Buying interest in stocks with December fiscal year-ends is gaining momentum, with funds expected to flow into high-yield stocks through the use of bonuses and NISA. The five stocks currently identified as candidates are Yokohama Rubber, Tokyo Tatemono, Nexon, Nitto Seiko and Ferrotec.
As companies approach their December year-end, buying tends to increase as investors seek dividend and shareholder benefit entitlements. The ability to receive dividends tax-free through NISA's growth investment limit is another attraction for individual investors, and interest is said to be rising in stocks backed by stable earnings and shareholder return policies.
Yokohama Rubber's closing price at the end of October was ¥6,280, with a forecast dividend yield of 3.55%. The company has indicated prospects for improved earnings, including low-cost production at its new plant, plans to bring the new plant online and the cost-saving benefits expected from its new plant in Mexico, which is scheduled to begin mass production.
Tokyo Tatemono closed at ¥3,289, with a forecast dividend yield of 3.83%. The company has announced its entry into the data center business and is diversifying its operations, including through a major investment project in Osaka. The resilience of office demand and the prospect of improving asset values are among its distinguishing features.
Nexon closed at ¥2,759, with a forecast dividend yield of 17.22%, including a special dividend. The company owns numerous long-running titles and has ample cash, as well as a track record of paying special dividends. Its proactive shareholder return policy is expected to continue, taking into account the year-end 2026 entitlement date.