Nikkei snaps 7-day losing streak helped by China's stimulus hopes

* Gains may be short-lived - analyst
* Takeda Pharma, Nissan sink after earnings shock
* Mitsubishi Estate jumps on share buyback, governance
reform

By Hideyuki Sano and Ayai Tomisawa
TOKYO, May 15 (Reuters) - Japan's Nikkei ended higher in
choppy trade on Wednesday, snapping a seven-day losing streak,
as expectations that China could roll out fresh stimulus to prop
up a slowing economy supported stocks in the region.
The Nikkei share average .N225 ended 0.6% higher at
21,288.56, after trading in negative territory in the morning.
It had dropped for seven straight days.
The broader Topix .TOPX , which hit a four-month low the
previous day, rose 0.6% to 1,544.15.
"The market turned around on hopes that China will launch
stimulus measures to tackle the weak economy, but the gains may
be short-lived as it was just hopes at this point," said Yutaka
Miura, a senior technical analyst at Mizuho Securities.
U.S. futures ESc1 also rose 0.2% indicating a positive
open for U.S. stocks later in the day.
Exporters gained with Sony Corp 6758.T up 4%, Subaru Corp
7270.T rising 2.7% and Hitachi Ltd 6501.T 2.6% higher.
Meanwhile, Japanese corporate earnings disappointed the
market, with net profits falling almost 5.0% from a year earlier
in January-March, according to Okasan Securities.
Takeda Pharmaceutical 4502.T plunged 7.8% after Japan's
biggest drugmaker forecast an unexpected operating loss for the
current year due to costs associated with the $59 billion
purchase of Shire Plc. That weighed on Tokyo Stock Exchange's drugmaker subindex
.IPHAM.T 3%, making it the worst performer.
Nissan Motor 7201.T slumped 6.5% after the carmaker
forecast the weakest profit outlook in more than a decade.
"The earnings results suggested that the company is in much
worse shape than I have imagined," said Hiroshi Masushima,
market analyst at Monex Securities.
The carmaker, hit by former chairman Carlos Ghosn's arrest
last year and troubles at its North American business, also said
its dividend will be cut about 30% in another blow to investors
as its hefty payouts have been the only major attraction.
H2O Retailing 8242.T stumbled 11% as the mid-tier
department store operator posted weak earnings and guidance.
On the upside, Mitsubishi Estate 8802.T jumped 9.2% after
the real estate developer announced its first share buyback and
a plan to abolish anti-takeover steps.

(Editing by Sam Holmes)