The Must Read PSA Weekly Research Round-up (week to 06 Nov)

REPORTS: NEC (6701 JT) / Fujifilm Holdings (4901 JT) / Nintendo (7974 JT) /
INDUSTRY INSIGHTS: FDA paper gives a thumb up to aducanumab / 5G capex back in the news / October US auto sales / Company Insights / NEC in Docomo SA 5G core vendor win / Sony key in TikTok deal / set to buy Crunchyroll / Nidec plans to build European EV motor plant / Plus additional COMPANY INSIGHTS & RESULTS

The Weekly Comment by Pelham Smithers

Pelham Smithers has listed several things that have happened this week which suggest that global investors should be overweight Japanese equities.

Reports / Flash Notes Published This Week: Headlines at a Glance

1. NEC (6701 JT) FY 20 Outlook – Avaloq and the NEC SaaS Opportunity
2. Fujifilm Holdings (4901 JT) – Focus on Healthcare and Documents
3. Nintendo (7974 JT) Update and Outlook

Company / Sector / Thematic Comments at a Glance

Technology: Consumer Electronics, Gaming

1. Sony (6758 JT) in Key TikTok Deal
2. Sony Set to Buy Crunchyroll for Around US$1bil
3. Nintendo (7974 JT) 2Q FY20 OP +120% YoY
4. Colopl (3668 JT) 4Q FY20 OP +20% YoY
5. Square Enix (9684 JT) 2Q OP -19% YoY
6. Bandai Namco (7832 JT) 2Q OP +4% YoY
7. Sega Sammy (6460 JT) FY20 Q2 Ahead of Consensus

Technology: Industrial Electronics and Electronic Components

8. Murata (6981 JT) Back to Best
9. NEC in Docomo SA 5G Core Vendor Win
10. 5G Capex Back in the News
11. Nidec Plans to Build European EV Motor Plant

Technology: Semiconductor Production Equipment & Precision

12. Nikon (7731 JT) FY20 2Q Loss ¥26.1bil
13. Ricoh (7752 JT) Slashes FY20 Forecasts After 2Q Loss

Chemicals / Materials

14. Asahi Kasei Hikes its FY20 Guidance
15. Chemical News & Moves

Autos

16. Positive US Auto Sales Growth for Toyota, Subaru, Mazda in October
17. Toyota (7203 JT) Boosts FY20 Forecasts on Higher Sales
18. Honda (7267 JT) Enjoys a Strong Q2
19. Subaru (7270 JT) Raises FY20 Forecast on Higher Volume / Mix Expectations
20. Suzuki Motor (7269 JT) Reports Solid Q2 Earnings on Lower Expenses
21. Further Losses for Mitsubishi Motors (7211 JT) in Q2

Auto Parts / Machinery

22. Toyota Industries (6201 JT): Positive Conference Call
23. Daikin (6367 JT) Soars on Brighter FY21 Outlook
24. Daifuku (6383 JT) FY20 H1 OP Beats Guidance by 20% but No Full-Year Upgrade
25. MinebeaMitsumi (6479 JT) 1H In-Line

Telecom

26. Solid Numbers from KDDI (9433 JT)

Internet / eCommerce

27. Mercari’s (4385 JT) FY21 Strong Q1 Results
28. Z Holdings’ (4689 JT) Weak FY20 Q2
29. Kakaku.com’s (2371 JT) FY20 Q2 Results
30. Istyle’s (3660 JT)FY21 Q1 Results
31. Mixi’s (2121 JT) FY20 Q2 Results

Enterprise Software

32. NTT Data (9613 JT) Surges Past Analyst Estimates
33. Broadleaf (3673 JT) Struggles with Business Continuity

Pharma

34. FDA Gives Thumb Up to Aducanumab – Read Across to Eisai (4523 JT)

Miscellaneous

35. Other Moves & News That Caught Our Eye

Macro

36. Monetary Base Continues to Rise

PSA Company Visits, Tours and Interviews

• Visited: JSR (4185 JT)
• Interviewed / Conference Call with: Nidec
• Participated in presentations by: Mitsubishi Motors
• Participated in earnings presentation by: Asahi Kasei (3407 JT), Toray (3402 JT), Sumco (3436 JT), Showa Denko (4004 JT), Mitsubishi Chemical Holdings (4188 JT), Teijin (3401 JT), Mitsubishi Gas Chemical (4182 JT), Central Glass (4044 JT), KH Neochem (4189 JT), Koito (7276 JT), Daikin (6367 JT), MinebeaMitsumi (6479 JT), Toyota Industries (6201 JT)

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