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Japanese (NIKKEI) IT Industry Analysis

UpdatedDec 24, 2025
DataAggregated Company Financials
Companies218
  • 7D1.1%
  • 3M8.3%
  • 1Y40.1%
  • YTD40.5%

In the last week, the IT industry is up 1.1%, with Fujitsu up 1.2%. In the last 12 months, the industry was up 40%. As for the next few years, earnings are expected to grow by 8.5% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 25 Dec 2025JP¥32.0tJP¥15.4tJP¥1.2t17.3x26.7x2.1x
Sat, 22 Nov 2025JP¥32.7tJP¥15.4tJP¥1.2t17.2x27.4x2.1x
Mon, 20 Oct 2025JP¥28.6tJP¥15.3tJP¥1.0t17.1x27.4x1.9x
Wed, 17 Sep 2025JP¥35.3tJP¥19.9tJP¥1.2t17.8x29.8x1.8x
Fri, 15 Aug 2025JP¥29.2tJP¥15.2tJP¥1.0t17.7x28.1x1.9x
Sun, 13 Jul 2025JP¥26.7tJP¥15.0tJP¥980.6b17.2x27.2x1.8x
Tue, 10 Jun 2025JP¥33.4tJP¥19.6tJP¥1.1t17.7x29.9x1.7x
Thu, 08 May 2025JP¥30.1tJP¥19.5tJP¥1.1t17.5x26.9x1.5x
Sat, 05 Apr 2025JP¥26.7tJP¥19.5tJP¥1.2t15.2x21.6x1.4x
Mon, 03 Mar 2025JP¥28.3tJP¥20.0tJP¥1.3t17.1x22.5x1.4x
Wed, 29 Jan 2025JP¥28.2tJP¥19.8tJP¥1.1t17.9x25x1.4x
Fri, 27 Dec 2024JP¥28.0tJP¥19.8tJP¥1.1t17.5x25x1.4x
Sun, 24 Nov 2024JP¥27.4tJP¥19.8tJP¥1.1t17.7x24.4x1.4x
Tue, 22 Oct 2024JP¥27.4tJP¥19.7tJP¥1.1t17.6x24.3x1.4x
Thu, 19 Sep 2024JP¥27.4tJP¥19.6tJP¥1.1t17.7x24.5x1.4x
Sat, 17 Aug 2024JP¥25.3tJP¥19.7tJP¥1.1t16.8x22.4x1.3x
Mon, 15 Jul 2024JP¥25.9tJP¥19.5tJP¥1.1t18.9x23.1x1.3x
Wed, 12 Jun 2024JP¥24.5tJP¥19.5tJP¥1.1t16.9x21.8x1.3x
Fri, 10 May 2024JP¥24.2tJP¥19.3tJP¥1.1t18.6x21.7x1.3x
Sun, 07 Apr 2024JP¥24.4tJP¥19.2tJP¥964.2b18.6x25.3x1.3x
Tue, 05 Mar 2024JP¥25.2tJP¥19.2tJP¥965.2b18.8x26.1x1.3x
Thu, 01 Feb 2024JP¥25.0tJP¥19.6tJP¥1.0t19x24x1.3x
Sat, 30 Dec 2023JP¥24.2tJP¥19.6tJP¥1.0t18.2x23.3x1.2x
Mon, 27 Nov 2023JP¥23.5tJP¥19.6tJP¥1.0t18.4x22.8x1.2x
Wed, 25 Oct 2023JP¥21.6tJP¥18.9tJP¥1.0t17.4x21.1x1.1x
Fri, 22 Sep 2023JP¥23.3tJP¥18.8tJP¥1.0t18.6x22.9x1.2x
Sun, 20 Aug 2023JP¥22.4tJP¥18.8tJP¥1.0t18.2x21.9x1.2x
Tue, 18 Jul 2023JP¥22.7tJP¥18.3tJP¥1.0t18.5x22.2x1.2x
Thu, 15 Jun 2023JP¥23.3tJP¥18.2tJP¥1.0t19x22.8x1.3x
Sat, 13 May 2023JP¥21.7tJP¥17.8tJP¥1.0t18x21.2x1.2x
Mon, 10 Apr 2023JP¥19.9tJP¥17.5tJP¥978.9b17.7x20.4x1.1x
Wed, 08 Mar 2023JP¥21.8tJP¥18.3tJP¥1.1t18.2x20.7x1.2x
Fri, 03 Feb 2023JP¥22.4tJP¥17.9tJP¥1.1t17.5x20.8x1.3x
Sun, 01 Jan 2023JP¥21.4tJP¥17.7tJP¥1.1t16.6x19.5x1.2x
Price to Earnings Ratio

