Fujitsu Remains A Buy Considering Upcoming Results And Capital Returns

  • My buy rating for Fujitsu is retained, following a preview of its 1Q financials and an assessment of its future cash distributions. I expect the company's operating income to grow strongly in Q1 FY25, considering the favorable read-throughs from corporate survey outcomes and other Japanese IT companies' results. The stock's capital return potential is understated; I think its regular dividend could be supplemented by one-off payouts and buybacks.