|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||32.67 - 32.92|
|52 Week Range||18.03 - 33.50|
|Beta (5Y Monthly)||0.86|
|PE Ratio (TTM)||1.13|
|Forward Dividend & Yield||0.55 (1.67%)|
|Ex-Dividend Date||Mar 30, 2021|
|1y Target Est||N/A|
(Bloomberg) -- Toshiba Corp.’s shares surged the most in three years after the company said it will return to the first section of the Tokyo and Nagoya stock exchanges following an extended absence.The stock briefly touched its daily upper limit and closed 17% higher at 3,460 yen ($33) in Tokyo on Monday, the biggest gain since summer 2017. The move, set for Jan. 29, means the company’s shares will be added to market indexes so domestic active funds can buy the stock, Atul Goyal, senior analyst at Jefferies, wrote in a report describing it as “inexpensive.”Toshiba was demoted to the second section of both exchanges in August 2017 and narrowly avoided a delisting as multibillion-dollar losses at its Westinghouse U.S. nuclear unit pushed liabilities beyond its level of assets. It was forced to sell its prized semiconductor business and take an infusion of cash from a large contingent of activist shareholders. The writedowns and accounting scandals triggered a management shakeup and the appointment of Nobuaki Kurumatani, an outsider, to the post of chief executive officer.Read more: Toshiba Again Seeks Acquisitions After String of Deal FlopsMoving up to TSE-1 will allow Toshiba to rejoin the Topix index on the last trading day of next month, at the market close on Feb. 25, said Travis Lundy, a special-situations analyst who writes for Smartkarma. The inclusion will require passive funds to buy 58 million shares, or 13% of outstanding stock, he estimated.“A Topix inclusion of this size is a rare species,” Lundy wrote in a report. “Long-suffering activists may rejoice. This creates liquidity for a partial exit.”Kurumatani in December signaled Toshiba is ready to again pursue acquisitions and business expansion, though in a more circumspect and cautious manner than previously. He also reaffirmed Toshiba’s intention of unloading its stake in former flash memory unit Kioxia, which he said no longer fit with his company’s remaining businesses.“One thing that changed is that I’m in charge now,” the CEO said in an interview with Bloomberg News. “The board is also applying very stringent standards to acquisitions. It’s a completely different company when it comes to the rigor brought to thinking about and screening deals.”(Updates with closing shares in second paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Toshiba, which filed an application for the return in April last year, will move back to the first section on Jan. 29. The company has said the return could help lure buying from investors in stock indexes. The TSE's decision comes as two large shareholders - Singapore-based Effissimo Capital Management and U.S. hedge fund Farallon Capital Management - demand an extraordinary shareholders meeting for governance-related issues.
(Bloomberg) -- Toshiba Corp. has been approved to return to the Tokyo Stock Exchange’s first section after its shares were demoted to the second tier in 2017.The company had dropped due to negative net worth and has been working its way back since. Toshiba’s shares rose in November after the Nikkei reported the stock exchange was considering easing requirements for promoting listed companies to the first section, paving the way for the Japanese giant’s return. Public broadcaster NHK first reported the news.Toshiba, once renowned for its technological prowess, stumbled badly in recent years. It paid a record fine in an accounting scandal and then lost billions on a bungled foray into nuclear power. To help cover the losses, Toshiba sold its medical unit to Canon Inc., its home appliance business to China’s Midea Group Co. and a chunk of its crown-jewel memory chip business to a group led by Bain Capital.Read more: Toshiba Again Seeks Acquisitions After String of Deal FlopsChief Executive Officer Nobuaki Kurumatani in December signaled Toshiba is ready to again try and pursue acquisitions and business expansion, though in a more circumspect and cautious manner than previously.“One thing that changed is that I’m in charge now,” Kurumatani said in an interview with Bloomberg News. “The board is also applying very stringent standards to acquisitions. It’s a completely different company when it comes to the rigor brought to thinking about and screening deals.”(Updates with official confirmation in first paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.