19.5x


Total Market Cap: JP¥21.4tTotal Earnings: JP¥1.1tTotal Revenue: JP¥17.7tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese IT Industry Price to Earnings3Y Average 24x202320242025
Current Industry PE
  • Investors are optimistic on the Japanese IT industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 26.7x which is higher than its 3-year average PE of 24.0x.
  • The 3-year average PS ratio of 1.4x is lower than the industry's current PS ratio of 2.1x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 3.0% per year over the last three years.
  • Meanwhile revenues for these companies have declined 4.4% 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 Market1.62%
Tech2.84%
IT1.06%
Data Processing Services2.55%
Internet Services and Infrastructure2.06%
IT Consulting1.03%
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 41.4x.
    • Analysts are expecting annual earnings growth of 18.8%, which is lower than the prior year's growth of 23.5% per year.
  • Investors are most pessimistic about the Data Processing Services industry, which is trading close to its 3-year average of 17.7x.
Forecasted Growth
  • Analysts are most optimistic on the Internet Services and Infrastructure industry, expecting annual earnings growth of 19% 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 8.2% 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
6702 FujitsuJP¥4.25k1.2%
+JP¥89.8b		57.1%PE27x
3697 SHIFTJP¥996.609.1%
+JP¥21.9b		-15.7%PE29.4x
4684 OBICLtdJP¥4.92k0.6%
+JP¥12.7b		5.5%PE30.9x
446A NorthsandJP¥1.63k10.4%
+JP¥10.6b		n/an/a
9449 GMO internet groupJP¥3.93k2.4%
+JP¥9.2b		48.9%PE23.7x

Latest News

4819
JP¥2,727.00
Digital Garage
7D
-3.1%
1Y
-28.0%
4768
JP¥3,264.00
Otsuka
7D
-0.9%
1Y
-9.5%
2327
JP¥4,425.00
NS Solutions
7D
0.8%
1Y
8.0%

NS Solutions Corporation (TSE:2327) Stock Rockets 26% As Investors Are Less Pessimistic Than Expected

Dec 20
NS Solutions Corporation (TSE:2327) Stock Rockets 26% As Investors Are Less Pessimistic Than Expected
4684
JP¥4,924.00
OBICLtd
7D
0.6%
1Y
5.5%
4307
JP¥5,990.00
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.
4812
JP¥7,530.00
Dentsu Soken
7D
-2.1%
1Y
29.4%
9449
JP¥3,929.00
GMO internet group
7D
2.4%
1Y
48.9%
4828
JP¥8,180.00
Business Engineering
7D
5.3%
1Y
127.9%
6702
JP¥4,253.00
Fujitsu
7D
1.2%
1Y
57.1%
6701
JP¥5,400.00
NEC
7D
-1.2%
1Y
96.6%

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.
3778
JP¥2,840.00
SAKURA Internet
7D
-4.4%
1Y
-33.5%

At JP¥2,940, Is SAKURA Internet Inc. (TSE:3778) Worth Looking At Closely?

Dec 11
At JP¥2,940, Is SAKURA Internet Inc. (TSE:3778) Worth Looking At Closely?
3626
JP¥5,269.00
TIS
7D
-1.3%
1Y
42.4%

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

Dec 06
TIS' (TSE:3626) Dividend Will Be ¥38.00
6947
JP¥4,905.00
Zuken
7D
5.4%
1Y
18.1%
9889
JP¥1,603.00
JBCC Holdings
7D
-2.0%
1Y
39.8%
446A
JP¥1,634.00
Northsand
7D
10.4%
1Y
n/a
3697
JP¥996.60
SHIFT
7D
9.1%
1Y
-15.7%