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Japanese (NIKKEI) Healthcare Sector Analysis

UpdatedJan 25, 2022
DataAggregated Company Financials
  • 7D-1.6%
  • 3M-13.8%
  • 1Y-16.8%
  • YTD-9.8%

Over the last 7 days, the Healthcare industry has dropped 1.5%, driven by a pullback from Shionogi of 7.3%. Meanwhile, Olympus actually outperformed within the industry, gaining 6.4% in the last week. However, the industry is down 17% over the past year.

Sector Valuation and Performance

Has the Japanese Healthcare Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPE
Tue, 25 Jan 2022JP¥58.5tJP¥30.3tJP¥2.4t16.9x
Thu, 23 Dec 2021JP¥63.4tJP¥30.3tJP¥2.4t17.4x
Sat, 20 Nov 2021JP¥66.5tJP¥30.3tJP¥2.4t19x
Mon, 18 Oct 2021JP¥68.0tJP¥29.7tJP¥2.2t20.4x
Wed, 15 Sep 2021JP¥70.8tJP¥29.5tJP¥2.2t20.7x
Fri, 13 Aug 2021JP¥65.1tJP¥29.5tJP¥2.2t20.3x
Tue, 08 Jun 2021JP¥63.5tJP¥28.7tJP¥2.0t20.9x
Mon, 01 Mar 2021JP¥64.3tJP¥28.6tJP¥1.8t22.7x
Thu, 03 Dec 2020JP¥68.3tJP¥28.5tJP¥1.7t24.8x
Sun, 06 Sep 2020JP¥63.2tJP¥28.6tJP¥1.8t24.2x
Wed, 10 Jun 2020JP¥63.9tJP¥28.9tJP¥1.8t22.2x
Tue, 03 Mar 2020JP¥52.8tJP¥28.7tJP¥1.8t19.5x
Fri, 06 Dec 2019JP¥56.2tJP¥28.3tJP¥1.8t22.8x
Mon, 09 Sep 2019JP¥48.0tJP¥27.4tJP¥1.8t20.8x
Sun, 02 Jun 2019JP¥46.9tJP¥26.8tJP¥1.8t20.3x
Wed, 06 Mar 2019JP¥50.5tJP¥26.2tJP¥1.7t22.6x
PE Ratio


Total Market Cap: JP¥47.1tTotal Earnings: JP¥1.7tTotal Revenue: JP¥26.2t0%0%0%3 Year10 Year

Current Industry PE: Investors are more pessimistic on the industry, considering it's trading at a PE ratio of 16.5x which is lower than its 3-year average PE of 21.6x. It appears they believe that earnings will not grow as fast as they have historically.

Past Earnings Growth: The earnings for companies in the Healthcare industry have grown 14% per year over the last three years, and revenues for these companies have grown 4.9% per year. This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the Japanese Healthcare sector?

Healthcare Services-0.78%
Medical Equipment-2.39%
Life Sciences-2.98%

Industry PE: Investors are most optimistic about the Healthtech industry even though it's trading below its 3-year average PE ratio of 63.2x. However analysts are expecting annual earnings growth of 12%, which is lower than the prior year's growth of 76% per year. So the market might believe that analysts are underestimating future growth. Meanwhile, investors are most pessimistic about the Medical Equipment industry, which is trading below its 3-year average of 22.5x.

Forecasted Growth: Analysts are most optimistic on the Life Sciences industry, expecting annual earnings growth of 33% over the next 5 years. However this is lower than its past earnings growth rate of 187% per year. Meanwhile, the Healthcare Services industry is expected to see its earnings grow by 6.7% per year over the next few years.

Top Stock Gainers and Losers

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

CompanyLast Price7D1YValuation
7733 OlympusJP¥2.44k4.6%
4519 Chugai PharmaceuticalJP¥3.70k1.7%
4503 Astellas PharmaJP¥1.94k2.4%
4568 Daiichi Sankyo CompanyJP¥2.61k1.5%
4578 Otsuka HoldingsJP¥4.20k3.1%
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