Japan Stock Rally Extends to Third Day; Marubeni, Nippon Electric Glass, Renesas Electronics In Focus

Stock market indexes in Tokyo advanced for the third day in a row, tracking gains in tech stocks on Wall Street. 

The Nikkei 225 stock average and the TOPIX advanced between 0.3% and 0.6% as investors shifted their attention away from tariff threats to corporate earnings. 

Investors reacted to the latest batch of earnings, including results from Toyota Motor, Renesas Electronics, Tokyo Electron, Nippon Electric Glass, Nomura Holdings, and Yamaha. 

In addition, Honda and Nissan were in focus amid reports that the two companies may walk away from the merger deal after Honda proposed to acquire Nissan and operate as one of its subsidiaries. 

Despite the recent gains in benchmark indexes, investors were cautious amid worries of possible new trade restrictions in the U.S., after the newly appointed presidential administration slapped additional 10% tariffs on goods shipped from China and Hong Kong. 

Japan Stocks and Indexes 

The Nikkei 225 Stock Average increased 0.6% to 39,066.53, and the TOPIX advanced 0.3% to 2,752.20. 

Honda Motor declined 4% to ¥1,440.0, and Nissan Motor jumped 7% to ¥415.10 after the two companies ended their merger talks, and

Honda instead proposed to acquire Nissan.

Renesas Electronics jumped 12.6% to ¥2,305.50 after the advanced semiconductor chipmaker reported full-year 2024 results. 

Consolidated revenue decreased 8.2% to 1.4 trillion yen, and profit plunged 35% to 219.4 billion yen from 337.3 billion yen.

This was mainly attributable to a decrease in revenue from the industrial, infrastructure, and IoT business driven by weakening demand, although revenue increase in the automotive business was driven by weakening yen and channel inventory expansion.

Nippon Electric Glass soared 9% to ¥3,702.0 after the company announced a stock repurchase plan. 

The company said it plans to acquire 7 million common shares, or 8.7% of total outstanding shares, for about 20 billion yen, between February 6 and December 23, 2025.

Marubeni Corp. increased 4% to ¥2,399.50, and the diversified conglomerate reported better-than-expected results in the fiscal third quarter ending in December. 

Revenue increased 9% to 1.83 trillion yen, and net income advanced 56% to 187.06 billion yen.

The company raised its estimate for annual dividends to 95 yen from 90 yen and the full-year net income estimate to 500 billion yen from the previous estimate of 480 billion yen.

The company announced a stock buyback program worth up to 30 billion yen or 30 million shares between February 6 and June 30.

Japan Stock Rally Extends to Third Day; Marubeni, Nippon Electric Glass, Renesas Electronics In Focus

Stock market indexes in Tokyo advanced for the third day in a row, tracking gains in tech stocks on Wall Street. 

The Nikkei 225 stock average and the TOPIX advanced between 0.3% and 0.6% as investors shifted their attention away from tariff threats to corporate earnings. 

Investors reacted to the latest batch of earnings, including results from Toyota Motor, Renesas Electronics, Tokyo Electron, Nippon Electric Glass, Nomura Holdings, and Yamaha. 

In addition, Honda and Nissan were in focus amid reports that the two companies may walk away from the merger deal after Honda proposed to acquire Nissan and operate as one of its subsidiaries. 

Despite the recent gains in benchmark indexes, investors were cautious amid worries of possible new trade restrictions in the U.S., after the newly appointed presidential administration slapped additional 10% tariffs on goods shipped from China and Hong Kong. 

Japan Stocks and Indexes 

The Nikkei 225 Stock Average increased 0.6% to 39,066.53, and the TOPIX advanced 0.3% to 2,752.20. 

Honda Motor declined 4% to ¥1,440.0, and Nissan Motor jumped 7% to ¥415.10 after the two companies ended their merger talks, and

Honda instead proposed to acquire Nissan.

Renesas Electronics jumped 12.6% to ¥2,305.50 after the advanced semiconductor chipmaker reported full-year 2024 results. 

