NTT DATA Corporation (NTDTY)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
NTT DATA Corporation (NTDTY) with AI Score 48/100 (Grade C). NTT DATA Corporation is a global IT and business consulting services provider, offering a comprehensive portfolio including cloud, cybersecurity, and data analytics solutions. Sector: Technology.
Last analyzed: Jun 15, 2026NTDTY: the 1 perspectives are evenly split.
How is this calculated? →NTT DATA Corporation (NTDTY) Technology Profile & Competitive Position
NTT DATA Corporation (NTDTY) is a global IT and business consulting services provider, a subsidiary of Nippon Telegraph and Telephone Corporation. Operating across public, financial, and enterprise sectors, it delivers cloud, cybersecurity, data analytics, and application services worldwide, leveraging its extensive portfolio and broad industry reach.
What Is the Investment Thesis for NTDTY?
NTT DATA Corporation (NTDTY) presents as a global IT services provider positioned to capitalize on the ongoing demand for digital transformation. With a market capitalization of $33.66 billion, the company demonstrates significant scale within its sector. Its comprehensive service offerings, spanning cloud computing, cybersecurity, and data analytics, align with critical industry trends driving enterprise spending. The company's P/E ratio of 52.57 and a profit margin of 3.0% suggest a valuation reflecting growth expectations, while its gross margin of 28.3% indicates efficiency in service delivery. As a subsidiary of Nippon Telegraph and Telephone Corporation, NTT DATA benefits from a strong corporate backing and extensive global reach, serving a diverse client base across numerous industries. Key growth catalysts include the increasing global adoption of cloud services, the escalating need for robust cybersecurity solutions, and the continuous demand for data-driven insights. However, investors must consider the inherent risks associated with its ADR status and OTC Other tier listing, which may introduce liquidity and transparency challenges, alongside exposure to currency exchange rate fluctuations.
Based on FMP financials and quantitative analysis
NTDTY Key Highlights
- NTT DATA Corporation commands a substantial market capitalization of $33.66 billion, reflecting its significant presence in the global IT services market.
- The company operates with a P/E ratio of 52.57, indicating investor expectations for future earnings growth within the technology sector.
- NTT DATA maintains a profit margin of 3.0%, demonstrating its ability to generate net income from its extensive service operations.
- A gross margin of 28.3% highlights the company's efficiency in managing the direct costs associated with delivering its information technology and consulting services.
- With 193,513 employees globally, NTT DATA possesses a vast workforce capable of supporting its diverse service portfolio and international client base.
Who Are NTDTY's Competitors?
NTDTY is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| MRAAF Murata Manufacturing Co., Ltd. | $67.42 | -8.20% | $122.72B | 54 |
| NOKBF Nokia Oyj | $12.16 | -6.82% | $67.88B | 59 |
| DSCSY Disco Corporation | $45.13 | -5.99% | $48.95B | 62 |
| FJTSY Fujitsu Limited | $20.68 | +2.12% | $35.88B | 46 |
| NIPNF NEC Corporation | $26.10 | +3.61% | $34.62B | — |
| IAIC Information Analysis Incorporated | $4.28 | +12.34% | $81.86M | 66 |
| DVLT Datavault AI Inc. | $0.38 | -4.90% | $108.68M | 65 |
| NYAX Nayax Ltd. | $70.22 | +3.63% | $2.57B | 62 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are NTDTY's Key Strengths?
- Global operational footprint with segments across Public & Social Infrastructure, Financial, and Enterprise & Solutions.
- Comprehensive service portfolio including high-demand areas like cloud, cybersecurity, and data analytics.
- Strong corporate backing as a subsidiary of Nippon Telegraph and Telephone Corporation.
- Extensive client base spanning diverse industries, reducing reliance on any single sector.
- Long operational history since 1967, establishing deep market expertise and client relationships.
What Are NTDTY's Weaknesses?
- Relatively low profit margin of 3.0% compared to some industry peers.
- High P/E ratio of 52.57, potentially indicating a rich valuation based on current earnings.
- Exposure to liquidity and transparency risks due to its ADR status and OTC Other tier listing.
- Dependence on continuous innovation and R&D to maintain competitiveness in a rapidly evolving tech landscape.
- Potential challenges in integrating diverse global operations and maintaining consistent service quality.
What Could Drive NTDTY Stock Higher?
- Continued global digital transformation initiatives, driving demand for NTT DATA's cloud, data analytics, and consulting services, particularly in North America and EMEA & LATAM.
