Industries – Energy & Utilities: Second
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Industries – Energy & Utilities: Second

Norimasa Shinya

Mizuho Securities Group

Jumping from runner-up to second place is Norimasa Shinya. “He understands well what investors want to know,” cheers one advocate. The Mizuho Securities Group analyst believes that for electricity providers “the worst period for earnings is likely over.” That doesn’t mean a return to normal, however. Because of higher fuel costs stemming from the nation’s ongoing suspension of most of its nuclear facilities — which were taken off line in the wake of the 2011 earthquake, tsunami and meltdowns at the Fukushima Daiichi nuclear power plant — many companies will continue to incur losses. Those costs will come down when reactors are restarted; in the meantime, the utilities will experience margin pressure and have limited abilities to increase dividends. Shinya favors Tokyo Gas Co. thanks to strong demand for natural gas from the Tokyo-based provider. “We expect an over ¥30 billion [$318 million] share buyback from April 2013 to March 2014 based on the company’s shareholder return policy,” he adds. — Leslie Kramer

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