Ebara, Hitachi, Itoham, JFE, Nissan Motor: Japan Equity Preview

By Norie Kuboyama and Kathleen Chu

Oct. 27 (Bloomberg) -- The following companies may have unusual price changes in Japanese trading today. Stock symbols are in parentheses, and share prices are from the previous close. The information in each item was released after markets shut, unless stated otherwise.

Chubu Electric Power Co. (9502 JT): Japan's third-largest utility said in a preliminary earnings statement first-half net income totaled 23 billion yen ($242 million), 8 percent below its forecast, due to higher fuel costs. The stock fell 40 yen, or 1.6 percent, to 2,415.

Ebara Corp. (6361 JT): The pump maker may sell a new technology to extract phosphorus from sewage amid rising import prices for the fertilizer ingredient, the Nikkei English News reported. The company is targeting 1.5 billion yen of orders for the technology in the year starting April 2011, Nikkei said. Shares fell 15 yen, or 8.3 percent, to 166 yen.

Gunze Ltd. (3002 JT): The maker of underwear, socks and textiles cut its full-year net income outlook 34 percent to 3.9 billion yen, citing a slump in consumer sentiment and a surge in material costs. Gunze slumped 15 yen, or 5.2 percent, to 276.

Hitachi Ltd. (6501 JT): The world's third-biggest maker of hard-disk drives said in a preliminary earnings statement that first-half operating profit rose 62 percent to 197 billion yen, beating its forecast by 58 percent. The company reported better- than-expected earnings from sales of storage devices and software services. Hitachi plummeted 51 yen, or 11 percent, to 414.

Hitachi Cable Ltd. (5812 JT): The cable and electronic equipment maker's first-half net income was 400 million yen, missing its outlook by 90 percent, as demand in the car and memory chip markets plunged in the second quarter. Rising raw material and production costs also diminished earnings, Hitachi Cable said in preliminary earnings statement. The stock sagged 16 yen, or 6.8 percent, to 218.

Honda Motor Co. (7267 JT): Operating profit at Japan's second-largest automaker may fall 40 percent this year because of the yen's gains against other currencies and slower sales in North America, Nikkei English News said. The shares fell 120 yen, or 5.7 percent, to 1,990.

Itoham Foods Inc. (2284 JT): The sausage maker said it will recall 2.67 million packs of wieners and other products after discovering contamination of well water used at one of its factories. Shares fell 28 yen, or 6.1 percent, to 432 yen.

JFE Holdings Inc. (5411 JT): The world's third-largest steelmaker said first-half net income fell 4.8 percent to 153.1 billion yen as product price increases failed to keep pace with soaring materials costs. The company lifted its full-year profit outlook 3.7 percent to 280 billion yen. Also, JFE said it will spend as much as 80 billion yen to buy back up to 9.05 percent of its total shares through March 31. The stock tumbled 170 yen, or 7.7 percent, to 2,035.

Linical Co. (2183 JT): The contract research organization for drugmakers will start trading on the Tokyo Stock Exchange's Mothers section. The initial offering price was set at 1,000 yen.

Marubeni Corp. (8002 JT): The Japanese trading house won a 240 million ringgit ($67 million) order for 30 train cars from Malaysia's government, the Nikkei newspaper said. Shares declined by 30 yen, or 8.2 percent, to 336 yen.

Mitsubishi Motors Corp. (7211 JT): The maker of Outlander and Eclipse autos plans to cut production by as many as 100,000 vehicles starting next month to cope with a slump in sales, the Sankei Newspaper reported. The shares fell 8 yen, or 6.6 percent, to 113.

Mitsubishi UFJ Financial Group Inc. (8306 JT): The Japanese bank that's investing $9 billion in Morgan Stanley may raise as much as 1 trillion yen ($10 billion) in additional capital, the Nikkei newspaper said. ``No decision has been made at this moment,'' Mitsubishi UFJ said in a statement to the Tokyo Stock Exchange. The shares fell 62 yen, or 8.3 percent, to 683 yen.

Mitsui Engineering & Shipbuilding Co. (7003 JT): Japan's largest maker of ship engines posted an 88 percent drop in first- half profit as costs increased. Net income fell to 500 million yen in the six months ended Sept. 30, half what it had forecast, the company said in a preliminary earnings statement. The stock declined 12 yen, or 8.5 percent, to 129.

Mizuho Financial Group Inc. (8411 JT): Japan's second- largest bank by revenue may raise several hundred billion yen in additional capital to offset losses on shareholdings, public broadcaster NHK reported, without citing its sources. The stock fell 390,000 yen, or 12.6 percent, to 270,000 yen.

