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Japanese (NIKKEI) IT Industry Analysis

UpdatedAug 27, 2026
DataAggregated Company Financials
Companies216
  • 7D2.2%
  • 3M11.5%
  • 1Y-2.6%
  • YTD-10.1%

The IT industry is up 2.2% in the last week, with Fujitsu up 3.0%. Meanwhile, SAKURA Internet actually underperformed within the industry, shrinking 9.7% in the last week. The industry has been flat over the past 12 months despite the gain this week. 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, 27 Aug 2026JP¥26.7tJP¥15.5tJP¥1.2t16.6x22.5x1.7x
Sat, 25 Jul 2026JP¥24.3tJP¥15.2tJP¥1.1t15.5x21.3x1.6x
Mon, 22 Jun 2026JP¥22.1tJP¥15.2tJP¥1.1t14.2x19.4x1.5x
Wed, 20 May 2026JP¥24.3tJP¥15.2tJP¥1.1t14.5x21.3x1.6x
Fri, 17 Apr 2026JP¥25.0tJP¥15.1tJP¥1.2t15.1x20.7x1.7x
Sun, 15 Mar 2026JP¥25.9tJP¥15.9tJP¥1.3t14.9x20.3x1.6x
Tue, 10 Feb 2026JP¥27.4tJP¥15.8tJP¥1.3t16.4x21.5x1.7x
Thu, 08 Jan 2026JP¥32.4tJP¥15.4tJP¥1.2t17.6x27x2.1x
Sat, 06 Dec 2025JP¥31.8tJP¥15.4tJP¥1.2t17.2x26.6x2.1x
Mon, 03 Nov 2025JP¥31.6tJP¥15.5tJP¥1.2t17.3x26.8x2x
Wed, 01 Oct 2025JP¥34.5tJP¥19.9tJP¥1.2t18.3x29.1x1.7x
Fri, 29 Aug 2025JP¥34.4tJP¥19.9tJP¥1.2t17.4x29.1x1.7x
Sun, 27 Jul 2025JP¥27.7tJP¥15.0tJP¥983.6b17.6x28.2x1.8x
Tue, 24 Jun 2025JP¥27.7tJP¥15.0tJP¥979.4b16.8x28.3x1.9x
Thu, 22 May 2025JP¥32.2tJP¥19.6tJP¥1.1t17x28.7x1.6x
Sat, 19 Apr 2025JP¥28.2tJP¥19.5tJP¥1.2t16.4x22.8x1.4x
Mon, 17 Mar 2025JP¥28.8tJP¥20.0tJP¥1.3t16.8x22.8x1.4x
Wed, 12 Feb 2025JP¥29.8tJP¥20.0tJP¥1.3t17.7x23.7x1.5x
Fri, 10 Jan 2025JP¥27.9tJP¥19.8tJP¥1.1t17.7x24.9x1.4x
Sun, 08 Dec 2024JP¥28.0tJP¥19.8tJP¥1.1t17.9x24.9x1.4x
Tue, 05 Nov 2024JP¥26.3tJP¥19.7tJP¥1.1t17.2x23.5x1.3x
Thu, 03 Oct 2024JP¥28.4tJP¥19.7tJP¥1.1t18x25.3x1.4x
Sat, 31 Aug 2024JP¥26.5tJP¥19.7tJP¥1.1t17.7x23.4x1.3x
Mon, 29 Jul 2024JP¥25.7tJP¥19.6tJP¥1.1t18.2x22.5x1.3x
Wed, 26 Jun 2024JP¥25.1tJP¥19.5tJP¥1.1t17.8x22.4x1.3x
Fri, 24 May 2024JP¥24.2tJP¥19.5tJP¥1.1t17x21.5x1.2x
Sun, 21 Apr 2024JP¥23.9tJP¥19.2tJP¥965.5b17.9x24.7x1.2x
Tue, 19 Mar 2024JP¥25.6tJP¥19.2tJP¥964.4b19.6x26.5x1.3x
Thu, 15 Feb 2024JP¥24.0tJP¥19.2tJP¥963.2b18.4x24.9x1.3x
Sat, 13 Jan 2024JP¥25.0tJP¥19.6tJP¥1.0t18.6x24.1x1.3x
Mon, 11 Dec 2023JP¥23.4tJP¥19.6tJP¥1.0t18x22.6x1.2x
Wed, 08 Nov 2023JP¥22.5tJP¥19.4tJP¥1.0t17.9x22.2x1.2x
Fri, 06 Oct 2023JP¥22.8tJP¥18.8tJP¥1.0t17.9x22.3x1.2x
Sun, 03 Sep 2023JP¥23.5tJP¥18.8tJP¥1.0t19.3x23.1x1.2x
Price to Earnings Ratio

