- Olympus has revised its full-year operating income forecast to 151 billion yen, which is lower than both the previous forecast of 176 billion yen and the market estimate of 164.81 billion yen.
- The company’s full-year net income forecast is now 105 billion yen, reduced from an earlier expectation of 121 billion yen and below the estimate of 114.76 billion yen.
- For full-year net sales, Olympus now anticipates 997.5 billion yen, down from an initial forecast of 1.01 trillion yen but slightly below the market projection of 1 trillion yen.
- Despite adjustments to financial forecasts, the company maintains its dividend forecast at 20 yen, aligning with market expectations.
- In the nine months ended, revenue from Endoscopic Solutions grew by 9.6% year-over-year to 459.53 billion yen.
- Therapeutic Solutions revenue rose by 7.3% year-over-year, reaching 265.34 billion yen during the same period.
- In the third quarter, Olympus reported an operating income of 38.27 billion yen, reflecting a 12% increase year-over-year, though slightly below the estimate of 42.6 billion yen.
- Net income for the third quarter was 27.41 billion yen, up by 45% year-over-year but still short of the estimate of 29.48 billion yen.
- Third-quarter net sales amounted to 251.19 billion yen, up 5.1% from the previous year and surpassing the estimate of 249.12 billion yen.
- Investor sentiment appears positive, with 11 buy recommendations, 3 hold recommendations, and no sell recommendations.
Olympus Corp on Smartkarma
Analyst coverage of Olympus Corp on Smartkarma reveals insights from Tina Banerjee, whose research indicates a bearish sentiment towards the company. In her report titled “Olympus Corp (7733 JP): One-Off Events Boost H1FY25 Result; Not Optimistic About FY25 Guidance,” Banerjee highlights that Olympus achieved only a 3% YoY revenue growth in H1FY25 on a Fx neutral basis, with adjusted operating profit growth at just 4% YoY. The company’s FY25 guidance foresees a decline in H2FY25 revenue of ¥535B (-9% YoY). Recent challenges, such as the CEO’s resignation and weak H1FY25 results, contributed to a 17% drop in Olympus Corp (7733 JP) shares over the past month. With no definite timeline for CEO succession announced, uncertainties loom over the company’s future performance.
A look at Olympus Corp Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 2.4 |
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
Based on the Smartkarma Smart Scores, Olympus Corp appears to have a mixed long-term outlook. With a value score of 2, the company may not be considered significantly undervalued compared to its peers. Its dividend score is also at 2, suggesting an average dividend performance. On the positive side, Olympus Corp scores a 3 for both growth and resilience, indicating potential for growth and a solid ability to weather challenging market conditions. However, its momentum score of 2 implies a slower movement in terms of stock price performance.
Olympus Corporation, known for manufacturing optoelectronic products such as cameras, endoscopes, microscopes, and office communication systems, seemingly stands at a point where it shows promise for growth and possesses the resilience to withstand market uncertainties. Investors may find comfort in the company’s stable outlook in areas of growth and resilience, although its valuation and dividend performance may not be as strong. As with any investment, thorough research beyond just the Smart Scores is recommended to make informed decisions regarding Olympus Corp.
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.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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