Canon Inc.

TSE:7751 Stock Report

Market Cap: JP¥4.7t

Canon Valuation

Is 7751 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • 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 7751 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 7751 (¥4995) is trading below our estimate of fair value (¥6358.95)

Significantly Below Fair Value: 7751 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 7751?

Key metric: As 7751 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 7751. This is calculated by dividing 7751's market cap by their current earnings.
What is 7751's PE Ratio?
PE Ratio15.8x
EarningsJP¥299.14b
Market CapJP¥4.71t

Price to Earnings Ratio vs Peers

How does 7751's PE Ratio compare to its peers?

The above table shows the PE ratio for 7751 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.4x
4901 FUJIFILM Holdings
16.1x9.3%JP¥3.9t
7752 Ricoh Company
25x19.0%JP¥960.3b
6724 Seiko Epson
18x14.2%JP¥879.2b
6448 Brother Industries
22.3x13.3%JP¥691.9b
7751 Canon
15.8x7.5%JP¥4.7t

Price-To-Earnings vs Peers: 7751 is good value based on its Price-To-Earnings Ratio (15.8x) compared to the peer average (20.4x).

Price to Earnings Ratio vs Industry

How does 7751's PE Ratio compare vs other companies in the JP Tech Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
7751 15.8xIndustry Avg. 22.0xNo. of Companies3PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 7751 is good value based on its Price-To-Earnings Ratio (15.8x) compared to the Asian Tech industry average (22x).

Price to Earnings Ratio vs Fair Ratio

What is 7751'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.

7751 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.8x
Fair PE Ratio18.6x

Price-To-Earnings vs Fair Ratio: 7751 is good value based on its Price-To-Earnings Ratio (15.8x) compared to the estimated Fair Price-To-Earnings Ratio (18.6x).

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 7751 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentJP¥4,995.00
JP¥5,050.00
+1.1%
11.1%JP¥5,700.00JP¥3,500.00n/a11
Nov ’25JP¥4,907.00
JP¥5,040.91
+2.7%
11.3%JP¥5,700.00JP¥3,500.00n/a11
Oct ’25JP¥4,794.00
JP¥5,025.00
+4.8%
6.2%JP¥5,500.00JP¥4,600.00n/a10
Sep ’25JP¥5,017.00
JP¥5,025.00
+0.2%
6.2%JP¥5,500.00JP¥4,600.00n/a10
Aug ’25JP¥4,400.00
JP¥4,554.55
+3.5%
14.1%JP¥5,700.00JP¥3,500.00n/a11
Jul ’25JP¥4,407.00
JP¥4,400.00
-0.2%
13.5%JP¥5,500.00JP¥3,500.00n/a11
Jun ’25JP¥4,552.00
JP¥4,336.36
-4.7%
12.6%JP¥5,300.00JP¥3,500.00n/a11
May ’25JP¥4,290.00
JP¥4,290.91
+0.02%
13.2%JP¥5,300.00JP¥3,500.00n/a11
Apr ’25JP¥4,487.00
JP¥4,181.82
-6.8%
11.6%JP¥5,100.00JP¥3,500.00n/a11
Mar ’25JP¥4,387.00
JP¥4,050.00
-7.7%
11.1%JP¥5,100.00JP¥3,500.00n/a12
Feb ’25JP¥4,034.00
JP¥3,890.91
-3.5%
10.3%JP¥4,800.00JP¥3,500.00n/a11
Jan ’25JP¥3,620.00
JP¥3,872.73
+7.0%
10.5%JP¥4,800.00JP¥3,500.00n/a11
Dec ’24JP¥3,854.00
JP¥3,808.33
-1.2%
11.6%JP¥4,800.00JP¥3,100.00n/a12
Nov ’24JP¥3,625.00
JP¥3,842.31
+6.0%
10.5%JP¥4,800.00JP¥3,100.00JP¥4,907.0013
Oct ’24JP¥3,605.00
JP¥3,810.71
+5.7%
11.5%JP¥4,800.00JP¥3,100.00JP¥4,794.0014
Sep ’24JP¥3,597.00
JP¥3,784.62
+5.2%
11.3%JP¥4,800.00JP¥3,100.00JP¥5,017.0013
Aug ’24JP¥3,712.00
JP¥3,753.85
+1.1%
12.0%JP¥4,800.00JP¥3,100.00JP¥4,400.0013
Jul ’24JP¥3,790.00
JP¥3,539.29
-6.6%
10.8%JP¥4,200.00JP¥3,100.00JP¥4,407.0014
Jun ’24JP¥3,500.00
JP¥3,470.00
-0.9%
11.2%JP¥4,200.00JP¥3,000.00JP¥4,552.0015
May ’24JP¥3,205.00
JP¥3,346.67
+4.4%
10.5%JP¥4,200.00JP¥3,000.00JP¥4,290.0015
Apr ’24JP¥2,955.50
JP¥3,296.67
+11.5%
9.5%JP¥3,850.00JP¥2,900.00JP¥4,487.0015
Mar ’24JP¥2,954.50
JP¥3,273.33
+10.8%
11.1%JP¥4,000.00JP¥2,850.00JP¥4,387.0015
Feb ’24JP¥2,869.00
JP¥3,333.33
+16.2%
11.0%JP¥4,000.00JP¥2,850.00JP¥4,034.0015
Jan ’24JP¥2,855.50
JP¥3,473.33
+21.6%
8.6%JP¥4,000.00JP¥3,000.00JP¥3,620.0015
Dec ’23JP¥3,166.00
JP¥3,563.33
+12.6%
10.5%JP¥4,400.00JP¥3,000.00JP¥3,854.0015
Nov ’23JP¥3,179.00
JP¥3,608.33
+13.5%
10.9%JP¥4,400.00JP¥3,000.00JP¥3,625.0015

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

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