Japanese (NIKKEI) Market Analysis & Valuation
UpdatedMay 31, 2023
DataAggregated Company Financials
Companies4021
- 7D-0.3%
- 3M7.5%
- 1Y12.1%
- YTD14.5%
The market has been flat in the last week, however the Consumer Staples sector is down 3.2%. As for the longer term, the market has risen 12% in the past 12 months. Looking forward, earnings are forecast to grow by 8.9% annually.
Market Valuation and Performance
Has the Japanese Market valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 31 May 2023 | JP¥791.9t | JP¥962.0t | JP¥51.2t | 13.4x | 15.5x | 0.8x |
| Fri, 28 Apr 2023 | JP¥749.6t | JP¥938.2t | JP¥46.6t | 13x | 16.1x | 0.8x |
| Sun, 26 Mar 2023 | JP¥711.0t | JP¥935.6t | JP¥46.2t | 12.6x | 15.4x | 0.8x |
| Tue, 21 Feb 2023 | JP¥738.6t | JP¥936.5t | JP¥46.7t | 12.7x | 15.8x | 0.8x |
| Thu, 19 Jan 2023 | JP¥714.4t | JP¥905.7t | JP¥49.2t | 12.2x | 14.5x | 0.8x |
| Sat, 17 Dec 2022 | JP¥723.4t | JP¥904.2t | JP¥49.2t | 12.4x | 14.7x | 0.8x |
| Mon, 14 Nov 2022 | JP¥732.9t | JP¥900.7t | JP¥49.9t | 12.4x | 14.7x | 0.8x |
| Wed, 12 Oct 2022 | JP¥698.3t | JP¥864.6t | JP¥45.7t | 12.2x | 15.3x | 0.8x |
| Fri, 09 Sep 2022 | JP¥729.0t | JP¥864.2t | JP¥45.7t | 12.7x | 16x | 0.8x |
| Sun, 07 Aug 2022 | JP¥726.2t | JP¥853.9t | JP¥49.3t | 12.7x | 14.7x | 0.9x |
| Tue, 05 Jul 2022 | JP¥697.3t | JP¥838.2t | JP¥49.3t | 12.4x | 14.1x | 0.8x |
| Thu, 02 Jun 2022 | JP¥717.6t | JP¥837.4t | JP¥49.5t | 12.6x | 14.5x | 0.9x |
| Sat, 30 Apr 2022 | JP¥709.9t | JP¥820.2t | JP¥51.6t | 12.3x | 13.8x | 0.9x |
| Mon, 28 Mar 2022 | JP¥740.1t | JP¥821.6t | JP¥51.1t | 12.6x | 14.5x | 0.9x |
| Wed, 23 Feb 2022 | JP¥714.6t | JP¥821.2t | JP¥50.8t | 9.9x | 14.1x | 0.9x |
| Fri, 21 Jan 2022 | JP¥726.1t | JP¥804.9t | JP¥48.5t | 12.6x | 15x | 0.9x |
| Sun, 19 Dec 2021 | JP¥748.0t | JP¥800.0t | JP¥48.4t | 13.1x | 15.5x | 0.9x |
| Tue, 16 Nov 2021 | JP¥776.1t | JP¥799.8t | JP¥48.1t | 13.7x | 16.1x | 1x |
| Thu, 14 Oct 2021 | JP¥748.9t | JP¥787.1t | JP¥44.7t | 14.3x | 16.7x | 1x |
| Sat, 11 Sep 2021 | JP¥790.9t | JP¥788.3t | JP¥44.7t | 15.3x | 17.7x | 1x |
| Mon, 09 Aug 2021 | JP¥732.0t | JP¥788.7t | JP¥44.6t | 14.5x | 16.4x | 0.9x |
| Sun, 02 May 2021 | JP¥723.2t | JP¥757.0t | JP¥35.0t | 16.3x | 20.7x | 1x |
| Wed, 03 Feb 2021 | JP¥690.3t | JP¥747.0t | JP¥23.5t | 17.2x | 29.4x | 0.9x |
| Sat, 07 Nov 2020 | JP¥602.6t | JP¥754.2t | JP¥21.2t | 16.4x | 28.4x | 0.8x |
| Fri, 31 Jul 2020 | JP¥570.8t | JP¥773.9t | JP¥22.4t | 15.1x | 25.5x | 0.7x |
Price to Earnings Ratio
20.4x
Current Market PE
- Investors are pessimistic on the Japanese market, indicating that they anticipate earnings will not grow as fast as they have historically.
- The market is trading at a PE ratio of 15.5x which is lower than its 3-year average PE of 21.0x.
Past Earnings Growth
- The earnings for Japanese listed companies have grown 21% per year over the last three years.
- Revenues for these companies have grown 6.1% 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 Market | -0.25% | |
| Tech | 2.50% | |
| Utilities | 1.70% | |
| Energy | 0.20% | |
| Industrials | -0.075% | |
| Real Estate | -0.22% | |
| Consumer Discretionary | -0.24% | |
| Materials | -0.25% | |
| Financials | -0.71% | |
| Telecom | -1.20% | |
| Healthcare | -1.29% | |
| Consumer Staples | -3.23% | |
Sector PE
- Investors favour the Healthcare sector the most for future growth, which is trading close to its 3-year average PE ratio of 29.7x.
- The market's confidence is likely because analysts are expecting annual earnings growth of 11.7%, which is higher than its past year's earnings growth of 2.5% per year.
Forecasted Growth
- Analysts are most optimistic on the Utilities sector, expecting annual earnings growth of 16% over the next 5 years.
- However this is lower than its past earnings growth rate of 28% per year.
- In contrast, the Energy industry is expected to see its earnings growth to stay flat over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | Sector | |
|---|---|---|---|---|---|---|
| 7203 Toyota Motor | JP¥1.94k | 4.5% +JP¥1.1t | -8.6% | PE10.7x | Consumer Discretionary | |
| 6857 Advantest | JP¥18.09k | 28.4% +JP¥736.9b | 103.3% | PE25.6x | Tech | |
| 8035 Tokyo Electron | JP¥19.71k | 8.4% +JP¥716.6b | 0.3% | PE19.6x | Tech | |
| 9984 SoftBank Group | JP¥5.51k | 6.4% +JP¥482.8b | 2.4% | PS1.2x | Telecom | |
| 8058 Mitsubishi | JP¥5.94k | 5.5% +JP¥441.8b | 34.1% | PE7.2x | Industrials |
Market Insights
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