Risk Reward Update

Research evidence excerpt

Risk Reward Update

UpdateM

RiskRisk RewardReward– M3 (2413.T)- M3 (2413.T)

Medical Platform segment growth is likely to reaccelerate.

PRICE TARGET ¥2,300 OVERWEIGHT THESIS

Based on a Sum-of-the-Parts (SOTP) valuation using F3/28 earnings forecasts. ▪With the spread of cloud-based electronic

EV/EBITDA multiples applied to each business segment are as follows: Medical Platform 13x, medical records and online systems for

Career Solution 10x, Evidence Solution 13x, Overseas 14x. The Site Solution (CUC) and appointments, payments, and prescriptions

Patient Solution (Elan) segments are valued based on the market value of shares in their tailored to clinics, we expect high growth in

respective listed subsidiaries. the Clinical Scene DX business.

by collecting real-world data ¥2,204 ▪Furthermore,

through electronic medical records and

Consensus Price Target Distribution ¥1,600.00 ¥3,300.00 leveraging it in pharmaceutical companies' MS PT

marketing activities, we expect growth inSource: Refinitiv, Morgan Stanley Research Mean Morgan Stanley Estimates

the Marketing Support Service business to

reaccelerate indirectly.

RISK REWARD CHART

Consensus Rating Distribution

JPY ¥2,700¥2,700(+36.09%)¥2,700(+36.09%)(+36.09%) 77% Overweight

23% Equal-weight

0% Underweight

2400 ¥2,300¥2,300(+15.93%)¥2,300(+15.93%)(+15.93%) MS Rating

¥1,984¥1,984¥1,984 Source: Refinitiv, Morgan Stanley Research

Risk Reward Themes

1200 Disruption: Positive

¥1,250¥1,250(-37.00%)¥1,250(-37.00%)(-37.00%) New Data Era: Positive

Secular Growth: Positive

600 View descriptions of Risk Rewards Themes here

JUL '25 JAN '26 JUL '26 JUL '27

Key: Historical Stock Performance Current Stock Price Price Target

Source: Refinitiv, Morgan Stanley Research

BULL CASE ¥2,700 BASE CASE ¥2,300 BEAR CASE ¥1,250