EN DE

Canon Inc. (CAJPY) Fair Value & Analysis

Technology · US · Market cap $23.3B · ISIN US1380063099

What is Canon Inc. really worth?

CI Canon Inc. logo Canon Inc. CAJPY · US
Price$29.89
Fair Value$53.43
Upside+78.8%
Quality65/100

A solid business, trading 44% below our fair value of $53.43.

Watch Canon Inc. for free, get notified when fair value or trend changes. Plus fair value for all 35,000+ stocks, 14 days of Pro free, no card. Watch for free

Strengths

Healthy Growth (revenue 5y +8.9 %/yr)
Low debt · generates free cash flow
Ranks above peers (9/12)

Risks

!Thin margins · 6.6% net margin
!Narrow moat 36/100
!Evidence only medium, so the estimate is less certain
!Weak on future: 17 out of 100

For context

·3.87% dividend yield
Evidence: Medium Range $33.31 – $76.25

Fair value as of: Aug 13, 2026

From 23 valuation models · updated 22 days ago

Fair value updated Aug 13, 2026, revised from $44.23 to $53.43 (+20.8%) since Jul 15, 2026. Share price +5.7% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price is below even our cautious bear case ($33.31). The market is more pessimistic than our downside scenario.
  • Solid quality (65/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range ($33.31 to $76.25) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

$33.56 $17.81 Fair Value $53.43 Jun 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range $17.81 – $33.56 · fair‑value band $33.31 – $76.25 · the $29.89 price screens below the $53.43 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

Full chart & analysis →

Which stocks are undervalued right now? Check free Discover now →

Analysis

Canon Inc. (CAJPY) currently trades at $29.89, while our model-based Fair Value estimate is $53.43, implying the stock looks roughly 44.1% undervalued today. The Quality Score stands at 65/100 (solid quality), in the Technology sector. Bull case: the Growth Earnings group reads highest at a median of $61.32 per share, and 18 of the 23 models we run sit above the $29.89 price. Bear case: the Asset-Based group reads lowest at $18.55, and 5 of the 23 models stay below the price. Evidence for this calculation is medium.

Over the trailing twelve months, Canon Inc. generated revenue of $4.7T at a net margin of 6.6%. Revenue grew 3.3% year over year. It earns a return on equity of 9.4%. Net debt stands at $360B. Fundamentals as of Aug 13, 2026

Our scenario range runs from $33.31 (bear case) to $76.25 (bull case); at $29.89, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 7% below its 52-week high and 19% above its 52-week low, currently above its 200-day average. For context, the median of 10 Technology peers we cover trades at −53% fair-value upside, at 79%, CAJPY screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF best evidence $21.10 $29.40 $41.20 81
Growth DCF $21.66 $29.39 $39.93 79
Owner Earnings $29.53 $41.52 $58.59 77
All 23 models by family
DCF Models
FCF DCF best evidence $21.10 $29.40 $41.20 81
Owner Earnings $29.53 $41.52 $58.59 77
5Y Revenue Exit $29.63 $46.12 $66.59 72
5Y EBITDA Exit $52.46 $86.65 $125.12 74
5Y P/E Exit $41.34 $66.91 $92.47 70
10Y Revenue Exit $25.27 $39.39 $57.10 66
10Y EBITDA Exit $40.51 $66.76 $99.67 67
10Y P/E Exit $33.57 $53.43 $75.92 63
Earnings-Based
Graham-Dodd $18.76 $43.42 $55.77 65
PEG = 1.0 $7.34 $10.48 $13.63 57
EPV $28.46 $32.83 $36.65 74
Multiples
P/E Multiple $57.93 $77.24 $96.54 63
P/S Multiple $35.17 $46.89 $58.62 58
P/B Multiple $35.17 $46.89 $58.62 55
EV/EBIT $70.32 $93.02 $115.72 66
EV/EBITDA $80.13 $106.10 $132.06 67
EV/Revenue $36.65 $51.41 $66.16 54
Asset-Based
NCAV (Graham) $13.84 $18.55 $27.68 54
Growth DCF
Growth DCF $21.66 $29.39 $39.93 79
Rev-Margin DCF $29.63 $46.17 $63.71 73
Economic Profit
Residual Income $24.31 $27.03 $42.37 70
ROIC Compounder $28.58 $34.45 $41.23 72
Growth Earnings
Growth-Adj P/E $42.92 $61.32 $79.71 67

Widest divergence: Growth Earnings ($61.32) versus Asset-Based ($18.55). Highest evidence: FCF DCF (81).

