Japan Specialist

Mark Chadwick

Thematic (Sector/Industry)

<ul>
<li>Stocks closed higher Monday in a volatile session as tech led gains following a surprise tariff exemption from President Trump</li>
<li>Automakers gained on Monday after President Trump signaled potential relief from the 25% auto tariffs, citing the need for time to shift production to the U.S.</li>
<li>Sony will raise the price of the PlayStation 5 console in Europe and Australia due to increased material prices, manufacturing costs, and exchange rate fluctuations.</li>
</ul>


Stocks closed higher Monday in a volatile session as tech led gains following a surprise tariff exemption from President Trump
Automakers gained on Monday after President Trump signaled potential relief from the 25% auto tariffs, citing the need for time to shift production to the U.S.
Sony will raise the price of the PlayStation 5 console in Europe and Australia due to increased material prices, manufacturing costs, and exchange rate fluctuations.


Ohayo Japan | Potential Relief from Auto Tariffs

Equity Bottom-Up

Money Forward, Inc. develops mobile application software. The Company produces automatic household account book softwares, household account book application softwares, and other products. Money Forward also provides personal financial management, cloud based accounting solutions, and other services.

<ul>
<li>Q1 revenue and EBITDA missed expectations, with slowing growth in key business segment and corporate customer adds.</li>
<li>Macroeconomic risks, including US tariffs, may be weighing on business confidence and new customer acquisition.</li>
<li>Valuation now looks attractive, trading at a steep discount to global peers despite similar fundamentals.</li>
</ul>


Q1 revenue and EBITDA missed expectations, with slowing growth in key business segment and corporate customer adds.
Macroeconomic risks, including US tariffs, may be weighing on business confidence and new customer acquisition.
Valuation now looks attractive, trading at a steep discount to global peers despite similar fundamentals.


Money Forward (3994) | SaaS Is Slowing, But So Is the Price

<ul>
<li>Despite the turbulence caused by Trump's evolving tariff policies, the S&amp;P 500 and Dow recorded their best weeks since 2023</li>
<li>Apple and other tech firms benefit as Trump’s administration exempts smartphones, computers, and components like semiconductors from a 125% China tariff and a 10% global tariff</li>
<li>Orbis Investments, holding 10% of Tsuruha, opposes its merger with Welcia Holdings, Japan’s top drugstore under Aeon</li>
</ul>


Despite the turbulence caused by Trump's evolving tariff policies, the S&amp;P 500 and Dow recorded their best weeks since 2023
Apple and other tech firms benefit as Trump’s administration exempts smartphones, computers, and components like semiconductors from a 125% China tariff and a 10% global tariff
Orbis Investments, holding 10% of Tsuruha, opposes its merger with Welcia Holdings, Japan’s top drugstore under Aeon


Ohayo Japan | Tech Wins Big as US Scraps Tariffs on Electronics

<ul>
<li>The S&amp;P 500 sank 3.5%, the Nasdaq dropped 4.3%; Yen Stronger, Nikkei Futs down</li>
<li>Fast Retailing forecasts a 10% rise in consolidated net profit to 410 billion yen for the fiscal year ending August 2025, up 25 billion yen from prior estimates</li>
<li>Effissimo Capital Management raised its Ricoh stake to 21.71%. Note that Effissimo also owns 5.81% of Konica Minolta, aiming to influence management and proposals</li>
</ul>


The S&amp;P 500 sank 3.5%, the Nasdaq dropped 4.3%; Yen Stronger, Nikkei Futs down
Fast Retailing forecasts a 10% rise in consolidated net profit to 410 billion yen for the fiscal year ending August 2025, up 25 billion yen from prior estimates
Effissimo Capital Management raised its Ricoh stake to 21.71%. Note that Effissimo also owns 5.81% of Konica Minolta, aiming to influence management and proposals


FAST RETAILING CO., LTD. operates a chain of clothing stores, UNIQLO, throughout Japan and in other markets overseas including UK, China, Hong Kong, South Korea, US, France, Singapore and Russia.  The Company designs, manufactures, and retails its own line of casual clothing.

