Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

Japanese (NIKKEI) Market Analysis & Valuation

UpdatedMay 06, 2026
DataAggregated Company Financials
Companies3907
  • 7D-1.0%
  • 3M2.4%
  • 1Y37.6%
  • YTD7.6%

Over the last 7 days, the market has dropped 1.0%, driven by declines in the Financials and Consumer Discretionary sectors of 2.2% and 1.8%, respectively. In contrast to the last week, the market is actually up 38% over the past year. As for the next few years, earnings are expected to grow by 10.0% per annum.

Trending IndustriesOil and GasBiotechSoftwareRenewable Energy

Market Valuation and Performance

Has the Japanese Market valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 06 May 2026JP¥1261.7tJP¥1041.6tJP¥66.2t14.3x19.1x1.2x
Fri, 03 Apr 2026JP¥1215.6tJP¥1038.4tJP¥65.6t14.4x18.5x1.2x
Sun, 01 Mar 2026JP¥1332.0tJP¥1040.7tJP¥65.7t15.6x20.3x1.3x
Tue, 27 Jan 2026JP¥1203.6tJP¥1026.8tJP¥64.4t14.9x18.7x1.2x
Thu, 25 Dec 2025JP¥1155.5tJP¥1029.1tJP¥64.3t14.4x18x1.1x
Sat, 22 Nov 2025JP¥1121.2tJP¥1031.5tJP¥64.5t13.9x17.4x1.1x
Mon, 20 Oct 2025JP¥1083.6tJP¥1025.7tJP¥59.8t14.3x18.1x1.1x
Wed, 17 Sep 2025JP¥1091.6tJP¥1026.5tJP¥59.8t14.9x18.2x1.1x
Fri, 15 Aug 2025JP¥1049.6tJP¥1022.7tJP¥58.6t14.3x17.9x1x
Sun, 13 Jul 2025JP¥973.6tJP¥1022.2tJP¥62.1t13.5x15.7x1x
Tue, 10 Jun 2025JP¥968.8tJP¥1035.0tJP¥63.7t13.2x15.2x0.9x
Thu, 08 May 2025JP¥941.4tJP¥1024.1tJP¥64.6t13.1x14.6x0.9x
Sat, 05 Apr 2025JP¥867.8tJP¥1020.9tJP¥64.1t12.2x13.5x0.9x
Mon, 03 Mar 2025JP¥935.5tJP¥1020.2tJP¥64.4t13x14.5x0.9x
Wed, 29 Jan 2025JP¥959.6tJP¥1009.9tJP¥61.9t13.7x15.5x1x
Fri, 27 Dec 2024JP¥954.0tJP¥1011.0tJP¥61.7t13.5x15.4x0.9x
Sun, 24 Nov 2024JP¥940.8tJP¥1007.3tJP¥61.7t13.6x15.2x0.9x
Tue, 22 Oct 2024JP¥940.5tJP¥1001.0tJP¥60.1t13.4x15.7x0.9x
Thu, 19 Sep 2024JP¥906.9tJP¥987.2tJP¥59.7t13.4x15.2x0.9x
Sat, 17 Aug 2024JP¥942.3tJP¥998.0tJP¥59.9t13.3x15.7x0.9x
Mon, 15 Jul 2024JP¥1015.3tJP¥987.1tJP¥58.6t14.6x17.3x1x
Wed, 12 Jun 2024JP¥976.4tJP¥988.9tJP¥58.6t14.2x16.7x1x
Fri, 10 May 2024JP¥961.0tJP¥976.3tJP¥56.9t14.5x16.9x1x
Sun, 07 Apr 2024JP¥962.0tJP¥975.8tJP¥56.9t14.5x16.9x1x
Tue, 05 Mar 2024JP¥966.2tJP¥975.8tJP¥56.9t14.4x17x1x
Thu, 01 Feb 2024JP¥915.1tJP¥971.4tJP¥52.4t14.8x17.5x0.9x
Sat, 30 Dec 2023JP¥855.2tJP¥971.2tJP¥52.5t14.1x16.3x0.9x
Mon, 27 Nov 2023JP¥867.4tJP¥977.6tJP¥53.1t14.1x16.3x0.9x
Wed, 25 Oct 2023JP¥815.9tJP¥972.0tJP¥55.3t13.7x14.8x0.8x
Fri, 22 Sep 2023JP¥865.9tJP¥971.4tJP¥55.2t14.3x15.7x0.9x
Sun, 20 Aug 2023JP¥815.4tJP¥970.5tJP¥55.1t13.7x14.8x0.8x
Tue, 18 Jul 2023JP¥818.6tJP¥957.5tJP¥50.6t13.7x16.2x0.9x
Thu, 15 Jun 2023JP¥836.9tJP¥959.2tJP¥51.1t13.8x16.4x0.9x
Sat, 13 May 2023JP¥769.4tJP¥946.2tJP¥47.1t13.5x16.3x0.8x
Price to Earnings Ratio

