* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
TSE:2349'
s PEG Ratio Range Over the Past 10 Years
Min: 0.6 Med: 1.04 Max: 4.01
Current: 0.86
During the past 13 years, Nippon Information Development Co's highest PEG Ratio was 4.01. The lowest was 0.60. And the median was 1.04.
TSE:2349's PEG Ratio is ranked better than 64.5% of 817
companies
in the Software industry
Industry Median: 1.32
vs TSE:2349: 0.86
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
Nippon Information Development Co (TSE:2349) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.
Nippon Information Development Co PEG Ratio Related Terms
Nippon Information Development Co PEG Ratio Historical Data
* 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, Nippon Information Development Co's PEG Ratio, along with its competitors' market caps and PEG Ratio 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.
Nippon Information Development Co PEG Ratio vs Software Industry
For the Software industry and Technology sector, Nippon Information Development Co's PEG Ratio distribution charts can be found below:
* The bar in red indicates where Nippon Information Development Co's PEG Ratio falls into.
* 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.
* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
Nippon Information Development Co (TSE:2349) has a PEG Ratio of 0.86 as of Jul. 11, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Nippon Information Development Co and its competitors. This is 17% below median its historical median of 1.04. Over the past decade, Nippon Information Development Co's PEG Ratio has ranged from 0.60 to 4.01. According to the industry distribution chart, Nippon Information Development Co ranks #290 out of 817 companies in the Software industry, placing it in the top 35.5%.
Is Nippon Information Development Co's PEG Ratio too high?
Nippon Information Development Co's current PEG Ratio of 0.86 is 17% below median its 10-year median of 1.04. Over the past 10 years, this metric has ranged from a low of 0.60 to a high of 4.01. The Software industry median PEG Ratio is 1.32. Nippon Information Development Co's value of 0.86 is 34.8% below this industry median. Based on the distribution chart, Nippon Information Development Co ranks #290 out of 817 companies in the Software industry, which is above the industry midpoint. Overall, Nippon Information Development Co has a GF Score™ of 84/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nippon Information Development Co's PEG Ratio compare to IBM and ACN?
According to the Software industry distribution chart, Nippon Information Development Co ranks #290 out of 817 companies for PEG Ratio. This puts Nippon Information Development Co in the upper half of its industry. The industry median PEG Ratio is 1.32. Nippon Information Development Co's value of 0.86 is 34.8% below this benchmark. Historically, Nippon Information Development Co's own PEG Ratio has ranged from 0.60 to 4.01 over the past decade. While the company's 10-year median is 1.04 vs. the industry median of 1.32, Nippon Information Development Co has consistently been below 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 PEG Ratio for a Software company?
The median PEG Ratio among Software companies is 1.32, based on 817 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Nippon Information Development Co's current PEG Ratio of 0.86 is 34.8% below 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 PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Nippon Information Development Co and its competitors. For the Software industry, the median PEG Ratio is 1.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Information Development Co's current PEG Ratio is 0.86, which is 17% below median its own 10-year median of 1.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Information Development Co stock overvalued right now?
Based on GuruFocus' analysis, Nippon Information Development Co (TSE:2349) is currently considered Fairly Valued. The stock's GF Value™ is 円2,542.69, compared to a current price of 円2,499.00 — trading 1.7% below its estimated fair value. The current PEG Ratio is 0.86, which is 17% below median its 10-year median of 1.04 and 34.8% below the Software industry median of 1.32. Nippon Information Development Co's overall GF Score™ is 84/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For Nippon Information Development Co (TSE:2349), the current PEG Ratio is 0.86 as of Jul. 11, 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 Nippon Information Development Co (TSE:2349) Overvalued in 2026?
Based on GuruFocus' analysis, Nippon Information Development Co stock appears to be undervalued.
The current stock price of 円2,499.00 is trading 1.7% below its estimated GF Value™ of 円2,542.69.
GuruFocus considers Nippon Information Development Co to be Fairly Valued.
Key valuation signals for TSE:2349:
PEG Ratio: 0.86 (17% below median its 10-year median of 1.04)
GF Value™: 円2,542.69 vs. price of 円2,499.00 (1.7% below fair value)
Industry Position: 34.8% below the Software median (#290 of 817)
No single metric tells the full story. See the TSE:2349 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nippon Information Development Co Business Description
Nippon Information Development Co Ltd provides information technology services. It provides cloud solutions, financial system solutions, business system solutions, and embedded and control solutions.
84GF Score
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