Update shared on27 Aug 2025
Fair value Increased 5.03%SoftBank Group's higher consensus price target reflects increased growth optimism as indicated by a rising future P/E, despite a slight decline in net profit margin, lifting fair value from ¥13,257 to ¥13,923.
What's in the News
- OpenAI, backed by SoftBank, is in advanced talks to sell $6B of employee shares at a $500B valuation, potentially making it the world's most valuable private company (NY Times, Bloomberg).
- SoftBank held discussions with Intel about acquiring its chipmaking business prior to announcing a $2B share investment in Intel; talks could still lead to a larger transaction in the future (Financial Times).
- Foxconn and SoftBank will jointly manufacture data center equipment at the Lordstown, Ohio factory—which SoftBank acquired from Foxconn—as part of the Stargate project to bolster U.S. AI infrastructure (Reuters, Bloomberg).
- SoftBank has selected major banks to coordinate U.S. IPOs for both PayPay and Klook, two high-profile SoftBank-backed tech companies, with Klook reportedly working with Goldman Sachs, Morgan Stanley, and JPMorgan (Reuters).
- The $500B Stargate AI project between SoftBank and OpenAI has encountered difficulties, scaling back near-term ambitions to just one small Ohio data center amid partnership disagreements; meanwhile, OpenAI has accelerated deals with Oracle and CoreWeave independently (Wall Street Journal).
Valuation Changes
Summary of Valuation Changes for SoftBank Group
- The Consensus Analyst Price Target has risen from ¥13257 to ¥13923.
- The Future P/E for SoftBank Group has significantly risen from 31.59x to 35.14x.
- The Net Profit Margin for SoftBank Group has fallen from 7.63% to 7.18%.
Disclaimer
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