KIKUCHI SEISAKUSHO CO.,LTD. <3444> - Surged sharply. Supply-demand dynamics accelerated, driving the stock to its highest level since June 2015, approximately 11 years ago. Built on technical expertise cultivated through manufacturing precision parts and molds, the company champions the concept of "manufacturing support" and is raising its profile as physical AI becomes a common investment theme in both Japan and the U.S. Its strength lies in providing end-to-end support from new product design and development through prototyping, mass production, and sales, with expectations high for its activities in the robotics field. The company has long been known for its wearable assist suits, but is also focusing on next-generation growth areas including walking support robots and drones. Regarding drones, the company's subsidiary signed a strategic partnership with a UK drone service company in March, demonstrating rapid expansion. On the stock supply-demand front, while margin buying balance is increasing, daily trading volume significantly exceeds the buying balance, posing no hindrance to the momentum-driven rally.

KEYENCE CORPORATION <6861> - Sharp rebound with limit-up move. The stock broke above its 5-day moving average, which had been serving as a support line in the mid-range, with a gap-up. A major developer and manufacturer of various FA sensors, measuring instruments, and control equipment, the company boasts outstanding product competitiveness both domestically and internationally. With sensor sales performing extremely well in North America, Central and South America, and Asian regions including China, the fiscal year ending March 2026 results announced after trading on the 24th showed sales of 1,169,289 million yen (up 10% year-on-year) and operating profit of 595,759 million yen (up 8% year-on-year), maintaining solid revenue and profit growth. Both sales and operating profit marked consecutive record highs. Although this fiscal year's guidance was not disclosed, the growth trend is seen as unchanged. Buy orders concentrated on appreciation of these strong earnings results, pushing the stock higher.

IPS, Inc. <4390> - Gained momentum from the latter half of the morning session. Against the backdrop of rapid growth in the generative AI market, investment demand for subsea optical cables is gaining traction, particularly centered on U.S. hyperscalers. Subsea optical cables are positioned as major arteries connecting countries for handling massive volumes of information based on big data and other sources, making infrastructure expansion essential. While NEC Corporation <6701> plays the leading role in Japan, business opportunities are also emerging for related stocks. In this context, IPS primarily operates international data communication lines and corporate internet connection businesses in the Philippines, and is participating in the consortium-based joint construction of "Candle," a new international submarine cable connecting Japan, the Philippines, and Singapore. With NEC as the project supplier and Meta Platforms , a major U.S. big tech company, as one of the partner companies, mid-term business opportunities are expected to expand, attracting investment funds recently.

KOHOKU KOGYO CO.,LTD. <6524> - Surged sharply to renew all-time high. Breaking out significantly from consolidation around the 5-day moving average, the stock soared to 5,600 yen, up 580 yen at one point. It decisively broke through the previous all-time high of 5,350 yen set on April 15th, entering open sky territory. The company holds the world's top market share in optical isolators, a key device for subsea optical cables, and lead terminals for aluminum electrolytic capacitors, gaining attention as a global niche top player. With reports that the Japanese government will cooperate technically with the European Union (EU) on submarine cable protection, laying, and maintenance, business opportunities are increasing for NEC Corporation <6701>, one of the world's top three in the submarine cable field, and related companies. In this context, the company's optical isolators, which allow light to pass in one direction (blocking return light in the opposite direction), are attracting attention as essential devices for long-distance, high-capacity communications. With the company on a high-growth trajectory and foreign investor shareholding ratios still low, expectations are growing for demand-driven buying as European investors increase their positions.

ImageONE Co.,Ltd. <2667> and ReYuu Japan Inc. <9425> - Sharp rebounds. After trading ended on the 24th, the two companies announced that they, along with Wintest Corp. <6721>, abc Co., Ltd. <8783>, and FD (Kariya City, Aichi Prefecture), which operates industrial solar power generation businesses, had reached a basic agreement to establish a joint venture company aimed at developing and operating AI-specialized high-performance data centers in Japan, attracting buying interest. By integrating their respective areas of expertise - infrastructure development, AI solutions, precision equipment technology, and data operations - they aim to provide high-performance data centers that will serve as next-generation AI infrastructure. The new company "AI Data Partners" (tentative name) is scheduled to be established in May, adopting a scheme where project-specific SPCs (Special Purpose Companies) are established under the joint venture. Centered on these SPCs, the plan is to implement project financing and fundraising from external investors, targeting the acquisition and operation of data center businesses at approximately 10 locations in Japan.

Harmonic Drive Systems Inc. <6324> - Trading interest led to limit-up at one point. The company announced after trading ended on the 24th that its consolidated results for the fiscal year ending March 2026, currently being compiled, appear to have finished higher than initial forecasts: sales revised upward from 57 billion yen to 59.5 billion yen (up 6.9% year-on-year), operating profit from 1.5 billion yen to 2.5 billion yen (versus 60 million yen in the previous year), and net profit from 1.3 billion yen to 1.58 billion yen (down 54.5% year-on-year). This was positively received by the market. Sales for robotics and semiconductor manufacturing equipment primarily in Japan and North America exceeded expectations. Additionally, increased sales led to higher factory utilization rates in these regions, which also contributed to the results.

*This article may contain unconfirmed information. Please make investment decisions at your own risk and judgment.

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.