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Japanese (NIKKEI) Tech Sector Analysis

UpdatedDec 24, 2025
DataAggregated Company Financials
Companies678
  • 7D2.8%
  • 3M10.9%
  • 1Y29.9%
  • YTD29.1%

Last week, the Tech industry hasn't moved much but Tokyo Electron is up 6.6% in that time. The past year has been better, since the industry has gained 29% in that time. Looking forward, 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
Wed, 24 Dec 2025JP¥152.8tJP¥71.7tJP¥5.3t17.3x28.7x2.1x
Fri, 21 Nov 2025JP¥150.7tJP¥71.6tJP¥5.3t16.7x28.4x2.1x
Sun, 19 Oct 2025JP¥140.7tJP¥70.8tJP¥5.0t16.6x28.2x2x
Tue, 16 Sep 2025JP¥137.5tJP¥75.5tJP¥5.1t17.2x26.9x1.8x
Thu, 14 Aug 2025JP¥127.6tJP¥70.8tJP¥5.0t17.1x25.7x1.8x
Sat, 12 Jul 2025JP¥122.6tJP¥70.7tJP¥5.2t16.1x23.5x1.7x
Mon, 09 Jun 2025JP¥123.3tJP¥75.5tJP¥5.4t15.6x22.9x1.6x
Wed, 07 May 2025JP¥116.5tJP¥74.6tJP¥5.5t15.2x21.2x1.6x
Fri, 04 Apr 2025JP¥111.2tJP¥74.2tJP¥5.5t14.8x20.1x1.5x
Sun, 02 Mar 2025JP¥121.6tJP¥74.8tJP¥5.6t15.3x21.8x1.6x
Tue, 28 Jan 2025JP¥128.4tJP¥74.0tJP¥5.3t16.4x24.3x1.7x
Thu, 26 Dec 2024JP¥125.6tJP¥73.9tJP¥5.1t16.5x24.8x1.7x
Sat, 23 Nov 2024JP¥123.8tJP¥72.5tJP¥5.1t16.8x24.3x1.7x
Mon, 21 Oct 2024JP¥126.1tJP¥71.8tJP¥5.1t15.9x24.9x1.8x
Wed, 18 Sep 2024JP¥121.3tJP¥70.9tJP¥5.0t16.2x24.2x1.7x
Fri, 16 Aug 2024JP¥124.1tJP¥71.8tJP¥5.0t15.6x24.7x1.7x
Sun, 14 Jul 2024JP¥142.6tJP¥70.7tJP¥4.8t17.8x29.5x2x
Tue, 11 Jun 2024JP¥134.4tJP¥70.5tJP¥4.8t16.7x28x1.9x
Thu, 09 May 2024JP¥132.5tJP¥70.2tJP¥4.7t17.2x28.3x1.9x
Sat, 06 Apr 2024JP¥132.7tJP¥69.9tJP¥4.5t17.2x29.2x1.9x
Mon, 04 Mar 2024JP¥137.6tJP¥70.3tJP¥4.6t17.8x30.2x2x
Wed, 31 Jan 2024JP¥126.6tJP¥71.3tJP¥4.8t17.8x26.6x1.8x
Fri, 29 Dec 2023JP¥119.5tJP¥71.3tJP¥4.8t17x25.1x1.7x
Sun, 26 Nov 2023JP¥116.9tJP¥71.1tJP¥4.8t16.9x24.6x1.6x
Tue, 24 Oct 2023JP¥103.9tJP¥70.5tJP¥5.0t15.9x20.8x1.5x
Thu, 21 Sep 2023JP¥109.6tJP¥70.4tJP¥5.0t16.8x21.9x1.6x
Sat, 19 Aug 2023JP¥107.2tJP¥70.2tJP¥5.0t16.2x21.6x1.5x
Mon, 17 Jul 2023JP¥112.3tJP¥69.6tJP¥5.1t16.2x21.8x1.6x
Wed, 14 Jun 2023JP¥114.4tJP¥69.6tJP¥5.1t16.4x22.2x1.6x
Fri, 12 May 2023JP¥100.4tJP¥68.6tJP¥5.3t15.6x19.1x1.5x
Sun, 09 Apr 2023JP¥94.6tJP¥67.7tJP¥5.3t15x17.9x1.4x
Tue, 07 Mar 2023JP¥98.0tJP¥68.5tJP¥5.4t15.4x18.3x1.4x
Thu, 02 Feb 2023JP¥95.3tJP¥67.2tJP¥5.4t15.3x17.6x1.4x
Sat, 31 Dec 2022JP¥87.7tJP¥66.3tJP¥5.4t14.6x16.2x1.3x
Price to Earnings Ratio

