<6997> Nikkemicon 1042-41

Significant decline. Morgan Stanley MUFG Securities downgraded its investment rating from 'equal weight' to 'underweight' and lowered the target stock price from 1350 yen to 850 yen. If the operating profit for the fiscal year ending in March 2025 does not reach 8.8 billion yen, JIS, which holds type shares, is expected to have conversion rights to common stock even if before the end of March 2026. It seems that the forecasted operating profit for the same period is 6 billion yen, which is lower than the consensus of 8.2 billion yen, and a dilution of shares is expected.

<4587> PD 2536 +113

Significant increase. SMBC Nikko Securities has set a new investment rating of '1' and a target stock price of 3200 yen. It highly evaluates the wide range of peptide drug development technologies, which can efficiently create numerous peptide drugs, the increase in the speed and success rate of clinical development through the derivation of mega pharma from the pipeline, and the unique position of being able to handle radiation pharmaceuticals in Japan. In addition, the same securities also recommend buying Nexella Pharma.

<6402> Kanematsu Engineering 1158 +96

Significant increase. It announced an upward revision of the first-half performance forecast the previous day. The operating profit has been raised from the previous forecast of 0.42 billion yen to 0.58 billion yen, an increase of 46.5% compared to the same period of the previous year. The receipt of chassis is progressing smoothly, and the demand for its main products, powerful suction work vehicles and high-pressure cleaning vehicles, is strong, resulting in better-than-expected sales. The results for the first quarter showed a 26.2% increase, and the rate of increase in profits is expanding further. The full-year forecast remains unchanged from the previous plan.

<3445> RS Techno 3835 +265

Significant increase. It announced the acquisition of shares in Sony Precision Components (China) Co., Ltd., a subsidiary of a Chinese company, and the subsidiary's conversion. The Chinese company specializes in optical pickup modules and also has a solid manufacturing technology for the automotive camera module business, which has been in operation for many years. With the subsidiary conversion, expectations for the expansion of the new automotive camera module business to be launched by the company are leading the situation. The planned date for the stock transfer is December 30th.

<5301> Tokai Carbon 930.9 +61.1

Significant increase. Some report that the price of graphite electrodes for electric furnaces has reached a bottom, which has led to positive buying factors for the company that handles graphite electrodes. Today, Resonac is also in a dominant buying position. Resonac Graphite, the world's largest, announced this month that it will raise electrode prices by 20%, and it seems that there is a high possibility of other companies in the same industry following the price increase. Electrode prices have been at low levels since the second half of 2019, and if prices rise significantly, it would be the first time in 4 years.

<9749> Fuji Soft 9070 -280

Significant decline. The U.S. investment fund KKR is currently conducting a TOB, and has indicated that if the target number of shares is not collected by the deadline, they are prepared to implement a two-stage TOB at the same price. The investment fund Bain also announced a proposal at a level about 5% higher than KKR's TOB price of 8800 yen, and there is a possibility it may not materialize. In the market, there were expectations that it would develop into a competition for raising the price, but such excessive expectations have diminished.

<6417> SANKYO 2030 -155.5

Significant decline. The company has announced its performance and dividend forecast for the first half of the year, which was previously undecided. Operating profit is 35 billion yen, a 23.0% decrease compared to the same period last year, and the full-year forecast remains unchanged. In addition, the interim dividend is set at 40 yen, and the annual dividend is set at the previously planned 80 yen. The first quarter results exceeded market consensus, and there has been a negative sentiment towards the unchanged full-year forecast, which was expected to beat expectations for performance and dividends.

<8622> Ibaraki Stock 471 +48

Sharp rise. They have announced that the interim year-end dividend, which was previously undecided, will be 15 yen. It was 10 yen in the same period of the previous year. The year-end dividend is still undecided, but if it remains at the same level as the interim year-end, the annual dividend will increase by 6 yen from the previous period to 30 yen. Based on this, the dividend yield at the previous day's closing price level is 7.1%. The company's basic dividend payout ratio is 50%, and the lower limit for the annual dividend is set at 20 yen.

<2999> Home position 480 +80

Stop high proportion distribution. Announced the implementation of a third-party allotment capital increase with KeiAistar Real Estate as the allotment destination. The issue price is 600 yen. The allotment shares are 3.33 million 3400 shares, and KeiAistar will become the largest shareholder, holding 35.61% of the shares. Although the dilution of share value will occur, there is a dominant expectation for future profit expansion due to the expansion of market share in the Kanto area through the implementation of a capital increase with allotment, repayment of borrowings and bonds, and strengthening of the financial foundation and relationship with KeiAistar.

<6099> Elan 1002 +150

Stop high proportion distribution. Announced the implementation of a tender offer (TOB) aiming for the consolidation of M3 Inc as a consolidated subsidiary, and the company has expressed their agreement. The TOB price is 1040 yen, which is a premium of 22.1% compared to the previous day's closing price. The lower limit of the planned purchase is 30.36 million 200 shares, and the upper limit is 33.32 million 9453 shares (55.0% ownership ratio). Although there is a risk of being excluded from the lottery, there is also high expectation for future business expansion due to the capital alliance effect with M3 Inc, and the stock has been bought up to a level close to the TOB price.