- Expansion and enhancement of NTT DATA's cybersecurity service offerings, capitalizing on the increasing enterprise need for robust digital protection.
- Strategic partnerships and acquisitions aimed at bolstering NTT DATA's technological capabilities and market presence in key growth areas like AI and specialized industry solutions.
- Increased adoption of advanced data analytics and intelligence platforms by clients seeking to leverage data for strategic decision-making and operational efficiency.
What Are the Key Risks for NTDTY?
- Financial-distress signal — its Altman Z-Score of 1.65 sits in the distress zone (elevated bankruptcy risk).
- Intense competition within the global information technology services market from both large multinational firms and specialized providers.
- Adverse fluctuations in currency exchange rates, specifically between the Japanese Yen and the U.S. Dollar, impacting the value of NTDTY ADRs.
- Challenges related to liquidity and transparency for U.S. investors due to the stock's trading on the OTC Other tier with an 'Unknown' disclosure status.
- Rapid technological shifts and the need for continuous investment in research and development to maintain a competitive edge and offer cutting-edge solutions.
- Economic downturns or reduced IT spending by client organizations across various sectors, which could negatively impact NTT DATA's revenue and profitability.
What Are the Growth Opportunities for NTDTY?
- Growth opportunity 1: **Expanding Digital Transformation Services** The global digital transformation market is projected to continue its robust growth, with enterprises across all sectors investing heavily in modernizing their IT infrastructure and business processes. NTT DATA, with its comprehensive portfolio encompassing cloud computing, data analytics, and application development, is well-positioned to capture a significant share of this market. The demand for end-to-end digital solutions, from strategic advisory to implementation and maintenance, provides a sustained revenue stream. This trend is expected to accelerate over the next 5-10 years as companies increasingly rely on technology to drive efficiency and innovation.
- Growth opportunity 2: **Increasing Demand for Cloud and Cybersecurity Solutions** The adoption of cloud services continues to be a primary driver of IT spending, with organizations migrating workloads and applications to public, private, and hybrid cloud environments. Concurrently, the escalating threat landscape necessitates advanced cybersecurity measures. NTT DATA's specialized offerings in cloud migration, management, and robust cybersecurity frameworks directly address these critical needs. The market for these services is expanding rapidly, with cybersecurity spending alone projected to grow significantly over the next decade, offering NTT DATA substantial opportunities for service expansion and client acquisition.
- Growth opportunity 3: **Leveraging Data Analytics and Artificial Intelligence** The proliferation of data across industries has created an immense demand for advanced data analytics and artificial intelligence (AI) solutions. Enterprises are seeking to extract actionable insights from their data to optimize operations, personalize customer experiences, and inform strategic decisions. NTT DATA's expertise in data analytics and intelligence positions it to deliver value in this high-growth area. As AI integration becomes more prevalent across business functions, the company can expand its offerings to include AI-driven automation, predictive analytics, and machine learning solutions, tapping into a market expected to see exponential growth in the coming years.
- Growth opportunity 4: **Geographic Expansion in North America, EMEA & LATAM** While NTT DATA has a global presence, its strategic focus on expanding operations within key geographical divisions such as North America, and EMEA & LATAM presents significant growth avenues. These regions represent large and mature IT markets with substantial spending power and ongoing digital transformation initiatives. By strengthening its local presence, forging regional partnerships, and tailoring solutions to specific market demands, NTT DATA can increase its market share and diversify its revenue base beyond its home market. This targeted expansion strategy is a continuous effort, yielding incremental growth over the medium to long term.
- Growth opportunity 5: **Specialized Industry-Specific Solutions** NTT DATA's ability to cater to a vast array of sectors, including government, healthcare, finance, and manufacturing, through specialized industry-specific services is a key growth driver. As industries face unique regulatory, technological, and operational challenges, there is a growing demand for IT solutions that are deeply integrated with sector-specific knowledge. By developing and enhancing tailored platforms and services for these diverse verticals, NTT DATA can differentiate itself from generalist competitors and secure long-term contracts. This approach allows the company to become an indispensable partner, fostering client loyalty and capturing recurring revenue within specialized, high-value markets.
What Opportunities Does NTDTY Have?
- Increasing global demand for digital transformation services across all industries.
- Growing market for cloud computing and cybersecurity solutions driven by enterprise adoption.
- Expansion into emerging technologies like AI, machine learning, and advanced data analytics.
