# Fujitsu (6702.JP)

Canonical: https://gigainvestors.com/s/6702.JP

Analysis as of: 2026-10-15T07:11:04.377Z. Financial observations: FY2013–FY2026.

Listing currency: JPY. Reporting currency: JPY.

## Verdict

A wonderful business at too high a price

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: JPY 4,285.00 per share; close as of 2026-10-15.

Estimated value: low JPY 1,276.69 per share, central JPY 1,422.99 per share, high JPY 1,617.73 per share. Buy at or below the central value JPY 1,422.99 per share. Valuation as of 2026-10-15T07:11:04.377Z; scenarios are not confidence intervals.

Expected annual return: 5.0% at the stated quote. About 5.0% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; JP 10-year bond 2.9% + 4 points).

## Checklist

### understandable: fail

- 8 revenue declines in the last 10 years

- more than 5 revenue declines in ten years

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 8

- Years with a net loss: 0

- Operating margin variation: 0.37×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.03×

- FY2018: 0.04×

- FY2019: 0.03×

- FY2020: 0.05×

- FY2021: 0.07×

- FY2022: 0.06×

- FY2023: 0.09×

- FY2024: 0.04×

- FY2025: 0.07×

- FY2026: 0.10×

### moat: pass

- ROIC, median of available years: 16.3%

- ROIC, second-lowest year: 10.6%

- Typical minus recent gross margin: -2.4 pp

- Typical gross margin (annual median): 30.4%

- Recent gross margin (lower of latest and 3-year median): 32.9%

- Years with nonpositive capital: 0

- Capital spending / revenue: 3.8%

- ROIC including acquisitions, ten-year median: 15.1%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 10.6%

- FY2018: 21.3%

- FY2019: 13.2%

- FY2020: 19.7%

- FY2021: 21.0%

- FY2022: 18.4%

- FY2023: 15.9%

- FY2024: 9.5%

- FY2025: 12.1%

- FY2026: 16.7%

### economics: pass

- Owner earnings / net income, 5-yr: 0.86×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: JPY 1.13T

- Net income, five-year total: JPY 1.32T

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: 0.4 pp

- Working capital / revenue, change between three-year averages: 2.6 pp

- Working capital / revenue, final three-year average: 20.8%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: 0.89×

- FY2023: 0.78×

- FY2024: 0.75×

- FY2025: 0.79×

- FY2026: 0.97×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 13.2% vs 12.1%

- Per-share earnings: 42.83 to 135.59 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -1.6%

- Ordinary dilution, 5-year annual growth: -2.5%

- Market cap gain: JPY 4.19T

- Cumulative retained earnings: JPY 1.27T

- Diluted shares, 10-year annual growth: -1.6%

- Diluted shares, 5-year annual growth: -2.5%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value growth: 15.5%

- Per-share value change: JPY 92.76

- Per-share value, starting three-year median: JPY 42.83

- Per-share value, ending three-year median: JPY 135.59

- Buybacks concentrated in cheaper years (correlation): -0.48

- Average buyback yield: 1.9%

- Buyback history: 10 years

- Debt-funded buybacks: No

- Acquisition spending: JPY 110B

- Cumulative net income, 10 years: JPY 2.05T

- ROIC, first three-year median: 13.2%

- ROIC, last three-year median: 12.1%

Chart: Earnings per share; fiscal year observations.

- FY2017: JPY 42.83

- FY2018: JPY 82.53

- FY2019: JPY 51.25

- FY2020: JPY 79.12

- FY2021: JPY 101.38

- FY2022: JPY 92.42

- FY2023: JPY 110.76

- FY2024: JPY 135.59

- FY2025: JPY 120.93

- FY2026: JPY 254.83

### accounting: pass

- Sloan accruals: 3.3%

- Receivables to sales index (DSRI): 1.02×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.75×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.18×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -5.1%

- FY2018: -1.0%

- FY2019: 0.2%

- FY2020: -5.9%

- FY2021: -3.3%

- FY2022: -2.0%

- FY2023: -0.2%

- FY2024: -1.6%

- FY2025: -2.4%

- FY2026: 3.3%

## Holders

## Price story

Price needs cash profits to grow 16.3% a year for ten years · sales -1.3%

Story as of 2026-10-16T10:00:14.493Z; price observation 2026-10-15.

