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Japanese (NIKKEI) Market Analysis & Valuation

UpdatedDec 25, 2025
DataAggregated Company Financials
Companies3950
  • 7D1.2%
  • 3M6.6%
  • 1Y24.1%
  • YTD23.1%

Over the last 7 days, the market has risen 1.2%, driven by gains in every sector, especially the Information Technology sector. The market is up 24% over the last 12 months. As for the next few years, earnings are expected to grow by 8.5% per annum.

Trending IndustriesOil and GasBiotechSoftwareRenewable Energy

Market Valuation and Performance

Has the Japanese Market valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 26 Dec 2025JP¥1155.5tJP¥1029.1tJP¥64.3t14.4x18x1.1x
Sun, 23 Nov 2025JP¥1121.2tJP¥1031.5tJP¥64.5t13.9x17.4x1.1x
Tue, 21 Oct 2025JP¥1083.6tJP¥1025.7tJP¥59.8t14.5x18.1x1.1x
Thu, 18 Sep 2025JP¥1084.3tJP¥1026.6tJP¥59.8t14.7x18.1x1.1x
Sat, 16 Aug 2025JP¥1064.8tJP¥1022.9tJP¥58.5t14.2x18.2x1x
Mon, 14 Jul 2025JP¥973.6tJP¥1022.4tJP¥62.1t13.5x15.7x1x
Wed, 11 Jun 2025JP¥968.8tJP¥1034.8tJP¥63.7t13.1x15.2x0.9x
Fri, 09 May 2025JP¥942.6tJP¥1024.3tJP¥64.9t13.1x14.5x0.9x
Sun, 06 Apr 2025JP¥867.8tJP¥1020.9tJP¥64.1t12.2x13.5x0.9x
Tue, 04 Mar 2025JP¥950.9tJP¥1020.2tJP¥64.4t13.1x14.8x0.9x
Thu, 30 Jan 2025JP¥965.3tJP¥1009.9tJP¥61.9t13.7x15.6x1x
Sat, 28 Dec 2024JP¥977.0tJP¥1010.9tJP¥61.7t13.7x15.8x1x
Mon, 25 Nov 2024JP¥940.8tJP¥1008.0tJP¥61.7t13.5x15.2x0.9x
Wed, 23 Oct 2024JP¥930.9tJP¥1001.4tJP¥60.1t13.2x15.5x0.9x
Fri, 20 Sep 2024JP¥907.0tJP¥999.9tJP¥60.1t13.4x15.1x0.9x
Sun, 18 Aug 2024JP¥942.3tJP¥998.1tJP¥59.9t13.3x15.7x0.9x
Tue, 16 Jul 2024JP¥1015.3tJP¥987.4tJP¥58.6t14.6x17.3x1x
Thu, 13 Jun 2024JP¥976.4tJP¥988.9tJP¥58.6t14.2x16.7x1x
Sat, 11 May 2024JP¥961.0tJP¥976.5tJP¥57.0t14.5x16.9x1x
Mon, 08 Apr 2024JP¥962.0tJP¥975.8tJP¥56.9t14.5x16.9x1x
Wed, 06 Mar 2024JP¥970.4tJP¥975.8tJP¥56.9t14.4x17.1x1x
Fri, 02 Feb 2024JP¥911.1tJP¥972.9tJP¥52.4t14.8x17.4x0.9x
Sun, 31 Dec 2023JP¥855.2tJP¥971.2tJP¥52.5t14.1x16.3x0.9x
Tue, 28 Nov 2023JP¥864.0tJP¥977.6tJP¥53.1t14.1x16.3x0.9x
Thu, 26 Oct 2023JP¥820.9tJP¥972.0tJP¥55.3t13.7x14.8x0.8x
Sat, 23 Sep 2023JP¥863.7tJP¥971.4tJP¥55.2t14.3x15.6x0.9x
Mon, 21 Aug 2023JP¥816.5tJP¥970.7tJP¥55.2t13.7x14.8x0.8x
Wed, 19 Jul 2023JP¥822.8tJP¥957.5tJP¥50.6t13.9x16.3x0.9x
Fri, 16 Jun 2023JP¥836.7tJP¥959.2tJP¥51.1t13.8x16.4x0.9x
Sun, 14 May 2023JP¥769.4tJP¥949.3tJP¥49.1t13.4x15.7x0.8x
Tue, 11 Apr 2023JP¥723.3tJP¥934.4tJP¥46.6t12.8x15.5x0.8x
Thu, 09 Mar 2023JP¥753.4tJP¥933.7tJP¥46.7t13.1x16.1x0.8x
Sat, 04 Feb 2023JP¥725.4tJP¥914.8tJP¥48.8t12.5x14.9x0.8x
Mon, 02 Jan 2023JP¥701.8tJP¥903.1tJP¥49.1t12.2x14.3x0.8x
Price to Earnings Ratio

