Morgan Stanley MUFG Securities changed THK’s target price to ¥8,300 and maintained its Overweight rating. Even after significantly revising its earnings forecasts upward at the interim results, expectations are growing for increased production next fiscal year and the benefits of structural reforms.
As THK’s share price continues to advance, a foreign securities firm changed its target price from ¥7,900 to ¥8,300 and maintained its top-tier Overweight rating.
Earnings forecasts were significantly revised upward at the interim results, and the share price temporarily showed profit-taking activity after the catalysts had been exhausted, but efforts to strengthen the increased-production structure are now progressing.
The firm expects earnings to potentially outperform further, reflecting the effects of increased production from the next fiscal year onward and additional benefits from structural reforms.