nikkei average3million yen!?stock price goes up mechanism1

Interest rise, actualization and the live door shock etc of the inflation risk with crude oil highly due to zero interest cancellations of Bank of Japan with the primary factor, as for the stock market weakness it has become development New Year entering after the April.Is stock price probably to go down this way slipperily?
This time disassembling the constitution primary factor of stock price, for stock price to rise, you see concerning thinking something necessity.

Stock price probably will be displayed with numerical formula

Please remember PER (price-earnings ratio) which is introduced with the article of the time before.
* PER = stock price/one stocks this term Sumitosi benefit
So shank.When here, the above-mentioned formula just a little is developed

* Stock price = PER ## one stocks this term Sumitosi benefit
With it becomes.In other words for stock price to rise
1. Investment intention to stock price increases, (PER rises,)
2. The profit of enterprise increases, (one stocks this term Sumitosi benefit rises,)
You can say that each of them is necessary.In addition this system furthermore is developed when

Stock price = PER ## ROE (one stocks this term Sumitosi benefit/one stocks capital stock) ## one stocks capital stock

With it becomes.In other words in order for the profit of enterprise to increase, also it becomes important for this ROE to rise. So it is necessary for stock price rise, as for PER and ROE presently there is some kind of level, probably will be? It will try inspecting respectively.

Does PER rise?

of major u.s. companiesPERare as follows:.
MICROSOFT CP PER: 20double (yield gain 5%)
INTEL CP PER: 15double (same6.7%)
YAHOO INC PER: 31double (same 3.2%)
WAL MART STORES PER: 16double (same 6.3%)
E*TRADE FINL CORP PER: 17double (same 5.9%)

in contrast, what if japanese stocks?
nikkei index (performance-based) PER 19double (yield gain5.3%)
nikkei index (expected to base) PER 18double (same5.6%)

there is no level of undervalued japanese stocks compared with the current status of major u.s. companies. even when viewed from foreign investors to compare the degree of undervalued stock market in the world, japanese stocks only highPERless likely to be granted, further from this stagePERexpected to rise would be difficult.

net income per share or up?

in, net income per share (=produce profits of the enterprise) what if the prospect of the?
looking at the various news and newspapers, corporate results this fiscal year3~5%increase of the degree is expected. i think that many companies based on the assumption of expected modest earnings forecast this quarter is also conservative company also has announced.

the previousROE (return on equity) a look at the graph, average japanese companies05of yearROEis9%but it was about. 2001it has been steadily recovering from the negative situation of the year.
an average of u.s. companiesROEis, about15%it is said that.
is more than u.s. companies and japanese companies, management more efficient that have been made from the proportion of labor costs, etc. can be adjusted depending on the economy rather than lifetime employment and that a high rate of reduction of profits to shareholders is one of the factors that.
future japanese companies, increase in temporary staff and an increase in dividend, things will only regular employees, such as mosquito, ROEthere is still room for improvement will.

the next, ROEhow much do stock prices go up and continue the improvement of? consider.

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