QUICK Shared services

＊The following is a direct transcription of the press release content.
 
October 13, 2011
 

 
 
Kudo & Associates (Headquarters: Chiyoda-ku, Tokyo, Director: Patent Attorney Ichiro Kudo) and QUICK Corp. (Headquarters: Chuo-ku, Tokyo, President and CEO: Shinichi Kamata) have jointly developed the "Enterprise Patent Evaluation Index," which serves as an indicator of the growth potential of listed companies.
 
The Enterprise Patent Evaluation Index quantifies and enables the relative assessment of the value of patents, which are one of a company's intangible assets, and it focuses on companies listed on the First Section of the Tokyo Stock Exchange.
 
QUICK, with the aim of supporting long-term investment in the stock market, held the Long-Term Stock Investment Information Research Conference in 2009 and made recommendations. Since then, QUICK has been expanding its related information services.
 
As part of these efforts, QUICK has collaborated with Kudo & Associates, renowned for its research and analysis of patent evaluation indicators, to develop the Enterprise Patent Evaluation Index, which is highly relevant to a company's growth potential and can be applied to various industries.
 
This index will be standardly integrated into the information services provided by QUICK (LevelX, Astra Manager, ActiveManager, etc.). Additionally, QUICK offers related information on long-term stock investment through the "Long-Term Stock Investment Information Menu" (Screen Code: L@). We kindly request you to make the most of these resources.
 
 
1.Overview of the "Enterprise Patent Evaluation Index"
Companies obtain the right to monopolize their registered inventions as "patents." Competing companies take various actions to prevent the monopoly of valuable patents. In other words, patents that have withstood numerous actions from other companies hold higher value. The "Enterprise Patent Evaluation Index" focuses on evaluating the value of patents based on this perspective.
 
The Enterprise Patent Evaluation Index consists of two indicators: the "QK value" and the "YK value." The "YK value (Corporate Technological Competitiveness Index)" developed by Kudo & Associates and the "QK value (YK value divided by market capitalization)" calculated by QUICK.
 
The YK value is calculated using the YKS method, an evaluation technique for patent value that focuses on assessing the exclusivity of patents (i.e., how much the patent holder monopolizes the business) by aggregating action points such as requests for information disclosure and filing of objections from competing companies.
 
Companies with higher YK values tend to have greater earning power through patents compared to other companies.
The YK value can be considered as a quantification of the level of attention and caution a company receives.
 
The QK value associates the YK value with market capitalization and provides a normalized value adjusted according to the company's size.
 
A higher QK value compared to rival companies indicates a lower market capitalization relative to patent value, which could be interpreted as a potential undervaluation in stock price.
 
Japan is home to many companies renowned for their world-class technological capabilities.
The Enterprise Patent Evaluation Index, which quantifies technological capabilities from the perspective of patents, can be used not only to measure a company's growth potential but also as an indicator for identifying undervalued stocks, contributing to the development of the stock market and increased trading activity.
 
 
Please refer to

• ◎Screen Example (1): Corporate Patent Evaluation Index [Large Cap]
  
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  The items are listed from left to right as "Rank","security code","company name","Industry name","QK value," "YK value," "End-of-month stock price," "Month-on-month change," "PER (Price-to-Earnings Ratio)," and "Yield."
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• ◎Screen Example (2): Corporate Patent Evaluation Index [By Industry]
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• The items are listed from left to right as "Industry Name," "Number of Stocks," "QK value," "YK value," "Average Stock Price," "Month-on-month change," "PER (Price-to-Earnings Ratio)," "Yield," and "TOPIX Index".
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4.Calculation Method
The calculation is performed as follows:
 
(1)Calculation of YK Value
 Kudo & Associates calculates the YK value by aggregating the action points based on various actions such as requests for disclosure by competing companies and objections during the period from patent application to registration and rights maintenance (= YK value). There are also decay points that are considered. The points for each action are determined taking into account the associated costs.
 

• ◎Here are some examples of actions considered for the YK value
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(2)Calculation of QK Value
　　　
QUICK calculates the QK value using the following formula:
　　　　　　
QK value = (YK value / Market Capitalization) × 1,000,000,000.
 
 
 
The subject ends herewith.