SCSK Valuation

Is 9719 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 9719 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 9719 (¥2852) is trading below our estimate of fair value (¥3411.87)

Significantly Below Fair Value: 9719 is trading below fair value, but not by a significant amount.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 9719?

Key metric: As 9719 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 9719. This is calculated by dividing 9719's market cap by their current earnings.
What is 9719's PE Ratio?
PE Ratio21.6x
EarningsJP¥41.23b
Market CapJP¥899.26b

Price to Earnings Ratio vs Peers

How does 9719's PE Ratio compare to its peers?

The above table shows the PE ratio for 9719 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average24.8x
17.4x3.1%JP¥893.6b
4739 ITOCHU Techno-Solutions
26.9x10.8%JP¥997.1b
2327 NS Solutions
28.1x5.9%JP¥771.4b
4768 Otsuka
26.9x6.7%JP¥1.4t
9719 SCSK
21.6x8.8%JP¥899.3b

Price-To-Earnings vs Peers: 9719 is good value based on its Price-To-Earnings Ratio (21.6x) compared to the peer average (24.8x).


Price to Earnings Ratio vs Industry

How does 9719'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
9719 21.6xIndustry Avg. 17.6xNo. of Companies32PE01020304050+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 9719 is expensive based on its Price-To-Earnings Ratio (21.6x) compared to the JP IT industry average (17.6x).


Price to Earnings Ratio vs Fair Ratio

What is 9719'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.

9719 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.6x
Fair PE Ratio30.7x

Price-To-Earnings vs Fair Ratio: 9719 is good value based on its Price-To-Earnings Ratio (21.6x) compared to the estimated Fair Price-To-Earnings Ratio (30.7x).


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 9719 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥2,847.00
JP¥3,206.67
+12.6%
6.0%JP¥3,500.00JP¥2,900.00n/a9
Nov ’25JP¥2,810.00
JP¥3,202.00
+14.0%
6.0%JP¥3,520.00JP¥3,000.00n/a10
Oct ’25JP¥2,979.50
JP¥3,160.00
+6.1%
5.4%JP¥3,500.00JP¥2,900.00n/a10
Sep ’25JP¥2,923.50
JP¥3,158.00
+8.0%
4.8%JP¥3,400.00JP¥2,900.00n/a10
Aug ’25JP¥2,917.00
JP¥3,164.00
+8.5%
4.9%JP¥3,400.00JP¥2,900.00n/a10
Jul ’25JP¥3,151.00
JP¥3,114.00
-1.2%
5.8%JP¥3,400.00JP¥2,800.00n/a10
Jun ’25JP¥2,977.00
JP¥3,024.00
+1.6%
7.9%JP¥3,400.00JP¥2,600.00n/a10
May ’25JP¥2,865.00
JP¥2,897.00
+1.1%
5.2%JP¥3,150.00JP¥2,600.00n/a10
Apr ’25JP¥2,828.00
JP¥2,887.00
+2.1%
5.1%JP¥3,150.00JP¥2,600.00n/a10
Mar ’25JP¥2,796.00
JP¥2,887.00
+3.3%
5.1%JP¥3,150.00JP¥2,600.00n/a10
Feb ’25JP¥2,726.50
JP¥2,814.00
+3.2%
5.1%JP¥3,000.00JP¥2,600.00n/a10
Jan ’25JP¥2,796.00
JP¥2,804.00
+0.3%
5.5%JP¥3,000.00JP¥2,600.00n/a10
Dec ’24JP¥2,780.00
JP¥2,784.00
+0.1%
6.1%JP¥3,000.00JP¥2,550.00n/a10
Nov ’24JP¥2,625.50
JP¥2,571.82
-2.0%
8.8%JP¥3,000.00JP¥2,300.00JP¥2,810.0011
Oct ’24JP¥2,609.00
JP¥2,555.45
-2.1%
7.8%JP¥3,000.00JP¥2,300.00JP¥2,979.5011
Sep ’24JP¥2,542.50
JP¥2,428.18
-4.5%
8.1%JP¥2,820.00JP¥2,000.00JP¥2,923.5011
Aug ’24JP¥2,362.50
JP¥2,344.55
-0.8%
9.0%JP¥2,620.00JP¥1,900.00JP¥2,917.0011
Jul ’24JP¥2,259.50
JP¥2,307.50
+2.1%
9.6%JP¥2,620.00JP¥1,900.00JP¥3,151.0012
Jun ’24JP¥2,253.00
JP¥2,209.09
-1.9%
11.3%JP¥2,620.00JP¥1,800.00JP¥2,977.0011
May ’24JP¥2,093.00
JP¥2,157.27
+3.1%
11.4%JP¥2,480.00JP¥1,700.00JP¥2,865.0011
Apr ’24JP¥1,935.00
JP¥2,230.00
+15.2%
12.7%JP¥2,600.00JP¥1,700.00JP¥2,828.0011
Mar ’24JP¥1,964.00
JP¥2,307.27
+17.5%
11.8%JP¥2,600.00JP¥1,700.00JP¥2,796.0011
Feb ’24JP¥1,963.00
JP¥2,353.64
+19.9%
10.1%JP¥2,650.00JP¥1,900.00JP¥2,726.5011
Jan ’24JP¥2,001.00
JP¥2,371.82
+18.5%
10.7%JP¥2,700.00JP¥1,900.00JP¥2,796.0011
Dec ’23JP¥2,141.00
JP¥2,420.00
+13.0%
9.8%JP¥2,750.00JP¥2,000.00JP¥2,780.0011
Nov ’23JP¥2,143.00
JP¥2,474.17
+15.5%
10.1%JP¥2,900.00JP¥2,100.00JP¥2,625.5012

Analyst Forecast: Target price is less than 20% higher than the current share price.


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