- Strategic partnerships and acquisitions to enhance service capabilities and market reach.
- Leveraging its global presence to capture market share in North America, EMEA, and LATAM.
What Threats Does NTDTY Face?
- Intense competition from other large global IT service providers and specialized niche firms.
- Currency exchange rate fluctuations impacting the value of ADRs for US investors.
- Rapid technological advancements requiring significant and continuous investment in new solutions.
- Potential for economic downturns to reduce IT spending by client organizations.
- Regulatory changes and data privacy concerns impacting service delivery and compliance requirements.
What Are NTDTY's Competitive Advantages?
- Extensive global presence and operational scale across North America, EMEA, and LATAM.
- Diverse and comprehensive service portfolio covering critical IT needs like cloud, cybersecurity, and data analytics.
- Deep industry-specific expertise catering to a wide array of sectors, fostering client loyalty.
- Strong affiliation as a subsidiary of Nippon Telegraph and Telephone Corporation, providing stability and resources.
- Long-standing history and established reputation in the IT services market since 1967.
What Does NTDTY Do?
NTT DATA Corporation, headquartered in Tokyo, Japan, operates as a prominent global provider of information technology and business consulting services. The company's origins trace back to 1967 when it was established as NTT Data Communications Systems Corporation, eventually rebranding to NTT DATA Corporation in 1996. It functions as a key subsidiary of Nippon Telegraph and Telephone Corporation, leveraging this affiliation for market presence and operational scale. NTT DATA structures its extensive worldwide operations through distinct segments: Public & Social Infrastructure, Financial, and Enterprise & Solutions, complemented by geographical divisions covering North America, and EMEA & LATAM. This organizational framework enables the company to deliver tailored solutions across diverse global markets. The company's comprehensive service portfolio is designed to meet the complex digital transformation needs of its clients. Key offerings include advanced cloud computing solutions, robust cybersecurity services, sophisticated data analytics and intelligence platforms, specialized Salesforce solutions, and end-to-end application development and management. Beyond these core technology services, NTT DATA also provides critical maintenance support, strategic advisory, technical and business process consulting, and ongoing platform assistance. A significant aspect of its business model involves delivering specialized industry-specific services, catering to a vast array of sectors. These include government agencies, manufacturing, healthcare and life sciences, automotive, banking and financial institutions, electronics and high-tech industries, insurance, transportation and logistics, telecommunications, media and entertainment, wholesale and retail, education, energy and utilities, and natural resources. This broad client base underscores NTT DATA's deep market penetration and its ability to adapt its technological expertise to varied industry requirements.
What Products and Services Does NTDTY Offer?
- Provides global information technology and business consulting services.
- Offers cloud computing solutions, including migration, management, and optimization.
- Delivers comprehensive cybersecurity services to protect digital assets and infrastructure.
- Specializes in data analytics and intelligence, helping clients derive insights from complex data.
- Develops and manages applications, including custom software and enterprise systems.
- Provides strategic advisory, technical, and business process consulting.
- Offers ongoing platform assistance and maintenance support for IT systems.
- Delivers specialized industry-specific services to sectors like government, finance, and healthcare.
How Does NTDTY Make Money?
- Generates revenue through fees for IT consulting, system integration, and managed services.
- Earns income from long-term contracts for IT outsourcing and application management.
- Monetizes specialized solutions and platforms tailored for specific industries.
- Provides ongoing support and maintenance services, contributing to recurring revenue streams.
- Offers project-based services for system development and digital transformation initiatives.
What Industry Does NTDTY Operate In?
NTT DATA Corporation operates within the highly competitive and rapidly evolving Information Technology Services industry. This sector is characterized by continuous innovation and increasing demand for digital transformation, cloud computing, cybersecurity, and data analytics solutions. Global IT spending continues to grow, driven by enterprises seeking to enhance operational efficiency, improve customer experience, and develop new digital products. NTT DATA's position as a large global player, offering a broad spectrum of services from consulting to system development and outsourcing, places it in direct competition with other major international firms. The industry landscape is marked by intense competition for talent, technological advancements, and client contracts, necessitating continuous investment in R&D and strategic partnerships. NTT DATA's extensive client base across government, finance, manufacturing, and healthcare sectors allows it to tap into diverse revenue streams, while its focus on specialized industry services provides a competitive edge in niche markets.
Who Are NTDTY's Key Customers?
- Government agencies and public sector entities.
- Banking, financial institutions, and insurance companies.
- Manufacturing, automotive, and electronics industries.
