Tokyo Metro Shares Soar in First Day of Trading for Century-Old Subway

Published On Oct 23, 2024, 1:55 AM

Tokyo Metro's shares surged over 45% on its first trading day after raising over $2 billion in one of Japan's largest IPOs in years. The successful offering comes at a time when the company benefits from a steady flow of passengers—about 6.5 million daily—along with rising international tourism to Tokyo, bolstered by a weak yen. While long-term profit growth may be limited by fare increase challenges, the company offers attractive dividends and steady cash flow, forecasting a notable rise in operating income for the coming fiscal year.