Nissin Foods Holdings raises price target by 7.01% to 16,350.60

The average price target for Nissin Foods Holdings (TYO:2897) has been revised to 16,350.60 yen per share. This represents an increase of 7.01% from the previous estimate of 15,279.60 yen on November 26, 2023.

This target is the average of several projections provided by analysts. The latest targets range from a minimum of 12,625.00 to a maximum of 18,900.00 yen per share. The average target price represents an increase of 13.82% from the last reported closing price of 14,365.00 yen.

What a surprise! While many companies struggle, Nissin continues to maintain a dividend yield of 1.67% at the current price. Its dividend payout ratio is just 0.41, which means it only distributes 41% of its earnings. This seems quite healthy to me - they are reinvesting more than half of their profits to keep growing, instead of distributing everything among shareholders like other companies desperate to retain investors.

The 3-year dividend growth rate is 1.18%, showing that they have increased their payments over time. It's not spectacular, but at least it's positive.

Regarding the sentiment of the funds, 222 institutions report positions in Nissin Foods Holdings, an increase of 2 owners (0.91%) in the last quarter. The average weight of all funds dedicated to 2897 is 0.10%, with an increase of 7.25%. Total shares held by institutions increased over the last three months by 31.86% to 7,822,000 shares.

Among the prominent shareholders is EUROPACIFIC GROWTH FUND with 1,660,000 shares (1.64% ownership ), while Vanguard Total International Stock Index Fund holds 898,000 shares (0.89% ), having increased its stake by 0.73% although it reduced its portfolio allocation by 16.30% during the last quarter.

It seems that institutional investors are betting on this Japanese food company, despite the global economic turbulence. Will instant soups always have demand, regardless of how the economy is doing?