Japan Specialist

Mark Chadwick

Thematic (Sector/Industry)

<ul>
<li>Stocks rallied as tech led gains; S&amp;P 500 rose 5.3% for the week, Virgin Galactic jumped 42%, while Novo Nordisk dropped 4% on CEO exit.</li>
<li>Nikkei dipped slightly to 37,753 yen, pressured by yen appreciation and negative Q1 GDP, while TOPIX rose 0.09%</li>
<li>Orbis Investments opposes Aeon’s takeover and Welcia merger, criticizing the undervalued 11,400 yen offer and unfair share exchange ratio.</li>
</ul>


Stocks rallied as tech led gains; S&amp;P 500 rose 5.3% for the week, Virgin Galactic jumped 42%, while Novo Nordisk dropped 4% on CEO exit.
Nikkei dipped slightly to 37,753 yen, pressured by yen appreciation and negative Q1 GDP, while TOPIX rose 0.09%
Orbis Investments opposes Aeon’s takeover and Welcia merger, criticizing the undervalued 11,400 yen offer and unfair share exchange ratio.


<ul>
<li>US Stocks rallied as tech led gains; S&amp;P 500 rose 5.3% for the week, with Nvidia up 16%, Meta 8%, Apple 6%, and Microsoft 3%.</li>
<li>Japan’s Nikkei rose 0.7% as U.S.-China tariff cuts boosted semiconductors, but gains faded mid-week amid profit-taking, yen strength, and pharma sector declines.</li>
<li>J. Front Retailing shares rose 22% this week, driven by speculation that an activist investor had taken a stake in the company. Large share buybacks from Sankyo and Glory</li>
</ul>


US Stocks rallied as tech led gains; S&amp;P 500 rose 5.3% for the week, with Nvidia up 16%, Meta 8%, Apple 6%, and Microsoft 3%.
Japan’s Nikkei rose 0.7% as U.S.-China tariff cuts boosted semiconductors, but gains faded mid-week amid profit-taking, yen strength, and pharma sector declines.
J. Front Retailing shares rose 22% this week, driven by speculation that an activist investor had taken a stake in the company. Large share buybacks from Sankyo and Glory


Japan Strategy Weekly | US Tech Leads; Japan Lags

<ul>
<li>The S&amp;P 500 rose 0.4% for a fourth straight gain while the Nasdaq fell 0.2%, as investors rotated into defensive dividend stocks amid concerns of overheating</li>
<li>Meta fell on delays to its AI rollout, and Applied Materials gave a weak forecast after hours. Walmart posted strong results but warned of price hikes from tariffs</li>
<li>Kyocera faces pressure from Oasis Management to improve profitability through a 1,000 billion yen share buyback</li>
</ul>


The S&amp;P 500 rose 0.4% for a fourth straight gain while the Nasdaq fell 0.2%, as investors rotated into defensive dividend stocks amid concerns of overheating
Meta fell on delays to its AI rollout, and Applied Materials gave a weak forecast after hours. Walmart posted strong results but warned of price hikes from tariffs
Kyocera faces pressure from Oasis Management to improve profitability through a 1,000 billion yen share buyback


Equity Bottom-Up

Appier Group, Inc. provides artificial intelligence software as a service (AISaaS) services based on data-driven decisions. The Company offers data analysis for potential users predicting and acquiring, relationships building and maintaining, purchasing and action motivation, audience intelligence, and more. Appier Group serves clients across Asian.

<ul>
<li>
 Solid Q1 and reaffirmed guidance: Appier delivered 27% organic growth in Q1, maintained FY targets, and continues to benefit from resilient demand for AI marketing solutions.</li>
<li>
 Strategic acquisition of AdCreative.ai: The deal expands Appier’s AI portfolio, enhances creative automation capabilities, and supports cross-sell potential, despite short-term margin pressure from integration.</li>
<li>
 Attractive valuation with upside: Despite strong fundamentals, shares trade below 3x EV/sales; H2 seasonality and AI adoption present a compelling re-rating opportunity.</li>
</ul>



 Solid Q1 and reaffirmed guidance: Appier delivered 27% organic growth in Q1, maintained FY targets, and continues to benefit from resilient demand for AI marketing solutions.

 Strategic acquisition of AdCreative.ai: The deal expands Appier’s AI portfolio, enhances creative automation capabilities, and supports cross-sell potential, despite short-term margin pressure from integration.

 Attractive valuation with upside: Despite strong fundamentals, shares trade below 3x EV/sales; H2 seasonality and AI adoption present a compelling re-rating opportunity.


