Canon Marketing Japan: Service-oriented businesses and security services perform well at area segment

研报英文原文证据摘录

Canon Marketing Japan: Service-oriented businesses and security services perform well at area segment

Global Markets Research

30 July 2026Canon Marketing Japan

8060.T 8060 JP / EQUITY: JAPAN CONSUMER ELECTRONICS

RatingService-oriented businesses and security services

Remains Neutralperform well at area segment

Target price

We lower forecasts for enterprise segment to reflect unprofitable projects, Reduced from 4,100 JPY 3,800

but orders have been strong recently

Closing price JPY 3,639We keep our Neutral rating, forecast stable growth, mainly in IT solutions 29 July 2026

While we do not envision any growth in sales of cameras or printers at Canon Marketing

Implied upside +4.4%Japan, we note that IT solutions, which account for over 50% of companywide sales, have

been growing steadily. Over the medium term, we expect profit growth to be driven by

increased sales at high-margin service-oriented businesses. We obtain our target price of

¥3,800 by multiplying our 27/12 adjusted EPS forecast (before goodwill amortization) of

Relative performance chart¥239 by a P/E of around 16x, which is still in line with the benchmark average. We retain

our Neutral rating as we think the stock is fairly priced at its current level, reflecting stable

growth, particularly in IT solutions.

26/12: We nudge up overall forecasts despite unprofitable projects

We nudge up our 26/12 operating profit forecast from ¥63.0bn to ¥63.4bn (up 9% y-y),

versus guidance of ¥63.0bn, with downward revisions for the enterprise segment but

upward revisions for the area segment, where we raise our operating margin forecast to

factor in strong performance in security services such as ESET antivirus software. We

think business conditions will remain favorable in H2, given the potential for increased