Sumitomo Trust & Banking "equal weight"

11/25/04 - Morgan Stanley

LONDON, November 25 (newratings.com) - Analysts at Morgan Stanley maintain their "equal weight" rating on Sumitomo Trust & Banking Corporation (UMI). The target price is set to ¥730.

In a research note published this morning, the analysts mention that the company has increased its FY2004 net profit guidance by 21%. The company has also announced an increase in its FY2004 dividend from ¥6 to ¥10 per share, Morgan Stanley adds. Sumitomo Trust & Banking's healthy balance sheet and impressive dividends are likely to have a positive impact on the company's stock in the near term, the analysts say. The current valuation is based on the uncertainties surrounding the company’s acquisition by UFJ Trust, the analysts explain.