Independent Leading Corporate Governance Research

Metrical Inc

METRICAL INC. is an independent leading Corporate Governance research firm in Japan where Corporate Governance is increasingly recognized as an important element on corporate management in these days. Thus, CG research and solutions would become an essential component of global capital markets and play important to contribute to transparency of the markets and maximize shareholders’ value in Japan. 

METRICAL INC. provides Corporate Governance research and analysis including rating services, and  also offers investment research and IR services with solutions and customized profound research on CG and IR issues.

A Market with a Low Average ROE Favors Valuations for Companies with More Reliable Cash Flow

Maybe Management Is Finally Becoming Aware of the Cost of Listing

To Raise ROE, Breaking Away from Familiar Relationships and Creating Tension in Management Is Key

It's Unreasonable to Hope for Higher Stock Prices While Being Reluctant to Disclose Information

Changing Japanese Companies Is Not TSE Request but Inflation that Changes Mindset of All Managers

Determining the Cause of the Sluggish ROE Growth Is More Important for Future ROE Increases

Unification of Quarterly Reports Will Further Increase the Role of TSE

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>While OP Margin did not improve much, companies did execute a certain degree of shareholder return in the previous fiscal year, but it did not significantly increase ROE.</li>
<li>Since companies with lower profits are also increasing shareholder returns, the dividend payout is likely to rise a bit more. It will be interesting to see how much ROE improves.</li>
<li>There is a correlation between ROE+DOE and TOPIX. Since TOPIX has risen significantly this year, it will be interesting to see if ROE+DOE actually increases in the future.</li>
</ul>


While OP Margin did not improve much, companies did execute a certain degree of shareholder return in the previous fiscal year, but it did not significantly increase ROE.
Since companies with lower profits are also increasing shareholder returns, the dividend payout is likely to rise a bit more. It will be interesting to see how much ROE improves.
There is a correlation between ROE+DOE and TOPIX. Since TOPIX has risen significantly this year, it will be interesting to see if ROE+DOE actually increases in the future.


Is the Rise in TOPIX Anticipating the Actual Rise in ROE+DOE?

TSE Tokyo Price Index TOPIX

Is the Rise in TOPIX Anticipating the Actual Rise in ROE+DOE?