SHIFT Inc.

TSE:3697 Stock Report

Market Cap: JP¥176.5b

SHIFT Valuation

Is 3697 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of 3697 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

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Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: 3697 (¥703.3) is trading below our estimate of future cash flow value (¥1448.19)

Significantly Below Future Cash Flow Value: 3697 is trading below future cash flow value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 3697?

Key metric: As 3697 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 3697. This is calculated by dividing 3697's market cap by their current earnings.
What is 3697's PE Ratio?
PE Ratio20.5x
EarningsJP¥8.75b
Market CapJP¥176.53b

Price to Earnings Ratio vs Peers

How does 3697's PE Ratio compare to its peers?

The above table shows the PE ratio for 3697 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average15.9x
4373 Simplex Holdings
17.9x11.69%JP¥185.6b
4722 Future
13.7x10.65%JP¥159.3b
9682 DTS
15.2x4.23%JP¥182.1b
9759 NSD
16.8x8.60%JP¥214.4b
3697 SHIFT
20.5x24.70%JP¥176.5b

Price-To-Earnings vs Peers: 3697 is expensive based on its Price-To-Earnings Ratio (20.5x) compared to the peer average (16.1x).

Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Earnings Ratio vs Industry

How does 3697's PE Ratio compare vs other companies in the JP IT Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
3697 20.5xIndustry Avg. 15.9xNo. of Companies34PE01020304050+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 3697 is expensive based on its Price-To-Earnings Ratio (20.5x) compared to the JP IT industry average (15.9x).

Price to Earnings Ratio vs Fair Ratio

What is 3697's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

3697 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.5x
Fair PE Ratio31.1x

Price-To-Earnings vs Fair Ratio: 3697 is good value based on its Price-To-Earnings Ratio (20.5x) compared to the estimated Fair Price-To-Earnings Ratio (31.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 3697 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥703.30
JP¥1,391.67
+97.88%
14.73%JP¥1,700.00JP¥1,100.00n/a6
Feb ’27JP¥731.70
JP¥1,391.67
+90.20%
14.73%JP¥1,700.00JP¥1,100.00n/a6
Jan ’27JP¥982.00
JP¥1,575.00
+60.39%
10.96%JP¥1,800.00JP¥1,250.00n/a6
Dec ’26JP¥977.50
JP¥1,575.00
+61.13%
10.96%JP¥1,800.00JP¥1,250.00n/a6
Nov ’26JP¥1,066.00
JP¥1,641.67
+54.00%
14.33%JP¥2,000.00JP¥1,250.00n/a6
Oct ’26JP¥1,179.00
JP¥1,708.33
+44.90%
15.71%JP¥2,000.00JP¥1,250.00n/a6
Sep ’26JP¥1,475.50
JP¥1,741.67
+18.04%
14.49%JP¥2,000.00JP¥1,250.00n/a6
Aug ’26JP¥1,613.00
JP¥1,710.00
+6.01%
15.07%JP¥2,000.00JP¥1,250.00n/a5
Jul ’26JP¥1,786.00
JP¥1,610.00
-9.85%
13.66%JP¥1,900.00JP¥1,250.00n/a5
Jun ’26JP¥1,673.00
JP¥1,530.00
-8.55%
15.96%JP¥1,900.00JP¥1,250.00n/a5
May ’26JP¥1,353.50
JP¥1,310.00
-3.21%
14.16%JP¥1,500.00JP¥1,000.00n/a5
Apr ’26JP¥1,149.50
JP¥1,241.23
+7.98%
13.28%JP¥1,500.00JP¥1,000.00n/a5
Mar ’26JP¥1,250.00
JP¥1,131.29
-9.50%
18.70%JP¥1,500.00JP¥867.00n/a5
Feb ’26JP¥1,292.00
JP¥1,084.69
-16.05%
12.73%JP¥1,267.00JP¥867.00JP¥731.705
Jan ’26JP¥1,214.33
JP¥1,084.56
-10.69%
12.73%JP¥1,266.67JP¥866.67JP¥982.005
Dec ’25JP¥1,128.67
JP¥1,204.56
+6.72%
39.56%JP¥2,133.33JP¥866.67JP¥977.505
Nov ’25JP¥1,013.33
JP¥1,204.56
+18.87%
39.56%JP¥2,133.33JP¥866.67JP¥1,066.005
Oct ’25JP¥902.67
JP¥1,348.24
+49.36%
40.11%JP¥2,133.33JP¥866.67JP¥1,179.006
Sep ’25JP¥909.33
JP¥1,518.24
+66.96%
31.85%JP¥2,133.33JP¥1,000.00JP¥1,475.506
Aug ’25JP¥717.67
JP¥1,590.67
+121.64%
31.37%JP¥2,133.33JP¥1,000.00JP¥1,613.005
Jul ’25JP¥959.67
JP¥1,750.67
+82.42%
23.02%JP¥2,133.33JP¥1,000.00JP¥1,786.005
Jun ’25JP¥1,010.00
JP¥1,977.33
+95.78%
9.43%JP¥2,266.67JP¥1,753.33JP¥1,673.005
May ’25JP¥965.00
JP¥1,977.33
+104.91%
9.43%JP¥2,266.67JP¥1,753.33JP¥1,353.505
Apr ’25JP¥1,557.00
JP¥2,250.67
+44.55%
15.12%JP¥2,633.33JP¥1,753.33JP¥1,149.505
Mar ’25JP¥1,852.00
JP¥2,257.33
+21.89%
15.10%JP¥2,633.33JP¥1,753.33JP¥1,250.005
Feb ’25JP¥1,763.67
JP¥2,257.33
+27.99%
15.10%JP¥2,633.33JP¥1,753.33JP¥1,292.005
JP¥1.39k
Fair Value
49.5% undervalued intrinsic discount
6
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/02/27 07:42
End of Day Share Price 2026/02/27 00:00
Earnings2025/11/30
Annual Earnings2025/08/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

SHIFT Inc. is covered by 16 analysts. 9 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Yuki KanekoBofA Global Research
Moriya KoketsuCitigroup Inc
Jun KatoCLSA