised up its full-year guidance marginally, with sales up 0.5% and operating profits by 1.5% to reflect consolidation of KM Biologics and sales/profit shor...
Meiji’s strong profit rebound in the second quarter was a positive surprise as we had expected the unfavorable hot summer would continue depressing sales and profits. Rigorous cost control in the food business combined with a solid pharmaceutical sales growth contributed to the 15% like-for-like growth in operating profits. Management has revised up its full-year guidance marginally, with sales up 0.5% and operating profits by 1.5% to reflect consolidation of KM Biologics and sales/profit shor...
We have revised our profit forecasts downward by 3%-5% for 2018 onward following Meiji’s disappointing first-quarter results. Sales fell 1% (reported negative 1.6% including the impacts of revision of trade terms), while operating profits plunged 19% from weakness in the moaty food business, in part due to hot weather. While management retains its full-year guidance, the second-half targets look challenging. As hot weather is likely to continue depressing demand for dairy and chocolate product...
We have revised our profit forecasts downward by 3%-5% for 2018 onward following Meiji’s disappointing first-quarter results. Sales fell 1% (reported negative 1.6% including the impacts of revision of trade terms), while operating profits plunged 19% from weakness in the moaty food business, in part due to hot weather. While management retains its full-year guidance, the second-half targets look challenging. As hot weather is likely to continue depressing demand for dairy and chocolate product...
We have revised our profit forecasts downward by 3%-5% for 2018 onward following Meiji’s disappointing first-quarter results. Sales fell 1% (reported negative 1.6% including the impacts of revision of trade terms), while operating profits plunged 19% from weakness in the moaty food business, in part due to hot weather. While management retains its full-year guidance, the second-half targets look challenging. As hot weather is likely to continue depressing demand for dairy and chocolate product...
Narrow-moat Meiji’s fourth-quarter results fell short of its guidance as expected but were in line with our estimates. The newly announced 2018 guidance is consistent with our forecasts, but the medium-term profit target of JPY 125 billion for the three-year period ending 2020 exceeds our forecasts by 13%. The difference between the guidance and our estimates lies in the profit outlook for the pharmaceutical business. While we have mostly retained our profit forecasts, we have lowered our fair...
Narrow-moat Meiji’s third-quarter results came in below our estimates and seem to fall short of the firm’s internal targets. Given some positive progress of the probiotic yogurt and new drug sales in the fourth quarter, the company has maintained its full-year guidance. While we are encouraged by the sales recovery of the high-margin probiotic yogurt, a category vital to our thesis of margin expansion, we are concerned that a halt in drug demand prior to the National Health Insurance, or NHI...
Narrow-moat Meiji’s third-quarter results came in below our estimates and seem to fall short of the firm’s internal targets. Given some positive progress of the probiotic yogurt and new drug sales in the fourth quarter, the company has maintained its full-year guidance. While we are encouraged by the sales recovery of the high-margin probiotic yogurt, a category vital to our thesis of margin expansion, we are concerned that a halt in drug demand prior to the National Health Insurance, or NHI...
Narrow-moat Meiji Holdings' second-quarter profits beat our estimates and its guidance by roughly 10%. The company accordingly revised up its full-year earnings guidance by 2%-5%. While the revival of pharmaceutical earnings is a key driver, enhanced cost efficiency of the food segment triggered the upward revision. We are particularly encouraged by the sales recovery of high-margin probiotic yogurt, a category vital to our thesis of margin expansion. The results reinforce our long-term view tha...
Narrow-moat Meiji posted a solid set of first-quarter results, which support our long-term view that margin expansion in the moaty food business is sustainable while improved profitability in the pharmaceutical business will lift earnings growth. Flat sales were in line with our expectations while a 10% growth in operating profits is ahead of our estimate of a marginal increase, in part due to recognition of one-off milestone revenue of a drug targeting Parkinson’s disease. The results indicat...
We walked away from Meiji’s analyst briefing with a positive impression. Meiji’s management is confident growth of probiotic yogurt and China sales will strengthen and guides for a midterm target of JPY 120 billion in operating profits, about 5% above our estimate, for the next three-year plan commencing in fiscal 2018 (year-end March 2019). Despite the upbeat targets, we maintain our fair value estimate of JPY 10,600, implying fiscal 2018 earnings of 25 times and enterprise value/EBITDA of ...
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