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NECNIPNF +0.50%73 EV-to-OCF is 11.69 as of Jul. 26, 2026, which is 3% below its 10-year median of 12.10. GuruFocus rates NIPNF with a GF Score™ of 73/100 and a GF Value™ of $17.72 (Significantly Overvalued). Among 2,876 Software companies, NEC ranks worse than 67.8% on this metric.
EV-to-OCF is calculated as enterprise value divided by its cash flow from operations. As of today, NEC's Enterprise Value is $33,710 Mil.
NEC's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 was $2,884 Mil. Therefore, NEC's EV-to-OCF for today is 11.69.
The historical rank and industry rank for NEC's EV-to-OCF or its related term are showing as below:
NIPNF'
s EV-to-OCF Range Over the Past 10 Years
Min: 5.71 Med: 12.1 Max: 24.36
Current: 12.6
During the past 13 years, the highest EV-to-OCF of NEC was 24.36. The lowest was 5.71. And the median was 12.10.
NIPNF's EV-to-OCF is ranked worse than 67.8% of 2876
companies
in the Software industry
Industry Median: 6.695
vs NIPNF: 12.60
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
As of today (2026-07-26), NEC's stock price is $25.95.
NEC's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 was $1.312. Therefore, NEC's PE Ratio (TTM) for today is 19.78.
NEC (OTCPK:NIPNF) EV-to-OCF Explanation
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
NEC's share price for today is $25.95.
NEC's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1.312.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Cash Flow from Operations is an important financial metric because it represents the cash generated from operating activities at a company's disposal. Companies with a low EV-to-OCF ratio, combined with a strong balance sheet are generally considered as undervalued.
NEC EV-to-OCF Related Terms
NEC EV-to-OCF Historical Data
* Premium members only.
The historical data trend for NEC's EV-to-OCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Information Technology Services subindustry, NEC's EV-to-OCF, along with its competitors' market caps and EV-to-OCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
NEC EV-to-OCF vs Software Industry
For the Software industry and Technology sector, NEC's EV-to-OCF distribution charts can be found below:
* The bar in red indicates where NEC's EV-to-OCF falls into.
NEC's current Enterprise Value is $33,710 Mil.
NEC's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $2,884 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
NEC (NIPNF) has a EV-to-OCF of 11.69 as of Jul. 26, 2026. This is near median its historical median of 12.10. Over the past decade, NEC's EV-to-OCF has ranged from 5.71 to 24.36. According to the industry distribution chart, NEC ranks #1950 out of 2876 companies in the Software industry, placing it in the top 67.8%.
Is NEC's EV-to-OCF too high?
NEC's current EV-to-OCF of 11.69 is near median its 10-year median of 12.10. Over the past 10 years, this metric has ranged from a low of 5.71 to a high of 24.36. The Software industry median EV-to-OCF is 6.70. NEC's value of 11.69 is 74.6% above this industry median. Based on the distribution chart, NEC ranks #1950 out of 2876 companies in the Software industry, which is below the industry midpoint. Overall, NEC has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does NEC's EV-to-OCF compare to IBM and ACN?
According to the Software industry distribution chart, NEC ranks #1950 out of 2876 companies for EV-to-OCF. This places NEC in the lower half of its industry. The industry median EV-to-OCF is 6.70. NEC's value of 11.69 is 74.6% above this benchmark. Historically, NEC's own EV-to-OCF has ranged from 5.71 to 24.36 over the past decade. While the company's 10-year median is 12.10 vs. the industry median of 6.70, NEC has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-OCF for a Software company?
The median EV-to-OCF among Software companies is 6.70, based on 2,876 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-OCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-OCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. NEC's current EV-to-OCF of 11.69 is 74.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-OCF mean?
A high EV-to-OCF can signal that a stock is expensive relative to its fundamentals. For the Software industry, the median EV-to-OCF is 6.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NEC's current EV-to-OCF is 11.69, which is near median its own 10-year median of 12.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NEC stock overvalued right now?
Based on GuruFocus' analysis, NEC (NIPNF) is currently considered Significantly Overvalued. The stock's GF Value™ is $17.72, compared to a current price of $25.95 — trading 46.4% above its estimated fair value. The current EV-to-OCF is 11.69, which is near median its 10-year median of 12.10 and 74.6% above the Software industry median of 6.70. NEC's overall GF Score™ is 73/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-OCF calculated?
EV-to-OCF is calculated from a company's financial statements. For NEC (NIPNF), the current EV-to-OCF is 11.69 as of Jul. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is NEC (NIPNF) Overvalued in 2026?
Based on GuruFocus' analysis, NEC stock appears to be overvalued.
The current stock price of $25.95 is trading 46.4% above its estimated GF Value™ of $17.72.
GuruFocus considers NEC to be Significantly Overvalued.
Key valuation signals for NIPNF:
EV-to-OCF: 11.69 (near median its 10-year median of 12.10)
GF Value™: $17.72 vs. price of $25.95 (46.4% above fair value)
Industry Position: 74.6% above the Software median (#1950 of 2876)
No single metric tells the full story. See the NIPNF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NEC Corp is engaged in IT services, networks, social infrastructure, and solutions. The company operates through three segments: IT Services, Social Infrastructure, and Others. The IT Services segment provides system integration, consulting, maintenance, outsourcing, cloud services, system equipment, and software services. The Social Infrastructure segment offers network infrastructure, including core networks, mobile base stations, optical transmission systems, and marine systems, along with telecom software, OSS/BSS solutions, aerospace and defense system integration, and maintenance. The Others segment covers the development, manufacturing, and sales of system equipment. It generates the majority of its revenue from the IT Services segment.
73GF Score
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