As the Nikkei average fell amid market volatility following the US midterm elections, the substantial first-half profit growth expected for stocks including Kioxia Holdings and Tokyo Electron was revisited, with reports highlighting a situation in which sharp share-price declines have brought their reassessment into focus.
After the US midterm elections, selling spread across the Nikkei average, led by AI- and semiconductor-related stocks. Against a backdrop that included power supply and demand and expectations of tighter regulations on data center construction, market responses diverged. The article reviews issues including the investment environment for data center-related businesses and the burden of electricity costs on households, while pointing to the possibility that interest in companies related to power supply and energy efficiency may increase.
The feature identifies several stocks expected to post high net profit growth rates in the first half of the fiscal year ending March 2027, and also introduces cases in which share prices reacted after earnings announcements. In some cases, expected first-half profit growth is greater than the full-year forecasts for fiscal 2027, suggesting that investment opportunities may be approaching.
The list presents figures for several stocks, including Kioxia Holdings and Tokyo Electron. A table organizes each stock's share price, decline from its 52-week high, first-half net profit growth rate and market forecast for full-year earnings.
Kioxia Holdings is described as a major manufacturer involved in NAND flash memory, with a first-half net profit growth rate expected to reach 3,628.6%, while its share price has fallen substantially from its 52-week high. Tokyo Electron is a major semiconductor manufacturing equipment company, with first-half net profit growth expected to reach 56.0%; its forward full-year PER is explained as beginning to look relatively inexpensive.