Nintendo Co Ltd
TSE:7974
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P/FCFE
Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.
Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.
Valuation Scenarios
If P/FCFE returns to its 3-Year Average (21.4), the stock would be worth ¥2 452.5 (68% downside from current price).
| Scenario | P/FCFE Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 66.4 | ¥7 597 |
0%
|
| 3-Year Average | 21.4 | ¥2 452.5 |
-68%
|
| 5-Year Average | 20.4 | ¥2 335.45 |
-69%
|
| Industry Average | 22.6 | ¥2 586.02 |
-66%
|
| Country Average | 22.4 | ¥2 557.67 |
-66%
|
Forward P/FCFE
Today’s price vs future free cash flow to equity
Peer Comparison
| Market Cap | P/FCFE | P/E | ||||
|---|---|---|---|---|---|---|
| JP |
|
Nintendo Co Ltd
TSE:7974
|
8.8T JPY | 66.4 | 22.1 | |
| CN |
|
NetEase Inc
NASDAQ:NTES
|
76B USD | 12.2 | 15.4 | |
| US |
A
|
Activision Blizzard Inc
LSE:0H8X
|
74.1B USD | 30.3 | 34.2 | |
| US |
|
Electronic Arts Inc
NASDAQ:EA
|
50.5B USD | 22.3 | 74.3 | |
| SG |
|
Sea Ltd
NYSE:SE
|
52.7B USD | 9.9 | 29.8 | |
| US |
|
Take-Two Interactive Software Inc
NASDAQ:TTWO
|
40B USD | -356.4 | -10.1 | |
| US |
|
Roblox Corp
NYSE:RBLX
|
32B USD | 24.3 | -30 | |
| CN |
Z
|
Zhejiang Century Huatong Group Co Ltd
SZSE:002602
|
118B CNY | 15.9 | 18.8 | |
| JP |
|
Konami Holdings Corp
TSE:9766
|
2.6T JPY | 106 | 29.9 | |
| JP |
N
|
Nexon Co Ltd
TSE:3659
|
2.1T JPY | 13.2 | 22.3 | |
| JP |
K
|
Konami Group Corp
XMUN:KOA
|
8.7B EUR | 65.5 | 18.5 |
Market Distribution
| Min | 0.1 |
| 30th Percentile | 14.9 |
| Median | 22.4 |
| 70th Percentile | 35 |
| Max | 736 044 589.7 |
Other Multiples
Nintendo Co Ltd
Glance View
Nintendo Co., Ltd. began as a humble playing card company in Kyoto in 1889, founded by Fusajiro Yamauchi. Over time, it has astutely navigated the ever-shifting tides of entertainment, emerging as a global titan in the world of interactive entertainment. The company initially experimented with various niche markets, but its transformation began in earnest in the mid-20th century, as it delved into electronic entertainment. By tapping into the burgeoning video game market, Nintendo showcased its knack for reinvention. Its enduring success rests on a steady pipeline of innovative hardware and captivating software, stimulating and capturing the imaginations of generations. Nintendo crafts its narrative through both a revered stable of iconic game franchises and cutting-edge consoles. Its business model hinges largely on the symbiotic relationship between hardware sales and software success. Products like the Nintendo Switch serve as gateways, drawing consumers to its ecosystem with experiences that transcend traditional gaming boundaries. The company thrives on developing first-party blockbuster titles such as "The Legend of Zelda" and "Super Mario," which not only drive game sales but also generate substantial revenue through licensing and merchandise. Its amiibo line of interactive figurines and mobile apps—in partnership with well-known IPs like Pokémon—further exemplify Nintendo's strategy of weaving its beloved characters into diverse revenue streams. Nintendo’s unwavering blend of nostalgia, innovation, and strategic branding truly defines its position in the competitive landscape of entertainment.