Technology
Nippon Seiki, one of Japan's cheapest value names, now at 0.38x PBR, net cash 65% of MCap, 3.6% yield, beat its 3/24 CoE of OP (Act +211% to Y8.5bn vs OE Y7.5bn) and forecast OP up another +10% in 3/25 (<13x PER). They also announced a 1.85% buyback, following on from their 2.9% buyback announced in November. While it is low margin auto-parts company with a chequered earnings history overly reliant on motorbike speedometers. The next phase of growth will be driven by heads up displays where they are global number 1.
Edition: 188
- 14 June, 2024