I believe the thematic tone of this note is solid—but the stocks available to play it are ultra micro caps. So if small caps aren’t your thing, feel free to skip this note. Japan’s content industry ranks second only to automotive in scale—and Gen Z is its biggest consumer. The bridge between them? Short-form video. …
One of the standout sectors this earnings season is IT consulting, driven by Japanese companies’ urgent push to enhance their digital operations. f-code is scheduled to report on August 14, 2025*, and while strong results are anticipated, even a potential miss wouldn’t undermine its long-term appeal. The company’s strategic positioning as a growth-through-M&A player within …
Yamau is a Kyushu based manufacturer, specializing in the manufacture and sale of concrete products with a diversified business across multiple infrastructure segments. It posted solid Q1 FY3/26 results, sending the stock to a 12-month high—yet it’s still trading at just 6x PE. With a tiny market cap of ¥13 billion, it’s off-limits for many …
Kanro, a ¥84.3B market cap Japanese confectioner, rose 6% on July 30 after releasing its 1H FY12/25 results that handily beat company guidance. The main driver was a significant outperformance in operating profit—up 24.5% over guidance. Sales: ¥16,725M (+2.6% vs. guidance, +7.5% y/y) Operating Profit: ¥2,664M (+24.5% vs. guidance, +13.7% y/y) Net Profit: ¥1,874M (+23.3% …
Kanro (2216 JP): Not Riding AI Wave, but Solid Earnings Spark Investor Confidence Read More »
Musashi is positioned across multiple growth pillars: a narrower yet resilient ICE segment, an expanding EV footprint, and an emerging Data Center opportunity. While this report focuses on HSC/the Data Center growth trajectory, it’s important to highlight that the company maintains a sustainable edge in its core auto parts business. Differentiation factors such as …
In February 2025, the Tokyo Stock Exchange (TSE) issued a statement titled “Investor Perspectives on Parent-Subsidiary Listings,” signaling a clear shift toward discouraging—and ultimately abolishing—these governance structures. The move aligns with growing shareholder unrest, particularly in cases where buyouts are perceived as undervalued. Toyota’s tender offer to Toyota Industries is a prime example. Offered at …
Profiting from Japan’s Parent-Subsidiary Delisting Wave Read More »
The Japanese IT sector continues to expand, driving sales across the industry. Yet, the momentum behind digital transformation (DX) will eventually stabilize. My discussion with SRA management centered on evaluating their defensible business model—specifically, how SRA plans to sustain its relevance as low-code/no-code development gains traction. I’d be happy to share my detailed report analyzing …
Some investors, myself included, place strong value on same-store sales* as they offer a clear, unbiased measure of a company’s core performance and growth potential—independent of expansion efforts. *Same-store sales —also known as comparable-store sales or comps—is a financial metric used by retail companies to measure the revenue growth of stores that have been open …
Defense stocks have already seen significant gains, with valuations now looking stretched. The key question is whether there’s still room for further upside. Recently, NATO announced a policy urging each member country to allocate at least 5% of their GDP to defense budgets as a response to evolving global security challenges. This represents a significant …
Japan’s 5% GDP Defense Spending Target: Will It Happen—and Which Stocks Could Benefit? Read More »
Shikiho offers a compelling method for spotting emerging stars by analyzing consensus ratings. Many investors are skeptical of analyst ratings, often questioning their objectivity. However, in a turbulent market, one effective way to spot stocks gaining genuine momentum is to focus on those with consistently improving consensus ratings. Rather than relying on current high ratings—which …
Yuka’s screening series: Uncover “emerging favorites” through Consensus Ratings Read More »