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Japanese (NIKKEI) Tech Sector Analysis

UpdatedJan 14, 2026
DataAggregated Company Financials
Companies676
  • 7D3.1%
  • 3M17.2%
  • 1Y40.9%
  • YTD4.4%

Over the last 7 days, the Tech industry has risen 3.1%, driven by gains in Tokyo Electron and Advantest of 11% and 12%, respectively. Meanwhile, TDK actually underperformed within the industry, shrinking 5.5% in the last week. This takes the industry's 12 month performance to a gain of 41%. Looking forward, earnings are forecast to grow by 15% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 14 Jan 2026JP¥164.9tJP¥71.7tJP¥5.3t17.6x31x2.3x
Fri, 12 Dec 2025JP¥152.3tJP¥71.6tJP¥5.3t16.7x28.7x2.1x
Sun, 09 Nov 2025JP¥151.2tJP¥71.7tJP¥5.4t17x27.9x2.1x
Tue, 07 Oct 2025JP¥145.0tJP¥70.6tJP¥5.0t17.2x29.1x2.1x
Thu, 04 Sep 2025JP¥128.8tJP¥75.5tJP¥5.1t16.7x25.2x1.7x
Sat, 02 Aug 2025JP¥124.6tJP¥70.8tJP¥5.0t16.9x24.8x1.8x
Mon, 30 Jun 2025JP¥125.5tJP¥70.6tJP¥5.2t16.2x24.1x1.8x
Wed, 28 May 2025JP¥123.3tJP¥75.5tJP¥5.4t15.7x22.9x1.6x
Fri, 25 Apr 2025JP¥111.5tJP¥74.2tJP¥5.6t14.9x20x1.5x
Sun, 23 Mar 2025JP¥121.9tJP¥74.2tJP¥5.5t15.9x22x1.6x
Tue, 18 Feb 2025JP¥130.0tJP¥75.7tJP¥5.9t15.7x22x1.7x
Thu, 16 Jan 2025JP¥124.7tJP¥74.1tJP¥5.3t16.1x23.7x1.7x
Sat, 14 Dec 2024JP¥125.6tJP¥72.5tJP¥5.1t16.7x24.5x1.7x
Mon, 11 Nov 2024JP¥129.1tJP¥72.3tJP¥5.0t16.3x25.7x1.8x
Wed, 09 Oct 2024JP¥128.0tJP¥71.7tJP¥5.1t16.2x25.3x1.8x
Fri, 06 Sep 2024JP¥123.1tJP¥71.8tJP¥5.1t16.4x24.3x1.7x
Sun, 04 Aug 2024JP¥119.8tJP¥71.2tJP¥5.0t15.2x24.1x1.7x
Tue, 02 Jul 2024JP¥137.5tJP¥70.5tJP¥4.8t17.2x28.6x2x
Thu, 30 May 2024JP¥133.3tJP¥70.6tJP¥4.8t16.3x27.7x1.9x
Sat, 27 Apr 2024JP¥129.5tJP¥70.1tJP¥4.7t17x27.7x1.8x
Mon, 25 Mar 2024JP¥139.6tJP¥70.3tJP¥4.6t18x30.6x2x
Wed, 21 Feb 2024JP¥131.6tJP¥70.3tJP¥4.6t17.8x28.9x1.9x
Fri, 19 Jan 2024JP¥123.3tJP¥71.3tJP¥4.8t17.3x25.9x1.7x
Sun, 17 Dec 2023JP¥116.8tJP¥71.3tJP¥4.8t16.7x24.6x1.6x
Tue, 14 Nov 2023JP¥111.6tJP¥70.9tJP¥4.7t16.4x23.5x1.6x
Thu, 12 Oct 2023JP¥107.5tJP¥70.4tJP¥5.0t16.4x21.5x1.5x
Sat, 09 Sep 2023JP¥110.6tJP¥70.4tJP¥5.0t17x22.1x1.6x
Mon, 07 Aug 2023JP¥109.9tJP¥69.6tJP¥5.0t16.1x22x1.6x
Wed, 05 Jul 2023JP¥115.3tJP¥69.6tJP¥5.1t16.7x22.4x1.7x
Fri, 02 Jun 2023JP¥109.7tJP¥69.5tJP¥5.1t15.7x21.3x1.6x
Sun, 30 Apr 2023JP¥97.4tJP¥68.3tJP¥5.2t15.4x18.6x1.4x
Tue, 28 Mar 2023JP¥96.0tJP¥67.7tJP¥5.3t15.4x18.2x1.4x
Thu, 23 Feb 2023JP¥93.3tJP¥68.5tJP¥5.4t15.1x17.4x1.4x
Sat, 21 Jan 2023JP¥92.4tJP¥66.3tJP¥5.4t14.8x17.1x1.4x
Price to Earnings Ratio

17.1x


Total Market Cap: JP¥92.4tTotal Earnings: JP¥5.4tTotal Revenue: JP¥66.3tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese Tech Sector Price to Earnings3Y Average 24.2x202420252026
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 31.0x which is higher than its 3-year average PE of 24.2x.
  • The 3-year average PS ratio of 1.7x is lower than the industry's current PS ratio of 2.3x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have remained mostly flat over the last three years.
  • Meanwhile revenues for these companies have grown 2.6% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.