- Healthcare and life sciences organizations.
- Telecommunications, media, and entertainment companies.
ROE 6%Key Financial Metrics
Return on equity for NTT DATA Corporation stands at 5.8%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 1.4%, showing how much profit it generates from its asset base. NTDTY trades at a trailing price-to-earnings ratio of 52.57, above the Technology sector average of ~38x. Its free cash flow yield is -0.9%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.96 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 1.9%, the inverse of the P/E and a quick read on earnings relative to price.
NTT DATA Corporation (NTDTY) Valuation Context
Relative to its peer group, NTDTY's quantitative score of 48/100 is roughly in line with the peer average of 55/100.
Company Profile
NTT DATA Corporation operates in the Information Technology Services industry within the Technology sector. It is headquartered in Tokyo, JP. The company is led by CEO Yutaka Sasaki. NTDTY has traded publicly since 2010.
F-Score 6/9Financial Health
NTT DATA Corporation's Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 1.65 places it in the distress zone, a signal of elevated financial risk.
FY2026 estForward Outlook
Wall Street analysts project NTT DATA Corporation revenue of about $5.26T for fiscal 2026, with EPS near $148.72.
NTDTY Financials
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in the company's future growth and stability.
- Community sentiment has shifted positively, with many discussing NTT DATA's innovative solutions in the tech sector.
- Analysts highlight NTT DATA's strong partnerships, which could drive new business opportunities and revenue streams.
- The company has been actively investing in AI and cloud services, areas that are gaining traction in the market.
Bear Case
- Concerns about global economic conditions may affect NTT DATA's international projects and revenue.
- Some community members express skepticism regarding the company's ability to scale amid increasing competition in the tech industry.
- Recent discussions point to potential regulatory challenges that could impact operations and profitability.
- There are mixed reviews on the effectiveness of NTT DATA's recent product launches, raising doubts about market reception.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
NTDTY Latest News
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Stocks That Hit 52-Week Highs On Thursday
· Dec 12, 2019
NTDTY Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for NTDTY.
Price Targets
Wall Street price target analysis for NTDTY.
NTDTY MoonshotScore
What does this score mean?
The MoonshotScore rates NTDTY's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Leadership: Yutaka Sasaki
Unknown
Yutaka Sasaki currently holds a leadership position at NTT DATA Corporation, overseeing a vast global workforce of 193,513 employees. While specific details regarding his educational background and prior career roles are not provided, his tenure at the helm of such a large and complex organization suggests extensive experience in the information technology and business consulting sectors. His leadership is critical in guiding NTT DATA's strategic direction, managing its diverse service portfolio, and navigating the competitive global IT services market. The scale of the company under his management underscores a career likely marked by significant operational and strategic responsibilities within large multinational corporations.
Track Record: Under Yutaka Sasaki's leadership, NTT DATA Corporation continues to operate as a global IT and business consulting powerhouse, managing a substantial employee base of 193,513 individuals. His strategic decisions are focused on maintaining the company's competitive edge in areas such as cloud computing, cybersecurity, and data analytics. While specific achievements are not detailed, his role involves steering the company's global expansion efforts and ensuring the delivery of specialized services across numerous industries, reflecting a commitment to sustained growth and operational excellence in a dynamic technology landscape.
NTT DATA Corporation ADR Information Unsponsored
An American Depositary Receipt (ADR) is a certificate issued by a U.S. bank that represents shares in a foreign stock. For NTT DATA Corporation, NTDTY is a Level 1 ADR, meaning it trades on the U.S. over-the-counter (OTC) market. This allows U.S. investors to buy shares of NTT DATA without having to trade on its home market, the Tokyo Stock Exchange, simplifying access to foreign equities.
- Home Market Ticker: Tokyo Stock Exchange, Japan
- ADR Level: 1
- ADR Ratio: 1:1
- Home Market Ticker: NTDT
NTDTY OTC Market Information
NTDTY trades on the OTC Other tier of the over-the-counter market. This tier is for companies that do not meet the disclosure requirements for OTCQX or OTCQB, or choose not to apply. Unlike stocks listed on major exchanges like NYSE or NASDAQ, which have strict listing standards regarding financial reporting, corporate governance, and minimum share prices, OTC Other companies have fewer regulatory obligations. This can result in less readily available financial information and potentially higher investment risk compared to exchange-listed securities.
- OTC Tier: OTC Other
- Disclosure Status: Unknown
- Limited liquidity and potentially wide bid-ask spreads, making it difficult to buy or sell shares efficiently.
