The share price is rising after a strong quarter, but key business indicators are pointing to even more upside. Nintendo (NTDOY 1.75%) delivered robust growth in sales and profits during the pandemic, and that has sent the stock to multiyear highs.
Why are Nintendo stock prices so low?
Lack of big selling exclusive titles on the horizon crossed with Nintendo's current practice of price gouging and poor online service has obviously started to have an impact on stock pricing. A lot of people have become very disillusioned with Nintendo and its starting to show.
How many Nintendo insiders have sold or bought stock?
In the past three months, Nintendo insiders have not sold or bought any company stock. Only 0.68% of the stock of Nintendo is held by institutions. Earnings for Nintendo are expected to decrease by -3.00% in the coming year, from $3.67 to $3.56 per share.
Is it time to buy Nintendo stock at a discount?
While current investors in Nintendo (myself included) are not jumping for joy at the moment, one lackluster quarter does not mean Nintendo is doomed, and it may provide an opportunity for investors to buy shares of Nintendo at a discount. With the stock price now down 26.8% in 2021, is it time to scoop up some shares of Nintendo?
Is Nintendo coasting on the stock market?
Also games take years to come to market so to think Nintendo have been 'just coasting' in an attempt to manipulate the market to buy back shares which cost the same as they did a year ago is really far fetched... 3 78 Mando44646 Fri 6th Aug 2021 the stock market doesn't reflect economic reality 1
Why is Nintendo stock so high?
Performance of Nintendo's business in recent quarters is supporting a bullish investment case. Hardware and software sales remain robust, share of digital sales is rising, and the company's software lineup for 2022 is excellent.
Why is Nintendo stock a good buy?
Reasons Why You Should Buy Nintendo Stock: The potential launch of the new Nintendo Switch Pro could give the company a strong upside catalyst. Game sales are boosting Nintendo's profits. Nintendo released 20 titles in 2021 that have sold over a million copies each.
Is Nintendo stock overvalued?
Nintendo ADR secures a last-minute Real Value of $46.18 per share. The latest price of the firm is $53.99. At this time, the firm appears to be overvalued....2021-09-28.LowIncome Per ShareHigh0.320.320.33
Why is Nintendo in stock?
Strong Financials. In 2021, Nintendo recorded a strong financial performance. Revenues increased approximately 35% year over year from $12 billion in 2020 to $16.5 billion in 2021. Respectively, net income jumped by 89% year-over-year to $4.515 billion, or $4.74 per share, over the same time period.
Is Nintendo a good stock to buy 2021?
In other words, Nintendo's financial and operating metrics for FY 2022 were not as good as they were in FY 2021, but the company's operating and financial performance for the recent fiscal year was satisfactory and aligned with what investors were expecting.
Is Nintendo stock splitting?
On Tuesday, Nintendo's board of directors set up a 10-for-1 stock split. The move will take place over the weekend of October 1, 2022. This is the first split in Nintendo's history. Investors have been asking Nintendo to execute a stock split for many years, and the company has been open to the idea since 2019.
Is Nintendo undervalued?
Nintendo has many of the attributes of large successful tech companies while being extremely undervalued from a financials perspective.
Is Nintendo debt free?
Summary. Nintendo has no debt and more than $10 billion in cash on its balance sheet.
Who owns the most stock in Nintendo?
Top 10 Owners of Nintendo Co LtdStockholderStakeShares ownedFidelity Management & Research Co...0.14%1,484,872The London Company of Virginia LL...0.07%685,896CapFinancial Partners LLC0.05%462,383FIAM LLC0.03%298,3836 more rows
Is Nintendo a good stock?
Analysts expect all those tailwinds to boost Nintendo's revenue and earnings by about 4% and 11%, respectively, in fiscal 2023. Based on those estimates, Nintendo's stock trades at just 18 times forward earnings and four times this year's sales -- so it should still be considered a value stock.
Why is Nintendo OTC?
Nintendo is publicly traded in Japan, where it is headquartered. It's listed on the Tokyo Stock Exchange with the ticker 7974:JP. In the United States, it's traded as an ADR on OTC markets under the tickers NTDOY and NTDOF. ADRs are a little different than stocks in that they don't often have shareholder voting rights.
How much is Nintendo's net worth?
