DBS analyst Lim Rui Wen maintained a Buy rating on Mizuho Financial Group (MZHOF – Research Report) today and set a price target of Yen4,300.00.
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Lim Rui Wen has given his Buy rating due to a combination of factors including Mizuho Financial Group’s strategic initiatives and financial performance. The company is targeting a record net profit of JPY 0.94 trillion for FY25, building on its achievement of JPY 885.4 billion in FY24, which was ahead of its medium-term business plan. This reflects management’s confidence in the company’s growth prospects, supported by improvements in lending spreads as the Bank of Japan normalizes its monetary policy.
Additionally, Mizuho’s new shareholder return policy, which includes higher dividends and flexible share buybacks, is expected to enhance the stock’s price-to-book value. The company’s focus on expanding its customer base and strengthening its asset management services, along with strategic overseas investments, are seen as key growth levers. These initiatives, combined with a clearer capital policy and potential catalysts such as the reduction of cross-shareholdings, underpin the Buy rating with a target price of JPY 4,300.
Rui Wen covers the Financial sector, focusing on stocks such as UOB, OCBC, and Sumitomo Mitsui Financial Group. According to TipRanks, Rui Wen has an average return of 13.4% and a 77.78% success rate on recommended stocks.
In another report released on May 12, J.P. Morgan also maintained a Buy rating on the stock with a Yen4,390.00 price target.