Resona Holdings (8308) Earnings: 1Q Net Income Surges 56%, Exceeding Estimates

Resona Holdings on Smartkarma

Independent analyst Victor Galliano on Smartkarma has provided bullish coverage on Resona Holdings, among other Japanese banks, in recent research reports. In his analysis titled “Japanese Banks – Cash Balances and the BoJ’s Negative Interest Rate Policy Exit,” Galliano highlights Resona Holdings, Mizuho, and Suruga for their high cash and at bank balances. The report indicates that Japanese banks stand to benefit from the Bank of Japan’s shift, with 100% of deposits earning 0.1% post BoJ’s exit from negative interest rates, potentially leading to higher domestic interest rates.

In another report by Galliano titled “Japanese Bigger Cap Banks – Exit from BoJ’s Negative Interest Rate Policy Gathers Steam,” the focus continues on Resona Holdings, Mizuho, and Concordia, underlining the positive sentiment towards Japanese bank shares as the BoJ moves towards the end of its negative interest rate policy. The expectation of the BoJ’s negative interest rate policy exit, combined with potential normalization of interest rate policy and meeting inflation targets, adds upside to Japanese banks like Resona Holdings in the evolving market landscape.

A look at Resona Holdings Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Resona Holdings, Inc. has received positive Smartkarma Smart Scores across various key factors. With a high Value score of 4, the company is deemed to be undervalued relative to its market price. This suggests that there may be potential for long-term growth in the company’s stock. Additionally, Resona Holdings scores well in terms of Resilience with a score of 5, indicating a strong ability to weather economic downturns and market volatility. This resilience could make Resona Holdings a stable long-term investment option.

Furthermore, while the company’s Dividend and Growth scores are moderate at 3 each, its Momentum score of 4 implies that Resona Holdings is showing positive upward trends in its stock performance. Overall, based on the Smartkarma Smart Scores, Resona Holdings appears to have a promising long-term outlook, especially considering its core operations in banking, trust services, and credit card offerings along with its diversified consulting services portfolio.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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