<ul>
<li>
 Strong Q2 beat: Revenue rose 14% YoY and OP jumped 33%, driven by Japan strength and solid winter sales, offsetting China’s continued weakness.</li>
<li>
 Guidance tweak: FY business profit raised to ¥540bn, though H2 expectations effectively lowered due to anticipated US tariff impact.</li>
<li>
 US expansion continues: 69 stores now open; North America accounts for 7.5% of sales, with future margin mitigation via supply chain shifts and EU/Asia growth.</li>
</ul>



 Strong Q2 beat: Revenue rose 14% YoY and OP jumped 33%, driven by Japan strength and solid winter sales, offsetting China’s continued weakness.

 Guidance tweak: FY business profit raised to ¥540bn, though H2 expectations effectively lowered due to anticipated US tariff impact.

 US expansion continues: 69 stores now open; North America accounts for 7.5% of sales, with future margin mitigation via supply chain shifts and EU/Asia growth.


Fast Retailing (9983) | Japan Delivers as Tariffs Start to Impact

Over 20 years experience in equities and asset management in Asia and Japan. Qualified CFA with experience analyzing companies as a buy-side analyst. In-depth knowledge of company fundamental analysis, corporate governance and valuations.

Mark Chadwick
Japan Specialist

Ohayo Japan | Potential Relief from Auto Tariffs

Stocks rise on tech gains after tariff exemptions; automakers up on potential relief from auto tariffs; Sony to raise PS5 price in Europe and...

Mark Chadwick

Money Forward (3994) | SaaS Is Slowing, But So Is the Price

Q1 revenue and EBITDA missed expectations due to slowing growth in key segment and corporate customer adds. Despite this, valuation is attractive...

Mark Chadwick

Ohayo Japan | Tech Wins Big as US Scraps Tariffs on Electronics

Despite Trump's tariff policies, S&P 500 and Dow have best weeks since 2023. Tech firms benefit from exemptions. Orbis Investments opposes Tsuruha...

Mark Chadwick

Ohayo Japan | Trade War Whiplash

Stock market plunges, Fast Retailing predicts profit increase, Effissimo Capital raises stakes in Ricoh to influence management.

Mark Chadwick

Fast Retailing (9983) | Japan Delivers as Tariffs Start to Impact

Strong Q2 beat with revenue up 14% YoY and OP up 33%, driven by Japan strength and solid winter sales, offsetting China weakness. Guidance raised...

Mark Chadwick

Ohayo Japan | Potential Relief from Auto Tariffs

​Stocks rise on tech gains after tariff exemptions; automakers up on potential relief from auto tariffs; Sony to raise PS5 price in Europe and...

Mark Chadwick

Money Forward (3994) | SaaS Is Slowing, But So Is the Price

​Q1 revenue and EBITDA missed expectations due to slowing growth in key segment and corporate customer adds. Despite this, valuation is attractive...

Mark Chadwick

Ohayo Japan | Tech Wins Big as US Scraps Tariffs on Electronics

​Despite Trump's tariff policies, S&P 500 and Dow have best weeks since 2023. Tech firms benefit from exemptions. Orbis Investments opposes Tsuruha...

Mark Chadwick

Ohayo Japan | Trade War Whiplash

​Stock market plunges, Fast Retailing predicts profit increase, Effissimo Capital raises stakes in Ricoh to influence management.

Mark Chadwick

Fast Retailing (9983) | Japan Delivers as Tariffs Start to Impact

​Strong Q2 beat with revenue up 14% YoY and OP up 33%, driven by Japan strength and solid winter sales, offsetting China weakness. Guidance raised...

Mark Chadwick

Stocks rise on tech gains after tariff exemptions; automakers up on potential relief from auto tariffs; Sony to raise PS5 price in Europe and...

Q1 revenue and EBITDA missed expectations due to slowing growth in key segment and corporate customer adds. Despite this, valuation is attractive...

Despite Trump's tariff policies, S&P 500 and Dow have best weeks since 2023. Tech firms benefit from exemptions. Orbis Investments opposes Tsuruha...

Stock market plunges, Fast Retailing predicts profit increase, Effissimo Capital raises stakes in Ricoh to influence management.

Strong Q2 beat with revenue up 14% YoY and OP up 33%, driven by Japan strength and solid winter sales, offsetting China weakness. Guidance raised...