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Sumitomo Pharma Selected as a Constituent of the JPX Prime 150 Index
Sumitomo Pharma Co., Ltd. (Head Office: Osaka, Japan; Representative Director, President and CEO: Toru Kimura) announced today that the Company has been selected for the first time as a constituent of the JPX Prime 150 Index in the periodic review results announced by JPX Market Innovation & Research, Inc. on August 24, 2026.
The JPX Prime 150 Index is a stock price index developed by JPX Market Innovation & Research, Inc. It selects stocks from among the top-ranked stocks listed on the TSE Prime Market by market capitalization based on two measures of value creation: “return on capital,” which is based on financial results, and “market valuation,” which is based on future information and non-financial information. The selected constituents are regarded as leading “Japanese companies that are estimated to create value.”
"Return on capital" above refers to the equity spread1), which is the difference between ROE (return on equity) and cost of equity, as an indicator, whereas "market valuation" above refers to the PBR2), which is the stock price divided by BPS (Book Value per Share), as an indicator.
The periodic review results will become effective on August 31, 2026. We will continue to pursue management with an emphasis on capital efficiency and sustainable value creation, while striving to enhance our corporate value over the medium to long term.
(Note)
- 1) When ROE exceeds the cost of equity, which is the return expected by investors, the equity spread becomes positive and the value creation is estimated.
- 2) When the stock price exceeds the BPS, the PBR exceeds 1x, and the value creation is estimated.
(Reference)
For further details of the JPX Prime 150 Index, please refer to the
following website.
https://www.jpx.co.jp/english/markets/indices/jpx-prime150/
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