16.3x


Total Market Cap: JP¥769.4tTotal Earnings: JP¥47.1tTotal Revenue: JP¥946.2tTotal Market Cap vs Earnings and Revenue0%0%0%
Japanese Market Price to Earnings3Y Average 16.5x202420252026
Current Market PE
  • Investors are optimistic on the Japanese market, and appear confident in strong long term growth rates.
  • The market is trading at a PE ratio of 19.1x which is higher than its 3-year average PE of 16.5x.
Past Earnings Growth
  • The earnings for Japanese listed companies have grown 12% per year over the last three years.
  • Revenues for these companies have grown 3.3% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Sector Trends

Which sectors have driven the changes within the Japanese Market?

JP Market-1.02%
Energy0.39%
Telecom0.22%
Consumer Staples-0.35%
Industrials-0.65%
Tech-0.65%
Materials-0.71%
Real Estate-0.91%
Healthcare-0.95%
Consumer Discretionary-1.79%
Financials-2.17%
Utilities-3.53%
Sector PE
  • Investors favour the Tech sector the most for future growth, which is trading above its 3-year average PE ratio of 25.6x.
    • The market's confidence is likely because analysts are expecting annual earnings growth of 20.0%, which is higher than its past year's earnings growth of 11.9% per year.
  • The Utilities sector is the least preferred by investors for future growth. Although, investor sentiment seems to have improved given that it's trading above its 3-year average.
Forecasted Growth
  • Analysts are most optimistic on the Tech sector, expecting annual earnings growth of 20% over the next 5 years.
  • This is better than its past earnings growth rate of 12% per year.
  • In contrast, the Telecom sector is expected to see its earnings decline by 7.5% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuationSector
8053 SumitomoJP¥6.84k17.9%
+JP¥1.2t		88.6%PE13.4xIndustrials
8058 MitsubishiJP¥5.22k6.2%
+JP¥1.1t		90.7%PE23.9xIndustrials
9984 SoftBank GroupJP¥5.42k3.0%
+JP¥889.0b		192.6%PE8.4xTelecom
8035 Tokyo ElectronJP¥47.45k5.1%
+JP¥878.3b		116.6%PE37.3xTech
6861 KeyenceJP¥76.46k3.6%
+JP¥645.1b		20.5%PE41.7xTech
See more

Market Insights

Header cover image
We’re starting to see the second-order impact of Strait of Hormuz’s extended closure on other industries and in Q1 2026 reports - and it’s far more than just fuel and gas.
Continue reading
China's next winners have been chosen

Latest News

6758
JP¥3,127.00
Sony Group
7D
-3.3%
1Y
-12.7%
8058
JP¥5,219.00
Mitsubishi
7D
6.2%
1Y
90.7%
8053
JP¥6,840.00
Sumitomo
7D
17.9%
1Y
88.6%
7203
JP¥3,000.00
Toyota Motor
7D
-3.6%
1Y
10.9%
6702
JP¥3,075.00
Fujitsu
7D
-16.7%
1Y
-4.4%

