Japanese (NIKKEI) Media Industry Analysis
- 7D-2.3%
- 3M3.6%
- 1Y14.1%
- YTD18.0%
Over the last 7 days, the Media industry has dropped 1.6%, driven by declines in Dentsu Group and Hakuhodo DY Holdings of 6.1% and 8.6%, respectively. Meanwhile, CyberAgent actually outperformed within the industry, gaining 8.5% in the last week. This takes the industry's 12 month performance to a gain of 23%.
Industry Valuation and Performance
Has the Japanese Media Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE |
|---|---|---|---|---|
| Fri, 26 Nov 2021 | JP¥6.1t | JP¥6.5t | JP¥231.8b | 18x |
| Sun, 24 Oct 2021 | JP¥6.1t | JP¥6.4t | JP¥112.6b | 20.2x |
| Tue, 21 Sep 2021 | JP¥6.4t | JP¥6.4t | JP¥106.2b | 20.3x |
| Thu, 19 Aug 2021 | JP¥5.7t | JP¥6.5t | JP¥106.9b | 16.8x |
| Thu, 03 Jun 2021 | JP¥5.9t | JP¥6.4t | JP¥17.2b | 24.2x |
| Sun, 07 Mar 2021 | JP¥5.6t | JP¥6.3t | JP¥48.6b | 22.4x |
| Wed, 09 Dec 2020 | JP¥5.2t | JP¥6.3t | JP¥103.7b | 25.5x |
| Tue, 01 Sep 2020 | JP¥4.6t | JP¥6.5t | JP¥145.9b | 21.3x |
| Fri, 05 Jun 2020 | JP¥4.5t | JP¥6.8t | JP¥188.0b | 14.7x |
| Mon, 09 Mar 2020 | JP¥4.2t | JP¥6.8t | JP¥154.7b | 15.4x |
| Sun, 01 Dec 2019 | JP¥5.1t | JP¥6.8t | JP¥249.7b | 20.5x |
| Wed, 04 Sep 2019 | JP¥4.9t | JP¥6.8t | JP¥287.6b | 18.4x |
| Sat, 08 Jun 2019 | JP¥5.0t | JP¥6.7t | JP¥285.3b | 16.3x |
| Fri, 01 Mar 2019 | JP¥5.5t | JP¥6.6t | JP¥296.6b | 17.7x |
| Mon, 03 Dec 2018 | JP¥5.9t | JP¥6.4t | JP¥335.2b | 17.6x |
17.6x
Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 19.5x. It appears they believe that earnings will grow in-line with historical growth rates.
Past Earnings Growth: The earnings for companies in the Media industry have declined 12% per year over the last three years, while revenues have remained mostly flat. This means that although sales have remained flat, 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 Media industry?
| Cable and Satellite | 0.71% | |
| Publishing | -1.83% | |
| Broadcasting | -2.23% | |
| Advertising | -2.57% | |
Industry PE: Investors are most optimistic about the Advertising industry, which is trading close to its 3-year average PE ratio of 21.6x. However analysts are expecting annual earnings growth of 7.3%, which is lower than the prior year's growth of 57% per year. So the market might believe that analysts are underestimating future growth. Meanwhile, investors are most pessimistic about the Cable and Satellite industry, which is trading below its 3-year average of 11.5x.
Forecasted Growth: Analysts are most optimistic on the Publishing industry, expecting annual earnings growth of 17% over the next 5 years. However this is lower than its past earnings growth rate of 45% per year. Meanwhile, the Cable and Satellite industry is expected to see its earnings grow by 3.0% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | 7D | 1Y | Valuation | |
|---|---|---|---|---|
| 3978 Macromill | 3.4%+JP¥1.2b | 40.5% | PE12x | |
| 7036 eMnet Japan.co.ltd | 5.1%+JP¥707.6m | 228.6% | PE52.5x | |
| 3560 Hobonichi | 4.4%+JP¥336.4m | -14.5% | PE40.5x | |
| 2467 VLC Holdings | 7.0%+JP¥223.3m | 16.0% | PS2x | |
| 3658 eBOOK Initiative JapanLtd | 0.4%+JP¥168.1m | 60.7% | n/a |