TSE:3003
TSE:3003Real Estate

Hulic (TSE:3003) Margin Miss Puts Earnings Quality Narrative to the Test

Hulic (TSE:3003) posted a net profit margin of 15.5%, down from last year’s 18.7%, even as EPS jumped 19.7% over the past year, which is well above the company’s own five-year average annual growth of 11.5%. Current forecasts see annual revenue growth at 3.9% and earnings up 3.1% per year, both trailing the Japanese market’s pace of 4.5% and 8% respectively. Investors will likely weigh these slowing forecasts against the company’s record of high quality, consistent earnings growth and the...