Japan Hot Stocks-Sumitomo Heavy, Aeon, Eisai, Sumitomo Realty

TOKYO, April 14 (Reuters) - The benchmark Nikkei average
<.N225> fell 1 percent and the broader TOPIX <.TOPX> was 0.7
percent lower as of 0539 GMT on Tuesday.
The following stocks were on the move:

**SUMITOMO HEAVY <6302.T> JUMPS AFTER GS UPGRADE**
Sumitomo Heavy Industries jumped 6 percent to 425 yen after
Goldman Sachs raised its rating on the stock to "buy" from
"neutral" and added it to its conviction list. It also lifted its
target price to 520 yen from 400 yen.
The brokerage said in a note to clients that the stock looks
attractive in terms of valuations and it likes the firm's
efficient use of capital, ability to generate substantial free
cash flow and strong balance sheet.
0539 GMT

**AEON <8267.T> DROPS ON UNIT TALBOTS, AHEAD OF EARNINGS**
Shares of Aeon Co Ltd <8267.T>, which is set to report
full-year results after the close, dropped 4.8 percent to 736
yen.
Its unit Talbots Inc posted a deeper-than-expected
quarterly loss and offered staid sales projections, which sent
its shares diving after the closing bell on Monday, overshadowing
news of a new $150 million loan facility that the women's apparel
retailer says will boost liquidity. [nN13388016]
0430 GMT

**EISAI CO <4523.T> GAINS AFTER REPORT OF UPBEAT EARNINGS**
Eisai shares rose 1.7 percent to 2,965 yen after the Nikkei
business daily said the drugmaker's operating profit will likely
increase 6 percent to about 100 billion yen ($1 billion) in the
year to March 2010.
The paper cited robust demand for Eisai's Alzheimer's drug
Aricept in the United States and Japan.
0413 GMT

**SUMITOMO REALTY SLIDES AFTER PUT ON BROKERAGE SELL LIST**
Sumitomo Realty & Development <8830.T>, a major real estate
developer, fell 6.9 percent to 1,247 yen after Goldman Sachs put
it on its Conviction Sell List.
Goldman analyst Sachiko Okada wrote in a report that the
company appeared to be overvalued in the current real estate
market after having risen sharply on expectations for looser
credit and government support measures for the industry.
0200 GMT

**CARMAKERS SLIDE AS WORRIES ABOUT POSSIBLE GM FAILURE WEIGH**
Toyota Motor Corp <7203.T> and other auto-related shares
dropped on worries about the implications of a possible
bankruptcy for General Motors , said Takahiko Murai,
general manager of equities at Nozomi Securities.
The New York Times on Monday reported that the U.S. Treasury
Department is directing the struggling auto maker to prepare for
a bankruptcy filing by June 1 [nN13369691].
Toyota fell 2.5 percent to 3,840 yen, Honda Motor Corp
<7267.T> slipped 2.7 percent to 2,755 yen and Nissan Motor Co
<7201.T> lost 5.3 percent to 496 yen.
Auto parts firm Denso <6902.T> slipped 3.9 percent to 2,250
yen and tyre maker Bridgestone Corp <5108.T> shed 4.3 percent to
1,484 yen.
0039 GMT

**BANKS GAIN ON OPTIMISM ABOUT U.S. FINANCIALS AFTER GOLDMAN**
Mitsubishi UFJ Financial Group <8306.T> and other banks
gained on optimism about the U.S. financial sector after Goldman
Sachs surprised investors after the close on Monday by
posting stronger-than-expected quarterly results a day early, and
announced a $5 billion public offering of common equity.
[nN13387020]
Mitsubishi UFJ Financial Group gained 2.1 percent to 542 yen
and Mizuho Financial Group <8411.T> rose 2 percent to 200 yen.
Sumitomo Mitsui Financial Group <8316.T> rose 2.3 percent to
3,110 yen.
0022 GMT

**TOSHIBA <6502.T> GAINS ON HYBRID VEHICLE BATTERY REPORT**
Toshiba Corp gained 2.7 percent to 341 yen after the Nikkei
business daily said the company is ready to mass-produce a
quick-charging lithium ion battery for hybrid vehicles with the
highest electrical output for a battery of this kind.
[nN13379677]
0014 GMT

**SUMITOMO METAL <5405.T> UP AFTER BHUSHAN REPORT**
Sumitomo Metal Industries <5405.T> rose 2.6 percent to 234
yen after the Nikkei business daily reported the steelmaker may
build a blast furnace steel plant in India with mid-tier producer
Bhushan Steel , investing as much as $3 billion.
[ID:T72704]
0006 GMT

(Reporting by Elaine Lies)
((elaine.lies@thomsonreuters.com; +81 3 6441 1807; Reuters
Messaging:elaine.lies.reuters.com@reuters.net))

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Keywords: MARKETS JAPAN STOCKS HOT

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