Interactive chart of historical net worth (market cap) for Nintendo (NTDOY) over the last 10 years. How much a company is worth is typically represented by its market capitalization, or the current stock price multiplied by the number of shares outstanding. Nintendo net worth as of June 29, 2022 is $56.09B.
Should I buy or sell Nintendo stock right now?
6 Wall Street analysts have issued "buy," "hold," and "sell" ratings for Nintendo in the last year. There are currently 1 sell rating, 1 hold ratin...
What is Nintendo's stock price forecast for 2022?
6 equities research analysts have issued 1-year price objectives for Nintendo's shares. Their forecasts range from $50.00 to $494.69. On average, t...
How has Nintendo's stock performed in 2022?
Nintendo's stock was trading at $58.37 at the start of the year. Since then, NTDOY stock has decreased by 7.3% and is now trading at $54.11. View...
Are investors shorting Nintendo?
Nintendo saw a drop in short interest in the month of May. As of May 31st, there was short interest totaling 25,400 shares, a drop of 35.9% from th...
How were Nintendo's earnings last quarter?
Nintendo Co., Ltd. (OTCMKTS:NTDOY) issued its quarterly earnings data on Thursday, August, 5th. The company reported $0.89 EPS for the quarter, bea...
Is Nintendo a good dividend stock?
Nintendo(OTCMKTS:NTDOY) pays an annual dividend of $0.53 per share and currently has a dividend yield of 0.98%. The dividend payout ratio of Ninten...
What guidance has Nintendo issued on next quarter's earnings?
Nintendo issued an update on its FY 2023 earnings guidance on Tuesday, June, 7th. The company provided earnings per share (EPS) guidance of $2.50-$...
Who are Nintendo's key executives?
Nintendo's management team includes the following people: Mr. Shuntaro Furukawa , Chairman & Pres (Age 50, Pay $2.43M) Mr. Shigeru Miyamoto , C...
Who are some of Nintendo's key competitors?
Some companies that are related to Nintendo include Hasbro (HAS) , Funko (FNKO) , Vinco Ventures (BBIG) , JAKKS Pacific (JAKK) , Majic Wheels...
How much did Nintendo's digital sales increase in 2020?
In fiscal 2020 (which ended in March), Nintendo's digital sales increased 71.8%.
Who is the CEO of Nvidia?
During the call, NVIDIA CEO Jensen Huang expressed his optimism for the success of Nintendo: "They're on their way to make Switch the most successful gaming platform of all time. And so, I'm super excited for them."
Is Nintendo's digital sales growth?
Nintendo's digital sales growth may moderate as retailers reopen, and the holiday quarter could see a shift to sales of physical copies as games are purchased as gifts. But Nintendo should continue to see the portion of digital sales to total sales continue to increase over the next few years, driving faster growth in profits and supporting a higher stock price.
Is there a correlation between stock price and earnings?
Stock prices can do anything in the short term, but long term, there is a tight correlation between share performance and earnings growth. Not only did Nintendo's net sales more than double year over year in the fiscal first quarter (ended June 30), but net profit per share surged 541% year over year, bringing Nintendo's trailing 12-month net profits to 348.5 billion yen ($3.2 billion).
Is Nintendo stock upside?
The final and most important reason why there is still upside in the stock is its valuation. Nintendo stock currently trades at about 20 times its trailing earnings, lower than its video game peers. This doesn't seem to justify the momentum in the business and the prospects for growth, especially the opportunity to continue growing higher-margin digital sales.
How many Switch units did Nintendo sell?
Nintendo is guiding for sales of 26 million Switch units and 190 million software units in the current fiscal year, both a decrease from the 29 million and 231 million it sold last year. But investors should remember that Nintendo is always ultra-conservative with its guidance.
When will Mario be released?
A Mario movie is coming out in 2022 with other titles planned for the future. Illumination CEO Chris Meladandri just got nominated to Nintendo's Board of Directors as well, so it looks like the partnership is deepening with new opportunities for the gaming company going forward.
Is Nintendo a good buy?
If you believe Nintendo can sustain or grow its bottom line over the next few years, the stock looks like an attractive buy. Yes, there is a risk that the Switch gaming system will fall out of favor with gamers like the Wii did a decade ago, but so far, the company has shown the lessons it learned from prior console lifecycles. Taking all these factors into consideration, if you are a value-focused investor with a long time horizon, Nintendo is a tremendous opportunity at current prices.
Is Nintendo a Japanese company?
