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.

Big Gap Between Companies that “don't Have a Gap in Investors' Viewpoints” and Those that Don't

The Key to Japanese Equity Outperformance Is a Step Beyond Shareholder Returns

What Changes in the External Environment Are Changing the Mindset of Managers?

Companies May Worked on Raising OP Margin in Minor Ways Without Working on Raising Gross Margins

Significant Share Buybacks Are Key to Improving Profitability of Capital

Executive Director, Metrical Inc

Aki Matsumoto

Executive Director

<ul>
<li>Since most Japanese companies at this point have more cash on hand than they need, it is only natural that they will step up shareholder returns, including share buybacks.</li>
<li>The reason why many companies have more cash on hand than necessary due to lack of investment for growth is because they do not have a disciplined cash allocation.</li>
<li>If the company does not have a disciplined cash allocation, share repurchases that lead to allocations to the most effective investments at the investor's discretion are welcome to the investor.</li>
</ul>


Since most Japanese companies at this point have more cash on hand than they need, it is only natural that they will step up shareholder returns, including share buybacks.
The reason why many companies have more cash on hand than necessary due to lack of investment for growth is because they do not have a disciplined cash allocation.
If the company does not have a disciplined cash allocation, share repurchases that lead to allocations to the most effective investments at the investor's discretion are welcome to the investor.


Without a Disciplined Cash Allocation in a Company, Share Repurchases Are Welcome to Investors

TSE Tokyo Price Index TOPIX

Without a Disciplined Cash Allocation in a Company, Share Repurchases Are Welcome to Investors