ASICS (TSE:7936) Is Down 5.1% After Share Buyback and Upgraded Earnings Guidance - Has The Bull Case Changed?

• On November 12, 2025, ASICS Corporation announced a share repurchase program of up to 10 million shares worth ¥30 billion, alongside an increased dividend forecast and raised full-year earnings guidance.
• This series of shareholder-focused actions highlights ASICS' commitment to returning value to investors and optimizing capital allocation under its Mid-term Management Plan 2026.
• We’ll explore how the combination of the share buyback and higher earnings outlook influences ASICS’ overall investment narrative.

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What Is ASICS' Investment Narrative?

To be an ASICS shareholder right now, you need to believe in both the company’s momentum in athletic innovation and its willingness to reward investors through active capital management. The recent announcement of a share repurchase program, a raised dividend, and upgraded earnings guidance signals a step-forward in ASICS’ strategy to create value in the immediate term. These shareholder-friendly moves strengthen short-term catalysts, especially given previous concerns about market competition and margin pressure, at least for now, the risk narrative becomes more balanced, with stronger confidence in near-term profitability and management delivering on its Mid-term Plan. However, the uptick in capital returns may shift focus away from the premium valuation risk, with the stock still trading above conventional fair value metrics. ASICS’ visible effort to return capital stands out, but staying alert to valuation and competitive risks remains important. On the other hand, the premium valuation versus peers should not be ignored.

ASICS' share price has been on the slide but might be up to 11% below fair value. Find out if it's a bargain.

Exploring Other Perspectives

ASICS fair values from three Simply Wall St Community members range from ¥3,256 to ¥8,397 per share, with nearly a ¥5,000 spread in estimates. Against this backdrop of widely differing views, the recent buyback and dividend hike highlight how sharply opinions on ASICS’ growth and risk profile can contrast.

Explore 3 other fair value estimates on ASICS - why the stock might be worth 10% less than the current price!

Build Your Own ASICS Narrative

Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your ASICS research is our analysis highlighting 3 key rewards that could impact your investment decision.
• Our free ASICS research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate ASICS' overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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