Sumco Corp. plunged by the most in more than two years in Tokyo trading after the silicon-wafer maker widened its full-year loss forecast to 66 billion yen ($789 million) from 12 billion yen. Credit Suisse AG cut its rating on the company to “underperform.”
The shares fell as much as 13 percent to 1,170 yen on the Tokyo Stock Exchange, the biggest drop among companies in the Nikkei 225 Stock Average and the stock’s steepest decline since November 2008. The stock traded at 1,220 yen at 10:39 a.m.
Masami Sawato, an analyst at Credit Suisse AG, downgraded his rating on the company to “underperform” from “neutral.” He decreased his estimated target price to 900 yen from 1170 yen as well.
“It will take time for the company to improve the company’s structure,” to make it more profitable, he wrote in his report dated on Dec. 7.
Takako Iwatani in Tokyo at +81-3-3201-3789 or email@example.com.
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