23.1x


Total Market Cap: JP¥23.5tTotal 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 6.3% 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 Market2.37%
Tech1.31%
IT2.19%
Data Processing Services3.16%
IT Consulting2.22%
Internet Services and Infrastructure1.41%
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 36.7x.
    • Analysts are expecting annual earnings growth of 15.1%, 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 16% 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
4684 OBICLtdJP¥4.82k2.0%
+JP¥40.1b		-8.3%PE26.5x
4768 OtsukaJP¥3.56k2.1%
+JP¥28.1b		17.6%PE20.1x
6702 FujitsuJP¥3.75k0.3%
+JP¥17.3b		7.5%PE20.5x
9449 GMO internet groupJP¥4.13k3.0%
+JP¥11.9b		5.2%PE22.7x
8056 BIPROGYJP¥4.66k2.0%
+JP¥8.8b		-26.7%PE15.1x

Latest News

6701
JP¥4,735.00
NEC
7D
-1.8%
1Y
5.6%
Narrative Update • Aug 26

6701: AI And Cloud Partnerships Will Support Future Upside Potential

Analysts have nudged their price target on NEC higher to ¥7,762 from ¥7,605, citing updated assumptions for slightly stronger revenue and a modestly higher future P/E, partly offset by a small adjustment to the discount rate and profit margin outlook. What’s in the News for NEC NEC and Cornelis expanded their collaboration to help organizations across Japan and the Asia Pacific region deploy next generation AI and high performance computing infrastructure, using Cornelis high performance networking solutions.
6702
JP¥3,753.00
Fujitsu
7D
0.3%
1Y
7.5%
4307
JP¥5,046.00
Nomura Research Institute
7D
-0.6%
1Y
-12.4%
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.
9449
JP¥4,129.00
GMO internet group
7D
3.0%
1Y
5.2%
4499
JP¥2,587.00
Speee
7D
-6.4%
1Y
-6.2%
4819
JP¥2,220.00
Digital Garage
7D
-3.9%
1Y
-37.5%
4419
JP¥1,450.00
Finatext Holdings
7D
5.9%
1Y
10.0%
4828
JP¥1,390.00
Business Engineering
7D
-3.6%
1Y
11.6%
5254
JP¥4,075.00
Arent
7D
-6.9%
1Y
-21.2%
8056
JP¥4,656.00
BIPROGY
7D
2.0%
1Y
-26.7%
4768
JP¥3,560.00
Otsuka
7D
2.1%
1Y
17.6%
Analysis Article • Aug 06

Otsuka Corporation Just Beat EPS By 14%: Here's What Analysts Think Will Happen Next

As you might know, Otsuka Corporation ( TSE:4768 ) just kicked off its latest half-yearly results with some very strong...
3762
JP¥2,342.00
TechMatrix
7D
-2.9%
1Y
16.4%
3626
JP¥3,871.00
TISI
7D
0.9%
1Y
-21.1%
4684
JP¥4,818.00
OBICLtd
7D
2.0%
1Y
-8.3%
8057
JP¥2,267.00
Uchida Yoko
7D
4.8%
1Y
5.4%
4413
JP¥2,968.00
baudroieinc
7D
-4.9%
1Y
-2.0%