Notify me when CAJPY reaches fair value

Put CAJPY on your watchlist. We get in touch as soon as price and fair value meet or the trend turns.

Set up alert →

Free, no payment details. Unsubscribe anytime in one click.

Key figures & financial health

P/E ratio 13.0
P/S ratio 0.93 P/E × margin
EPS (TTM) $2.30 price ÷ EPS = P/E 13.0
Dividend yield 3.9% payout 50.3%
Net margin 7.2% FY2025
Return on equity 9.4% TTM
More key figures
Profitability
Return on assets (EBIT) 6.5% avg 5y
Operating margin 6.5% TTM
Growth
Revenue (TTM) $4.7T TTM
Revenue growth (YoY) +3.3% 3y avg +6.3%
EPS growth (YoY) −28.6%
Balance sheet & cash flow
Free cash flow $224B FY2025
Net debt $360B FY2025 · ≈ 1.6 yrs of FCF

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 65/100

Of which business quality 63 · Market factors (momentum, volatility) 61

Profitability 50
Margins and returns on capital today
Quality Growth 61
Are margins and returns improving?
Cashflow 39
Earnings quality: real cash, not paper profit
Fin. Strength 72
Balance sheet, leverage, solvency risk
Investment 76
Disciplined investing over empire-building
Low Volatility 92
Calm price path (market factor)
Momentum 44
Price trend over the last 3–12 months (market factor)
52W Momentum 53
Distance to the 52-week high (market factor)
Net Issuance 100
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Canon Inc., together with its subsidiaries, develops, produces, sells, and services various printing, medical, imaging, and industrial equipment in Japan, the Americas, Europe, Asia, and Oceania. It operates through four segments: Printing Business Unit, Medical Business Unit, Imaging Business Unit, and Industrial Business Unit.

Full company description

Canon Inc., together with its subsidiaries, develops, produces, sells, and services various printing, medical, imaging, and industrial equipment in Japan, the Americas, Europe, Asia, and Oceania. It operates through four segments: Printing Business Unit, Medical Business Unit, Imaging Business Unit, and Industrial Business Unit. The company offers digital continuous-feed and cut-sheet, large-format, and document and laser multifunction printers, as well as office multifunction devices, laser image scanners, calculators, and document solutions; and CT and ultrasound diagnostic scanners, x-ray diagnostic and MRI equipment, digital radiography, ophthalmology equipment, in-vitro diagnostic systems and reagents, and healthcare IT solutions. It also provides interchangeable lens and compact digital cameras, lenses, compact photo printers, MR systems, network cameras, digital cinema and video cameras, and broadcasting equipment, as well as video management and image analysis software; and semiconductor and FPD exposure equipment, organic EL display manufacturing equipment, vacuum thin film deposition equipment, and die bonding equipment, as well as handheld terminals and document scanners. In addition, the company offers functional and evaporation materials; optical paints, adhesives, and crystals; contact image sensors; printed wiring boards; vacuum components; microwave/power grid tubes; radiation detectors; and x-ray tubes, panel detectors, and image intensifiers. It sells its products under the Canon brand name through resellers and distributors. The company was formerly known as Canon Camera Company, Inc. and changed its name to Canon Inc. in March 1969. Canon Inc. was founded in 1933 and is headquartered in Ota, Japan.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Canon Inc. reported revenue of ¥4.8T in FY2025 versus ¥3.5T in FY2021, a compound +8.4%/yr. Reported net income was ¥348B in FY2025, compounding +12.8%/yr from FY2021.

Growth Quality 73/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
$4.8T
Latest YoY
+7.5%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.3%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+8.9%
Avg. revenue growth/yr (40Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+4.1%
Value creation/yr (5Y, in JPY) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year. Measured in JPY: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+30.9% (27.0 + 3.9)
Revenue +8.4%/yr
FY21 ¥3.5T
FY22 ¥4.0T
FY23 ¥4.2T
FY24 ¥4.5T
FY25 ¥4.8T
Net income +12.8%/yr
FY21 ¥215B
FY22 ¥244B
FY23 ¥265B
FY24 ¥160B
FY25 ¥348B
Character of growth · EPS growth decomposed (2014-2025) +3.9 % p.a.
Revenue per share +4.0 %

of which total revenue +2.4 % · buybacks/dilution +1.5 %

EBIT margin −0.3 %
Tax rate +0.4 %
Residual (interest, one-offs) −0.1 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

Watch CAJPY: get an alert when its fair value changes →

Share or link this analysis
𝕏 Post WhatsApp LinkedIn Reddit
For bloggers & editors: embed code + live data

For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.

