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Japanese (NIKKEI) Tech Sector Analysis

UpdatedJul 09, 2026
DataAggregated Company Financials
Companies665
  • 7D-11.8%
  • 3M41.0%
  • 1Y101.7%
  • YTD56.7%

Over the last 7 days, the Tech industry has dropped 12%, driven by a pullback from Murata Manufacturing of 13%. In the past year, the industry has gained 102%. As for the next few years, earnings are expected to grow by 20% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 09 Jul 2026JP¥242.7tJP¥73.8tJP¥6.3t16.2x38.5x3.3x
Sat, 06 Jun 2026JP¥246.6tJP¥74.0tJP¥6.3t16.2x39x3.3x
Mon, 04 May 2026JP¥191.9tJP¥72.3tJP¥5.8t15.8x33x2.7x
Wed, 01 Apr 2026JP¥151.5tJP¥72.3tJP¥5.6t15.5x27x2.1x
Fri, 27 Feb 2026JP¥180.8tJP¥73.1tJP¥5.7t16.7x31.8x2.5x
Sun, 25 Jan 2026JP¥170.7tJP¥71.7tJP¥5.3t17.9x32x2.4x
Tue, 23 Dec 2025JP¥152.6tJP¥71.7tJP¥5.3t17.2x28.7x2.1x
Thu, 20 Nov 2025JP¥146.1tJP¥71.6tJP¥5.3t16.5x27.5x2x
Sat, 18 Oct 2025JP¥140.7tJP¥70.8tJP¥5.0t16.6x28.2x2x
Mon, 15 Sep 2025JP¥137.5tJP¥75.5tJP¥5.1t17.1x26.8x1.8x
Wed, 13 Aug 2025JP¥126.6tJP¥70.8tJP¥5.0t17x25.5x1.8x
Fri, 11 Jul 2025JP¥122.6tJP¥70.7tJP¥5.2t16.1x23.5x1.7x
Sun, 08 Jun 2025JP¥123.3tJP¥75.5tJP¥5.4t15.6x22.9x1.6x
Tue, 06 May 2025JP¥116.5tJP¥74.6tJP¥5.5t15.2x21.2x1.6x
Thu, 03 Apr 2025JP¥114.9tJP¥74.2tJP¥5.5t15.2x20.7x1.5x
Sat, 01 Mar 2025JP¥121.6tJP¥74.8tJP¥5.6t15.3x21.8x1.6x
Mon, 27 Jan 2025JP¥129.9tJP¥74.0tJP¥5.3t16.5x24.6x1.8x
Wed, 25 Dec 2024JP¥125.5tJP¥73.9tJP¥5.1t16.4x24.8x1.7x
Fri, 22 Nov 2024JP¥122.9tJP¥72.5tJP¥5.1t16.5x24.2x1.7x
Sun, 20 Oct 2024JP¥126.1tJP¥71.8tJP¥5.1t15.9x24.9x1.8x
Tue, 17 Sep 2024JP¥122.6tJP¥71.7tJP¥5.1t16.2x24.3x1.7x
Thu, 15 Aug 2024JP¥124.2tJP¥71.8tJP¥5.0t15.5x24.6x1.7x
Sat, 13 Jul 2024JP¥142.6tJP¥70.7tJP¥4.8t17.6x29.5x2x
Mon, 10 Jun 2024JP¥133.0tJP¥70.5tJP¥4.8t16.4x27.7x1.9x
Wed, 08 May 2024JP¥134.2tJP¥70.2tJP¥4.7t17.2x28.5x1.9x
Fri, 05 Apr 2024JP¥136.3tJP¥69.9tJP¥4.5t17.4x30x1.9x
Sun, 03 Mar 2024JP¥137.4tJP¥70.3tJP¥4.6t17.8x30.2x2x
Tue, 30 Jan 2024JP¥126.0tJP¥71.4tJP¥4.8t17.8x26.4x1.8x
Thu, 28 Dec 2023JP¥119.9tJP¥71.3tJP¥4.8t16.9x25.2x1.7x
Sat, 25 Nov 2023JP¥116.9tJP¥71.1tJP¥4.8t16.9x24.6x1.6x
Mon, 23 Oct 2023JP¥105.3tJP¥70.5tJP¥5.0t16.1x21.1x1.5x
Wed, 20 Sep 2023JP¥109.9tJP¥70.4tJP¥5.0t17x22x1.6x
Fri, 18 Aug 2023JP¥107.5tJP¥70.2tJP¥5.0t16.4x21.6x1.5x
Sun, 16 Jul 2023JP¥112.3tJP¥69.6tJP¥5.1t16.3x21.8x1.6x
Price to Earnings Ratio

21.8x


Total Market Cap: JP¥112.3tTotal Earnings: JP¥5.1tTotal Revenue: JP¥69.6tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese Tech Sector Price to Earnings3Y Average 26.6x202420252026
Current Industry PE
  • Investors are optimistic on the Japanese Information Technology industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 38.5x which is higher than its 3-year average PE of 26.6x.
  • The 3-year average PS ratio of 1.9x is lower than the industry's current PS ratio of 3.3x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 7.0% 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 Tech sector?