Japanese video game company Nintendo ( OTC:NTDOY) just released an action-packed full-year report. The business behind the hit Switch gaming system saw its sales and profits rise in tandem over the last 12 months, but the stock ended up declining slightly following the report to due weak guidance for hardware and software sales in the current year.
Is Mario coming to Japan?
Nintendo is also getting into animated movies in a partnership with Illumination Studios. A Mario movie is coming out in 2022 with other titles planned for the future.
Is Nintendo going to open a theme park?
For one, Nintendo is getting into the theme park business through a partnership with Universal. The pair are planning on opening up four Nintendo-based theme parks around the world over the next few years in Japan, Singapore, California, and Florida. The location in Japan is already open, but it has faced some short-term headwinds due to the COVID-19 pandemic.
How much dividend does Nintendo pay?
Nintendo pays an annual dividend of $2.60 per share and currently has a dividend yield of 4.68% . NTDOY has a dividend yield higher than 75% of all dividend-paying stocks, making it a leading dividend payer. The dividend payout ratio of Nintendo is 60.19%. This payout ratio is at a healthy, sustainable level, below 75%. Based on earnings estimates, Nintendo will have a dividend payout ratio of 71.63% next year. This indicates that Nintendo will be able to sustain or increase its dividend.
Who sold NTDOY stock?
NTDOY stock was sold by a variety of institutional investors in the last quarter, including Fulton Bank N.A., and Captrust Financial Advisors.
Who are Nintendo's major shareholders?
Nintendo's stock is owned by a number of retail and institutional investors. Top institutional investors include Renaissance Group LLC (0.01%), Alan B. Lancz & Associates Inc. (0.01%), Pacer Advisors Inc. (0.01%), Todd Asset Management LLC (0.01%), Teachers Retirement System of The State of Kentucky (0.01%) and New England Research & Management Inc. (0.00%).
How much money does Nintendo make?
Nintendo has a market capitalization of $66.37 billion and generates $16.59 billion in revenue each year. The company earns $4.52 billion in net income (profit) each year or $4.32 on an earnings per share basis.
What is the P/B ratio of Nintendo?
Nintendo has a P/B Ratio of 3.29. P /B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.
What is Nintendo's earnings for 2022?
The company provided earnings per share (EPS) guidance of 27.180-27.180 for the period. The company issued revenue guidance of $15.24 billion-$15.24 billion.
Is Nintendo a dividend payer?
Nintendo is a leading dividend payer. It pays a dividend yield of 4.68%, putting its dividend yield in the top 25% of dividend-paying stocks.
Nintendo stock news: Semiconductor shortage hampers gaming sector growth
On 3 February, Nintendo reported a 21.4% year-on-year drop in sales of its flagship Switch Series gaming console for the nine months ended 31 December 2021.
Nintendo share analysis: Focus on mobile amid sector-wide consolidation
Following the pandemic-induced global market crash in March 2020, Nintendo stock value doubled its share price over the next nine months. It largely managed to retain those gains from February to June 2021, but the share price fell sharply in July and again at the end of September.
Nintendo fundamental analysis: Latest earnings
Nintendo, which began in 1889 by selling Hanafuda playing cards in Japan, reported mixed nine-month earnings results on 3 February as net sales and profit fell during the period, but the company raised its guidance for the full year.
Nintendo stock predictions: Analyst sentiment
Analysts at Jefferies were concerned about Nintendo’s future earnings due to its Switch family gaming console entering its sixth financial year since its release and Nintendo’s reluctance to pursue inorganic growth.
Nintendo stock forecast: Targets for 2022, 2025 and 2027
According to analyst sentiment data compiled by The Wall Street Journal (WSJ), the consensus recommendation for Nintendo stock was a Buy as of 7 February 2022. Of the 19 analysts covering the stock, 12 rated it a Buy, four advised investors to Hold, and the remaining three believed it to be a Sell.
OTC: NTDOY
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Misconceptions about Nintendo's business have created a dirt-cheap valuation
Although revenue and cash flow growth are often the leading drivers of a stock's performance over the long run, few factors are more impactful in the short term than a stock's narrative.
Why doesn't the market like Nintendo?
While it's always difficult to pin down the specific reasoning behind a stock's lack of positive investor sentiment, there are a few obvious culprits weighing down Nintendo. Here are three of them.
Why is the market wrong?
