- In continuation from last week’s difficult-to-access Sapporo Securities Exchange article, here is a list of 26 companies exclusively listed on the Fukuoka Stock Exchange.
- Fukuoka, the home to Japan’s 4th largest metropolitan area, is a thriving business center in the Kyushu region.
- The Fukuoka Stock Exchange list contains several interesting companies like fish feed maker Higashimaru (FSE: 2058) and packing material makers Ohishi Sangyo (FSE: 3943) and Maruto Sangyo (FSE: 7894).
Continue reading “26 Companies Exclusively Listed On The Fukuoka Stock Exchange”
- Hokuyaku Takeyama Holdings (SSE: 3055) trades at a discount (negative Enterprise Value!) relative to industry peers despite comparable business performance.
- Unfortunately, the company is out of reach for many investors as it trades on the Sapporo Stock Exchange.
- Investors serious about Japanese small caps ought to consider opening a brokerage account with one of Japan’s major securities companies that can trade securities on smaller exchanges or in the “green sheet” market (Japanese OTC).
Continue reading “This Drug Wholesaler Looks Attractive If You Can Get Your Hands On It – SSE: 3055 Hokuyaku Takeyama Holdings”
- Major drug store operator Welcia (TYO: 3141) is becoming Japan’s neighborhood pharmacy.
- In doing so, the company directly competes with the convenience industry.
- Welcia maintains a strong position against the giants in convenience, thanks to Aeon’s (TYO: 8267) backing.
- With its 18x EV/EBIT price tag and many moving parts, Welcia does not present a compelling investment opportunity.
- Investors ought to look at pharmacy and drug store related industries for opportunities.
Continue reading “Poking The Convenience Giants – Welcia Holdings (TYO: 3141)”
- Cosmos Pharmaceuticals (TYO: 3349) operates drug stores with a Walmart and 7-Eleven-like strategy, delivering industry leading growth (20% 10 year EBIT CAGR) over the past decade.
- The company’s larger than normal stores target small areas and resembles a neighborhood supermarket.
- At 18x EV/EBIT, Cosmos is a high quality business trading at an even higher price.
Continue reading “20% EBIT CAGR With A Walmart Twist – TYO: 3349 Cosmos Pharmaceuticals”
- Drug stores are entering convenience territory, offering goods typically available at convenience stores.
- Convenience chains are fighting back by slowly working into the more regulated OTC drug market, mostly through partnerships with drug and pharmacy chains.
- The distinguishing characteristics of the convenience, drug store, and pharmacy industry are less apparent now.
Continue reading “Drug Stores Inconveniencing 7-Eleven”
- I had the opportunity to spend a whole week with a Japanese executive chef.
- Through his work and careful explanation, the chef shared insights on thriving in the food industry.
- The chef’s approach largely incorporated the concept of intrinsic value, a core concept used in value investing.
Continue reading “Progress, Not Perfection – Lessons From A Japanese Executive Chef”
- Nitori (TYO: 9843) has delivered outstanding performance with a lovable story.
- Going above and beyond with its “high quality, affordable products” branding, Nitori is Japan’s most loved furniture brand.
- At 20x EV/EBIT, however, a considerable level of growth is already priced in. I’ll take another look if share price gets below 10,000 yen vs. today’s 16 ~ 17,000 yen.
Continue reading “Idea: Japan’s American-inspired IKEA competitor going global – Nitori Holdings (TYO: 9843)”
- Japanese construction companies flood value-focused quantitative screens.
- Japanese construction doesn’t necessarily transfer well in other regions.
- My avoidance of Japanese construction is simply a decision heuristic, not a suggestion that everybody should avoid Japanese construction.
Continue reading “Why I Don’t Invest In Japanese Construction”
- Weathernews is one of the world’s largest private weather data service.
- After its start in Ocean route planning, Weathernews now offers consulting and data services to airlines, railroads, TV stations, consumers, and many other areas.
- Leveraging its healthy ROIC performance, Weathernews is exploring different avenues for market and service offering expansion.
Continue reading “Idea: Consistent 60+% Greenblatt ROIC For… Weather Data? – Weathernews (TYO: 4825)”
- Capcom (TYO: 9697) is just getting started with digital distribution.
- With strong Intellectual Property (IP) like Street Fighter and Resident Evil, Capcom is well grounded.
- If you missed the Activision and/or Electronic Arts digital distribution wave, you might want to consider looking at Capcom.
Continue reading “Idea: An Alternative To Activision Or Electronic Arts – Capcom (TYO: 9697)”