5 major trading companies ( $Mitsubishi (8058.JP)$、 $Mitsui (8031.JP)$、 $ITOCHU (8001.JP)$、 $Sumitomo (8053.JP)$、 $Marubeni (8002.JP)$) financial results for the 2nd quarter (April-September) of the fiscal year ending 2024/3 have been completed. Although each company fell short of the previous fiscal year, which benefited from high resources, the entire company revised its full-year net profit forecast upward in response to the depreciation of the yen.
It has also become a topic of conversation that Warren Buffett invests in the five major trading companies, and stock prices have been strong this year. It is said that he is paying attention to whether the financial results for the second quarter are still attractive to Mr. Buffett as an investment targetProfitability, capital efficiency, portfolio diversification, dividend policies, undervaluationI will check it from the 5 points of view.
Profitability: Company-wide revisions to the full-year outlook due to the depreciation of the yen
Basic operating cash flow showing substantial earning power, reflecting increases or decreases in working capital and repayment of lease liabilities from cash flow due to sales activities (Sumitomo Corporation does not reflect lease liabilities...