Japan equity weekly (16 July 2026)

Research evidence excerpt

Japan equity weekly (16 July 2026)

Global Markets Research

Japan equity weekly (16 July 2026) 17 July 2026

EQUITY: JAPAN STRATEGY

Vulnerability of being ranked first in market cap versus Research Analysts

expectations that competition will invigorate market Macro strategy

Tomochika Kitaoka - NSC

Yomiuri 333 solid, growth strategy preview, hidden consensus looks high tomochika.kitaoka@nomura.com

in early part of results season +81 3 6703 1815

Masaki Motomura - NSC

Mitsubishi UFJ Financial Group ranked first by market cap: We see vulnerabilities masaki.motomura@nomura.com

when top place changes +81 3 6703 1119

There have been dizzying changes in the top-ranked stocks by market cap since June, Naoya Fuji - NSC

with Mitsubishi UFJ Financial Group [8306] taking top spot on 13 July (Figure1). That naoya.fuji@nomura.com

said, companies that move into or out of first place often underperform subsequently ( +81 3 6703 1245

Figure2). On the other hand, the TOPIX performed strongly in the 1980s, when there Momoko Nakada - NSC

were frequent changes at the top of the ranking, and we expect competition and renewal momoko.nakada@nomura.com

to reinvigorate the market (see our 5 June 2026 report Japanequitymemo:Eventstudy +81 3 6703 1100

ofchangeintopofmarketcapranking). Figure3 shows changes in top rankings since

Tomoharu Kurosu - NSC1980 and since June, when they have been rapid. tomoharu.kurosu@nomura.com

+81 3 6703 3875

Japan quantitative research

Fig. 1: Change in top-ranked company by market cap Makoto Furukawa - NSC

makoto.furukawa@nomura.com

+81 3 6703 1174

Shin Nishioka - NSC

shin.nishioka@nomura.com

+81 3 6703 3948

Shunta Tachinaka, CFA - NSC

shunta.tachinaka@nomura.com

+81 3 6703 1212

Source: Nomura, based on Bloomberg data

Fig.