TAK ADR amazing shrinking dividend due to falling local currency. Annual payout is fixed at 180JPY/ordinary share. ADR:share ratio is 2;1, so 90JPY per ADR annually.
Of course, since TAK derives ~70% of their revenue outside Japan (mainly US and Europe), weak FX will be a tailwind for earnings reported in Yen. Then there's the debt. See pp F44-46 of the annual 20-F for debt breakdown. Lots of USD and EUR denominated debt. ~10% of the total is denominated in JPY, but that can't be paid down until late 2024 at the earliest. The company has entered currency and interest rate swaps on large parts of their USD debt. Not sure how all these different ducks line up for TAK in the event of a Yen meltdown.
@@@On June 6, 2019, Takeda issued hybrid subordinated bonds (the “Hybrid Bonds”) with an aggregate principal amount of 500 billion JPY. The proceeds from the Hybrid Bonds were used to repay the existing syndicated loans comprised of a senior short-term loan facility that was utilized to finance the acquisition of Shire. The Hybrid Bonds will mature on June 6, 2079. Under the terms and conditions of the Hybrid Bonds, Takeda may make an early repayment of all of the principal of the Hybrid Bonds on each interest payment date beginning October 6, 2024.
@@@In 2017, Takeda entered into USD to JPY cross currency interest rate swap agreements to fix the interest rate for 925 million USD of the floating rate USD Syndicated Loans 2017. In respect of the remaining 575 million USD of the floating rate USD Syndicated Loans 2017, Takeda entered into an interest rate swap agreement to fix the applicable interest rate and also entered into a USD to JPY cross currency swap for 200 million USD of the fixed rate USD Unsecured Senior Notes issued in 2017. Furthermore, in 2020, Takeda entered into USD to JPY cross currency swaps on 1,750 million USD of the fixed rate 2018 USD Unsecured Senior Notes and 4,000 million USD of the fixed rate 2020 USD Unsecured Senior Notes.
It’s happening, Takeda is launching safer $nvax in Japan. It’s the end of $TAK assistance to $MRNA for Spikevax in 🇯🇵.
Takeda and Moderna Announce Plans to Transfer Marketing Authorization for Spikevax™ COVID-19 Vaccine in Japan to Moderna. I predicted this day will come (yesterday), more countries will follow and abandon the Mrna vaccines as they increase NVAX2373. Sorry GR8, your fired
The notion that a weak yen will boost Takeda's exports is mistaken. The yen VALUE will benefit however real performance should show increasing volume. AZ has "suffered" from a WEAK POUND, however this has not affected them!! The Yen is at its historical low v the USD. DESPITE THIS the shares are underperformed. Exchange rates should be ignored and Takeda must be judged on fundamentals. The fundamentals are negative.
g
Note that today Takeda shares hit a 12 month low. This is despite the Yen hitting another LOW against the USD and approval of the new Covid vaccine. Takeda must be regretting the Shire takeover (a very bad deal) and their poor pipeline that will not deliver. A near 5% dividend does not compensate for the negatives.
Takeda has a very speculative and HIGH RISK pipeline. Their recent manufacturing woes and approval delays point to a poorly managed Company. Takeda should follow the AZ model with carefully targeted single product acquisitions. I would avoid this share.
g
Yen hits new low today and Takeda follows suit. Takeda is not a share that conforms to conventional wisdom. Takeda will hit new lows in coming months. Cut losses and sell.
J
tak is in dire need of new management.
g
Takeda's low p/e is a reflection of a pipeline that is high in quantity and low in quality. This, with poor management and high debt equals low p/e. Ha, of course, become even lower recently. Will need more than a weak yen and another Covid vaccine to.turn this around. A SELL!
S
Is TAK better than EFT - MGV, SPY, QQQ, IWY, IWR? so far, it has not performed well against any of these. When the market is up, TAK went a little green. When the Market is down, TAK went down more red....
S
again it proved that this one under preform EFT level. As the stock, it needs to over preform ETFs with high risk..
D
Low exchange rate should boost exports.
S
Still no dividend announcement for July. Are they skipping it...??
b
Take a look at the 1 year chart of Takeda traded on the Tokyo exchange ticker 4502.T. Currently at 3828 Yen close to the 52week high of 3842 Yen. Quite the contrast to TAK traded on the US exchange where the stock is well off the 52week high of 17.56USD. FX is a big deal huh.
USD/JPY=100 -> .90USD
USD/JPY=125 -> 0.72USD
USD/JPY=135 ->0.67USD
USD/JPY=150 ->0.50USD
Of course, since TAK derives ~70% of their revenue outside Japan (mainly US and Europe), weak FX will be a tailwind for earnings reported in Yen. Then there's the debt. See pp F44-46 of the annual 20-F for debt breakdown. Lots of USD and EUR denominated debt. ~10% of the total is denominated in JPY, but that can't be paid down until late 2024 at the earliest. The company has entered currency and interest rate swaps on large parts of their USD debt. Not sure how all these different ducks line up for TAK in the event of a Yen meltdown.
@@@On June 6, 2019, Takeda issued hybrid subordinated bonds (the “Hybrid Bonds”) with an aggregate principal amount of 500 billion JPY. The proceeds from the Hybrid Bonds were used to repay the existing syndicated loans comprised of a senior short-term loan facility that was utilized to finance the acquisition of Shire. The Hybrid Bonds will mature on June 6, 2079. Under the terms and conditions of the Hybrid Bonds, Takeda may make an early repayment of all of the principal of the Hybrid Bonds on each interest payment date beginning October 6, 2024.
@@@In 2017, Takeda entered into USD to JPY cross currency interest rate swap agreements to fix the interest rate for 925 million USD of the floating rate USD Syndicated Loans 2017. In respect of the remaining 575 million USD of the floating rate USD Syndicated Loans 2017, Takeda entered into an interest rate swap agreement to fix the applicable interest rate and also entered into a USD to JPY cross currency swap for 200 million USD of the fixed rate USD Unsecured Senior Notes issued in 2017. Furthermore, in 2020, Takeda entered into USD to JPY cross currency swaps on 1,750 million USD of the fixed rate 2018 USD Unsecured Senior Notes and 4,000 million USD of the fixed rate 2020 USD Unsecured Senior Notes.
https://www.takeda.com/49f189/siteassets/system/investors/report/sec-filings/20-f_2021_06_29_en.pdf
Takeda and Moderna Announce Plans to Transfer Marketing Authorization for Spikevax™ COVID-19 Vaccine in Japan to Moderna. I predicted this day will come (yesterday), more countries will follow and abandon the Mrna vaccines as they increase NVAX2373. Sorry GR8, your fired
The Yen is at its historical low v the USD. DESPITE THIS the shares are underperformed.
Exchange rates should be ignored and Takeda must be judged on fundamentals.
The fundamentals are negative.
This is despite the Yen hitting another LOW against the USD and approval of the new Covid vaccine.
Takeda must be regretting the Shire takeover (a very bad deal) and their poor pipeline that will not deliver. A near 5% dividend does not compensate for the negatives.
Takeda should follow the AZ model with carefully targeted single product acquisitions. I would avoid this share.
Takeda is not a share that conforms to conventional wisdom.
Takeda will hit new lows in coming months.
Cut losses and sell.
This, with poor management and high debt equals low p/e. Ha, of course, become even lower recently. Will need more than a weak yen and another Covid vaccine to.turn this around. A SELL!
https://finance.yahoo.com/quote/4502.T?p=4502.T