Consolidated revenue decreased 8.2% to 1.4 trillion yen, and profit plunged 35% to 219.4 billion yen from 337.3 billion yen.

This was mainly attributable to a decrease in revenue from the industrial, infrastructure, and IoT business driven by weakening demand, although revenue increase in the automotive business was driven by weakening yen and channel inventory expansion.

Nippon Electric Glass soared 9% to ¥3,702.0 after the company announced a stock repurchase plan. 

The company said it plans to acquire 7 million common shares, or 8.7% of total outstanding shares, for about 20 billion yen, between February 6 and December 23, 2025.

Marubeni Corp. increased 4% to ¥2,399.50, and the diversified conglomerate reported better-than-expected results in the fiscal third quarter ending in December. 

Revenue increased 9% to 1.83 trillion yen, and net income advanced 56% to 187.06 billion yen.

The company raised its estimate for annual dividends to 95 yen from 90 yen and the full-year net income estimate to 500 billion yen from the previous estimate of 480 billion yen.

The company announced a stock buyback program worth up to 30 billion yen or 30 million shares between February 6 and June 30.

U.S. Trade Policy Uncertainty Weighed On Market Sentiment In China and Hong Kong

Stock market indexes in China and Hong Kong rebounded, and investors remained cautious amid U.S. trade policy uncertainty.

The Hang Seng index increased 0.5%, and the CSI 300 index advanced 0.8%, and investors pinned their hopes that trade tensions between the U.S. and China will ease in the months ahead. 

Despite the loud rhetoric from the Trump administration and an increase in U.S. tariffs, China's exports have continued to rise over the last eight years, including in the first 4-year term of Donald Trump. 

However, markets are bracing for heightened volatility amid policy reversal and chaotic U.S. presidential administration. 

The U.S. Postal Service reversed its plans to halt processing goods shipped from China and Hong Kong only hours after implementing it. 

The move will avoid duty on Chinese goods worth less than $800 under the "de minimis" rule, which will continue the flow of cheap goods sourced from online markets operated by Chinese e-commerce companies.

Nearly half of all goods entering the U.S. and processed under the de minimis policy originated from China and Hong Kong, according to a U.S. Congressional Research Service report released in June 2023.

About $245 billion worth of Chinese goods were shipped annually to the U.S., and about 3 million packages arrive daily to the U.S. from China and Hong Kong, according to estimates from industry sources. 

Despite the removal of the temporary block on processing inbound shipments from China, tensions remained high, and investors are bracing for additional trade barriers for Chinese goods shipped via Mexico, Vietnam, and other third countries. 

China Indexes and Stock Movers 

The Hang Seng index advanced 0.5% to 20,700.30, and the CSI 300 index gained 0.8% to 3,825.81.

E-commerce companies were in focus after the U.S. Postal Service made a U-turn on processing inbound shipments from China and Hong Kong. 

Alibaba Group increased 0.2% to $97.75, Meituan decreased 0.2% to HK $149.20, JD.com added 0.3% to HK $157.0, and Tencent Holdings declined 0.3% to HK $416.80.

China Literature Ltd increased 8.1% to HK $29.15, and the Tencent-backed e-book seller extended this year's gains to 19%. 

Semiconductor stocks advanced in the hopes that Chinese companies will find a way around the U.S. sanctions to continue to improve their production capabilities.

Hua Hong Semiconductor advanced 5.2% to HK $26.55, and SMIC advanced 5.5% to HK $47.25.

U.S. Trade Policy Uncertainty Weighed On Market Sentiment In China and Hong Kong

Stock market indexes in China and Hong Kong rebounded, and investors remained cautious amid U.S. trade policy uncertainty.

The Hang Seng index increased 0.5%, and the CSI 300 index advanced 0.8%, and investors pinned their hopes that trade tensions between the U.S. and China will ease in the months ahead. 

Despite the loud rhetoric from the Trump administration and an increase in U.S. tariffs, China's exports have continued to rise over the last eight years, including in the first 4-year term of Donald Trump. 

However, markets are bracing for heightened volatility amid policy reversal and chaotic U.S. presidential administration. 