Industry Trends

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

JP Market1.77%
Tech3.08%
Semiconductors6.66%
Communications3.73%
IT1.97%
Software0.85%
Electronic Equipment and Components0.40%
Tech Hardware-0.25%
Industry PE
  • Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 24.8x.
    • Analysts are expecting annual earnings growth of 19.2%, which is higher than its past year's earnings growth of 8.3% per year.
  • Investors are most pessimistic about the Communications industry, which is trading below its 3-year average of 25.9x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 19% over the next 5 years.
  • This is better than its past earnings growth rate of 8.3% per year.
  • In contrast, the IT industry is expected to see its earnings grow by 8.7% 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
8035 Tokyo ElectronJP¥42.26k10.7%
+JP¥1.9t		64.7%PE35.8x
6857 AdvantestJP¥23.06k11.9%
+JP¥1.8t		153.7%PE64.1x
6861 KeyenceJP¥58.83k4.8%
+JP¥657.2b		-8.7%PE34.9x
6146 DiscoJP¥60.00k7.8%
+JP¥469.5b		36.1%PE51.5x
6702 FujitsuJP¥4.63k6.0%
+JP¥460.1b		72.3%PE29.3x

Latest News

8035
JP¥42,260.00
Tokyo Electron
7D
10.7%
1Y
64.7%

Earnings Not Telling The Story For Tokyo Electron Limited (TSE:8035) After Shares Rise 30%

Jan 13
Earnings Not Telling The Story For Tokyo Electron Limited (TSE:8035) After Shares Rise 30%
6702
JP¥4,634.00
Fujitsu
7D
6.0%
1Y
72.3%
6787
JP¥9,960.00
Meiko Electronics
7D
-6.4%
1Y
14.7%

Meiko Electronics (TSE:6787) Seems To Use Debt Quite Sensibly

Jan 13
Meiko Electronics (TSE:6787) Seems To Use Debt Quite Sensibly
6920
JP¥34,800.00
Lasertec
7D
8.4%
1Y
138.2%

Here's Why We Think Lasertec (TSE:6920) Is Well Worth Watching

Jan 11
Here's Why We Think Lasertec (TSE:6920) Is Well Worth Watching
285A
JP¥13,280.00
Kioxia Holdings
7D
4.6%
1Y
619.4%
6525
JP¥6,121.00
Kokusai Electric
7D
-1.2%
1Y
182.7%
6701
JP¥5,938.00
NEC
7D
6.0%
1Y
130.4%

6701: Future CSG Acquisition Will Raise Risk For Current Shareholders

Analysts have lifted their price target for NEC to about ¥5,000, reflecting updated assumptions for revenue, profit margins and a slightly higher future P/E multiple. What's in the News NEC set consolidated earnings guidance for the year ending March 31, 2026, with expected revenue of ¥3,420b.
4684
JP¥4,843.00
OBICLtd
7D
-0.9%
1Y
7.4%

Risks To Shareholder Returns Are Elevated At These Prices For OBIC Co.,Ltd. (TSE:4684)

Jan 07
Risks To Shareholder Returns Are Elevated At These Prices For OBIC Co.,Ltd. (TSE:4684)
6146
JP¥60,000.00
Disco
7D
7.8%
1Y
36.1%
6762
JP¥2,043.00
TDK
7D
-6.0%
1Y
8.7%

6762: Raised Guidance And Battery Collaboration Will Support Future Upside Potential

Analysts have lifted their fair value estimate for TDK from ¥2,480 to ¥3,200, citing updated assumptions for revenue growth, profit margins and future P/E, even as the stock was recently removed from a conviction list. Analyst Commentary Even with the recent removal of TDK from a major APAC Conviction List, recent fair value work suggests that some research desks still see room for upside if the company delivers on updated revenue and margin assumptions.
4716
JP¥12,515.00
Oracle Corporation Japan
7D
-1.1%
1Y
-12.4%

4716: Future Earnings Power Will Support Upside With Refined Margins And P/E Assumptions

Analysts have maintained their fair value estimate for Oracle Corporation Japan at ¥17,420, while refining inputs such as the discount rate, revenue growth, profit margin, and future P/E assumptions to reflect updated views on the business outlook and risk profile. Valuation Changes Fair Value Estimate: Held steady at ¥17,420, with no change to the overall valuation outcome.
6857
JP¥23,060.00
Advantest
7D
11.9%
1Y
153.7%

6857: Elevated AI Tester Expectations Will Likely Prove Unsustainable

Analysts have raised their price target for Advantest significantly, from approximately ¥6,973 to about ¥10,429. They cited upgraded expectations for revenue growth, structurally higher profit margins, and a slightly lower future price to earnings multiple that still supports a richer fair value.
6861
JP¥58,830.00
Keyence
7D
4.8%
1Y
-8.7%

Keyence Corporation's (TSE:6861) Popularity With Investors Is Under Threat From Overpricing

Jan 03
Keyence Corporation's (TSE:6861) Popularity With Investors Is Under Threat From Overpricing
429A
JP¥3,030.00
Tekscend Photomask
7D
-4.9%
1Y
n/a
4812
JP¥2,515.00
Dentsu Soken
7D
-6.6%
1Y
36.7%
4443
JP¥1,683.00
Sansan
7D
-5.0%
1Y
-28.2%

Do Sansan's (TSE:4443) Earnings Warrant Your Attention?

Dec 17
Do Sansan's (TSE:4443) Earnings Warrant Your Attention?