0502 GMT - Shiseido's share price drop amid the recent China-Japan spat was an overreaction, as any direct impact from Chinese boycotts is expected to be short-lived, Morningstar director Lorraine Tan says in a note. She expects near-term pressure from political tensions but keeps its valuation unchanged, noting a prolonged Japan travel ban is unlikely. "While political tensions are likely to weigh in the near term, we expect diplomatic efforts to smooth out the rhetoric," she says and added that any further weakness would be an opportunity to buy. Tan also flags longer-term risks from rising competition in the global beauty market, though cost controls and shedding underperforming brands may still boost margins. Morningstar puts fair value for Shiseido's shares at Y,2950. Shares last traded at Y2,354.00.(jason.chau@wsj.com)

(END) Dow Jones Newswires

November 19, 2025 00:02 ET (05:02 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.