Independent Leading Corporate Governance Research

Metrical Inc

METRICAL INC. is an independent leading Corporate Governance research firm in Japan where Corporate Governance is increasingly recognized as an important element on corporate management in these days. Thus, CG research and solutions would become an essential component of global capital markets and play important to contribute to transparency of the markets and maximize shareholders’ value in Japan. 

METRICAL INC. provides Corporate Governance research and analysis including rating services, and  also offers investment research and IR services with solutions and customized profound research on CG and IR issues.

Who Benefits from Hoarding Cash Without Implementing Measures to Boost Profit Margins?

Criticism of Shareholder Proposals from Activist Investors Is a Comforting Word for Management

Stock Prices Driven by Expectations Require Support from Actual Corporate Performance

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>Dividend yield has remained flat as share prices have risen while shareholder returns have increased. JGB yields, being fixed rates, have seen bond prices fall, leading to rising bond yields.</li>
<li>Bond yields represent the required rate of return for bond investors, while for equity investors, it is the total return combining dividend yield and capital appreciation.</li>
<li>Stocks whose dividend yields became significantly lower than JGB yields likely appeared to investors as having future cash flows underlying their corporate value that would grow.</li>
</ul>


Dividend yield has remained flat as share prices have risen while shareholder returns have increased. JGB yields, being fixed rates, have seen bond prices fall, leading to rising bond yields.
Bond yields represent the required rate of return for bond investors, while for equity investors, it is the total return combining dividend yield and capital appreciation.
Stocks whose dividend yields became significantly lower than JGB yields likely appeared to investors as having future cash flows underlying their corporate value that would grow.


The Valuation Criteria for Stocks Remain Unchanged, but Polarization Continues to Advance

TSE Tokyo Price Index TOPIX

The Valuation Criteria for Stocks Remain Unchanged, but Polarization Continues to Advance