Senior Technology Analyst, Japanese Equities, LightStream Research

Scott Foster

Securities analyst covering electronics, precision equipment & robotics, engineering, construction, transport and other sectors for more than 25 years in Japan and 3 years in Korea. Permanent resident of Japan.

Senior Technology Analyst, Japanese Equities

SMC (6273 JP): Disappointment Now in the Price

SMC (6273 JP): Investing for the Long Term

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Equity Bottom-Up

<ul>
<li>Results for the nine months through December were not impressive, but semiconductor and other electronics industry orders jumped nearly 40% in December-January. </li>
<li>FY Mar-26 guidance was unchanged with operating profit dropping 3.8% on a sales growth of only 3.0%, but sales should grow more rapidly and margins rise starting next fiscal year</li>
<li>At the February 18 close, SMC's share price was up 24% year-to-date and up 53% in the past six months, largely discounting the upturn in orders.</li>
</ul>


Results for the nine months through December were not impressive, but semiconductor and other electronics industry orders jumped nearly 40% in December-January. 
FY Mar-26 guidance was unchanged with operating profit dropping 3.8% on a sales growth of only 3.0%, but sales should grow more rapidly and margins rise starting next fiscal year
At the February 18 close, SMC's share price was up 24% year-to-date and up 53% in the past six months, largely discounting the upturn in orders.


SMC (6273 JP): Share Price Chasing Orders Up

SMC Corp

SMC (6273 JP): Share Price Chasing Orders Up