6702: Share Repurchases And Margin Improvements Will Support Future Upside

Analysts have maintained their Fujitsu price target at ¥3,960. They point to adjusted assumptions around revenue growth, profit margins, and a slightly lower future P/E multiple as the main drivers behind the unchanged view.
6752
JP¥3,324.00
Panasonic Holdings
7D
8.6%
1Y
97.6%

6752: Rising Restructuring Costs Will Drive A Cautious Longer Term Outlook

The analyst price target for Panasonic Holdings has shifted from approximately ¥2,663 to about ¥2,999, as analysts factor in modest adjustments to discount rates, revenue growth, profit margins and a higher assumed future P/E despite recent cautious sentiment reflected in downgrades such as the one from Nomura. Analyst Commentary Bullish Takeaways Bullish analysts are comfortable applying a higher future P/E to Panasonic Holdings, signaling confidence that earnings quality could justify a richer multiple over time.
8035
JP¥47,450.00
Tokyo Electron
7D
5.1%
1Y
116.6%

8035: Share Repurchases And Capacity Interest Will Support A Balanced Medium Term Outlook

Analysts have lifted their price target for Tokyo Electron to ¥49,214 from ¥47,433, citing updated assumptions for revenue growth, profit margins, a slightly lower discount rate, and a revised future P/E outlook. What's in the News Media reports indicate that Elon Musk's team has been in contact with chip suppliers for a project called Terafab.
6723
JP¥3,205.00
Renesas Electronics
7D
10.0%
1Y
86.8%

6723: Artemis II Space Wins Will Support Future Upside Potential

Analysts have lifted their price target on Renesas Electronics from ¥3,800 to ¥4,500, citing updated assumptions for fair value, discount rate, revenue growth, profit margins, and future P/E as the key drivers of the change. What's in the News Renesas radiation hardened ICs are being used across multiple subsystems in NASA’s Artemis II mission, including the Orion spacecraft and Space Launch System.
8306
JP¥2,798.00
Mitsubishi UFJ Financial Group
7D
-2.7%
1Y
59.8%

8306: Buybacks And Leadership Changes Will Support Balanced Medium Term Outlook

Analysts have nudged their price target for Mitsubishi UFJ Financial Group slightly higher to around ¥3,068 from ¥3,060, reflecting modest adjustments to fair value estimates, discount rate assumptions, and forward P/E expectations. What's in the News MUFG Securities Americas Inc.
6861
JP¥76,460.00
Keyence
7D
3.6%
1Y
20.5%
6981
JP¥5,138.00
Murata Manufacturing
7D
6.2%
1Y
151.2%
6501
JP¥4,795.00
Hitachi
7D
-5.0%
1Y
26.1%
6857
JP¥27,815.00
Advantest
7D
-6.5%
1Y
338.0%

Advantest Corporation Just Beat EPS By 12%: Here's What Analysts Think Will Happen Next

Apr 29
Advantest Corporation Just Beat EPS By 12%: Here's What Analysts Think Will Happen Next
9984
JP¥5,424.00
SoftBank Group
7D
3.0%
1Y
192.6%

9984: Future OpenAI Funding And Leverage Will Heighten Execution Downside Risk

Analysts have reset their fair value estimate for SoftBank Group to ¥3,100 from about ¥3,499, reflecting a mix of caution around concentrated AI exposure and leverage, as well as optimism about AI access, semiconductor IP positioning, and an updated 32.48x future P/E assumption alongside higher modeled revenue growth and profit margins. Analyst Commentary Street research on SoftBank Group has recently split into two broad camps, with some focusing on upside from AI and semiconductor IP exposure and others leaning into valuation and balance sheet risks tied to that same theme.
7011
JP¥4,586.00
Mitsubishi Heavy Industries
7D
-4.4%
1Y
61.2%

7011: Higher Earnings Guidance Will Still Leave Shares Vulnerable To De-Rate

Analysts have made a marginal upward adjustment to their fair value estimate for Mitsubishi Heavy Industries to around ¥3,550. This reflects slightly higher assumptions for revenue growth and profit margins, along with a small tweak to the discount rate and future P/E.
5803
JP¥5,808.00
Fujikura
7D
-7.5%
1Y
514.0%