Japanese (NIKKEI) Real Estate Sector Analysis
- 7D-1.4%
- 3M-3.5%
- 1Y10.8%
- YTD13.7%
Over the last 7 days, the Real Estate industry has remained flat, although notably Invesco Office J-REIT declined by 100%. As for the the longer term, the industry is up 12% over the past 12 months.
Sector Valuation and Performance
Has the Japanese Real Estate Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE |
|---|---|---|---|---|
| Sat, 27 Nov 2021 | JP¥31.9t | JP¥17.1t | JP¥1.8t | 20.6x |
| Mon, 25 Oct 2021 | JP¥33.0t | JP¥16.9t | JP¥1.7t | 19.8x |
| Wed, 22 Sep 2021 | JP¥32.8t | JP¥16.8t | JP¥1.7t | 19x |
| Fri, 20 Aug 2021 | JP¥32.0t | JP¥16.9t | JP¥1.7t | 18.9x |
| Fri, 04 Jun 2021 | JP¥31.8t | JP¥16.6t | JP¥1.6t | 20.1x |
| Mon, 08 Mar 2021 | JP¥30.1t | JP¥17.0t | JP¥1.7t | 19.3x |
| Thu, 10 Dec 2020 | JP¥27.5t | JP¥16.5t | JP¥1.5t | 17.6x |
| Wed, 02 Sep 2020 | JP¥26.2t | JP¥16.8t | JP¥1.6t | 16.5x |
| Sat, 06 Jun 2020 | JP¥26.1t | JP¥17.1t | JP¥1.7t | 16.2x |
| Tue, 10 Mar 2020 | JP¥29.6t | JP¥17.3t | JP¥1.7t | 17.6x |
| Mon, 02 Dec 2019 | JP¥32.7t | JP¥17.3t | JP¥1.6t | 21.4x |
| Thu, 05 Sep 2019 | JP¥30.9t | JP¥17.1t | JP¥1.6t | 19.8x |
| Sun, 09 Jun 2019 | JP¥29.2t | JP¥16.8t | JP¥1.6t | 18.5x |
| Sat, 02 Mar 2019 | JP¥29.0t | JP¥16.5t | JP¥1.6t | 18.1x |
| Tue, 04 Dec 2018 | JP¥29.0t | JP¥16.5t | JP¥1.7t | 18x |
18x
Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 18.4x. It appears they believe that earnings will grow in-line with historical growth rates.
Past Earnings Growth: The earnings for companies in the Real Estate industry have grown 2.4% per year over the last three years, while revenues have remained mostly flat. This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.
Industry Trends
Which industries have driven the changes within the Japanese Real Estate sector?
| REITS | 0.56% | |
| Real Estate | -3.51% | |
Industry PE: Investors are most optimistic about the REITS industry which is trading above its 3-year average PE ratio of 23.9x. This is likely because analysts are expecting annual earnings growth of 8.0%, which is higher than its past year's earnings growth of 2.9% per year. Meanwhile, investors are most pessimistic about the Real Estate industry, which is trading close to its 3-year average of 11.7x.
Forecasted Growth: Analysts are most optimistic on the REITS industry, expecting annual earnings growth of 8.0% over the next 5 years. This is better than it's past earnings growth rate of 2.9% per year. Meanwhile, the Real Estate industry is expected to see its earnings grow by 6.8% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | 7D | 1Y | Valuation | |
|---|---|---|---|---|
| 3283 Nippon Prologis REIT | 2.2%+JP¥21.9b | 20.5% | PB2.3x | |
| 3281 GLP J-REIT | 2.3%+JP¥18.9b | 16.6% | PB2x | |
| 8976 Daiwa Office Investment | 3.3%+JP¥11.7b | 22.8% | PB1.5x | |
| 8954 ORIX JREIT | 2.1%+JP¥10.8b | 17.4% | PB1.5x | |
| 3287 Hoshino Resorts REIT | -1.5%JP¥10.5b | 31.5% | PB1.5x |