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Japanese (NIKKEI) IT Industry Analysis

UpdatedSep 10, 2026
DataAggregated Company Financials
Companies218
  • 7D-3.4%
  • 3M13.1%
  • 1Y-5.6%
  • YTD-11.7%

Over the last 7 days, the IT industry has dropped 3.4%, driven by NEC declining 5.7%. In contrast, SAKURA Internet has gained 5.0%. Overall the industry is down 5.6% in 12 months. Earnings are forecast to grow by 12% annually.

Industry Valuation and Performance

Has the Japanese IT Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 10 Sep 2026JP¥26.2tJP¥15.5tJP¥1.2t16.3x22.1x1.7x
Sat, 08 Aug 2026JP¥26.4tJP¥15.5tJP¥1.2t16x22.1x1.7x
Mon, 06 Jul 2026JP¥23.9tJP¥15.2tJP¥1.1t15x21x1.6x
Wed, 03 Jun 2026JP¥25.3tJP¥15.2tJP¥1.1t14.8x22.2x1.7x
Fri, 01 May 2026JP¥23.1tJP¥15.1tJP¥1.1t14.3x20.3x1.5x
Sun, 29 Mar 2026JP¥23.1tJP¥15.1tJP¥1.2t15x19.1x1.5x
Tue, 24 Feb 2026JP¥25.4tJP¥15.9tJP¥1.3t15.8x19.9x1.6x
Thu, 22 Jan 2026JP¥32.2tJP¥15.5tJP¥1.2t17.6x26.9x2.1x
Sat, 20 Dec 2025JP¥32.1tJP¥15.4tJP¥1.2t17.2x26.8x2.1x
Mon, 17 Nov 2025JP¥32.4tJP¥15.4tJP¥1.2t17.5x27.2x2.1x
Wed, 15 Oct 2025JP¥28.6tJP¥15.3tJP¥1.0t17.4x27.5x1.9x
Fri, 12 Sep 2025JP¥35.4tJP¥19.9tJP¥1.2t17.7x29.9x1.8x
Sun, 10 Aug 2025JP¥29.5tJP¥15.2tJP¥1.0t17.6x28.5x1.9x
Tue, 08 Jul 2025JP¥27.9tJP¥15.0tJP¥979.2b17x28.5x1.9x
Thu, 05 Jun 2025JP¥32.9tJP¥19.6tJP¥1.1t17.4x29.4x1.7x
Sat, 03 May 2025JP¥29.7tJP¥19.5tJP¥1.1t17.3x26.6x1.5x
Mon, 31 Mar 2025JP¥28.6tJP¥19.5tJP¥1.2t17.4x23.2x1.5x
Wed, 26 Feb 2025JP¥29.0tJP¥20.1tJP¥1.3t17.2x23x1.4x
Fri, 24 Jan 2025JP¥27.6tJP¥19.8tJP¥1.1t17.4x24.5x1.4x
Sun, 22 Dec 2024JP¥28.1tJP¥19.8tJP¥1.1t18x25.1x1.4x
Tue, 19 Nov 2024JP¥27.5tJP¥19.8tJP¥1.1t17.6x24.6x1.4x
Thu, 17 Oct 2024JP¥27.8tJP¥19.7tJP¥1.1t17.5x24.8x1.4x
Sat, 14 Sep 2024JP¥26.9tJP¥19.7tJP¥1.1t17.4x23.9x1.4x
Mon, 12 Aug 2024JP¥24.0tJP¥19.7tJP¥1.1t16x21x1.2x
Wed, 10 Jul 2024JP¥25.9tJP¥19.5tJP¥1.1t18.8x23x1.3x
Fri, 07 Jun 2024JP¥24.1tJP¥19.5tJP¥1.1t16.8x21.5x1.2x
Sun, 05 May 2024JP¥24.3tJP¥19.3tJP¥1.1t18.6x21.7x1.3x
Tue, 02 Apr 2024JP¥24.8tJP¥19.2tJP¥964.2b19x25.8x1.3x
Thu, 29 Feb 2024JP¥24.9tJP¥19.2tJP¥965.2b18.8x25.8x1.3x
Sat, 27 Jan 2024JP¥24.7tJP¥19.6tJP¥1.0t18.9x23.7x1.3x
Mon, 25 Dec 2023JP¥23.8tJP¥19.6tJP¥1.0t17.9x22.9x1.2x
Wed, 22 Nov 2023JP¥23.6tJP¥19.6tJP¥1.0t18.3x22.9x1.2x
Fri, 20 Oct 2023JP¥22.0tJP¥18.9tJP¥1.0t17.8x21.5x1.2x
Sun, 17 Sep 2023JP¥24.0tJP¥18.8tJP¥1.0t18.9x23.5x1.3x
Price to Earnings Ratio

23.5x


Total Market Cap: JP¥24.0tTotal Earnings: JP¥1.0tTotal Revenue: JP¥18.8tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese IT Industry Price to Earnings3Y Average 24.2x202420252026
Current Industry PE
  • Investors are relatively neutral on the Japanese IT industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 24.2x.
  • The 3-year average PS ratio of 1.5x is lower than the industry's current PS ratio of 1.7x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 5.1% per year over the last three years.
  • Meanwhile revenues for these companies have declined 6.2% per year.
  • This means that less sales are being generated overall, but since cost of doing business is lower, profits have been increasing.

