5/09 20:58
Asian Stocks: Japan Mixed as DoCoMo Falls; Korea's Hynix Gains
By Tomoko Yamazaki
Tokyo, May 10 (Bloomberg) -- Japan's Topix index fell, led by NTT DoCoMo Inc. after the world's second-biggest wireless company said profit growth will slow this fiscal year as competition intensifies.
Leaving the market mixed, Ricoh Co. rose after Japan's second-largest office equipment maker yesterday said second-half profit rose as it gained U.S. market share from Xerox Corp. A weakened yen also buoyed the value of its overseas sales. The Topix lost 0.2 percent to 1389.10, while the Nikkei 225 stock average rose 86.68, or 0.6 percent, to 14,171.53.
Any ``bright spots in DoCoMo's earnings have already been factored in,'' said Kunihiro Hatae, a manager at Tokai Tokyo Securities Co. ``There's still enough uncertainty about tech companies to make investors sell shares.''
In other markets, Korea's Kospi rose 0.5 percent,
third quarter profit tomorrow.
DoCoMo, Japan's biggest company by market value, fell 2.7 percent to 2.57 million yen after saying it expects net income to increase 6.7 percent this year, a drop from the 45 percent growth in the year just ended. Some investors also fret increased competition from the entry of U.K.-based Vodafone Group Plc in Japan will lead to more price discounts.
``DoCoMo's efforts to battle competition by cutting rates is worrisome,'' Tokai's Hatae said.
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Ruffian, back to you! :-)
Ibexx |