Price needs cash profits to grow 16.3% a year for ten years

### Sales · FY2025–2026

sales -1.3%; source https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YM3K.pdf; observed 2026-06-26.

- FY2017: JPY 4.13T 

- FY2018: JPY 4.10T 

- FY2019: JPY 3.95T 

- FY2020: JPY 3.86T 

- FY2021: JPY 3.59T 

- FY2022: JPY 3.59T 

- FY2023: JPY 3.71T 

- FY2024: JPY 3.48T 

- FY2025: JPY 3.55T 

- FY2026: JPY 3.50T 

### Gross margin · FY2026

gross margin 35.6%; source https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YM3K.pdf; observed 2026-06-26.

- FY2017: 29.4% 

- FY2018: 27.6% 

- FY2019: 27.1% 

- FY2020: 28.8% 

- FY2021: 30.1% 

- FY2022: 31.2% 

- FY2023: 30.8% 

- FY2024: 32.2% 

- FY2025: 32.9% 

- FY2026: 35.6% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in information technology services; annual sales are JPY 3.5 trillion.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YM3K.pdf (filed 2026-06-26); FY2026: revenue 3502971000000; grossProfit 1246867000000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 32.2% to 35.6% during 2024–26; it earns 16.3% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2024: grossProfit / revenue = 32.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2025: grossProfit / revenue = 32.9%.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YM3K.pdf (filed 2026-06-26); FY2026: grossProfit / revenue = 35.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); 10-year return on capital observations [[2017,0.1055894507136862],[2018,0.21337001800999494],[2019,0.13164816172113594],[2020,0.19747387728159846],[2021,0.2101728955573929],[2022,0.18379901971910534],[2023,0.15933066619257547],[2024,0.09476653603896619],[2025,0.12139381308559889],[2026,0.16673723107426547]]; median 0.16303394863342047. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 31% gross margin through 2022 cost inflation.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YM3K.pdf (filed 2026-06-26); Gross margin observations: [[2021,0.3009297150571273],[2022,0.3118765576040631],[2023,0.3080650993990738]]; range within 2 percentage points.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back JPY 170 billion of shares.

- Source: https://eodhd.com/api/fundamentals/FUJ1.F.json#2017-03-31 (filed 2026-06-26); FY2017: growth capex 0; upkeep 198497000000; owner earnings 78289000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2018: growth capex 0; upkeep 135005000000; owner earnings 191404000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2019: growth capex 0; upkeep 120637000000; owner earnings 128924000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2020: growth capex 0; upkeep 132970000000; owner earnings 171436000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2021: growth capex 0; upkeep 128771000000; owner earnings 181654000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2022: growth capex 0; upkeep 143251000000; owner earnings 163488000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2023: growth capex 0; upkeep 168098000000; cash acquisitions 0; owner earnings 167746000000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2024: growth capex 0; upkeep 195839000000; cash acquisitions 72846000000; owner earnings 191594000000. Growth capex plus acquisitions / owner earnings = 0.38021023622869193.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); FY2025: growth capex 4000000; upkeep 160894000000; cash acquisitions 0; owner earnings 173500000000. Growth capex plus acquisitions / owner earnings = 0.000023054755043227664.

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YM3K.pdf (filed 2026-06-26); FY2026: growth capex 0; upkeep 108977000000; cash acquisitions 0; owner earnings 435073000000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); Dividend observations: [[2017,16550000000],[2018,20504000000],[2019,26660000000],[2020,32429000000],[2021,40052000000],[2022,41680000000],[2023,45210000000],[2024,47098000000],[2025,49534000000],[2026,51469000000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/api/fundamentals/FUJ1.F.json#2026-03-31 (filed 2026-06-26); FY2026: cash repurchases 170019000000 JPY.