- Reduced transparency due to 'Unknown' disclosure status and fewer regulatory reporting requirements.
- Increased price volatility due to lower trading volume and less institutional interest.
- Difficulty in obtaining timely and comprehensive financial information in English.
- Potential for less analyst coverage and investor awareness compared to exchange-listed companies.
- Verify the company's financial health by reviewing reports filed in its home market (Japan).
- Assess the availability and quality of financial information, potentially requiring translation.
- Research the company's business operations, competitive landscape, and growth prospects independently.
- Examine the trading volume and bid-ask spread to understand potential liquidity challenges.
- Consider the impact of currency exchange rates on the investment's value.
- Understand the regulatory environment and investor protections in the home country.
- Evaluate the legitimacy signals of the company, such as its affiliation with a major parent corporation.
- NTT DATA Corporation is a subsidiary of Nippon Telegraph and Telephone Corporation, a major Japanese telecommunications company.
- It is a global provider of IT and business consulting services with extensive operations worldwide.
- The company has a long operating history, founded in 1967, indicating established business operations.
- It employs a large global workforce of 193,513 individuals, signifying substantial scale and resources.
- NTT DATA caters to a vast array of sectors, including government, finance, and healthcare, demonstrating broad market acceptance.
What Investors Ask About NTT DATA Corporation (NTDTY) — Technology
What does NTT DATA Corporation do?
NTT DATA Corporation operates as a global provider of information technology and business consulting services. The company offers a comprehensive suite of solutions, including cloud computing, cybersecurity, data analytics and intelligence, Salesforce solutions, and application development and management. It also provides maintenance support, strategic advisory, technical and business process consulting, and specialized industry-specific services. NTT DATA serves a wide array of sectors, such as government agencies, financial institutions, manufacturing, healthcare, and telecommunications, leveraging its global presence across North America, EMEA & LATAM, and its home market in Japan to deliver tailored digital transformation solutions.
How does NTT DATA Corporation address the evolving cybersecurity landscape?
NTT DATA Corporation addresses the evolving cybersecurity landscape through a comprehensive portfolio of services designed to protect its clients' digital assets and infrastructure. This includes offering robust cybersecurity solutions as a core part of its service portfolio. The company's expertise encompasses identifying vulnerabilities, implementing protective measures, and providing ongoing monitoring and incident response. As cyber threats become more sophisticated and prevalent, NTT DATA's focus on delivering advanced security solutions, integrated with its cloud and data services, is critical for its clients across various industries, from government to finance, ensuring business continuity and data integrity in an increasingly complex digital environment.
What are the primary risks associated with investing in NTDTY?
Investing in NTDTY carries several primary risks. As an ADR trading on the OTC Other tier, investors face potential challenges related to lower liquidity and reduced transparency, given its 'Unknown' disclosure status. This can lead to wider bid-ask spreads and difficulty in obtaining timely financial information. Furthermore, currency exchange rate fluctuations between the Japanese Yen and the U.S. Dollar can significantly impact the dollar value of the investment. The company also operates in a highly competitive global IT services market, requiring continuous innovation and investment to counter rivals. Economic downturns could also reduce client IT spending, affecting NTT DATA's revenue and profitability.
How does NTT DATA Corporation leverage its global presence for growth?
NTT DATA Corporation leverages its global presence as a fundamental growth driver by organizing its operations across distinct geographical divisions, including North America, and EMEA & LATAM, in addition to its home market. This structure enables the company to tailor its comprehensive IT and business consulting services to the specific needs and regulatory environments of diverse regional markets. By establishing a strong local footprint and understanding regional market dynamics, NTT DATA can effectively capture opportunities arising from global digital transformation trends. Its ability to serve a vast array of sectors worldwide, from government to finance and healthcare, further solidifies its position and expands its client base, fostering sustained revenue growth and market penetration.
What are the key factors to evaluate for NTDTY?
NTT DATA Corporation (NTDTY) holds an AI score of 48/100 (low). Not financial advice.
How frequently does NTDTY data refresh on this page?
NTDTY prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven NTDTY's recent stock price performance?
NTT DATA Corporation (NTDTY) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Global operational footprint with segments across Public & Social Infrastructure, Financial, and Enterprise & Solutions. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider NTDTY overvalued or undervalued right now?
Valuing NTT DATA Corporation (NTDTY) requires multiple metrics. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.