14.3x


Total Market Cap: JP¥701.8tTotal Earnings: JP¥49.1tTotal Revenue: JP¥903.1tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese Market Price to Earnings3Y Average 16x20242025
Current Market PE
  • Investors are optimistic on the Japanese market, and appear confident in strong long term growth rates.
  • The market is trading at a PE ratio of 18.0x which is higher than its 3-year average PE of 16.0x.
Past Earnings Growth
  • The earnings for Japanese listed companies have grown 9.4% per year over the last three years.
  • Revenues for these companies have grown 4.5% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Sector Trends

Which sectors have driven the changes within the Japanese Market?

JP Market1.23%
Materials2.91%
Energy2.53%
Tech2.48%
Financials1.58%
Utilities1.53%
Industrials1.27%
Real Estate0.76%
Healthcare0.73%
Consumer Staples0.68%
Telecom0.46%
Consumer Discretionary0.20%
Sector PE
  • Investors favour the Tech sector the most for future growth, which is trading above its 3-year average PE ratio of 24.0x.
    • Analysts are expecting annual earnings growth of 13.8%, which is lower than the prior year's growth of 15.4% per year.
  • The Utilities sector is the least preferred by investors for future growth. Although, investor sentiment seems to have improved given that it's trading above its 3-year average.
Forecasted Growth
  • Analysts are most optimistic on the Materials sector, expecting annual earnings growth of 15% over the next 5 years.
  • This is better than its past earnings growth rate of 6.9% per year.
  • In contrast, the Telecom sector is expected to see its earnings decline by 4.2% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuationSector
9984 SoftBank GroupJP¥17.49k8.4%
+JP¥1.9t		92.0%PE8.2xTelecom
8035 Tokyo ElectronJP¥33.79k11.5%
+JP¥1.6t		41.8%PE28.6xTech
6857 AdvantestJP¥19.80k5.3%
+JP¥720.1b		117.6%PE55xTech
285A Kioxia HoldingsJP¥10.80k13.5%
+JP¥694.7b		578.9%PE37.6xTech
8316 Sumitomo Mitsui Financial GroupJP¥5.09k3.6%
+JP¥671.9b		35.9%PB1.3xFinancials
See more

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Latest News

8316
JP¥5,087.00
Sumitomo Mitsui Financial Group
7D
3.6%
1Y
35.9%

Sumitomo Mitsui Financial Group (TSE:8316) Is Increasing Its Dividend To ¥79.00

Dec 25
Sumitomo Mitsui Financial Group (TSE:8316) Is Increasing Its Dividend To ¥79.00
8035
JP¥33,790.00
Tokyo Electron
7D
11.5%
1Y
41.8%

Tokyo Electron's (TSE:8035) Dividend Will Be ¥269.00

Dec 24
Tokyo Electron's (TSE:8035) Dividend Will Be ¥269.00
8306
JP¥2,484.50
Mitsubishi UFJ Financial Group
7D
2.3%
1Y
37.2%

8306: Future Shareholder Returns Will Benefit From Buybacks And Dividend Increase

Analysts have raised their price target on Mitsubishi UFJ Financial Group from ¥2,700 to ¥2,910, citing expectations of slightly faster revenue growth, modestly higher profit margins, and a lower future price-to-earnings multiple supported by a reduced discount rate. What's in the News MUFG will promote MUFG Bank President Junichi Hanzawa to Group CEO from April 1, 2026, with current President Hironori Kamezawa becoming chairman, as the group targets faster growth, higher lending profitability, and expansion of its domestic and global digital platforms (Executive Changes) The Board of Directors authorized a large share repurchase program of up to 130,000,000 shares, or 1.14% of outstanding shares, for ¥250 billion, with all repurchased shares to be cancelled by February 27, 2026, to improve capital efficiency and shareholder returns (Buyback Transaction Announcements) MUFG raised its earnings guidance for the year ending March 31, 2026, lifting the target for profits attributable to owners of parent to ¥2,100 billion from ¥2,000 billion, supported by stronger customer business performance and higher equity method earnings from Morgan Stanley (Corporate Guidance, Raised) The group revised its year end dividend forecast for fiscal 2026 to ¥39 per share from ¥35, which implies an annual dividend of ¥74 per share, and reaffirmed a policy of stable, sustainable dividend growth with a target payout ratio of about 40 percent (Dividend Increases) Media reports suggesting MUFG is in advanced talks to acquire a 20 percent stake in India based Shriram Finance for about $2.6 billion were followed by an exchange filing from Shriram Finance calling the stories rumour and speculation, which underscores uncertainty around any potential deal (M&A Rumors and Discussions) Valuation Changes The fair value estimate has risen modestly from ¥2,700 to ¥2,910, reflecting a slightly more optimistic outlook for the shares.
7974
JP¥10,550.00
Nintendo
7D
-4.0%
1Y
13.9%
7532
JP¥942.70
Pan Pacific International Holdings
7D
-2.8%
1Y
10.2%
4502
JP¥4,860.00
Takeda Pharmaceutical
7D
8.4%
1Y
17.5%

