Oracle Japan (4716) Model update

研报英文原文证据摘录

Oracle Japan (4716) Model update

J P M O R G A N Asia Pacific Equity Research

25 May 2026

Oracle Japan (4716) Overweight

4716.T, 4716 JP

Model update Price (22 May 26):¥8,950

Price Target (Dec-26):¥14,000

Cloud demand is currently strong, and our views on Oracle Japan’s fundamentals Japan Equity Research

are unchanged. We feel the share price is stagnating versus related stocks (Oracle

IT Services and Telecoms

Corporation, Oracle Financial Services Software; Figure 1), but we expect the

market to rerate the company on shareholder returns with FY5/26 results and faster Matthew Henderson AC

profit growth through FY5/27. Based on Oracle Japan’s cash position and stable (81-3) 6736-8831

matthew.henderson@jpmorgan.com

earnings outlook, we expect it to distribute a special FY5/27 dividend of ¥820 per JPMorgan Securities Japan Co., Ltd.

share and to raise the normal dividend payout ratio from about 40% to 100% from

FY5/28. We fine-tune our forecasts in response to recent earnings and maintain our

end-2026 price target of ¥14,000 and Overweight rating. Style Exposure

• 4Q FY5/26 and FY5/27 forecasts: We do not expect any surprises and

forecast 4Q FY5/26 sales to rise 9% YoY to ¥77.0 billion (Bloomberg

consensus estimate: ¥77.1 billion) with operating profit up 12% to ¥25.3 billion

(¥25.2 billion), and a normal fiscal year-end dividend of ¥200 at a 40% payout

ratio. We forecast FY5/27 sales to rise 10% YoY to ¥312.0 billion (Bloomberg

consensus: ¥304.4 billion) with operating profit up 9.5% to ¥101.1 billion

(¥99.4 billion) and EPS up 8.2% to ¥544 (¥543). We expect Oracle Japan to

guide for FY5/27 EPS to rise 6–10%, and forecast profit growth to accelerate

as the cloud weighting expands. Given the current share price, we expect