Following solid first-quarter results, Shizuoka Financial Group indicated that it would raise its full-year outlook and payout ratio while expanding its share buyback. The buyback is expected to cover up to 10 million shares.
Shizuoka Financial Group raised its full-year profit outlook following solid first-quarter performance. The payout ratio is expected to be raised to nearly 50%, signaling a policy of strengthening shareholder returns.
Alongside this, the company announced an expanded share buyback, with an additional purchase of up to 10 million shares planned. This series of measures to strengthen shareholder returns is being viewed as a near-term positive catalyst.
Attention may also focus on the quality of the company's capital and its ability to withstand rising credit costs, while keeping risk management across the market in mind.
Simply Wall St has estimated fair value at ¥4,426.55 per share, although views differ on how this relates to the expanded dividends and share buyback.