Analysts have slightly increased their fair value estimate for Rakuten Group to ¥1,007.50 from ¥997.81. This adjustment reflects updated forecasts for profit margin improvements, despite minor downward revisions to revenue growth expectations.
What's in the News
- Rakuten is considering a U.S. IPO of its credit card business, with early-stage deliberations and alternative options such as a stake sale to a strategic buyer also being discussed (Reuters).
- The Rakuten Group Board is scheduled to meet on October 29, 2025. The agenda includes consideration of absorption-type mergers.
- The company expects to record an impairment loss of approximately JPY 27 billion in its consolidated financial results for the third quarter of fiscal year 2025.
Valuation Changes
- Fair Value Estimate has risen slightly to ¥1,007.50 from ¥997.81.
- Discount Rate remains unchanged at 11.1%.
- Revenue Growth forecast has fallen marginally to 7.27% from 7.65%.
- Net Profit Margin projection has increased slightly to 3.19% from 3.03%.
- Future P/E has decreased moderately to 31.55x from 33.46x.
Have other thoughts on Rakuten Group?
Create your own narrative on this stock, and estimate its Fair Value using our Valuator tool.
Create NarrativeDisclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.