Japanese Equity Specialist, Ortus Advisors

Andrew Jackson

Japanese Equity Specialist

Ortus Advisors

Thematic (Sector/Industry)

<ul>
<li>Homebuilders starting to stir, watch Sumitomo Forestry for upside squeeze potential.</li>
<li>Este Lauder continues to climb but JP names still languish as slow to react to changing trends.</li>
<li>Trump's brinkmanship continues as the 9th July tariff deadline looms.</li>
</ul>


Homebuilders starting to stir, watch Sumitomo Forestry for upside squeeze potential.
Este Lauder continues to climb but JP names still languish as slow to react to changing trends.
Trump's brinkmanship continues as the 9th July tariff deadline looms.


Japan Morning Connection: Big Pivot from Momo into Value Should See a Sharp Factor Rotation Today

Japan Specialist

Mark Chadwick

<ul>
<li>Furukawa's stock surged after announcing shareholder-friendly measures, including asset sales, a buyback, and a dividend hike; activist City Index takes some profits.</li>
<li>The Japanese market faced a volatile week, ultimately closing lower, with the Nikkei declining by 1% - a mix of strong macro data, tariffs, and yen moves</li>
<li>Daifuku surged 25% on strong earnings, cost savings, and a robust FY25 order outlook, reinforcing confidence in long-term growth.</li>
</ul>


Furukawa's stock surged after announcing shareholder-friendly measures, including asset sales, a buyback, and a dividend hike; activist City Index takes some profits.
The Japanese market faced a volatile week, ultimately closing lower, with the Nikkei declining by 1% - a mix of strong macro data, tariffs, and yen moves
Daifuku surged 25% on strong earnings, cost savings, and a robust FY25 order outlook, reinforcing confidence in long-term growth.


Japan Strategy Weekly | City Index Cashes in on Furukawa

Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

TSE Tokyo Price Index TOPIX / Technical Analysis

<ul>
<li>We continue to recommend a tactical overweight to defensives (Staples, Health Care, and Utilities) as the MSCI ACWI (ACWI-US) tests the top-end of our anticipated 2023 trading range at $93.</li>
<li>We also remain overweight Europe, Japan, and India, where a lot more than just defensives continue to outperform.</li>
<li>Actionable Themes: Consumer Discretionary and Defensives, Mainly in Japan and Europe</li>
</ul>


We continue to recommend a tactical overweight to defensives (Staples, Health Care, and Utilities) as the MSCI ACWI (ACWI-US) tests the top-end of our anticipated 2023 trading range at $93.
We also remain overweight Europe, Japan, and India, where a lot more than just defensives continue to outperform.
Actionable Themes: Consumer Discretionary and Defensives, Mainly in Japan and Europe


Remain Overweight Japan, Europe, & India; Buys in Discretionary and Defensives W/ Japan/Europe Focus

Equity Long-Short Analyst

Pyari Menon

<ul>
<li>Procter &amp; Gamble Co (PG US), Amorepacific Corp (090430 KS), L'Oreal SA (OR FP), <a href="https://www.smartkarma.com/entities/lg-household-health-care" target="_blank" data-smartkarma-citation="entities:6501:1" rel="noopener">LG Household &amp; Health Care (051900 KS)</a>,  and Kao Corp (4452 JP), lead product innovation table</li>
<li>Among the smaller names <a href="https://www.smartkarma.com/entities/cosmax-inc" target="_blank" data-smartkarma-citation="entities:4491:1" rel="noopener">Cosmax Inc (192820 KS)</a>, Pola Orbis Holdings (4927 JP),  <a href="https://www.smartkarma.com/entities/kolmar-bnh-co-ltd" target="_blank" data-smartkarma-citation="entities:33240:1" rel="noopener">Kolmar BNH (200130 KS)</a>, have been relatively prolific in innovating over the last three years.</li>
<li>Apart from the quality of the ingredients, consistency, stability of the formulations, the packaging, dispensing, virtual try-on, personalized recommendations, sustainability seem to be some of the key trends in innovations.</li>
</ul>


Procter &amp; Gamble Co (PG US), Amorepacific Corp (090430 KS), L'Oreal SA (OR FP), LG Household &amp; Health Care (051900 KS),  and Kao Corp (4452 JP), lead product innovation table
Among the smaller names Cosmax Inc (192820 KS), Pola Orbis Holdings (4927 JP),  Kolmar BNH (200130 KS), have been relatively prolific in innovating over the last three years.
Apart from the quality of the ingredients, consistency, stability of the formulations, the packaging, dispensing, virtual try-on, personalized recommendations, sustainability seem to be some of the key trends in innovations.


