Japanese stock alert

JAP

CLOSING UPDATE: SoftBank Group hits 52-week high fourth time in one month 20 September 2018 16:35 JST

NEWS BITES - JAPAN

This is an end of day Alert, produced after today's Japan market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

SoftBank Group, the largest information & communication company by market capitalisation in Japan's, hit a 52-week high of JPY11,115.0 today for the fourth time in the past one month and last traded at JPY10,880.0. Trading volume was 85% of average at the end of the day. Compared with the Nikkei 225 Index which rose 2.4 points (or 0.01%) in the day, this represented a relative price change of -0.3%.

Technical indicators complementing today's significant uptrend:

+ The positive 273.3 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ The 2.1% discount to 12-month high of JPY11,115.0 against the 44.3% premium to 12-month low of JPY7,540.0 suggests the stock continues to push for new highs.

+ The stock has outperformed 91% of the Japan market over the past 6 months.

+ In the last one month the stock has hit a new 52-week high four times and in the last three months five times, pointing to an uptrend.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

+ Price/Earnings of 8.5 [15.0]

+ Price/Earnings/Growth of 0.51 [3.0]

+ Price/Sales of 1.3 [1.5]

+ Return on Equity 22.9% [13.0%]

Other Bullish Signals include:

+ Tobin's Q Ratio is 0.4. Compared with the rest of the market the stock is undervalued.

+ Net profit margin has averaged 9.8% in the last 3 years. This is better than the sector average of 9% and suggests a high margin of safety.

+ The Brand Value represents 3.7% of the estimated Enterprise Value of JPY30,099 billion (US$268.3 billion).

+ As per the Du Pont analysis, Return on Equity is high at 22.9%. Also, this has improved from 21.7% last year.

Note

Bearish Signals:

The price decreased 1.0% in the last week.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

Dividend yield of 0.4% [1.9%]

Return on Assets 4% [5.5%]

Return on Capital Employed 3.7% [9.2%]

TODAY'S ALERTS

Afternoon Alert: SoftBank Group up 2.4% in 2 days

20 September 2018 12:59 JST

SoftBank Group Corp. (TO:9984) extended its gains on Thursday, rising an additional JPY55.0 (or 0.5%) to trade at JPY10,970.0. Trading volume was 45% of average so far today. The shares have risen JPY260.0 (or 2.4%) over the past two trading days vs. the Nikkei 225 Index which has risen 1.1% in the same period.

Morning Alert: SoftBank Group up 2.2% in 2 days

20 September 2018 11:13 JST

SoftBank Group Corp. (TO:9984) extended its gains on Thursday, rising an additional JPY30.0 (or 0.3%) to trade at JPY10,945.0. Trading volume was 47% of average so far today. The shares have risen JPY235.0 (or 2.2%) over the past two trading days vs. the Nikkei 225 Index which has risen 1.3% in the same period.

RECENT ALERTS

CLOSING UPDATE: SoftBank Group decreases gains by 1.1%, led market higher

19 September 2018 16:34 JST

SoftBank Group, the largest information & communication company by market capitalisation in Japan's, has increased 1.9% to trade at JPY10,915.0 vs. the Nikkei 225 Index which strengthened 252.0 points (or 1.1%) to 23,672.5. Representing a weighting of about 3.1% of the index, the stock accounted for 5.4% of today's gain. The shares have outperformed 97% of the market in the past three months. Compared with the Nikkei 225 Index which rose 252.0 points (or 1.1%) in the day, this represented a relative price increase of 0.8%.

Morning Alert: SoftBank Group lifts 3.0%, leads market higher

19 September 2018 11:13 JST

SoftBank Group Corp. (TO:9984) has lifted 3.0% to trade at JPY11,035.0 vs. the Nikkei 225 Index which strengthened 342.5 points (or 1.5%) to 23,763.1. Representing a weighting of about 3.1% of the index, the stock accounted for 6.4% of today's gain. The shares have outperformed 84% of the market in the past month. Trading volume was 70% of average so far today.

SoftBank Group Corp. (TO:9984; TYO:9984; T:9984; JP:9984)

ISIN: JP3436100006

Source: www.BuySellSignals.com