SUMITOMO CHEMICAL COMPANY,LIMITED’s share price fell from the low ¥600 range to ¥570 in the latter half of October. Attention is focused on its earnings and materials disclosures, along with technical indicators such as the recent break above the 25-day moving average.
Between 10/16 and 10/23, the share price fell from ¥600.5 to ¥570. Trading volume on 10/22 was 9,098,000 shares, and the closing price on 10/23 was ¥570. Over the most recent 5 trading days, the share price formed a consolidation pattern around ¥600. On 10/22, it broke above the 25-day moving average and generated a MACD buy signal, while a Parabolic buy reversal also occurred that day.
For earnings, revenue for the first quarter of the fiscal year ending March 2027 is summarized as having increased 9.9% year on year to ¥578.2 billion, while operating profit increased 139.8% to ¥61.0 billion. Recent performance indicators confirm a return to profitability and a projected dividend increase of ¥16, which are being viewed as share-price catalysts.
On 9/29, a major US securities firm maintained its bullish outlook on the company and raised its price target to ¥790. Although a gap remains from the ¥570 share price, the focus is on the information from the past month and the extent to which it has been priced in.
On 9/28, the company was reported to have verified an optical modulator using a KNN thin-film substrate in joint research with Kyushu University. News of the development of transparent thin-film formation materials followed on 9/24. The company’s functional-materials technology development has been reported intermittently.