Several Japanese securities firms expect overall profits for Japanese stocks to hit a sixth consecutive record in fiscal 2026, led by an AI-fueled boom in semiconductors. Kioxia has forecast fiscal first-quarter net profit through June of 869 billion yen, up more than 47-fold from a year earlier, citing strong NAND flash demand from AI data centers. Brokers also singled out chip equipment makers including Advantest and Tokyo Electron as beneficiaries. Easing Middle East geopolitical risks and a pullback in oil prices have also helped repair earnings expectations for shipping and auto-related companies.