Daily BriefsHealthcare

Daily Brief Health Care: Tokyo Stock Exchange Tokyo Price Index Topix, MicroPort NeuroTech and more

In today’s briefing:

  • Activist Investors Will Grow Their Presence, as Japanese Equities Would Be Good Fit for The Approach
  • MicroPort NeuroTech (2172.HK) 22H1 – Advantages Deserve Recognition, but with Overvaluation Risk

Activist Investors Will Grow Their Presence, as Japanese Equities Would Be Good Fit for The Approach

By Aki Matsumoto

  • Given the increased stock market volatility, it’s not surprising that activist investment strategies are a good fit for investors seeking investment strategies that are less correlated with stock market fluctuations.
  • Japanese companies that have lower valuations, less effective steps to maximize their corporate value, and face many challenges in their governance practices are are well suited to activist investor approach.
  • Unlike passive investors who have an impact on the overall stock market, activist investors’ purchases will have a limited impact on the overall market, but their presence will be significant.

MicroPort NeuroTech (2172.HK) 22H1 – Advantages Deserve Recognition, but with Overvaluation Risk

By Xinyao (Criss) Wang

  • Among domestic enterprises, MicroPort NeuroTech (2172 HK)’s product richness takes the lead. With the support of Microport Scientific (853 HK), the production quality system and capacity are relatively more guaranteed. 
  • Fierce competition and centralized procurement are the major challenges, but the rich domestic distribution network and promising internationalization prospects would help NeuroTech find way out.
  • By reducing the size of the IPO to maintain a good share price, at the expense of stock liquidity, it doesn’t really solve the problem.There’s risk of overvaluation for NeuroTech.

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