J.P. Morgan Japan FTM 25 Jun 26 Will winter end for IT services sector?; Personal care earnings outlook; Kose Holdings meeting; Orix update; Japan Post Holdings update; Nomura Research Institute update and More

研报英文原文证据摘录

J.P. Morgan Japan FTM 25 Jun 26 Will winter end for IT services sector?; Personal care earnings outlook; Kose Holdings meeting; Orix update; Japan Post Holdings update; Nomura Research Institute update and More

Asia Pacific Equity Research

Japan First to Market 25 June 2026

Top Stories

IT Services Sector (Matthew Henderson)

Will winter end for the IT services sector? Overseas hangover, Japan intact

Global IT services demand has slowed noticeably amid ongoing concerns about AI replacement. However, domestic IT

services demand seems relatively firm, supported by an absence of cyclicality unique to Japan (IT staff shortages). This report

will look at the reasons for stagnant IT services demand and Japan’s positioning, and present our three recommended

Overweight stocks: Nomura Research Institute (4307), Oracle Japan (4716) and Obic (4684) . Due to low market cyclicality, we

do not envision a scenario where growth in domestic IT demand slows sharply. However, we should note the risk that

reallocation of corporate IT budgets due to the spread of AI could pressure demand for small-scale digital transformation (DX)

projects and other services. As fundamentals remain strong at domestic IT services companies, we believe their investment

appeal is increasing compared with overseas IT services companies facing a protracted correction in valuations.

Personal Care Sector: Earnings Outlook (Apr-Jun) (Akiko Kuwahara)

Watch timing of end of earnings impact from Middle East conflict

In 2Q FY2026 results for the personal care companies, we will watch for clues to the timing of when the Middle East conflict will

no longer negatively impact earnings and whether visibility improves for FY2027 earnings. As we discuss below, we believe

that Unicharm might revise full-year guidance.