Japanese stock alert

JAP

CLOSING UPDATE: Mitsubishi UFJ Financial decreased 0.1%, led Bank sector lower 25 July 2017 16:31 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).

Mitsubishi UFJ Financial, the largest bank by market capitalisation in the Japan's, has decreased 0.1% to trade at JPY704.70 vs. the Bank sector which weakened 19.9 points (or 0.2%) to 9,504.4. Representing a weighting of about 22.7% of the sector, the stock accounted for 10.7% of today's loss. The shares have underperformed 93% of the market in the past week. Trading volume was 50% of average at the end of the day. Compared with the Nikkei 225 Index which fell 20.5 points (or 0.1%) in the day, this represented a relative price increase of 0.001%.

Technical indicators complementing today's significant downtrend:

+ The negative 5.02 MACD (Moving Average Convergence Divergence) indicator suggests a bearish signal.

+ In the Japan market, the stock's relative price strength percentile is slipping at 24 for 6 months, 19 for 3 months and 16 for 1 month.

+ The price dropped 2.3% in the last week and 3.1% in the last month.

Note

Mitsubishi UFJ Financial today is at a discount of 9.4% to the 12-month high of JPY777.70 on 29 Jun, 2017. It is at a premium of 51.2% to the 12-month low of JPY466.13 on 28 Jul, 2016.

Bullish Signals:

In the last three months the stock has hit a new 52-week high once.

The present value of JPY1,000 invested one year ago is JPY1,471 [vs JPY1,201 for the Nikkei 225 Index].

Net profit margin has averaged 15.9% in the last 3 years. This is considered superior and suggests a high margin of safety.

As per the Du Pont analysis, Return on Equity is less than stellar at 6.5%. Also, this has deteriorated from 7.3% last year.

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

Undervaluation:

Return on Equity 6.5% [5.4%]

Return on Assets 0.3% [0.3%]

TODAY'S ALERT

Morning Alert: Mitsubishi UFJ Financial increases 0.5%, leads Bank sector higher

25 July 2017 10:56 JST

Mitsubishi UFJ Financial Group Inc. (TO:8306) has increased 0.5% to trade at JPY708.90 vs. the Bank sector which strengthened 51.1 points (or 0.5%) to 9,575.4. Representing a weighting of about 22.9% of the sector, the stock accounted for 21.0% of today's gain. Trading volume was 87% of average so far today.

RECENT ALERTS

CLOSING UPDATE: Mitsubishi UFJ Financial decreased 1.1%, led Bank sector lower

24 July 2017 16:28 JST

Mitsubishi UFJ Financial, the largest bank by market capitalisation in the Japan's, has decreased 1.1% to trade at JPY705.40 vs. the Bank sector which weakened 54.9 points (or 0.6%) to 9,524.3. Representing a weighting of about 22.9% of the sector, the stock accounted for 46.2% of today's loss. The shares have underperformed 81% of the market in the past month. Trading volume was 90% of average at the end of the day. Compared with the Nikkei 225 Index which fell 172.5 points (or 0.9%) in the day, this represented a relative price change of -0.3%.

Afternoon Alert: Mitsubishi UFJ Financial decreases 1.1%, leads market lower

24 July 2017 13:13 JST

Mitsubishi UFJ Financial Group Inc. (TO:8306) has decreased 1.1% to trade at JPY705.90 vs. the Nikkei 225 Index which weakened 172.5 points (or 0.9%) to 19,927.3. Representing a weighting of about 2.8% of the index, the stock accounted for 3.5% of today's loss. The shares have underperformed 81% of the market in the past six months. Trading volume was 1.4 times average so far today.

Mitsubishi UFJ Financial Group Inc. (TO:8306; TYO:8306; T:8306; JP:8306)

ISIN: JP3902900004

Source: www.BuySellSignals.com