The U.S. Postal Service reversed its plans to halt processing goods shipped from China and Hong Kong only hours after implementing it. 

The move will avoid duty on Chinese goods worth less than $800 under the "de Minimus" rule, which will continue the flow of cheap goods sourced from online markets operated by Chinese e-commerce companies.

About $245 billion worth of Chinese goods are shipped annually to the U.S., and about 3 million packages arrive daily to the U.S. from China and Hong Kong.

Despite the removal of the temporary block on processing inbound shipments from China, tensions remained high, and investors are bracing for additional trade barriers for Chinese goods shipped via Mexico, Vietnam, and other third countries. 

China Indexes and Stock Movers 

The Hang Seng index advanced 0.5% to 20,700.30, and the CSI 300 index gained 0.8% to 3,825.81.

E-commerce companies were in focus after the U.S. Postal Service made a U-turn on processing inbound shipments from China and Hong Kong. 

Alibaba Group increased 0.2% to $97.75, Meituan decreased 0.2% to HK $149.20, JD.com added 0.3% to HK $157.0, and Tencent Holdings declined 0.3% to HK $416.80.

China Literature Ltd increased 8.1% to HK $29.15, and the Tencent-backed e-book seller extended this year's gains to 19%. 

Semiconductor stocks advanced in the hopes that Chinese companies will find a way around the U.S. sanctions to continue to improve their production capabilities.

Hua Hong Semiconductor advanced 5.2% to HK $26.55, and SMIC advanced 5.5% to HK $47.25.

India Movers: Info Edge, Kansai Nerolac, Reliance Power, Solar Industries, Swiggy, Vipul Ltd., Zydus Wellness

Mumbai stocks remained under pressure ahead of the RBI's rate decisions and persistent selling by foreign investors. 

The Sensex index decreased by 0.2% to 78,079.80, and the Nifty index declined by 0.3% to 23,633.40.

On the Mumbai stock exchange, 32 stocks traded at their 52-week highs, and 39 stocks traded at their 52-week lows.

The yield on the 10-year Indian government bonds inched lower to 6.7%, and the Indian rupee hovered near a record and traded at 87.52 against the U.S. dollar.

Reliance Power Ltd. increased 8.2% to ₹43.16 after the energy service provider swung to a profit from a year ago in the December quarter.

Consolidated revenue in the December quarter increased to ₹2,159.4 crore from ₹1,998.8 crore, net income swung to a profit to ₹42 crore from a loss of ₹1,136 crore, and diluted earnings per share jumped to 0.7 paisa from a loss of ₹2.98 a year ago.

Swiggy Ltd. decreased 3.2% to ₹404.85, and the online delivery platform operator reported a 72% jump in its quarterly losses.

Consolidated revenue in the December quarter increased to ₹4,095.8 crore from ₹3,130.9 crore, net loss expanded to ₹799 crore from ₹574 crore, and diluted loss per share increased to ₹3.48 from ₹2.61 a year ago.

Solar Industries India Ltd. rose 0.5% to ₹9,693.45 after the explosive devices and ammunition maker reported a 38% surge in the December quarter revenue.

Consolidated revenue in the December quarter increased to ₹1,982.6 crore from ₹1,440.1 crore, after-tax profit rose to ₹337.5 crore from ₹221.9 crore, and diluted earnings per share jumped to ₹34.80 from ₹22.47 a year ago.

Kansai Nerolac Paints Ltd. rose 3.7% to ₹254.15 after the paint maker and retailer reported a four-fold increase in earnings in the December quarter. 

Consolidated revenue increased to ₹1,963.4 crore from ₹1,938.8 crore, net income jumped to ₹662.3 crore from ₹152.1 crore, and diluted earnings per share rose to ₹8.41 from ₹1.91 a year ago.

Info Edge (India) Ltd. advanced 1.8% to ₹8,088.90, and the parent company of jobs portal Naukri provider reported a sharp increase in revenue and earnings.

