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Japanese (NIKKEI) Telecom Sector Analysis

UpdatedMay 01, 2024
DataAggregated Company Financials
Companies287
  • 7D2.0%
  • 3M-2.5%
  • 1Y12.8%
  • YTD4.5%

Over the last 7 days, the Telecom industry has remained flat, although notably SoftBank Group gained 5.3%. As for the the longer term, the industry is up 12% over the past 12 months. Looking forward, earnings are forecast to grow by 15% annually.

Sector Valuation and Performance

Has the Japanese Telecom Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 01 May 2024JP¥73.8tJP¥47.1tJP¥3.1t18.7x23.9x1.6x
Fri, 29 Mar 2024JP¥77.7tJP¥47.2tJP¥3.1t19.5x25.2x1.6x
Sun, 25 Feb 2024JP¥78.6tJP¥47.2tJP¥3.1t20x25.5x1.7x
Tue, 23 Jan 2024JP¥77.1tJP¥47.0tJP¥1.7t18.4x46.3x1.6x
Thu, 21 Dec 2023JP¥70.0tJP¥47.0tJP¥1.7t18.3x42.1x1.5x
Sat, 18 Nov 2023JP¥70.9tJP¥46.9tJP¥1.7t17.3x42.3x1.5x
Mon, 16 Oct 2023JP¥69.8tJP¥46.6tJP¥5.6t17.6x12.4x1.5x
Wed, 13 Sep 2023JP¥71.7tJP¥46.6tJP¥5.6t17.8x12.8x1.5x
Fri, 11 Aug 2023JP¥69.5tJP¥46.6tJP¥5.6t17.7x12.3x1.5x
Sun, 09 Jul 2023JP¥69.2tJP¥46.1tJP¥2.9t17.4x24x1.5x
Tue, 06 Jun 2023JP¥67.9tJP¥46.1tJP¥2.9t17.3x23.6x1.5x
Thu, 04 May 2023JP¥66.1tJP¥45.4tJP¥878.5b17.7x75.2x1.5x
Sat, 01 Apr 2023JP¥63.8tJP¥45.3tJP¥875.5b17x72.9x1.4x
Mon, 27 Feb 2023JP¥64.2tJP¥45.3tJP¥873.9b16.5x73.4x1.4x
Wed, 25 Jan 2023JP¥65.0tJP¥44.6tJP¥1.6t15.8x40.2x1.5x
Fri, 23 Dec 2022JP¥63.5tJP¥44.6tJP¥1.6t15.8x39.4x1.4x
Sun, 20 Nov 2022JP¥65.5tJP¥44.6tJP¥1.6t16.6x40.7x1.5x
Tue, 18 Oct 2022JP¥65.8tJP¥43.8t-JP¥1,742,621,224,000.0015.6x-37.7x1.5x
Thu, 15 Sep 2022JP¥66.1tJP¥43.8t-JP¥1,748,469,920,000.0016.6x-37.8x1.5x
Sat, 13 Aug 2022JP¥65.6tJP¥43.7t-JP¥1,743,347,008,107.0017.6x-37.6x1.5x
Mon, 11 Jul 2022JP¥66.0tJP¥43.3tJP¥2.2t16.2x30.3x1.5x
Wed, 08 Jun 2022JP¥67.1tJP¥43.3tJP¥2.1t16.8x31.2x1.5x
Fri, 06 May 2022JP¥66.7tJP¥43.0tJP¥6.0t16.1x11.1x1.6x
Sun, 03 Apr 2022JP¥67.0tJP¥42.9tJP¥6.0t17.1x11.2x1.6x
Tue, 01 Mar 2022JP¥63.0tJP¥42.9tJP¥6.0t15.9x10.5x1.5x
Thu, 27 Jan 2022JP¥61.5tJP¥42.5tJP¥6.8t16.7x9.1x1.4x
Sat, 25 Dec 2021JP¥63.4tJP¥42.6tJP¥6.8t18.3x9.3x1.5x
Mon, 22 Nov 2021JP¥69.7tJP¥42.5tJP¥6.8t20.2x10.3x1.6x
Wed, 20 Oct 2021JP¥67.9tJP¥42.2tJP¥7.7t21.5x8.9x1.6x
Fri, 17 Sep 2021JP¥69.8tJP¥42.1tJP¥7.6t21.5x9.1x1.7x
Sun, 15 Aug 2021JP¥65.1tJP¥42.2tJP¥7.7t21x8.5x1.5x
Thu, 10 Jun 2021JP¥70.0tJP¥41.4tJP¥7.2t25.4x9.7x1.7x
Price to Earnings Ratio

9.9x


Total Market Cap: JP¥71.7tTotal Earnings: JP¥7.2tTotal Revenue: JP¥41.3tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese Telecom Sector Price to Earnings3Y Average 30.7x202220232024
Current Industry PE
  • Investors are pessimistic on the Japanese Communication Services 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 23.6x which is lower than its 3-year average PE of 30.7x.
  • The 3-year average PS ratio of 3.4x is higher than the industry's current PS ratio of 1.6x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have declined 25% per year over the last three years.
  • Meanwhile revenues for these companies have grown 4.4% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

Which industries have driven the changes within the Japanese Telecom sector?

JP Market2.54%
Telecom1.98%
Interactive Media and Services5.19%
Wireless Telecom3.13%
Entertainment1.82%
Media0.43%
Telecom Services and Carriers-0.27%
Industry PE
  • Investors are most optimistic about the Wireless Telecom industry which is trading above its 3-year average PE ratio of 6.9x.
    • Analysts are expecting annual earnings growth of 28.3%, which is higher than its past year's earnings decline of 11.5% per year.
  • Investors are most pessimistic about the Telecom Services and Carriers industry, which is trading close to its 3-year average of 12.0x.
Forecasted Growth
  • Analysts are most optimistic on the Wireless Telecom industry, expecting annual earnings growth of 28% over the next 5 years.
  • This is better than its past earnings decline of 11% per year.
  • In contrast, the Entertainment industry is expected to see its earnings grow by 3.5% 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
9434 SoftBankJP¥1.90k2.3%
+JP¥204.2b		24.2%PE21.1x
7974 NintendoJP¥7.64k1.7%
+JP¥147.9b		34.1%PE18x
9433 KDDIJP¥4.40k1.1%
+JP¥100.0b		3.0%PE13.3x
9984 SoftBank GroupJP¥7.79k0.4%
+JP¥49.8b		50.7%PS1.7x
9684 Square Enix HoldingsJP¥6.01k5.4%
+JP¥37.1b		-9.7%PE24.3x
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