Japan Exchange Group Inc 8697

Morningstar Rating
¥2,210.50 −15.50 (0.70%)
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Company Report

Elevated Trading Activity Expected to Boost Earnings, Albeit Temporarily

Japan Exchange Group’s strategy has long focused on various attempts to help revitalize the Japanese economy and financial markets. Over the past decade, this strategy took shape through various mergers and acquisitions, such as the merger between predecessor companies Tokyo Stock Exchange and Osaka Securities Exchange in 2013 and the acquisition of Tokyo Commodity Exchange in 2019. Through these mergers and acquisitions, the Japan Exchange Group has become a vertically integrated securities exchange business, with offerings across the full breadth and depth of exchanges and a dominant market share in listing, trading and clearing in Japan. JPX’s current strategy continues in a similar vein, with its medium-term management plan aiming to reinvigorate the Japanese economy and financial markets, primarily by focusing on supporting fundraising and asset formation.

Price vs Fair Value

8697 is trading at a LOCK|?w?<F# premium.
Price
¥2,210.50
Fair Value
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Uncertainty
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1-Star Price
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5-Star Price
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Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

JPX is a vertically integrated exchange with an effective monopoly to Japan, the world’s third-largest economy.

Bears

JPX’s fate is strongly linked to Japan’s economy, which has been stagnant or declining for nearly three decades due to the country’s aging population and high public debt levels.

News

Trading Information

Previous Close Price
¥2,226.00
Day Range
¥2,188.002,236.50
52-Week Range
¥1,545.502,356.00
Bid/Ask
¥2,210.00 / ¥2,214.00
Shares Outstanding
1.02B
Market Cap
¥2.25T
Volume/Avg
3M / 4M

Key Statistics

Price/Earnings (Normalized)
28.78
Price/Sales
14.01
Dividend Yield (Trailing)
2.76%
Dividend Yield (Forward)
3.53%
Dividend Payment Schedule
May, Dec
Total Yield
3.65%

Company Profile

Japan Exchange Group is a vertically integrated securities exchange business, which includes the Tokyo Stock Exchange, Osaka Exchange, and Tokyo Commodity Exchange. JPX ranks among the top five largest stock exchange operators in the world by market capitalization, and its Nikkei 225 and Topix derivatives products are some of the most widely traded derivatives products in the world.
Sector
Financial Services
Industry
Financial Data & Stock Exchanges
Stock Style Box
Large Core
Total Number of Employees
1,268

Competitors

Valuation

Metric
8697
00388
ASX
Price/Earnings (Normalized)
28.7824.6921.26
Price/Book Value
7.028.082.69
Price/Sales
14.0118.648.39
Price/Cash Flow
20.7822.1640.67
Price/Earnings
8697
00388
ASX

Financial Strength

Metric
8697
00388
ASX
Quick Ratio
0.000.821.12
Current Ratio
1.001.051.13
Interest Coverage
520.943.301.53
Quick Ratio
8697
00388
ASX

Profitability

Metric
8697
00388
ASX
Return on Assets (Normalized)
3.66%3.35%
Return on Equity (Normalized)
33.51%13.68%
Return on Invested Capital (Normalized)
26.66%11.22%
Return on Assets
8697
00388
ASX

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