Consolidated revenue in the December quarter increased to ₹909.4 crore from ₹659.8 crore, after-tax profit rose to ₹288.4 crore from ₹119.4 crore, and diluted earnings per share jumped to ₹18.66 from ₹11.67 a year ago.

Page Industries Ltd. dropped 4.2% to ₹43,860.05 despite the innerwear and loungewear maker and retailer saying profit soared 34% in the December quarter.

Consolidated revenue in the December quarter increased to ₹1,327.1 crore from ₹1,234.3 crore, net income jumped to ₹204.7 crore from ₹152.4 crore, and diluted earnings per share rose to ₹183.48 from ₹136.59 a year ago.

Zydus Wellness Ltd. advanced 0.4% to ₹1,804.55 after the generic pharmaceuticals maker reported a sharp increase in revenue and earnings. 

Consolidated revenue in the December quarter increased to ₹465.7 crore from ₹403.2 crore, after-tax profit jumped to ₹6.4 crore from ₹0.3 crore, and diluted earnings per share advanced to ₹1.01 from 5 paise a year ago.

Vipul Ltd. fell 3.6% to ₹14.20, and the residential and commercial real estate developer reported a decline in quarterly revenue and earnings.

Consolidated revenue in the December quarter decreased to ₹14.1 crore from ₹170.7 crore, net income dropped to ₹3.7 crore from ₹63.2 crore, and diluted earnings per share fell to 31 paisa from ₹5.27 a year ago.

India Movers: Info Edge, Kansai Nerolac, Reliance Power, Solar Industries, Swiggy, Vipul Ltd., Zydus Wellness

Mumbai stocks remained under pressure ahead of the RBI's rate decisions and persistent selling by foreign investors. 

The Sensex index decreased by 0.2% to 78,079.80, and the Nifty index declined by 0.3% to 23,633.40.

On the Mumbai stock exchange, 32 stocks traded at their 52-week highs, and 39 stocks traded at their 52-week lows.

The yield on the 10-year Indian government bonds inched lower to 6.7%, and the Indian rupee hovered near a record and traded at 87.52 against the U.S. dollar.

Reliance Power Ltd. increased 8.2% to ₹43.16 after the energy service provider swung to a profit from a year ago in the December quarter.

Consolidated revenue in the December quarter increased to ₹2,159.4 crore from ₹1,998.8 crore, net income swung to a profit to ₹42 crore from a loss of ₹1,136 crore, and diluted earnings per share jumped to 0.7 paisa from a loss of ₹2.98 a year ago.

Swiggy Ltd. decreased 3.2% to ₹404.85, and the online delivery platform operator reported a 72% jump in its quarterly losses.

Consolidated revenue in the December quarter increased to ₹4,095.8 crore from ₹3,130.9 crore, net loss expanded to ₹799 crore from ₹574 crore, and diluted loss per share increased to ₹3.48 from ₹2.61 a year ago.

Solar Industries India Ltd. rose 0.5% to ₹9,693.45 after the explosive devices and ammunition maker reported a 38% surge in the December quarter revenue.

Consolidated revenue in the December quarter increased to ₹1,982.6 crore from ₹1,440.1 crore, after-tax profit rose to ₹337.5 crore from ₹221.9 crore, and diluted earnings per share jumped to ₹34.80 from ₹22.47 a year ago.

Kansai Nerolac Paints Ltd. rose 3.7% to ₹254.15 after the paint maker and retailer reported a four-fold increase in earnings in the December quarter. 

Consolidated revenue increased to ₹1,963.4 crore from ₹1,938.8 crore, net income jumped to ₹662.3 crore from ₹152.1 crore, and diluted earnings per share rose to ₹8.41 from ₹1.91 a year ago.

Info Edge (India) Ltd. advanced 1.8% to ₹8,088.90, and the parent company of jobs portal Naukri provider reported a sharp increase in revenue and earnings.

Consolidated revenue in the December quarter increased to ₹909.4 crore from ₹659.8 crore, after-tax profit rose to ₹288.4 crore from ₹119.4 crore, and diluted earnings per share jumped to ₹18.66 from ₹11.67 a year ago.