While it's pretty easy to see why the concerns from above might preclude investors from hopping on the Nintendo train, the company is beginning to put most of these worries to rest.
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Q1 earnings results
Sales were down 10% year over year to $2.92 billion in Q1. Operating profit was down 17% year over year to $1.08 billion, giving Nintendo an operating margin of 37% in the quarter.
New projects coming
Nintendo is making numerous investments to diversify outside of its dedicated gaming hardware business. These initiatives may not bring in tons of direct revenue for Nintendo, but they can help get kids more in touch with its entertainment characters, which will hopefully lead to more engagement with its highly profitable video games business.
Take the long view
While investors can get nervous about one disappointing quarter, it can provide clarity to look out over a few years when evaluating the health of a business.
Time to buy?
The risk with Nintendo is that the Switch goes through a sharp cycle of popularity and loses a large part of its player base a few years from now. This would lead to Nintendo losing some of its current earnings power, which would likely lead to the share pricing tumbling even lower from here.
Do stock prices reflect reality?
Either that or smart investors are clued in and attempting to manipulate the market by prey on those that aren’t. At the end of the day to day stock prices rarely reflect reality.
Do investors care about Metroid?
Investors also don't care at all about Metroid. They only care huge titles that sell the most, which Metroid isn't one of.
Should Nintendo release VC?
Nintendo should really release VC for a steady steam of income when not releasing a big AAA title.
Is Nintendo expecting to tread water?
However you want to slice it the OLED model does show that Nintendo are expecting to tread water for the next year.
Why is Nintendo selling fewer switches?
Nintendo said it will sell fewer Switches than expected as the chip shortage and other problems lead to difficulties getting hold of any new console. Overall, Nintendo reported a 171.8 billion yen ($1.5 billion) profit for the April-September period, down from 213 billion yen in the same period the previous year. Nintendo, which is behind the Super Mario and Pokemon games, was among the global companies that received a boost from the pandemic by providing at-home entertainment.
How much did Nintendo's Switch sales fall in the first quarter?
TOKYO (Reuters) -Japan's Nintendo Co Ltd said on Thursday sales of its Switch console fell 22% in the first quarter as demand for the hit device fades in its fifth year on the market.
How much is the Nintendo Switch OLED?
The $349.99 Nintendo Switch OLED will launch on Oct. 8 in the second major upgrade to the hit line of consoles. Prior to the launch announcement, Bloomberg reported the Switch upgrade would have an upgraded central processor unit (CPU) and 4K output. Bloomberg • 4 days ago.
Is there a chip shortage for the Switch?
The comments come a day after company president Shuntaro Furukawa said there was no sign of chip shortages eas ing as Nintendo cut its full-year Switch sales forecast.
Is there a shortage of chips for Nintendo Switch?
The shortage in computer chips needed to make the Nintendo Switch machine is a serious problem unlikely to be resolved soon, the president of the Japanese video-game maker said Friday.
Is Roblox a Nintendo?
Despite Roblox (NYSE: RBLX) and Nintendo (OTC: NTDOY) each being a leader in the video gaming industry today, both operate very different business models. While Nintendo builds complete systems on its own from hardware to software, Roblox capitalizes on the creativity of others. Although Roblox and Nintendo are each attacking the gaming market from a different angle, both have found success thanks to their unique strategies.
Will an IP-centric Strategy Lead to a Brighter Future for Nintendo?
Nintendo (OTC: NTDOY) has a plan to grow its business beyond the Switch, but what is it? Jon Quast: I found this quote from Nintendo's president just to be fantastic and you can feel free to jump in as soon as I read it here. In other words, they want to get consumers beyond the Nintendo Switch is what he's saying.
More Exclusive Games
The New Super Mario Movie
- As for non-gaming news, Nintendo finally unveiled more details about its upcoming Super Mario animated movie. The movie will be co-developed by Illumination (the animation studio that createdMinions) and star Chris Pratt as Mario, Anya Taylor-Joy as Princess Peach, Seth Rogen as Donkey Kong, and Jack Black as Bowser. The game is scheduled for release next December. Nin…
What Does This All Mean For Investors?
- Nintendo's stock lost about a quarter of its value this year as its growth decelerated. Its revenue rose 34% in fiscal 2020, which ended this March, as it sold more Switch consoles and games throughout the pandemic. But this year, Nintendo expects its revenue to drop 9% as it faces tough post-pandemic comparisons and struggles to secure enough comp...