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Japanese (NIKKEI) IT Industry Analysis

UpdatedMay 31, 2026
DataAggregated Company Financials
Companies219
  • 7D0.5%
  • 3M-2.9%
  • 1Y-6.6%
  • YTD-19.8%

Over the last 7 days, the IT industry has remained flat, although notably Nomura Research Institute gained 6.9%. Unfortunately though, the industry is down 6.6% over the past 12 months. As for the next few years, earnings are expected to grow by 11% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 31 May 2026JP¥23.9tJP¥15.2tJP¥1.1t14.6x21x1.6x
Tue, 28 Apr 2026JP¥25.1tJP¥15.1tJP¥1.1t14.6x22.4x1.7x
Thu, 26 Mar 2026JP¥23.3tJP¥15.1tJP¥1.2t15.1x19.3x1.5x
Sat, 21 Feb 2026JP¥25.4tJP¥15.9tJP¥1.3t15.8x19.9x1.6x
Mon, 19 Jan 2026JP¥32.9tJP¥15.5tJP¥1.2t17.9x27.5x2.1x
Wed, 17 Dec 2025JP¥31.7tJP¥15.4tJP¥1.2t17.1x26.4x2.1x
Fri, 14 Nov 2025JP¥32.3tJP¥15.4tJP¥1.2t17.2x27.5x2.1x
Sun, 12 Oct 2025JP¥29.4tJP¥15.3tJP¥1.0t17.8x28.2x1.9x
Tue, 09 Sep 2025JP¥34.7tJP¥19.9tJP¥1.2t17.8x29.3x1.7x
Thu, 07 Aug 2025JP¥29.5tJP¥15.2tJP¥1.0t17.9x28.4x1.9x
Sat, 05 Jul 2025JP¥27.7tJP¥15.0tJP¥979.1b17x28.3x1.9x
Mon, 02 Jun 2025JP¥32.9tJP¥19.6tJP¥1.1t17.4x29.4x1.7x
Wed, 30 Apr 2025JP¥29.0tJP¥19.3tJP¥1.1t17.3x26.3x1.5x
Fri, 28 Mar 2025JP¥28.3tJP¥19.5tJP¥1.2t17.4x22.9x1.5x
Sun, 23 Feb 2025JP¥29.4tJP¥20.1tJP¥1.3t17.4x23.3x1.5x
Tue, 21 Jan 2025JP¥27.3tJP¥19.8tJP¥1.1t17.4x24.3x1.4x
Thu, 19 Dec 2024JP¥28.2tJP¥19.8tJP¥1.1t18.4x25.3x1.4x
Sat, 16 Nov 2024JP¥27.7tJP¥19.8tJP¥1.1t17.3x24.8x1.4x
Mon, 14 Oct 2024JP¥28.1tJP¥19.7tJP¥1.1t17.7x25x1.4x
Wed, 11 Sep 2024JP¥26.9tJP¥19.8tJP¥1.1t17.7x23.8x1.4x
Fri, 09 Aug 2024JP¥23.7tJP¥19.7tJP¥1.1t15.9x20.8x1.2x
Sun, 07 Jul 2024JP¥26.0tJP¥19.5tJP¥1.1t18.5x23.1x1.3x
Tue, 04 Jun 2024JP¥24.0tJP¥19.5tJP¥1.1t16.9x21.4x1.2x
Thu, 02 May 2024JP¥24.3tJP¥19.3tJP¥1.1t18.6x21.7x1.3x
Sat, 30 Mar 2024JP¥25.2tJP¥19.2tJP¥964.4b19.6x26.1x1.3x
Mon, 26 Feb 2024JP¥24.3tJP¥19.2tJP¥965.2b18.5x25.2x1.3x
Wed, 24 Jan 2024JP¥25.2tJP¥19.6tJP¥1.0t18.7x24.3x1.3x
Fri, 22 Dec 2023JP¥23.7tJP¥19.6tJP¥1.0t18x22.9x1.2x
Sun, 19 Nov 2023JP¥23.5tJP¥19.6tJP¥1.0t17.9x22.6x1.2x
Tue, 17 Oct 2023JP¥22.3tJP¥18.9tJP¥1.0t17.9x21.8x1.2x
Thu, 14 Sep 2023JP¥23.6tJP¥18.8tJP¥1.0t19.2x23.2x1.3x
Sat, 12 Aug 2023JP¥22.6tJP¥18.8tJP¥1.0t18.7x22.2x1.2x
Mon, 10 Jul 2023JP¥22.3tJP¥18.2tJP¥1.0t18.6x21.8x1.2x
Wed, 07 Jun 2023JP¥22.9tJP¥18.2tJP¥1.0t19.1x22.4x1.3x
Price to Earnings Ratio

