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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (41810)	3/17/2011 10:14:36 AM
From: Jurgis Bekepuris	Read Replies (2) \| Respond to of 78535

Spekulatius, You may get terrific results with Japanese stock purchases, especially since you bought <1/2 of the price Third Avenue paid. However, I looked at Sapporo financials and I see why people don't like Japanese companies. The structure is complex (Itochu has the same issue). They are in a number of different businesses. Real estate component is tough to analyze although you could argue that Third Avenue did this for us. ROE is low. D/E is somewhat high. P/E for the price you paid was below 10, but at 290Y/share it's not outstanding (~11 P/E). And you can only buy it in Japan going through currency conversion and highish brokerage fees. Not available in IRAs either at least on Fido. So unless I really love the company for long hold, any short term gains would be taxed. So personally I will skip. On the positive side, I love the financial result presentation by Japanese companies. Even considering complex structures, their reports are very clear and easy to read.