16.2x


Total Market Cap: JP¥87.7tTotal Earnings: JP¥5.4tTotal Revenue: JP¥66.3tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese Tech Sector Price to Earnings3Y Average 24x202320242025
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 28.7x which is higher than its 3-year average PE of 24.0x.
  • 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 Market1.62%
Tech2.84%
Semiconductors5.31%
Communications2.97%
Electronic Equipment and Components2.33%
Software1.73%
IT1.06%
Tech Hardware-0.50%
Industry PE
  • Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 24.2x.
    • 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.
  • However this is lower than its past earnings growth rate of 23% per year.
  • 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
8035 Tokyo ElectronJP¥33.34k6.4%
+JP¥926.0b		40.7%PE28.2x
285A Kioxia HoldingsJP¥10.60k14.0%
+JP¥702.8b		537.0%PE36.9x
6857 AdvantestJP¥20.21k3.9%
+JP¥552.8b		124.9%PE56.2x
6861 KeyenceJP¥57.45k3.2%
+JP¥426.8b		-9.4%PE34.1x
4062 IbidenLtdJP¥13.25k13.6%
+JP¥221.3b		194.3%PE52.5x

Latest News

4901
JP¥3,392.00
FUJIFILM Holdings
7D
-0.8%
1Y
4.3%

Here's Why We Think FUJIFILM Holdings (TSE:4901) Might Deserve Your Attention Today

Dec 24
Here's Why We Think FUJIFILM Holdings (TSE:4901) Might Deserve Your Attention Today
8035
JP¥33,340.00
Tokyo Electron
7D
6.4%
1Y
40.7%

Tokyo Electron's (TSE:8035) Dividend Will Be ¥269.00

Dec 24
Tokyo Electron's (TSE:8035) Dividend Will Be ¥269.00
6525
JP¥5,181.00
Kokusai Electric
7D
13.3%
1Y
144.7%
4716
JP¥13,385.00
Oracle Corporation Japan
7D
-1.6%
1Y
-10.3%

4716: Future Earnings Power Will Support Further Upside With Stable Margins And Discount Rate

Analysts have slightly raised their price target for Oracle Corporation Japan to ¥17,420. This reflects modest tweaks to discount rate and valuation assumptions while maintaining their existing expectations for revenue growth, profit margins, and future earnings multiples.
4704
JP¥6,686.00
Trend Micro
7D
-3.0%
1Y
-20.6%
6762
JP¥2,194.50
TDK
7D
-1.3%
1Y
9.6%

Are TDK Corporation (TSE:6762) Investors Paying Above The Intrinsic Value?

Dec 21
Are TDK Corporation (TSE:6762) Investors Paying Above The Intrinsic Value?
6971
JP¥2,182.50
Kyocera
7D
-1.6%
1Y
42.5%

Kyocera (TSE:6971) Is Paying Out A Dividend Of ¥25.00

Dec 20
Kyocera (TSE:6971) Is Paying Out A Dividend Of ¥25.00
4307
JP¥5,992.00
Nomura Research Institute
7D
-1.0%
1Y
28.7%

4307: Financial Platforms And Industrial IT Recovery Will Drive A Balanced Forward Outlook

Analysts have modestly raised their price target for Nomura Research Institute to ¥6,550 from ¥6,579, citing strengthening growth in financial platform services and early signs of recovery in industrial IT that support slightly higher profitability and a sustained premium valuation multiple. Analyst Commentary Bullish analysts point to a more constructive outlook on Nomura Research Institute, driven by improving demand trends and a clearer path to sustainable earnings growth supporting the stock’s premium valuation.
4062
JP¥13,245.00
IbidenLtd
7D
13.6%
1Y
194.3%

Is Now An Opportune Moment To Examine Ibiden Co.,Ltd. (TSE:4062)?

Dec 18
Is Now An Opportune Moment To Examine Ibiden Co.,Ltd. (TSE:4062)?
7735
JP¥14,970.00
SCREEN Holdings
7D
14.3%
1Y
59.1%
6701
JP¥5,393.00
NEC
7D
-1.3%
1Y
96.4%

6701: Future Cloud Expansion And Merger Execution Will Shape Balanced Outlook

Analysts have raised their price target for NEC from ¥5,860 to ¥6,050. This reflects slightly higher assumed revenue growth, modestly improved profit margins, and a marginally richer future P E multiple despite a small uptick in the discount rate.
6857
JP¥20,210.00
Advantest
7D
3.9%
1Y
124.9%

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).
6146
JP¥47,250.00
Disco
7D
3.1%
1Y
12.0%
6981
JP¥3,158.00
Murata Manufacturing
7D
-1.0%
1Y
27.3%
6861
JP¥57,450.00
Keyence
7D
3.2%
1Y
-9.4%

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

Nov 27
Keyence's (TSE:6861) Dividend Will Be ¥275.00
285A
JP¥10,600.00
Kioxia Holdings
7D
14.0%
1Y
537.0%