22.4x


Total Market Cap: JP¥22.9tTotal Earnings: JP¥1.0tTotal Revenue: JP¥18.2tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese IT Industry Price to Earnings3Y Average 24.3x202420252026
Current Industry PE
  • Investors are pessimistic on the Japanese IT industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 21.0x which is lower than its 3-year average PE of 24.3x.
  • The industry is trading close to its 3-year average PS ratio of 1.5x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 3.6% per year over the last three years.
  • Meanwhile revenues for these companies have declined 5.9% 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 Market1.91%
Tech7.67%
IT0.52%
IT Consulting0.60%
Data Processing Services0.12%
Internet Services and Infrastructure-2.02%
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 39.5x.
    • Analysts are expecting annual earnings growth of 17.9%, which is lower than the prior year's growth of 21.2% per year.
  • Investors are most pessimistic about the Data Processing Services industry, which is trading below its 3-year average of 17.1x.
Forecasted Growth
  • Analysts are most optimistic on the Internet Services and Infrastructure 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 Consulting industry is expected to see its earnings grow by 11% 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
4307 Nomura Research InstituteJP¥5.02k6.9%
+JP¥186.7b		-10.0%PE189.1x
6702 FujitsuJP¥3.37k1.8%
+JP¥105.8b		1.5%PE19.3x
3697 SHIFTJP¥701.706.9%
+JP¥11.6b		-58.1%PE21.2x
4419 Finatext HoldingsJP¥1.35k15.0%
+JP¥9.1b		4.0%PE46.3x
4373 Simplex HoldingsJP¥1.06k2.6%
+JP¥6.0b		13.5%PE22.6x

Latest News

4307
JP¥5,022.00
Nomura Research Institute
7D
6.9%
1Y
-10.0%
3778
JP¥3,025.00
SAKURA Internet
7D
3.8%
1Y
-13.1%
4419
JP¥1,349.00
Finatext Holdings
7D
15.0%
1Y
4.0%
3697
JP¥701.70
SHIFT
7D
6.9%
1Y
-58.1%
6702
JP¥3,368.00
Fujitsu
7D
1.8%
1Y
1.5%
4819
JP¥2,034.00
Digital Garage
7D
-6.5%
1Y
-58.8%
2327
JP¥3,485.00
NS Solutions
7D
-2.5%
1Y
-9.9%
9449
JP¥3,285.00
GMO internet group
7D
-3.3%
1Y
-6.4%
4259
JP¥1,201.00
ExaWizards
7D
-5.2%
1Y
158.3%
Analysis Article • May 19

ExaWizards' (TSE:4259) Earnings Are Of Questionable Quality

ExaWizards Inc.'s ( TSE:4259 ) stock was strong after they recently reported robust earnings. However, our analysis...
5036
JP¥1,679.00
Japan Business Systems
7D
-9.0%
1Y
18.2%
4371
JP¥1,428.00
Core Concept Technologies
7D
14.0%
1Y
6.5%
3626
JP¥3,381.00
TIS
7D
-3.1%
1Y
-28.8%
Analysis Article • May 16

Some May Be Optimistic About TIS' (TSE:3626) Earnings

Shareholders appeared unconcerned with TIS Inc.'s ( TSE:3626 ) lackluster earnings report last week. We did some...
4828
JP¥1,051.00
Business Engineering
7D
-10.0%
1Y
9.3%
4373
JP¥1,064.00
Simplex Holdings
7D
2.6%
1Y
13.5%
4722
JP¥1,594.00
Future
7D
2.4%
1Y
-26.0%
4684
JP¥3,989.00
OBICLtd
7D
-3.7%
1Y
-24.3%