A company announced that it would raise its annual dividend from ¥62 to ¥72 and conduct a share buyback. The stock rebounded sharply that day following the move to enhance shareholder returns.
The Nikkei 225 rose on 27 October against a backdrop of gains in U.S. stocks. Heavyweights such as Advantest, SoftBank Group and Tokyo Electron were bought, and the Nikkei 225 at one point recorded a gain of more than ¥1,400. Although the momentum to chase the highs weakened toward the close, the market as a whole ended substantially higher than the previous day.
Among the stocks highlighted, one company announced plans to enhance shareholder returns by raising its annual dividend from ¥62 to ¥72 and conducting a share buyback. The stock was reported to have rebounded sharply in response.
Advantest, SoftBank Group and Tokyo Electron ranked among the top contributors to the Nikkei 225, while Recruit Holdings and Daiichi Sankyo were among the largest detractors. The market was reported to be moving in response to companies’ shareholder-return policies and earnings trends.