Insights from Datamining Technical Publications - Cosmetics

<p>Our outlook remains unchanged as the weight of the evidence continues to suggest a mixed, but overall constructive market. Cyclical value Sectors continue to be our favorite areas to overweight (i.e., Energy, Materials, Manufacturing, and Transportation), while defensive Sectors also continue to be worth a look (i.e., Staples, Health Care, and Real Estate). </p>

Our outlook remains unchanged as the weight of the evidence continues to suggest a mixed, but overall constructive market. Cyclical value Sectors continue to be our favorite areas to overweight (i.e., Energy, Materials, Manufacturing, and Transportation), while defensive Sectors also continue to be worth a look (i.e., Staples, Health Care, and Real Estate). 

Global Equity Strategy: Value Remains Leadership But Defensives Improving

Japan

POLA ORBIS HOLDINGS INC. develops, manufactures and markets cosmetic products, centering in skincare  products. Under its multi-brand strategy, the Company holds nine cosmetic brands including POLA, prestige skincare brand, ORBIS, oil-free skincare brand, H2O PLUS and Jurlique.

Price Gauge
52-week Range	0.00 - 0.00
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Pola Orbis Holdings (4927 JP)

Japan Morning Connection: Big Pivot from Momo into Value Should See a Sharp Factor Rotation Today

Homebuilders show potential for upside as market rotates; watch big momentum winners for downside. Este Lauder climbs while JP names lag behind.

Andrew Jackson

Japan Strategy Weekly | City Index Cashes in on Furukawa

Furukawa's shareholder-friendly measures boost stock, Japanese market faces volatility, Daifuku surges on strong earnings and outlook.

Mark Chadwick

Remain Overweight Japan, Europe, & India; Buys in Discretionary and Defensives W/ Japan/Europe Focus

We continue to recommend a tactical overweight to defensives as $ACWI tests the top-end of our anticipated 2023 trading range at $93. Remain...

Vermilion Research

Insights from Datamining Technical Publications - Cosmetics

The beauty industry - where innovation can be real and driven by science, but sometimes just cosmetic to just change the perception

Pyari Menon

Global Equity Strategy: Value Remains Leadership But Defensives Improving

Cyclical value Sectors continue to be our favorite areas to overweight, while defensive Sectors also continue to be worth a look (i.e., Staples,...

Vermilion Research

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Japan Morning Connection: Big Pivot from Momo into Value Should See a Sharp Factor Rotation Today

​Homebuilders show potential for upside as market rotates; watch big momentum winners for downside. Este Lauder climbs while JP names lag behind.

Andrew Jackson

Japan Strategy Weekly | City Index Cashes in on Furukawa

​Furukawa's shareholder-friendly measures boost stock, Japanese market faces volatility, Daifuku surges on strong earnings and outlook.

Mark Chadwick

Remain Overweight Japan, Europe, & India; Buys in Discretionary and Defensives W/ Japan/Europe Focus

We continue to recommend a tactical overweight to defensives as $ACWI tests the top-end of our anticipated 2023 trading range at $93. Remain...

Vermilion Research

Insights from Datamining Technical Publications - Cosmetics

The beauty industry - where innovation can be real and driven by science, but sometimes just cosmetic to just change the perception

Pyari Menon

Global Equity Strategy: Value Remains Leadership But Defensives Improving

Cyclical value Sectors continue to be our favorite areas to overweight, while defensive Sectors also continue to be worth a look (i.e., Staples,...

Vermilion Research

Homebuilders show potential for upside as market rotates; watch big momentum winners for downside. Este Lauder climbs while JP names lag behind.

Furukawa's shareholder-friendly measures boost stock, Japanese market faces volatility, Daifuku surges on strong earnings and outlook.