Cite: Fair Value Calculator (2026). "Canon Inc. Fair Value". https://www.fairvalue-calculator.com/stock/CAJPY

Peer Group

Computer Hardware · 222 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 65 · Top 25%
Fair Value upside +79% · Top 25%
Return on equity (TTM) 9% · Above median
Return on assets 5% · Above median
Net margin (TTM) 7% · Above median
Operating margin (TTM) 7% · Above median
Revenue growth 3% · Below median
Dividend yield (TTM) 3.9% · Above median
Debt / equity 0.09× · Higher than median

Valuation Multiples vs Computer Hardware median · lower = cheaper

P/E (TTM) 13.0× · Cheaper than 75% of peers
P/FCF 0.1× · Cheaper than 75% of peers
PEG 2.93× · Pricier than 75% of peers

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE100 · sector 1
FUTURE17 · sector 59
PAST37 · sector 24
HEALTH96 · sector 97
DIVIDEND77 · sector 37

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Computer Hardware stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).

Stock Price Fair Value vs Fair Value
Dell Technologies Inc DELL $456.24 $187.75 −59%
Arista Networks, Inc ANET $201.09 $57.72 −71%
Western Digital Corporation WDC $441.57 $47.49 −89%
Hygon Information Technology Co 688041 ¥246.21 ¥30.66 −88%
Hangzhou Hikvision Digital Technology Co 002415 ¥35.18 ¥40.44 +15%
Shenzhen Longsys Electronics Co 301308 ¥376.88 ¥91.67 −76%
Lenovo Group 0992 HK$30.12 HK$33.70 +12%
Dawning Information Industry Co 603019 ¥83.19 ¥39.38 −53%
HP Inc HPQ $30.52 $48.62 +59%
Inspur Electronic Information Industry Co 000977 ¥73.79 ¥44.02 −40%

Compare Canon Inc. with another stock

Price, fair value, quality and upside side by side.

Free, no sign-up

Explore undervalued stocks

More undervalued Technology stocks →

All undervalued stocks TechnologyFinancial ServicesHealthcareConsumer CyclicalConsumer DefensiveCommunication ServicesIndustrialsEnergyBasic MaterialsReal EstateUtilities Deeply Undervalued StocksUndervalued Blue-Chip StocksUndervalued Small-Cap StocksUndervalued Dividend Stocks

Try a ready-made strategy

Pick a strategy and jump into the live analysis with that exact screen applied.

🥇 Backtested Best 🏆 Big Names ⭐ Top Rated 💎 Quality on Sale 🚀 Profitable Growth 🧊 Quality Compounders 💵 Dividend Stars 📈 Strong Momentum 📉 Fallen Angels ⚖️ Deeply Undervalued 🔍 Small-Cap Gems 🏰 Moat at a Fair Price 💼 Insider Buying 🎩 Buffett-Style Quality 📚 Peter Lynch GARP 🧮 Greenblatt Magic Formula 🛡️ Graham Defensive

Discover tools

Stock screener Filter by region, size and sector Compare tool Two stocks side by side Extrinsic Value Calculator (Options) Splits an option premium into intrinsic and extrinsic (time) value. Peter Lynch Fair Value Formula & Calculator Apply Peter Lynch's fair value formula in seconds: fair P/E ≈ earnings growth (+ dividend) - free, with formula and example.

Frequently asked questions

Is Canon Inc. (CAJPY) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of $53.43 versus a price of $29.89, about +79% upside (undervalued).
What is the fair value of CAJPY?
Our model-based fair value for Canon Inc. is $53.43 (as of Aug 13, 2026), built from audited fundamentals. The current price: $29.89.
What is the quality score of CAJPY?
Canon Inc. has a Quality Score of 65/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Canon Inc. (CAJPY)?
Canon Inc. reported trailing-twelve-month revenue of about $4.7T (latest available figure, as of Aug 13, 2026).
What is the net profit margin of CAJPY?
The net profit margin of Canon Inc. is about 6.6%, meaning it keeps roughly 6.6% of revenue as net income. Based on the latest reported figures.
Does Canon Inc. pay a dividend?
Canon Inc. currently shows a dividend yield of about 3.87% relative to its recent price (as of Aug 13, 2026).
Free · no account needed

Watch Canon Inc. in the live analysis

One click puts Canon Inc. on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 35,000+ stock screener. You can also try 14 days of Pro there, no card.

Watch for free →

Zero risk: nothing is ever charged. Your watchlist is yours, with or without an account.