MSBHF - Mitsubishi Corporation: Valuation Re-Rating Is In Progress

2024-04-25 16:06:45 ET

Summary

• Mitsubishi Corporation's proposed move to change to an Audit & Supervisory Committee governance structure is seen as a favorable move for the company's corporate governance.
• The company intends to increase its exposure to the energy transition business area by making the necessary investments.
• Mitsubishi can be valued by the market at a higher P/B ratio, assuming corporate governance improvements and a larger financial contribution from the energy transition-related businesses.

Elevator Pitch

Mitsubishi Corporation ( MSBHF ) [8058:JP] is assigned a Buy investment rating.

Previously, I reviewed Mitsubishi Corporation's financial performance for the most recent quarter and drew attention to the company's new share buyback plan in my February 7, 2024, initiation article ....

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