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Japanese (NIKKEI) Tech Sector Analysis

UpdatedDec 16, 2025
DataAggregated Company Financials
Companies674
  • 7D-1.4%
  • 3M13.5%
  • 1Y24.6%
  • YTD27.7%

Over the last 7 days, the Tech industry has dropped 1.4%, driven by a pullback from Tokyo Electron of 7.8%. In the past year, the industry has gained 25%. Earnings are forecast to grow by 14% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 16 Dec 2025JP¥151.2tJP¥71.7tJP¥5.3t17.1x28.5x2.1x
Thu, 13 Nov 2025JP¥154.1tJP¥71.6tJP¥5.4t17.2x28.6x2.2x
Sat, 11 Oct 2025JP¥142.2tJP¥70.6tJP¥5.0t16.9x28.6x2x
Mon, 08 Sep 2025JP¥130.7tJP¥75.5tJP¥5.1t17x25.5x1.7x
Wed, 06 Aug 2025JP¥124.4tJP¥70.9tJP¥5.0t16.8x24.9x1.8x
Fri, 04 Jul 2025JP¥123.3tJP¥70.6tJP¥5.2t15.9x23.7x1.7x
Sun, 01 Jun 2025JP¥123.7tJP¥75.5tJP¥5.4t15.9x23x1.6x
Tue, 29 Apr 2025JP¥114.3tJP¥74.2tJP¥5.4t15.3x21.1x1.5x
Thu, 27 Mar 2025JP¥121.7tJP¥74.2tJP¥5.5t15.9x21.9x1.6x
Sat, 22 Feb 2025JP¥129.2tJP¥74.8tJP¥5.6t15.4x23.2x1.7x
Mon, 20 Jan 2025JP¥125.3tJP¥74.1tJP¥5.3t16x23.8x1.7x
Wed, 18 Dec 2024JP¥125.5tJP¥73.1tJP¥5.0t16.6x25x1.7x
Fri, 15 Nov 2024JP¥124.3tJP¥72.4tJP¥5.1t16.3x24.5x1.7x
Sun, 13 Oct 2024JP¥129.1tJP¥71.7tJP¥5.1t16.3x25.6x1.8x
Tue, 10 Sep 2024JP¥120.8tJP¥71.8tJP¥5.1t16.3x23.8x1.7x
Thu, 08 Aug 2024JP¥118.4tJP¥71.3tJP¥4.9t14.7x23.9x1.7x
Sat, 06 Jul 2024JP¥142.6tJP¥70.7tJP¥4.8t17.5x29.5x2x
Mon, 03 Jun 2024JP¥132.8tJP¥70.5tJP¥4.8t16.6x27.6x1.9x
Wed, 01 May 2024JP¥131.0tJP¥70.1tJP¥4.7t17x28.2x1.9x
Fri, 29 Mar 2024JP¥137.3tJP¥70.3tJP¥4.6t18.1x30.1x2x
Sun, 25 Feb 2024JP¥134.3tJP¥70.3tJP¥4.6t17.5x29.5x1.9x
Tue, 23 Jan 2024JP¥128.1tJP¥71.3tJP¥4.8t17.7x26.9x1.8x
Thu, 21 Dec 2023JP¥118.4tJP¥71.3tJP¥4.8t16.8x24.9x1.7x
Sat, 18 Nov 2023JP¥116.5tJP¥71.0tJP¥4.8t16.8x24.5x1.6x
Mon, 16 Oct 2023JP¥108.8tJP¥70.5tJP¥5.0t16.3x21.8x1.5x
Wed, 13 Sep 2023JP¥109.8tJP¥70.4tJP¥5.0t17x22x1.6x
Fri, 11 Aug 2023JP¥109.3tJP¥70.2tJP¥5.0t16.4x21.8x1.6x
Sun, 09 Jul 2023JP¥111.4tJP¥69.6tJP¥5.1t16.3x21.7x1.6x
Tue, 06 Jun 2023JP¥112.6tJP¥69.5tJP¥5.1t16.2x21.9x1.6x
Thu, 04 May 2023JP¥99.4tJP¥68.3tJP¥5.3t15.5x18.9x1.5x
Sat, 01 Apr 2023JP¥98.2tJP¥67.7tJP¥5.3t15.6x18.6x1.5x
Mon, 27 Feb 2023JP¥95.2tJP¥68.5tJP¥5.4t15.1x17.8x1.4x
Wed, 25 Jan 2023JP¥95.5tJP¥66.3tJP¥5.4t15x17.7x1.4x
Fri, 23 Dec 2022JP¥89.4tJP¥66.3tJP¥5.4t14.6x16.5x1.3x
Price to Earnings Ratio

