TAIHEIYO KOUHATSU INCORPORATED <8835> surged to its highest level since 2014. Katakura & Co-op Agri Corporation <4031> also posted significant gains, updating its year-to-date high for consecutive days. More than a month has passed since the United States and Israel began military operations against Iran, and the Middle East conflict shows no signs of resolution. On the 28th, Yemen's Houthi militants, who are aligned with Iran, attacked Israel, marking a new phase in the conflict. Concerns are growing over prolonged disruptions to the transportation of fertilizer raw materials. While risk-averse sentiment dominates the stock market, speculation about rising fertilizer prices boosting earnings continues to drive investment flows into fertilizer-related stocks. OAT Agrio Co., Ltd. <4979> gapped up and continued its sharp rally.

EBRAINS, INC. <6599> posted exceptional upward performance. The stock surged as much as \340 at one point, decisively breaking through the high of \3,640 set on the 25th of last week. Its market capitalization rose to levels not seen since January 2021, approximately five years and two months ago. As global emergency risks intensify due to Russia's invasion of Ukraine and U.S.-Israeli military attacks on Iran, investor attention toward defense-related stocks has strengthened. The company engages in contract manufacturing of backplanes, a core device for industrial computers, and defense-related projects including communications and radar systems are steadily increasing, bringing the company into the spotlight as a leading player in this sector. Revenue growth has entered a leap phase with the start of mass production for smart grids and other applications. The company's commitment to shareholder returns, including consecutive annual dividend increases, has also supported the stock price rally.

Advanced Media, Inc. <3773> rebounded significantly. After the close of trading on the 27th of last week, the company revised its consolidated earnings forecast for the fiscal year ending March 2026 upward, raising net profit from \1.4 billion to \1.62 billion (up 15.1% year-on-year), and increased its year-end dividend forecast from \30 to \33.50 (previous year: \27.50), which was well received. The revision reflects the sale of investment securities held by the company, with an expected gain on sale of approximately \580 million to be recorded as extraordinary income. The dividend forecast includes an increase in the ordinary dividend and a commemorative dividend of \2.50 to mark the 20th anniversary of the company's listing. However, the company revised its sales forecast downward from \8 billion to \7 billion (up 5.0% year-on-year) and operating profit from \1.8 billion to \1.34 billion (down 7.1% year-on-year). While subscription-based recurring revenue projects grew steadily across business divisions, large-scale flow-type projects in the CTI division serving the contact center industry decreased, and M&A activities initially planned at the beginning of the fiscal year experienced delays.

*This report may contain unconfirmed information. Stock trading decisions should be made at your own risk and judgment.

Source: MINKABU PRESS