Investment bank Nomura has screened Japanese stocks that are “highly sensitive to Bitcoin prices” after the cryptocurrency surged. The bank noted that “exchange operators and stocks of semiconductor, IT and non-ferrous metals names track BTC but are currently lagging.” Analysts said that after President-elect Trump wins, Bitcoin prices may reach $100,000 by the end of the year. Year-to-date, Bitcoin prices were up 72.8% on November 8, trading at around $76,111. measures. Analysts at Nomura Securities noted that his “call for loosening regulations on crypto-assets will naturally have an impact on the price of Bitcoin.” The bank said it conducted a multiple regression analysis of stocks to determine which stocks were more sensitive to Bitcoin prices. It gives each stock a sensitivity of at least 0.1, with higher numbers meaning it is more sensitive to changes in the price of Bitcoin. The analysts explained that the stocks come from a variety of industries that “do not necessarily have any direct connection to Bitcoin,” with some coming from “adjacent industries” such as semiconductors (which are seeing increased demand due to Bitcoin mining) and IT. Here are 10 stocks screened by the investment bank that stand out for their massive upside potential, based on FactSet consensus price targets: Top Stocks The bank’s screened stocks include semiconductor equipment makers Micronics Japan and Towa Corporation. Analysts are mostly bullish on both companies, according to FactSet. The average price target given by those covering Micronics is 7,033.33 yen ($46.05), which suggests the company has nearly 83% upside potential. Analysts have given Towa Corp an average target price of 3,466.67 yen, representing an upside potential of 67.5%, according to FactSet data. Elsewhere, investment management giant SoftBank Group is also on the screen as it focuses on artificial intelligence and makes significant investments. Sixteen of the 20 analysts covering the stock have buy or overweight ratings, with an average price target of 11,931.20 yen, implying an upside potential of 29.4%, according to FactSet. —CNBC’s Michael Bloom contributed to this report.
