Update : Sep. 21, 2012
For the second round of "theme issues", we have chosen the theme of patent value to introduce companies. High technology serves as a source of Japanese companies' competitiveness. In particular, Japanese companies account for at least 20% of all international patent applications in the world and produce innovative and attractive products using patented technology as leverage. How valuable is a company’s patent? We will look at companies from the perspective of "patent value".
YK Value is an indicator which evaluates patent value. The indicator was independently developed by Kudo & Associates.
A patentee's possession of a monopoly over an invention is a threat from the view of competitors. When an invention is submitted for patent registration, some companies may take it as a hindrance to their business and launch attacks on the patent via legal means, such as seeking to prevent approval of the patent or claiming invalidity after it is registered. YK Value is calculated based on such attacks as an index.The number and severity of attacks reflect the degree of a threat to competitors. This means that the YK Value calculated based on these attacks represents the objective patent value. As such, a company with higher YK Value is considered to hold a “good patent”, and thus, has growth potential.
Select two companies with high YK Value and undervalued stock prices (whose PER is below average in the sector) listed on the TSE Second Section or Mothers from each of the following sectors: "Chemical", "Machinery", "Information & Communication", "Foods", and "Electric Appliances".
Please refer to the attachment for the selected companies and their major patented technology.
(as of the end of June 2012)
|Code||Company Name||Sector||Major Patented Technology *|
|4977||Nitta Gelatin Inc.||Chemicals||The company manufactures and sells collagen casing, food, cosmetics, and other products using technology related to gelatin and peptides. In particular, its technology related to fermented milk beverages/foods serves as a source of its competitiveness. With a focus on medical products in recent years, the company also owns many pharmaceutical patents.|
|4464||SOFT99corporation||Chemicals||With its fine chemical business as a focus area, the company mainly manufactures and sells auto body maintenance products, in addition to car care and home care products. The sales of water repellants and repair materials are growing with its highly competitive patents on water repellant and coating technology.|
|7726||KURODA PRECISION INDUSTRIES LTD.||Machinery||With its precision manufacturing technology, the company manufactures and sells ball screws and other parts, precision metal molds, and large-sized measuring systems. Its mist supplying technology, a highly competitive patent owned by the company, is used for tooling products including semi-dry processing systems.|
|7991||MAMIYA-OP CO.LTD||Machinery||The company has developed various electronic devices for pachinko (Japanese pinball) parlors such as bill transport devices, bill validators, medal/coin dispensers, and pachinko ball dispensers (placed between pachinko machines). Many of its patents are related to the technology for pachinko peripheral devices. In addition, the company manufactures and sells ticket vending machines as general-purpose products.|
|4832||JFE Systems Inc.||Information & Communication||The company provides system development technology for such areas as cost management, quality control, and electronic records. It is characterized by patented technologies related to steel production and management systems, which are jointly held by JFE Steel, a group company. Its other competitive patents are related to call center operations.|
|3646||Ekitan & Co.Ltd.||Information & Communication||With its transportation transfer guidance service as a core business, the company is engaged in the mobile content business for individual users and licensing/advertising business for corporate users. It holds a patent for a transportation transfer guidance program. The number of the patents owned by the company is small, but most of them are competitive.|
|2892||NIHON SHOKUHIN KAKO CO.LTD.||Foods||The company has developed fine chemical products in addition to the production and sales of food materials, such as starch and glycated products, as well as industrial material including adhesive agents. Patents owned by the Company also include those related to pharmaceutical products.|
|2805||S&B FOODS INC.||Foods||Starting from curry powder production, the company mainly produces and sells seasoning, spices, curry, pasta sauces and other food products. The company is characterized by a number of patents on containers and caps. They are used for containing and selling spices and retort food.|
|6643||Togami Electric Mfg.Co.Ltd||Electric Appliances||The company is a comprehensive manufacturer of power distribution controllers. Known as "Togami, the switch manufacturer", it holds a number of switch-related patents. The company is also engaged in providing power system devices, searching and measuring devices, high voltage devices, and control systems.|
|6994||SHIZUKI ELECTRIC COMPANY INC.||Electric Appliances||The company widely manufactures and sells condensers (electronic parts) for various purposes and holds many condenser-related patents. In addition, with a patent on display devices, the company also manufactures and sells display systems for transportation facilities and general purposes.|
※Written by Kudo & Associates
|Looking at Companies Through Patent Value|
Tokyo Stock Exchange Group, Inc.
Corporate Strategy Tel: +81-3-3666-0141