### What could break it

"① 自然災害・感染症・火災等に関するリスク" (6702 filing, Jun 2026)

- Source: https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YM3K.pdf (filed 2026-06-26); ① 自然災害・感染症・火災等に関するリスク

### What the price says

The price assumes cash profits grow 16.3% yearly over ten years; actual growth was 17.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-06-26); Ten-year compound average after fade. Initial solved rate 0.22318398291793506. Price 4285; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2016 owner earnings/share 48.394650254140586 → FY2026 246.70155535727002. Closing-price date 2026-10-15.

## Monthly share-price history (JPY per share)

- 2016-11: JPY 674.80 per share

- 2016-12: JPY 649.50 per share

- 2017-01: JPY 658.60 per share

- 2017-02: JPY 652.70 per share

- 2017-03: JPY 680.90 per share

- 2017-04: JPY 694.80 per share

- 2017-05: JPY 807.80 per share

- 2017-06: JPY 827.80 per share

- 2017-07: JPY 823.70 per share

- 2017-08: JPY 815.10 per share

- 2017-09: JPY 835.90 per share

- 2017-10: JPY 878.40 per share

- 2017-11: JPY 834.90 per share

- 2017-12: JPY 802.70 per share

- 2018-01: JPY 803.90 per share

- 2018-02: JPY 643.90 per share

- 2018-03: JPY 654.80 per share

- 2018-04: JPY 665.90 per share

- 2018-05: JPY 666.70 per share

- 2018-06: JPY 671.80 per share

- 2018-07: JPY 760.40 per share

- 2018-08: JPY 813.10 per share

- 2018-09: JPY 809.60 per share

- 2018-10: JPY 686.20 per share

- 2018-11: JPY 698.70 per share

- 2018-12: JPY 684.70 per share

- 2019-01: JPY 728.40 per share

- 2019-02: JPY 750.90 per share

- 2019-03: JPY 798.60 per share

- 2019-04: JPY 813.50 per share

- 2019-05: JPY 735.50 per share

- 2019-06: JPY 751.20 per share

- 2019-07: JPY 854.30 per share

- 2019-08: JPY 820.30 per share

- 2019-09: JPY 865.50 per share

- 2019-10: JPY 962.10 per share

- 2019-11: JPY 995.10 per share

- 2019-12: JPY 1,027.00 per share

- 2020-01: JPY 1,161.50 per share

- 2020-02: JPY 1,121.00 per share

- 2020-03: JPY 975.50 per share

- 2020-04: JPY 1,053.50 per share

- 2020-05: JPY 1,110.00 per share

- 2020-06: JPY 1,262.00 per share

- 2020-07: JPY 1,412.00 per share

- 2020-08: JPY 1,382.00 per share

- 2020-09: JPY 1,434.00 per share

- 2020-10: JPY 1,222.50 per share

- 2020-11: JPY 1,450.50 per share

- 2020-12: JPY 1,490.50 per share

- 2021-01: JPY 1,602.00 per share

- 2021-02: JPY 1,536.00 per share

- 2021-03: JPY 1,600.00 per share

- 2021-04: JPY 1,740.50 per share

- 2021-05: JPY 1,778.50 per share

- 2021-06: JPY 2,080.00 per share

- 2021-07: JPY 1,856.50 per share

- 2021-08: JPY 2,030.00 per share

- 2021-09: JPY 2,031.00 per share

- 2021-10: JPY 1,962.50 per share

- 2021-11: JPY 1,879.50 per share

- 2021-12: JPY 1,973.00 per share

- 2022-01: JPY 1,502.00 per share

- 2022-02: JPY 1,656.50 per share

- 2022-03: JPY 1,841.50 per share

- 2022-04: JPY 1,868.50 per share

- 2022-05: JPY 1,934.50 per share

- 2022-06: JPY 1,696.50 per share