4502: Future Pipeline And Focused R D Shift Will Shape Balanced Outlook

Analysts have modestly raised their price target on Takeda Pharmaceutical to 4,946 yen, reflecting steady expectations for revenue growth, profit margins, and future valuation multiples despite only marginal adjustments to their models. What's in the News Positive Phase 3 results for zasocitinib (TAK-279) in moderate to severe plaque psoriasis, with superiority to placebo and apremilast across primary and 44 ranked secondary endpoints, support the potential of a once daily oral TYK2 inhibitor in dermatology.
8766
JP¥5,790.00
Tokio Marine Holdings
7D
-1.8%
1Y
2.5%

8766: AI Partnership Will Drive Future Profits And Capital Returns

Narrative Update on Analyst Price Target Analysts have modestly raised their price target on Tokio Marine Holdings to ¥6,675, citing slightly improved projected profit margins that more than offset marginally lower revenue growth expectations and a small compression in assumed future valuation multiples. What's in the News Tokio Marine is partnering with OpenAI to develop AI agents that leverage in depth data analysis to improve insurance product planning and handle customer inquiries more efficiently (Nikkei Asia).
6501
JP¥4,960.00
Hitachi
7D
3.1%
1Y
25.3%

6501: Government Energy Infrastructure And AI Projects Will Drive Future Upside Potential

Analysts have modestly raised their price target on Hitachi to approximately $5,515 from about $5,508, citing slightly faster expected revenue growth, a marginally lower discount rate, and a steady long term profit outlook that supports a similar future price to earnings multiple. What's in the News Hitachi Vantara deployed its Virtual Storage Platform One for Asia Airfreight Terminal at Hong Kong International Airport, delivering zero downtime, tripling storage capacity, and cutting energy use by over 50% in 24/7 cold chain cargo operations (Key Developments).
6758
JP¥4,039.00
Sony Group
7D
-0.4%
1Y
20.6%

6758: Gaming And Music Subscriptions Will Drive Future Earnings Re Rating

Analysts have modestly raised their price target on Sony Group, reflecting slightly faster expected revenue growth, a marginally higher profit margin, and a supportive backdrop of recent Buy and Outperform upgrades that highlight renewed strength in gaming and music streaming businesses. Analyst Commentary Recent Street revisions highlight a more constructive stance on Sony Group, with analysts pointing to a combination of cyclical recovery in key content categories and structural tailwinds in digital entertainment.
8058
JP¥3,523.00
Mitsubishi
7D
-2.9%
1Y
37.6%

Mitsubishi (TSE:8058) Has Announced A Dividend Of ¥55.00

Dec 16
Mitsubishi (TSE:8058) Has Announced A Dividend Of ¥55.00
6857
JP¥19,795.00
Advantest
7D
5.3%
1Y
117.6%

6857: New Test Platforms Will Support Future Returns At A Fair Price

Analysts have modestly raised their price target on Advantest to approximately ¥19,218, citing a slightly higher assumed discount rate while maintaining largely unchanged expectations for long term revenue growth, profit margins, and future valuation multiples. What's in the News Launched the T2000 AiR2X next generation air cooled SoC test system, doubling test resources versus the prior AiR platform while remaining compatible with existing T2000 installations and targeting high mix, low volume and legacy system replacement demand (company announcement).
9984
JP¥17,485.00
SoftBank Group
7D
8.4%
1Y
92.0%

9984: Expanding AI Infrastructure Investments Will Drive Shares Higher

Narrative Update on SoftBank Group Analysts have raised their price target for SoftBank Group from ¥20,000 to approximately ¥28,062. This reflects updated expectations for slightly stronger revenue growth, a higher long term valuation multiple, and a modestly higher discount rate despite lower projected profit margins.
9983
JP¥56,080.00
Fast Retailing
7D
-0.5%
1Y
5.3%
8725
JP¥3,647.00
MS&AD Insurance Group Holdings
7D
-2.4%
1Y
6.2%

MS&AD Insurance Group Holdings (TSE:8725) Has Announced A Dividend Of ¥77.50

Dec 05
MS&AD Insurance Group Holdings (TSE:8725) Has Announced A Dividend Of ¥77.50
9843
JP¥2,727.00
Nitori Holdings
7D
-5.6%
1Y
-25.5%
285A
JP¥10,795.00
Kioxia Holdings
7D
13.5%
1Y
578.9%