Jefferies raises Asahi Intecc stock rating on China tariff impact

Published 22/04/2025, 06:28
Jefferies raises Asahi Intecc stock rating on China tariff impact

Tuesday, Asahi Intecc Co. Ltd. (7747:JP) (OTC:AHICF) shares received an upgrade from Jefferies analysts, moving from a Hold to a Buy rating, with a price target set at JPY2,600.00. The upgrade was influenced by the potential competitive advantage Asahi could gain in the Chinese market due to tariffs imposed by China on US goods.

The Jefferies analysts believe these tariffs may enable Asahi Intecc to capture market share from American competitors in China. This could help to balance out the adverse effects of US tariffs and the strengthening of the yen against other currencies. In light of this, Jefferies has modestly increased their earnings estimates for the company.

The new price target of JPY2,600.00 suggests that there is a potential upside of 19% for Asahi Intecc shares. The analysts at Jefferies are confident that the company’s position in the market will strengthen, leading to their decision to upgrade the rating to Buy from the previous Hold status.

The optimism from Jefferies hinges on the expectation that Asahi Intecc will benefit from the current trade dynamics, potentially boosting its performance in the competitive medical device sector, specifically within the burgeoning Chinese market.

The analyst’s statement highlighted the strategic advantage Asahi Intecc could leverage, as the tariffs on US goods may present an opportunity for the company to outperform its American rivals in China. This development is seen as a significant factor in the improved outlook for Asahi Intecc’s stock.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.