Industry Trends

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

JP Market-0.49%
Tech0.94%
IT-3.42%
Data Processing Services-0.96%
Internet Services and Infrastructure-2.54%
IT Consulting-3.45%
Industry PE
  • Investors are most optimistic about the Internet Services and Infrastructure industry even though it's trading below its 3-year average PE ratio of 35.8x.
    • Analysts are expecting annual earnings growth of 15.4%, which is higher than its past year's earnings growth of 11.3% per year.
  • Investors are most pessimistic about the Data Processing Services industry, which is trading close to its 3-year average of 16.9x.
Forecasted Growth
  • Analysts are most optimistic on the Data Processing Services industry, expecting annual earnings growth of 17% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the IT Consulting industry is expected to see its earnings grow by 12% 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
3778 SAKURA InternetJP¥3.78k7.7%
+JP¥10.8b		29.9%PE108.4x
4819 Digital GarageJP¥2.24k4.6%
+JP¥4.5b		-41.8%PE75.5x
4259 ExaWizardsJP¥827.003.4%
+JP¥2.6b		53.4%PE50.7x
4475 Hennge K.KJP¥1.65k4.8%
+JP¥2.3b		-7.6%PE31x
4417 Global Security ExpertsJP¥4.42k3.5%
+JP¥2.3b		37.8%PE41.2x

Latest News

6701
JP¥4,557.00
NEC
7D
-3.6%
1Y
-0.4%
Narrative Update • Sep 09

6701: AI Cancer Vaccine Breakthrough And Conviction Listing Will Support Stronger Share Price

Analysts have raised their price target on NEC to about ¥6,160 from roughly ¥6,010, citing updated assumptions for revenue growth, profit margins and future P/E, along with NEC's recent inclusion on an APAC Conviction List by a major broker. What's in the News for NEC Transgene and NEC reported 100% three year disease free survival in 16 patients treated with TG4050 in a Phase 1 trial for HPV negative head and neck squamous cell carcinoma, compared with three relapses in 16 patients in the control arm after a median follow up of 41 months.
4768
JP¥3,498.00
Otsuka
7D
-3.0%
1Y
10.3%
3626
JP¥3,859.00
TISI
7D
-3.5%
1Y
-25.1%
4373
JP¥1,111.00
Simplex Holdings
7D
-6.7%
1Y
-0.6%
4419
JP¥1,351.00
Finatext Holdings
7D
2.6%
1Y
11.7%
3778
JP¥3,780.00
SAKURA Internet
7D
7.7%
1Y
29.9%
4475
JP¥1,651.00
Hennge K.K
7D
4.8%
1Y
-7.6%
4307
JP¥4,888.00
Nomura Research Institute
7D
-5.4%
1Y
-17.1%
Narrative Update • Aug 20

4307: Share Buybacks And Higher Dividend Will Support Future Upside

Analysts have nudged their price target on Nomura Research Institute higher from about ¥5,675 to roughly ¥5,796, reflecting updated assumptions for fair value, discount rate, revenue growth, profit margin and future P/E. What’s in the News for Nomura Research Institute Nomura Research Institute issued consolidated earnings guidance for the fiscal year ending 31 March 2027, with expected revenue of ¥850,000 million, operating profit of ¥175,000 million, profit attributable to owners of parent of ¥119,000 million and basic earnings per share of ¥209.46.
4819
JP¥2,243.00
Digital Garage
7D
4.6%
1Y
-41.8%
4259
JP¥827.00
ExaWizards
7D
3.4%
1Y
53.4%
4417
JP¥4,415.00
Global Security Experts
7D
3.5%
1Y
37.8%
5254
JP¥4,175.00
Arent
7D
7.5%
1Y
-16.7%
2327
JP¥3,816.00
NS Solutions
7D
-4.5%
1Y
3.6%
4684
JP¥4,893.00
OBICLtd
7D
-3.5%
1Y
-9.9%
446A
JP¥1,935.00
Northsand
7D
-10.5%
1Y
n/a
5586
JP¥952.00
Laboro.AI
7D
7.8%
1Y
-7.2%