Page Industries Ltd. dropped 4.2% to ₹43,860.05 despite the innerwear and loungewear maker and retailer saying profit soared 34% in the December quarter.

Consolidated revenue in the December quarter increased to ₹1,327.1 crore from ₹1,234.3 crore, net income jumped to ₹204.7 crore from ₹152.4 crore, and diluted earnings per share rose to ₹183.48 from ₹136.59 a year ago.

Zydus Wellness Ltd. advanced 0.4% to ₹1,804.55 after the generic pharmaceuticals maker reported a sharp increase in revenue and earnings. 

Consolidated revenue in the December quarter increased to ₹465.7 crore from ₹403.2 crore, after-tax profit jumped to ₹6.4 crore from ₹0.3 crore, and diluted earnings per share advanced to ₹1.01 from 5 paise a year ago.

Vipul Ltd. fell 3.6% to ₹14.20, and the residential and commercial real estate developer reported a decline in quarterly revenue and earnings.

Consolidated revenue in the December quarter decreased to ₹14.1 crore from ₹170.7 crore, net income dropped to ₹3.7 crore from ₹63.2 crore, and diluted earnings per share fell to 31 paisa from ₹5.27 a year ago.

The Walt Disney Co. gained 1.1% to $114.54 after the media and entertainment company reported higher earnings for the first quarter of 2025 ending in December.

Revenue increased 5% to $24.7 billion from $23.5 billion, net income jumped to $2.64 billion from $2.15 billion, and earnings per diluted share rose 35% to $1.40 from $1.04 a year ago.

Looking ahead to the second quarter, the company estimated a modest decline in Disney+ subscribers compared to the first quarter.

For the full year 2025, Disney’s India business will contribute $73 million, compared to $254 million in the prior year, and the sports segment will add $9 million, compared to a loss of $636 million a year ago.

Uber Technologies Inc. slumped 7% to $64.80 after the ride-sharing app and delivery platform operator's revenues were ahead of market expectations, but the company offered a conservative estimate of gross bookings in the first quarter. 

Revenue increased to $11.96 billion from $9.94 billion, net income climbed to $6.9 billion from $1.7 billion, and earnings per diluted share rose to $3.21 from 66 cents a year ago.

For the first quarter of 2025, the company estimated growth in gross bookings of 17% to 21% on a constant currency basis and adjusted EBITDA of $1.79 billion to $1.89 billion, or 30% to 37% higher than $1.5 billion year-over-year.

Gross bookings in the fourth quarter were $44.2 billion, and the company guided bookings in the first quarter to range between $42 billion and $43.5 billion.

Uber plans to repurchase $1.5 billion worth of shares of its common stock as part of its previously announced $7.0 billion share repurchase authorization.

Advanced Micro Devices Inc. dropped 8.6% to $109.32 after the graphics and chip designer reported declining earnings in the fourth quarter.

Revenue surged 24% to $7.66 billion from $6.17 billion, net income slumped 28% to $482 million from $667 million, and earnings per diluted share fell to 29 cents from 41 cents a year ago.

The data center revenue in the quarter was up 69% to $3.9 billion, gaming revenue dropped 59% to $563 million, and embedded segment revenue slumped 13% to $923 million year-over-year.

For the first quarter of 2025, AMD estimated revenue of approximately $7.1 billion, up 30% from a year ago, and a non-GAAP gross margin at 54%.

Chipotle Mexican Grill Inc. dropped 5.5% to $55.78 after the fast food chain's same-store sales in fiscal 2025 are likely to slow to a low- to mid-single-digit increase.

Revenue increased to $2.85 billion from $2.52 billion, net income jumped to $331.8 million from $282.1 million, and earnings per diluted share rose to 24 cents from 20 cents a year ago.

The company opened 119 restaurants during the quarter, compared to 121 restaurants a year earlier.

The company proposed to purchase up to $300 million worth of its shares.

Simon Property Group Inc. eased 0.03% to $173.30 after the real estate investment company beat fourth-quarter estimates for funds from operations.

