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Japanese (NIKKEI) Telecom Sector Analysis

UpdatedFeb 20, 2024
DataAggregated Company Financials
Companies286
  • 7D1.4%
  • 3M11.5%
  • 1Y22.1%
  • YTD10.7%

In the last week, the Telecom industry is up 2.0%, with SoftBank Group up 7.0%. This takes the industry's 12 month performance to a gain of 23%. Earnings are forecast to grow by 18% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 20 Feb 2024JP¥78.1tJP¥47.1tJP¥3.1t20.2x25.4x1.7x
Thu, 18 Jan 2024JP¥75.5tJP¥47.0tJP¥1.7t18.2x45.4x1.6x
Sat, 16 Dec 2023JP¥69.8tJP¥47.0tJP¥1.7t18x42x1.5x
Mon, 13 Nov 2023JP¥70.7tJP¥47.0tJP¥1.7t17.6x41.5x1.5x
Wed, 11 Oct 2023JP¥70.0tJP¥46.6tJP¥5.6t17.6x12.4x1.5x
Fri, 08 Sep 2023JP¥71.2tJP¥46.6tJP¥5.6t17.9x12.7x1.5x
Sun, 06 Aug 2023JP¥68.8tJP¥46.4tJP¥3.0t17.6x23.3x1.5x
Tue, 04 Jul 2023JP¥71.0tJP¥46.1tJP¥2.9t17.7x24.6x1.5x
Thu, 01 Jun 2023JP¥65.5tJP¥46.1tJP¥2.9t16.9x22.8x1.4x
Sat, 29 Apr 2023JP¥65.9tJP¥45.4tJP¥880.0b17.7x74.9x1.5x
Mon, 27 Mar 2023JP¥63.2tJP¥45.3tJP¥875.5b16.5x72.2x1.4x
Wed, 22 Feb 2023JP¥64.7tJP¥45.3tJP¥874.0b16.9x74x1.4x
Fri, 20 Jan 2023JP¥62.9tJP¥44.6tJP¥1.6t15.4x39x1.4x
Sun, 18 Dec 2022JP¥63.8tJP¥44.6tJP¥1.6t16.2x39.6x1.4x
Tue, 15 Nov 2022JP¥64.7tJP¥44.5tJP¥1.7t16.2x39.2x1.5x
Thu, 13 Oct 2022JP¥65.1tJP¥43.8t-JP¥1,747,995,224,000.0015.9x-37.3x1.5x
Sat, 10 Sep 2022JP¥66.8tJP¥43.8t-JP¥1,748,951,224,000.0016.1x-38.2x1.5x
Mon, 08 Aug 2022JP¥66.7tJP¥43.4tJP¥2.2t16.9x30.7x1.5x
Wed, 06 Jul 2022JP¥66.2tJP¥43.3tJP¥2.1t16.1x30.9x1.5x
Fri, 03 Jun 2022JP¥67.6tJP¥43.3tJP¥2.1t16.8x31.5x1.6x
Sun, 01 May 2022JP¥67.3tJP¥43.0tJP¥6.0t16.2x11.2x1.6x
Tue, 29 Mar 2022JP¥67.4tJP¥42.9tJP¥6.0t16.5x11.3x1.6x
Thu, 24 Feb 2022JP¥62.9tJP¥42.9tJP¥6.0t15.3x10.5x1.5x
Sat, 22 Jan 2022JP¥62.4tJP¥42.5tJP¥6.8t17.1x9.2x1.5x
Mon, 20 Dec 2021JP¥63.9tJP¥42.6tJP¥6.8t18.4x9.4x1.5x
Wed, 17 Nov 2021JP¥69.9tJP¥42.5tJP¥6.7t20.6x10.4x1.6x
Fri, 15 Oct 2021JP¥67.1tJP¥42.1tJP¥7.7t20.3x8.8x1.6x
Sun, 12 Sep 2021JP¥71.3tJP¥42.2tJP¥7.7t21.9x9.3x1.7x
Tue, 10 Aug 2021JP¥64.7tJP¥42.2tJP¥7.7t21.1x8.5x1.5x
Mon, 03 May 2021JP¥71.7tJP¥41.3tJP¥7.2t24.9x9.9x1.7x
Price to Earnings Ratio

19x


Total Market Cap: JP¥71.0tTotal Earnings: JP¥3.7tTotal Revenue: JP¥41.5tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese Telecom Sector Price to Earnings3Y Average 29.6x202220232024
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 25.5x which is lower than its 3-year average PE of 29.6x.
  • The 3-year average PS ratio of 3.3x is higher than the industry's current PS ratio of 1.7x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have declined 6.3% per year over the last three years.
  • Meanwhile revenues for these companies have grown 4.3% 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 Market2.98%
Telecom1.39%
Media3.94%
Wireless Telecom3.91%
Telecom Services and Carriers0.42%
Entertainment-1.59%
Interactive Media and Services-2.30%
Industry PE
  • Investors are most optimistic about the Wireless Telecom industry which is trading above its 3-year average PE ratio of 4.0x.
    • Analysts are expecting annual earnings growth of 33.9%, which is higher than its past year's earnings growth of 6.2% per year.
  • Investors are most pessimistic about the Telecom Services and Carriers industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 11.9x.
Forecasted Growth
  • Analysts are most optimistic on the Wireless Telecom industry, expecting annual earnings growth of 34% over the next 5 years.
  • This is better than its past earnings growth rate of 6.2% 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
9433 KDDIJP¥4.62k1.6%
+JP¥156.7b
15.3%PE14x
9984 SoftBank GroupJP¥8.54k0.6%
+JP¥68.9b
49.8%PS1.9x
9432 Nippon Telegraph and TelephoneJP¥181.600.3%
+JP¥50.5b
14.5%PE12.8x
9602 TohoJP¥4.95k5.4%
+JP¥44.2b
5.1%PE24.9x
4324 Dentsu GroupJP¥4.31k3.7%
+JP¥40.9b
-1.6%PS0.9x
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4324

JP¥4,313.00

Dentsu Group

7D

3.7%

1Y

-1.6%

3765

JP¥2,263.00

GungHo Online Entertainment

7D

-7.4%

1Y

-3.7%

4816

JP¥16,190.00

Toei AnimationLtd

7D

-11.4%

1Y

26.0%

9984

JP¥8,539.00

SoftBank Group

7D

0.6%

1Y

49.8%

7974

JP¥8,263.00

Nintendo

7D

-5.1%

1Y

52.7%

3659

JP¥2,538.50

NEXON

7D

-0.5%

1Y

-16.2%

4293

JP¥465.00

Septeni Holdings

7D

-5.9%

1Y

33.2%

4689

JP¥422.70

LY

7D

-4.7%

1Y

9.4%

9434

JP¥1,969.00

SoftBank

7D

0.6%

1Y

28.4%

3774

JP¥2,925.00

Internet Initiative Japan

7D

6.3%

1Y

10.3%

9432

JP¥181.60

Nippon Telegraph and Telephone

7D

0.3%

1Y

14.5%

9433

JP¥4,622.00

KDDI

7D

1.6%

1Y

15.3%

9404

JP¥2,185.00

Nippon Television Holdings

7D

-1.1%

1Y

93.0%

9697

JP¥5,877.00

Capcom

7D

2.4%

1Y

30.5%

9602

JP¥4,950.00

Toho

7D

5.4%

1Y

5.1%