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Japanese (NIKKEI) Software Industry Analysis

UpdatedJan 21, 2026
DataAggregated Company Financials
Companies184
  • 7D-3.5%
  • 3M-11.4%
  • 1Y-0.01%
  • YTD-1.9%

Over the last 7 days, the Software industry has dropped 3.5%, driven by a pullback from Oracle Corporation Japan of 11%. Meanwhile, Asteria actually outperformed within the industry, gaining 23% in the last week. Over the last year, the industry has been flat overall. Looking forward, earnings are forecast to grow by 17% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 21 Jan 2026JP¥7.7tJP¥2.4tJP¥265.0b19.8x29.2x3.2x
Fri, 19 Dec 2025JP¥8.0tJP¥2.4tJP¥254.4b19.7x31.5x3.3x
Sun, 16 Nov 2025JP¥8.4tJP¥2.4tJP¥250.0b19.8x33.5x3.5x
Tue, 14 Oct 2025JP¥8.6tJP¥2.4tJP¥234.8b21.6x36.7x3.6x
Thu, 11 Sep 2025JP¥9.1tJP¥2.4tJP¥236.0b21.9x38.6x3.9x
Sat, 09 Aug 2025JP¥9.0tJP¥2.3tJP¥221.7b21.1x40.7x3.9x
Mon, 07 Jul 2025JP¥8.8tJP¥2.3tJP¥227.7b20.1x38.8x3.8x
Wed, 04 Jun 2025JP¥9.0tJP¥2.3tJP¥232.3b20.6x38.9x3.9x
Fri, 02 May 2025JP¥8.5tJP¥2.3tJP¥230.6b20.7x37x3.8x
Sun, 30 Mar 2025JP¥8.4tJP¥2.2tJP¥223.2b19.7x37.8x3.8x
Tue, 25 Feb 2025JP¥8.5tJP¥2.2tJP¥225.3b20.3x37.8x3.8x
Thu, 23 Jan 2025JP¥8.4tJP¥2.5tJP¥219.3b20.8x38.2x3.4x
Sat, 21 Dec 2024JP¥8.6tJP¥2.5tJP¥221.9b22.1x38.5x3.4x
Mon, 18 Nov 2024JP¥8.4tJP¥2.5tJP¥220.9b21.8x38.1x3.4x
Wed, 16 Oct 2024JP¥8.8tJP¥2.4tJP¥205.2b22.3x42.7x3.6x
Fri, 13 Sep 2024JP¥8.5tJP¥2.4tJP¥205.2b21.8x41.2x3.5x
Sun, 11 Aug 2024JP¥7.5tJP¥2.4tJP¥193.2b19.5x38.6x3.1x
Tue, 09 Jul 2024JP¥7.7tJP¥2.4tJP¥187.1b22.4x41.2x3.2x
Thu, 06 Jun 2024JP¥7.4tJP¥2.4tJP¥187.9b22.2x39.1x3.1x
Sat, 04 May 2024JP¥7.6tJP¥2.3tJP¥170.7b22.7x44.8x3.3x
Mon, 01 Apr 2024JP¥8.0tJP¥2.3tJP¥167.6b24x47.9x3.5x
Wed, 28 Feb 2024JP¥8.1tJP¥2.3tJP¥163.6b24.8x49.4x3.5x
Fri, 26 Jan 2024JP¥8.0tJP¥2.3tJP¥163.1b23.9x48.8x3.4x
Sun, 24 Dec 2023JP¥7.5tJP¥2.3tJP¥162.3b22.5x46.5x3.3x
Tue, 21 Nov 2023JP¥7.5tJP¥2.3tJP¥163.7b22.1x45.9x3.3x
Thu, 19 Oct 2023JP¥6.8tJP¥2.2tJP¥174.1b23.3x38.9x3x
Sat, 16 Sep 2023JP¥7.0tJP¥2.2tJP¥171.0b24.3x40.9x3.1x
Mon, 14 Aug 2023JP¥7.0tJP¥2.2tJP¥167.3b25.2x41.8x3.1x
Wed, 12 Jul 2023JP¥7.3tJP¥2.2tJP¥167.2b24.5x43.7x3.4x
Fri, 09 Jun 2023JP¥7.4tJP¥2.2tJP¥166.6b23.7x44.2x3.4x
Sun, 07 May 2023JP¥7.0tJP¥2.1tJP¥169.9b22.2x41.3x3.3x
Tue, 04 Apr 2023JP¥7.0tJP¥2.1tJP¥170.1b23.5x41x3.3x
Thu, 02 Mar 2023JP¥6.6tJP¥2.1tJP¥170.7b23.2x38.7x3.2x
Sat, 28 Jan 2023JP¥6.6tJP¥2.0tJP¥180.4b23.6x36.6x3.2x
Price to Earnings Ratio

36.6x


Total Market Cap: JP¥6.6tTotal Earnings: JP¥180.4bTotal Revenue: JP¥2.0tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese Software Industry Price to Earnings3Y Average 40.3x202420252026
Current Industry PE
  • Investors are pessimistic on the Japanese Software 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 29.2x which is lower than its 3-year average PE of 40.3x.
  • The industry is trading close to its 3-year average PS ratio of 3.4x.
Past Earnings Growth
  • The earnings for companies in the Software industry have grown 14% per year over the last three years.
  • Revenues for these companies have grown 6.3% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

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

JP Market0.68%
Tech0.67%
Software-3.46%
Application Software-2.37%
Systems Software-5.07%
Industry PE
  • Investors are most optimistic about the Application Software industry even though it's trading below its 3-year average PE ratio of 55.1x.
    • Analysts expect its future annual earnings growth (24.4%) to be largely in line with prior year's earnings growth.
  • Investors are most pessimistic about the Systems Software industry, which is trading below its 3-year average of 31.3x.
Forecasted Growth
  • Analysts are most optimistic on the Application Software industry, expecting annual earnings growth of 24% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the Systems Software industry is expected to see its earnings grow by 9.2% 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
3853 AsteriaJP¥1.19k22.9%
+JP¥3.8b
108.8%PE17.4x
4443 SansanJP¥1.71k1.7%
+JP¥3.7b
-25.5%PE105x
5027 AnyMind GroupJP¥645.008.4%
+JP¥3.1b
-43.8%PE23.6x
4323 Japan System TechniquesJP¥2.52k4.5%
+JP¥2.7b
33.6%PE21.6x
5246 ELEMENTSJP¥748.0013.9%
+JP¥2.5b
19.7%PS5.2x

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