Appier (4180 JP) | AI Marketing Leader Positioned for Long-Term Growth

ASICS CORPORATION manufactures general sporting goods and equipment.  The Company's products, such as athletic shoes and sportswear, are distributed in the United States, Europe, Australia, and Asia.

<ul>
<li>Asics reported its first-quarter results during trading hours, with the stock closing down 8.6% on the day.</li>
<li>While headline numbers were strong, investors may have been disappointed by the lack of upward revision to full-year guidance.</li>
<li>Our positive view on Asics remains unchanged. The company is successfully navigating geopolitical and macro uncertainties while strengthening its brand.</li>
</ul>


Asics reported its first-quarter results during trading hours, with the stock closing down 8.6% on the day.
While headline numbers were strong, investors may have been disappointed by the lack of upward revision to full-year guidance.
Our positive view on Asics remains unchanged. The company is successfully navigating geopolitical and macro uncertainties while strengthening its brand.


Asics (7936) | Q1 Earnings Impress, But Market Reacts to Unchanged Guidance

Over 20 years experience in equities and asset management in Asia and Japan. Qualified CFA with experience analyzing companies as a buy-side analyst. In-depth knowledge of company fundamental analysis, corporate governance and valuations.

Mark Chadwick
Japan Specialist

Ohayo Japan | US Scores 5% Weekly Gain

Stocks surged with tech leading, S&P 500 up 5.3%; Nikkei slightly down at 37,753 yen, Orbis Investments opposes Aeon's takeover and Welcia merger.

Mark Chadwick

Japan Strategy Weekly | US Tech Leads; Japan Lags

US tech stocks lead market rally, S&P 500 up 5.3% with Nvidia, Meta, Apple, and Microsoft posting gains. Nikkei rises on U.S.-China tariff cuts,

Mark Chadwick

Ohayo Japan | Walmart Tariff Warning

Investors shift to defensive dividend stocks amid overheating concerns, Meta and Applied Materials face setbacks, Walmart warns of price hikes...

Mark Chadwick

Appier (4180 JP) | AI Marketing Leader Positioned for Long-Term Growth

Appier reports solid Q1 results, reaffirms guidance, acquires AdCreative.ai to enhance AI portfolio, and offers attractive valuation with upside...

Mark Chadwick

Asics (7936) | Q1 Earnings Impress, But Market Reacts to Unchanged Guidance

Asics stock drops 8.6% despite strong first-quarter results; investors disappointed by lack of upward guidance revision. Positive outlook remains...

Mark Chadwick

Ohayo Japan | US Scores 5% Weekly Gain

​Stocks surged with tech leading, S&P 500 up 5.3%; Nikkei slightly down at 37,753 yen, Orbis Investments opposes Aeon's takeover and Welcia merger.

Mark Chadwick

Japan Strategy Weekly | US Tech Leads; Japan Lags

​US tech stocks lead market rally, S&P 500 up 5.3% with Nvidia, Meta, Apple, and Microsoft posting gains. Nikkei rises on U.S.-China tariff cuts,

Mark Chadwick

Ohayo Japan | Walmart Tariff Warning

​Investors shift to defensive dividend stocks amid overheating concerns, Meta and Applied Materials face setbacks, Walmart warns of price hikes...

Mark Chadwick

Appier (4180 JP) | AI Marketing Leader Positioned for Long-Term Growth

​Appier reports solid Q1 results, reaffirms guidance, acquires AdCreative.ai to enhance AI portfolio, and offers attractive valuation with upside...

Mark Chadwick

Asics (7936) | Q1 Earnings Impress, But Market Reacts to Unchanged Guidance

​Asics stock drops 8.6% despite strong first-quarter results; investors disappointed by lack of upward guidance revision. Positive outlook remains...

Mark Chadwick

Stocks surged with tech leading, S&P 500 up 5.3%; Nikkei slightly down at 37,753 yen, Orbis Investments opposes Aeon's takeover and Welcia merger.

US tech stocks lead market rally, S&P 500 up 5.3% with Nvidia, Meta, Apple, and Microsoft posting gains. Nikkei rises on U.S.-China tariff cuts,

Investors shift to defensive dividend stocks amid overheating concerns, Meta and Applied Materials face setbacks, Walmart warns of price hikes...

Appier reports solid Q1 results, reaffirms guidance, acquires AdCreative.ai to enhance AI portfolio, and offers attractive valuation with upside...

Asics stock drops 8.6% despite strong first-quarter results; investors disappointed by lack of upward guidance revision. Positive outlook remains...