J.P. Morgan Japan FTM 12 Jun 26 Implications of Oracle results; Takeda Pharmaceutical trial results; Tokyu meeting; Hirose Electric update; Seven & i Holdings update; Archion update and More

研报英文原文证据摘录

J.P. Morgan Japan FTM 12 Jun 26 Implications of Oracle results; Takeda Pharmaceutical trial results; Tokyu meeting; Hirose Electric update; Seven & i Holdings update; Archion update and More

Akira Kishimoto AC Asia Pacific Equity Research

(81-3) 6736-8646 12 June 2026 J P M O R G A N

akira.x.kishimoto@jpmorgan.com

Raise our earnings estimates, mainly to reflect higher CPG assumptions

We raise our operating profit estimates for the next three years by 2-3%. However, the revision mainly reflects external factors,

and we maintain our valuation assumptions and price target. We expect core business earnings to be strong. While share

buybacks are a focal point, the timing, likelihood, and scale of buybacks currently seem unclear.

ARCHION (543A) (Akira Kishimoto) (543A JP, N)

Earnings model update

We revise our earnings model based on FY2025 results; we maintain our Neutral rating and lower our December 2026 price

target from ¥350 to ¥300. We now forecast IFRS-based consolidated operating profit at ¥113.0 billion for FY2026, ¥128.6 billion

for FY2027 and ¥144.5 billion for FY2028. We estimate consolidated shipment volume will reach 253,000 units (+16% YoY) in

FY2026 and 270,000 units (+7% YoY) in FY2027, mainly driven by a recovery in compact truck shipments in Japan and higher

shipments for fleets in Indonesia. We look for economies of scale to materialize from FY2029 as a result of the integrated

platform strategy. Our estimates now align with the company’s policy of excluding one-off gains (¥178.6 billion) from operating

profit in FY2026, such as the gain on the sale of the Hamura plant, which we had previously included in our forecast, as these

gains have already been reflected in prior-year results through pro forma adjustments in FY2025.