Nippon Electric Glass Co. (5214 JT): The world's third- biggest maker of glass for flat-panel televisions said first-half net income climbed 63 percent to 34.4 billion yen, with an 18 percent rise in sales. The stock plunged 100 yen, or 16 percent, to 542.

Nissan Motor Co. (7201 JT): Japan's third-largest carmaker and parent Renault SA may adopt more labor-intensive production in emerging markets, including India, to take advantage of lower wages, Nikkei English News reported. Nissan dropped 25 yen, or 5.4 percent, to 441.

Nisshin Oillio Group Ltd. (2602 JT): The cooking oil maker said in a preliminary earnings release that first-half net income totaled 2 billion yen, beating its forecast by 82 percent, buoyed by improved earnings in overseas subsidiaries. The stock sagged 21 yen, or 4.4 percent, to 461.

Nissin Foods Holdings Co. (2897 JT): The instant noodle maker voluntarily recalled 500,000 packs of its Cup Noodles because a woman became sick after eating the product, company spokesman Jun Aoki said. Japanese health officials had said it found instant noodles tainted with a chemical used in moth repellant. The woman wasn't hospitalized and is recovering, according to officials. The stock sank 490 yen, or 14 percent, to 3,100.

Nomura Research Institute Ltd. (4307 JT): The information- technology provider said it expects full-year net income of 28.5 billion yen, 12 percent below its forecast. It posted a 22 percent drop in profit to 14.2 billion yen in the six months ended Sept. 30. The stock tumbled 139 yen, or 9 percent, to 1,406.

Pacific Metals Co. (5541 JT): The maker of stainless steel cut its full-year net income outlook by a quarter to 14.6 billion yen, citing decreasing demand and prices for ferronickel. The stock plummeted 41 yen, or 10 percent, to 360.

PanaHome Corp. (1924 JT): The homebuilder said first-half net income amounted to 1.81 billion yen, rebounding from a 4.05 billion yen loss a year earlier, citing effects from a business reorganization. PanaHome slumped 34 yen, or 7.2 percent, to 437.

Sangetsu Co. (8130 JT): The interior products trader said in a preliminary earnings statement first-half net income was 1.4 billion yen, beating its forecast by 40 percent, citing streamlined marketing. The stock slid 37 yen, or 2.6 percent, to 1,381.

Shinko Electric Co. (6507 JT): The maker of aerospace parts reversed its full-year forecast to a net loss of 300 million yen from a 2.1 billion yen profit, and cut its annual dividend to 5 yen from 6 yen, citing lower-than-expected sales and a charge from devalued stockholdings. The stock sank 21 yen, or 8.8 percent, to 217.

Sumitomo Mitsui Financial Group Inc. (8316 JT) and Mizuho Financial Group Inc. (8411 JT): The lenders may sell new shares to raise capital, the Asahi newspaper reported. Sumitomo Mitsui may sell as much as 1 trillion yen worth of shares, the report said, without saying how much Mizuho might raise. Sumitomo Mitsui tumbled 49,000 yen, or 10 percent, to 435,000. Mizuho plunged 39,000 yen, o4 13 percent, to 270,000.

Takasago Thermal Engineering Co. (1969 JT): The builder of air-conditioning facilities had a first-half net loss of 730 million yen, narrower than its 800 million yen loss outlook, as better-than-expected results at home offset unfavorable earnings overseas, according to a preliminary earnings statement. The stock fell 37 yen, or 4.8 percent, to 729.

Tokyo Steel Manufacturing Co. (5423 JT): Japan's biggest maker of steel girders boosted its full-year net income forecast 71 percent to 29 billion yen, saying that a decline in its product prices shipped between October and December was limited. The stock lost 63 yen, or 8.7 percent, to 664.

Tokyu Construction Co. (1720 JT): The contractor reversed its full-year forecast to a net loss of 3.9 billion yen from 2.2 billion yen in profit. It canceled its full-year dividend of 10 yen. The stock fell 12 yen, or 5 percent, to 227.

Tosoh Corp. (4042 JT): The chemical products maker slashed its full-year net income forecast 62 percent to 10 billion yen, due to a surge in fuel costs. Tosoh lost 13 yen, or 6.5 percent, to 187.

Yahoo Japan Corp. (4689 JT): The operator of Japan's most visited Internet portal said first-half net income rose 26 percent to 36.9 billion yen, with a 12 percent advance in sales. The stock slipped 870 yen, or 3.2 percent, to 26,530.

Yamaha Corp. (7951 JT): The maker of musical instruments said first-half net income was 4.3 billion yen, short of its outlook by 43 percent, on lower-than-expected sales, according to a preliminary earnings statement. The stock tumbled 100 yen, or 10 percent, to 883.

To contact the reporter on this story: Norie Kuboyama in Tokyo at nkuboyama@bloomberg.net.