- 2022-07: JPY 1,851.50 per share

- 2022-08: JPY 1,656.50 per share

- 2022-09: JPY 1,578.50 per share

- 2022-10: JPY 1,712.50 per share

- 2022-11: JPY 1,846.50 per share

- 2022-12: JPY 1,761.50 per share

- 2023-01: JPY 1,851.00 per share

- 2023-02: JPY 1,752.00 per share

- 2023-03: JPY 1,783.50 per share

- 2023-04: JPY 1,806.00 per share

- 2023-05: JPY 1,772.00 per share

- 2023-06: JPY 1,859.50 per share

- 2023-07: JPY 1,838.50 per share

- 2023-08: JPY 1,820.50 per share

- 2023-09: JPY 1,760.00 per share

- 2023-10: JPY 1,941.50 per share

- 2023-11: JPY 2,112.00 per share

- 2023-12: JPY 2,127.50 per share

- 2024-01: JPY 2,084.00 per share

- 2024-02: JPY 2,338.50 per share

- 2024-03: JPY 2,493.00 per share

- 2024-04: JPY 2,435.50 per share

- 2024-05: JPY 2,268.50 per share

- 2024-06: JPY 2,517.00 per share

- 2024-07: JPY 2,732.50 per share

- 2024-08: JPY 2,677.50 per share

- 2024-09: JPY 2,935.50 per share

- 2024-10: JPY 2,963.00 per share

- 2024-11: JPY 2,866.00 per share

- 2024-12: JPY 2,799.50 per share

- 2025-01: JPY 3,018.00 per share

- 2025-02: JPY 2,879.00 per share

- 2025-03: JPY 2,951.00 per share

- 2025-04: JPY 3,151.00 per share

- 2025-05: JPY 3,318.00 per share

- 2025-06: JPY 3,515.00 per share

- 2025-07: JPY 3,305.00 per share

- 2025-08: JPY 3,576.00 per share

- 2025-09: JPY 3,484.00 per share

- 2025-10: JPY 4,031.00 per share

- 2025-11: JPY 4,147.00 per share

- 2025-12: JPY 4,329.00 per share

- 2026-01: JPY 4,283.00 per share

- 2026-02: JPY 3,588.00 per share

- 2026-03: JPY 3,172.00 per share

- 2026-04: JPY 3,180.00 per share

- 2026-05: JPY 3,368.00 per share

- 2026-06: JPY 3,247.00 per share

- 2026-07: JPY 3,659.00 per share

- 2026-08: JPY 3,869.00 per share

- 2026-09: JPY 3,957.00 per share

- 2026-10: JPY 4,294.00 per share

## Annual estimated value (JPY per share)

- FY2018: low JPY 641.88 per share, central JPY 705.47 per share, high JPY 790.12 per share

- FY2019: low JPY 739.11 per share, central JPY 818.20 per share, high JPY 923.48 per share

- FY2020: low JPY 865.80 per share, central JPY 959.55 per share, high JPY 1,084.35 per share

- FY2021: low JPY 1,077.13 per share, central JPY 1,197.36 per share, high JPY 1,357.42 per share

- FY2022: low JPY 1,112.57 per share, central JPY 1,237.21 per share, high JPY 1,403.14 per share

- FY2023: low JPY 1,088.72 per share, central JPY 1,218.84 per share, high JPY 1,392.06 per share

- FY2024: low JPY 1,068.21 per share, central JPY 1,195.46 per share, high JPY 1,364.87 per share

- FY2025: low JPY 1,134.15 per share, central JPY 1,278.00 per share, high JPY 1,469.50 per share

- FY2026: low JPY 1,276.69 per share, central JPY 1,422.99 per share, high JPY 1,617.73 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original EDINET filing](https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100YM3K.pdf); period 2026-03-31, filed 2026-06-26.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.

## Reported holder observations