Initiating on Asics With a No-Moat Rating and a Valuation of JPY 1,800; Shares Are Overvalued

Unlike many other sportswear brands that diversify across multiple categories, Asics concentrates heavily on performance running, generating approximately 50% of its revenue from this segment. This specialization has enabled Asics to establish a strong brand image among runners, facilitating its growth from a local Japanese brand to a global leader in the running shoe industry. This success is highlighted by Asics' command of more than 10% of the global performance running market, a notable achievement given its modest 1.4% share of the broader global sportswear market.