JAPAN_2020：FAST_RETAILING’S_UNIQLO_POISED_TO_TAKE_OFF_IN_ASIA-2012-08-15.pdf

August 17, 2011 Japan: Retail Japan 2020: Fast Retailing’s Uniqlo poised to take off in Asia Equity Research Uniqlo is well positioned to grow in Asia FAST RETAILING: (9983.T, BUY) Fast Retailing (9983.T) is focused on high-quality, lower-cost basics. It 12-month target price of ¥16,700 is based on FY8/15E EV/GCI vs. CROCI/WACC (equals a 19X P/E on FY8/13E offers unique value with a focused product lineup of 300-400 items (rivals goodwill-adjusted EPS of ¥887) Risks are high sourcing costs in China, higher labor/rent costs eroding margins. carry +1,000) via integrated planning, development, and production. If it FAST RETAILING: FY8/20 SALES/OP FORECASTS can harness similarities in physique, culture, and geography in the fragmented but growing Asian market, FR has plenty of room to grow. 2011/8E 2020/8E Cons-basis Sales (¥ mn) 830,000