Revenue increased to $1.58 billion from $1.53 billion, net income declined to $667.2 million from $747.5 million, and earnings per diluted share fell to $2.04 from $2.29 a year ago.

Funds from operations for the quarter rose to $1.389 billion from $1.382 billion, and FFO earnings per share dropped to $3.68 from $3.69 in the prior year.

Real estate funds from operations climbed to $1.26 billion from $1.21 billion, and real estate FFO per share increased to $3.35 from $3.23 a year earlier.

Looking ahead to the full year 2025, the company estimated net income between $6.95 and $7.20 per share, and real estate FFO and FFO in the range of $12.40 to $12.65 per share.

Alphabet Inc. plunged 7.3% to $192.60 after the parent company of Google and YouTube reported weaker-than-expected revenue in its cloud computing division as it escalates investment in artificial intelligence.

Revenue increased 12% to $96.45 billion from $86.31 billion, net income climbed 28% to $26.54 billion from $20.69 billion, and earnings per diluted share rose 31% to $2.15 from $1.64 a year ago.

Dividend payments to stockholders of Class A, Class B, and Class C shares totaled $2.4 billion for the quarter.

The company is planning to spend $75 billion this year as it continues to build out its artificial intelligence offering.

On Tuesday, China said it would probe Google over violations of antimonopoly laws after Washington slapped 10% levies on Chinese goods.

Although Google services are not accessible in China, the company still operates in the country, primarily focused on sales and engineering for its advertising business. It also has employees working on services including Google Cloud and customer solutions.

Virtually all brands, apart from Apple and Huawei, pay licensing fees to Google to use the Android system on their devices.

PayPal Holdings Inc. dropped 4.1% to $83.83 after the online payments company posted lower net income for the fourth quarter ending in December.

Revenue increased to $8.37 billion from $8.03 billion, net income declined to $1.12 billion from $1.40 billion, and earnings per diluted share fell to $1.11 from $1.29 a year ago.

For fiscal first quarter 2025, the company estimated GAAP earnings per share between $1.11 and $1.13, compared to 83 cents a year earlier.

PayPal announced a new $15 billion share buyback program and expects to make around $6 billion in repurchases in 2025.

During the fourth quarter, volume on the company’s Venmo app jumped 10% from a year earlier, as DoorDash, Starbucks, and Ticketmaster are among the businesses now accepting the app as one way that consumers can pay.

Estee Lauder Companies Inc. dropped 7% to $77 after the beauty products maker posted lower sales for the second quarter of fiscal year 2025.

Net sales decreased 6% to $4.0 billion from $4.28 billion, net loss came in at $590 million compared to a profit of $313 million, and diluted net loss per share was $1.64 compared to positive earnings of 87 cents a year ago.

Capital expenditures decreased to $273 million from $527 million in the prior-year period, primarily thanks to the prior-year payments relating to the manufacturing facility in Japan.

The company paid dividends of $366 million in the last quarter. 

Furthermore, Estee Lauder announced a quarterly cash dividend of 35 cents per share on its class A and class B common stock, payable on March 17 to shareholders on record as of February 28.

For fiscal third quarter 2025, the company estimated non-GAAP earnings per share between 24 cents and 34 cents in constant currency, compared to 97 cents a year ago.

During the second quarter, Estee Lauder launched its products on the U.K. TikTok shop and in Amazon’s U.S. Premium Beauty store.

The company expanded geographically in Thailand, with an expected February expansion in mainland China as well.

In December, Estee Lauder opened a new BioTech Hub in Belgium to further accelerate its biotechnology innovations.

Overall, fragrance distribution expanded with over 20 new stores opened globally during the quarter.

Rambus Inc. dropped 1% to $59.75 despite the digital electronics devices maker surpassing fourth quarter revenue and earnings expectations.

Revenue jumped to $161.1 million from $122.2 million, net income increased to $62.2 million from $58.5 million, and earnings per diluted share rose to 58 cents from 53 cents a year ago.

For the first quarter of 2025, the company estimated product revenue between $72 million and $78 million, licensing billing revenue between $59 million and $65 million, and contract and other revenue between $22 million and $28 million.