This Warren Buffett-Backed Japanese Giant Sees Key Rankings Slip — What Comes Next?

One of Japan’s largest trading houses and industrial conglomerates, which counts Berkshire Hathaway Inc. (NYSE:BRK) (NYSE:BRK), led by Warren Buffett, as a major shareholder, has hit a rough patch, with its Growth score in Benzinga’s Edge Rankings dropping over the past week.

The Japanese giant in question is Mitsubishi Corp. (OTC:MSBHF), one of the largest general trading companies in the country, with interests across mining, energy, retail, chemicals and infrastructure projects.

Growth Score Plummets

The Growth score in Benzinga’s Edge Stock Rankings considers the pace of expansion in revenue and earnings, paying attention to both long and near-term performances, before ranking stocks as a percentile, relative to all other stocks in the market.

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Thus, a drop in the growth score is often indicative of a weak quarterly earnings performance that impacts the long-term growth metrics and fundamentals of a company.

Mitsubishi Corp.

The stock’s Growth score has dropped from 93.13 to 55.8 within the span of a week, following its second-quarter results earlier this month, with the company’s bottom-line dropping 42% year-over-year, which was primarily attributed to weakness in coal prices during the quarter.

Despite ongoing concerns in the global energy and commodities markets, alongside trade and tariff-related uncertainties, Mitsubishi’s shares have soared 42.8% year-to-date.

This comes amid the Wizard of Omaha’s growing equity position in the company, which was recently reported at 10.23%, which he has accumulated over the past couple of years, alongside a few of Mitsubishi’s peers in the Japanese general trading segment.

The stock currently scores 55.8 in Growth on Benzinga’s Edge Stock Rankings. Click here for deeper insights into the company, its peers and competitors.

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