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Eisai Co Ltd (ESAIY) is a specialty and generic drug manufacturing company. The company's business consists of a pharmaceutical business and other businesses. Its pharmaceutical business is categorized by region, including Japan, Americas, China, Asia, and Europe, Middle East, and Africa.

Eisai also reports a consumer healthcare business for Japan. The vast majority of the company's revenue is derived by its Japanese pharmaceutical business, followed by its Americas pharmaceuticals segment.

The company utilizes licensing strategies in order to expand its research, development, manufacturing, and marketing capabilities.

Eisai Co Ltd. was formerly known as Nihon Eisai Co., Ltd. and changed its name to Eisai Co Ltd. in 1955. Eisai Co Ltd. was incorporated in 1941 and is headquartered in Tokyo, Japan.

Three key data points gauge Eisai Co Ltd or any dividend-paying firm.

The key three are: (1) Price (2) Dividends (3) Returns. Those three basic keys best tell whether any company has made, is making, and will make money.

ESAIY Price

Over the past year, Eisai’s share price dropped about 73.5% from $53.76 to $13.87 as of Friday’s market close.

If ESAIY stock trades in the range of $10.00 to $20.00 this next year, its recent $13.87 share price might rise to $16.00 by next year. Of course, Eisai’s price could drop about the same $2.13 estimated amount, or more.

My upside estimate of $2.13, however, is based on the average annual ESAIY price performance between January 2022 and January 2023 ten years

ESAIY Dividend

Eisai Co Ltd has paid variable Semi-Annual dividends increasing since June 2010. ESAIY’s most recent SA dividend, paid June 12 to shareholders of record March 30th, was $0.14. An annual return of $0.71 casts a forward yield of 5.13% per Friday’s closing price.

ESAIY Returns

Adding the $0.71 anticipated annual dividend to ESAIY’s estimated $2.13 possible price upside, reveals a $2.84 potential gross gain per share for the coming year.

At Friday’s $13.87 closing price, a little under $1000 would buy 72 shares. A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us about $0.14 per share.

Subtracting that likely $0.14 brokerage cost from my estimated $2.84 gross gain per share makes a net gain of $2.70 X 72 shares = $194.40 or about a 19.4% net gain.

This could be time to pounce on ESAIY shares. But beware, Eisai is a 82 year old specialty and generic pharmaceutical services firm paying SA dividends for the past 13 years. However, the estimated $51.30 dividend from $1000 invested comes in at 3.7 times more than the recent $13.87 single share price. The choice is yours.

Remember the true value of any stock is best realized by your personal ownership of shares.

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