The Point for Japan

研报英文原文证据摘录

The Point for Japan

Panasonic Holdings (6752.T) - Staying Buy – AI-related operations remain the

driver

We maintain our Buy recommendation for Panasonic Holdings, while we raise our

target price to ¥5,100 from ¥3,500. The stock has outperformed the TOPIX by

+86% YTD, driven we believe by expectations for the battery backup unit (BBU)

business and the electronic components/materials business. We believe the BBU

business will exceed Panasonic’s FY3/29 medium-term target of ¥950bn and that

the stock will continue to attract market attention.

Masahiro Shibano | Takero Fujiwara

TDK (6762.T) - Staying Buy - AI server-related sales growth also a potential

catalyst

We raise our target price from ¥2,800 to ¥4,500 to reflect our higher OP forecasts,

a change in risk premium (from 4.5% to 3.0%), and a shift in our base year

(FY3/28→FY3/29), and maintain our Buy rating. While the risk of a smartphone

market decline in FY3/27 is weighing on the share price in relative terms, we raise

our OP outlook based on 1) the potential for a less severe smartphone shipment

decline in Q1 than previously expected and 2) an increased sales outlook for

server-related passive components and HDDs. Despite the risk of relative

underperformance due to high smartphone exposure and concern about a demand

correction, we expect valuations to improve post-earnings.

Takayuki Naito

Kansai Paint (4613.T) - Turkish equity-method affiliate Polisan Kansai Boya set

to become wholly-owned subsidiary

On June 26 there were releases concerning Turkish equity-method affiliate Polisan

Kansai Boya (PBK) from Marmara Holding, Kansai Paint's joint-venture partner in

Turkey (release after 13:00 TRT, 19:00 JST), and then Kansai Paint. After

consultation on a proposal from Kansai Paint, the two signed a memorandum of