16.5x


Total Market Cap: JP¥89.4tTotal Earnings: JP¥5.4tTotal Revenue: JP¥66.3tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese Tech Sector Price to Earnings3Y Average 23.9x202320242025
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 28.5x which is higher than its 3-year average PE of 23.9x.
  • The 3-year average PS ratio of 1.7x is lower than the industry's current PS ratio of 2.1x.
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 Market1.27%
Tech-1.39%
Tech Hardware4.40%
Communications1.51%
IT0.46%
Software-0.47%
Electronic Equipment and Components-0.78%
Semiconductors-4.33%
Industry PE
  • Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 24.0x.
    • Analysts are expecting annual earnings growth of 17.8%, 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 25.8x.
Forecasted Growth
  • Analysts are most optimistic on the Software industry, expecting annual earnings growth of 18% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the IT industry is expected to see its earnings grow by 8.5% 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
6861 KeyenceJP¥55.70k2.7%
+JP¥351.7b		-13.5%PE33x
4901 FUJIFILM HoldingsJP¥3.46k4.6%
+JP¥184.4b		2.4%PE15.4x
6702 FujitsuJP¥4.19k2.3%
+JP¥167.3b		51.2%PE26.6x
6971 KyoceraJP¥2.23k3.2%
+JP¥93.8b		46.3%PE70.1x
7751 CanonJP¥4.73k2.1%
+JP¥86.1b		-5.5%PE25.8x

Latest News

6702
JP¥4,190.00
Fujitsu
7D
2.3%
1Y
51.2%
6971
JP¥2,230.50
Kyocera
7D
3.2%
1Y
46.3%
6762
JP¥2,225.50
TDK
7D
-6.6%
1Y
8.5%

6762: Battery Partnership Will Drive Stronger Outlook And Supportive Dividend Policy

Analysts have raised their price target on TDK by approximately ¥50 to reflect slightly stronger expectations for revenue growth, modestly higher profit margins, and a richer forward earnings multiple. Together, these factors support a higher fair value estimate.
6857
JP¥19,175.00
Advantest
7D
-5.3%
1Y
121.3%

6857: New Test Platforms Will Support Future Returns At A Fair Price

Analysts have modestly raised their price target on Advantest to approximately ¥19,218, citing a slightly higher assumed discount rate while maintaining largely unchanged expectations for long term revenue growth, profit margins, and future valuation multiples. What's in the News Launched the T2000 AiR2X next generation air cooled SoC test system, doubling test resources versus the prior AiR platform while remaining compatible with existing T2000 installations and targeting high mix, low volume and legacy system replacement demand (company announcement).
6920
JP¥29,445.00
Lasertec
7D
-10.5%
1Y
90.2%
8035
JP¥30,970.00
Tokyo Electron
7D
-7.8%
1Y
29.9%

8035: Rising Guidance And Dividends Will Likely Fail To Justify Current Price

Analysts have raised their price target on Tokyo Electron from ¥21,700 to ¥25,700, citing higher expected revenue growth and a richer future earnings multiple, despite a slightly higher discount rate and stable profit margins. What's in the News The company raised full year fiscal 2026 consolidated guidance and now expects net sales of JPY 2,380,000 million, operating income of JPY 586,000 million, and net income attributable to owners of parent of JPY 488,000 million, up from prior forecasts (company guidance).
4901
JP¥3,460.00
FUJIFILM Holdings
7D
4.6%
1Y
2.4%

FUJIFILM Holdings Corporation's (TSE:4901) Earnings Haven't Escaped The Attention Of Investors

Dec 10
FUJIFILM Holdings Corporation's (TSE:4901) Earnings Haven't Escaped The Attention Of Investors
6146
JP¥46,320.00
Disco
7D
-6.7%
1Y
12.2%
4716
JP¥13,615.00
Oracle Corporation Japan
7D
1.9%
1Y
-5.7%

4716: Future Earnings Power Will Support Further Upside Despite Higher Discount Rate

Analysts have modestly raised their price target on Oracle Corporation Japan, citing a slightly higher discount rate and future price-to-earnings assumptions that support a fair value estimate of ¥17,420.00. Valuation Changes Fair Value Estimate is unchanged at approximately ¥17,420.00, indicating no material revision to the intrinsic value assessment.
3626
JP¥5,339.00
TIS
7D
3.9%
1Y
37.6%

TIS' (TSE:3626) Dividend Will Be ¥38.00

Dec 06
TIS' (TSE:3626) Dividend Will Be ¥38.00
6981
JP¥3,186.00
Murata Manufacturing
7D
-6.3%
1Y
29.4%
2327
JP¥4,362.00
NS Solutions
7D
5.4%
1Y
6.4%

NS Solutions (TSE:2327) Has Announced A Dividend Of ¥40.00

Dec 02
NS Solutions (TSE:2327) Has Announced A Dividend Of ¥40.00
6701
JP¥5,409.00
NEC
7D
-3.8%
1Y
106.2%

6701: Earnings and Merger Activity Will Guide Future Market Performance

Analysts have raised their fair value estimate for NEC from ¥5,445 to ¥5,860, citing modest improvements in profit margin expectations and future earnings multiples, even though revenue growth projections are slightly lower. What's in the News Broadcom announced plans to expand its strategic partnership with NEC Corporation, adopting VMware Cloud Foundation to modernize private cloud solutions and offer flexible hybrid cloud resources to customers (Client Announcements).
7751
JP¥4,733.00
Canon
7D
2.1%
1Y
-5.5%

Is Canon Inc. (TSE:7751) Trading At A 24% Discount?

Nov 30
Is Canon Inc. (TSE:7751) Trading At A 24% Discount?
6861
JP¥55,700.00
Keyence
7D
2.7%
1Y
-13.5%

Keyence's (TSE:6861) Dividend Will Be ¥275.00

Nov 27
Keyence's (TSE:6861) Dividend Will Be ¥275.00
285A
JP¥8,688.00
Kioxia Holdings
7D
-12.0%
1Y
n/a