JP Market-0.47%
Tech-11.80%
IT7.80%
Software5.99%
Tech Hardware3.56%
Communications0.28%
Electronic Equipment and Components-14.37%
Semiconductors-15.30%
Industry PE
  • Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 31.7x.
    • Analysts are expecting annual earnings growth of 24.6%, which is higher than its past year's earnings growth of 6.9% per year.
  • Investors are most pessimistic about the Tech Hardware industry, which is trading below its 3-year average of 18.0x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 25% over the next 5 years.
  • This is better than its past earnings growth rate of 6.9% per year.
  • In contrast, the Communications 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?

CompanyLast Price7D1YValuation
285A Kioxia HoldingsJP¥77.86k2.1%
+JP¥875.6b		2,945.0%PE76.8x
6857 AdvantestJP¥29.16k1.2%
+JP¥249.8b		159.3%PE56.2x
6701 NECJP¥4.39k4.4%
+JP¥246.7b		13.5%PE21.5x
6963 ROHMJP¥5.56k6.6%
+JP¥133.2b		192.3%PS4.5x
4307 Nomura Research InstituteJP¥5.02k3.8%
+JP¥98.2b		-5.9%PE177.5x

Latest News

6702
JP¥3,392.00
Fujitsu
7D
1.4%
1Y
4.1%
6146
JP¥71,510.00
Disco
7D
-7.0%
1Y
66.3%
6920
JP¥43,020.00
Lasertec
7D
-9.9%
1Y
129.6%
8035
JP¥71,060.00
Tokyo Electron
7D
-2.6%
1Y
165.5%
6976
JP¥14,680.00
Taiyo Yuden
7D
-28.0%
1Y
470.1%
6525
JP¥10,810.00
Kokusai Electric
7D
3.6%
1Y
231.9%
Narrative Update • Jul 07

6525: Guidance Upside Already Reflected As Revaluation Potential Looks Stretched

Analysts have lifted their fair value estimate for Kokusai Electric from ¥6,934.55 to ¥8,726.36, citing updated assumptions on revenue growth, profit margins and future P/E. These assumptions align with a recent Street price target of ¥9,500, where potential guidance upside is already seen as reflected in the share price.
6857
JP¥29,160.00
Advantest
7D
1.2%
1Y
159.3%
Narrative Update • Jul 06

6857: Silicon Photonics And AI Test Expansion Will Drive Future Upside

Analysts have raised their price target on Advantest from ¥41,000 to ¥42,400, citing updated assumptions on revenue growth, profit margins, and future P/E that are consistent with recent Street research upgrades. What's in the News Advantest and OpenLight plan to develop silicon photonics test solutions for high volume manufacturing, targeting electro optical devices used in next generation AI and high performance computing workloads, with an aim to support wider adoption of optical interconnects in data centers and high speed networking (source: Advantest and OpenLight announcement).
6762
JP¥3,382.00
TDK
7D
-7.6%
1Y
109.3%
Narrative Update • Jul 06

6762: Legal Overhang From Antitrust Class Action Will Restrain Future Upside

Analysts have raised their price target on TDK from ¥1,721 to ¥1,900, reflecting updated assumptions around revenue growth, profit margins, a modestly lower discount rate, and a slightly reduced future P/E multiple. What's in the News for TDK TDK is referenced alongside Vishay Intertechnology in recent coverage of the automotive semiconductor sector, with TDK expanding its presence in automotive electronics and AI infrastructure related products.
285A
JP¥77,860.00
Kioxia Holdings
7D
2.1%
1Y
2,945.0%
6963
JP¥5,556.00
ROHM
7D
6.6%
1Y
192.3%
6701
JP¥4,386.00
NEC
7D
4.4%
1Y
13.5%
6861
JP¥75,600.00
Keyence
7D
-6.0%
1Y
36.3%
4062
JP¥19,520.00
IbidenLtd
7D
-16.7%
1Y
517.1%
6981
JP¥9,475.00
Murata Manufacturing
7D
-12.9%
1Y
344.6%
4684
JP¥4,116.00
OBICLtd
7D
4.6%
1Y
-25.2%
4307
JP¥5,018.00
Nomura Research Institute
7D
3.8%
1Y
-5.9%
Narrative Update • Jun 23

4307: Share Buybacks And Higher Dividend Will Support Future Upside

Analysts have trimmed their price target for Nomura Research Institute slightly to ¥5,675 from ¥5,730, reflecting updated assumptions around discount rates, modest revenue growth expectations, a steady profit margin profile, and a lower future P/E multiple. What's in the News Nomura Research Institute has scheduled a board meeting on April 24, 2026 to consider the purchase of treasury shares, according to a company announcement.