Why We Like The Returns At Nintendo (TSE:7974)
Apr 29
Japanese (NIKKEI) Entertainment Industry Analysis
UpdatedMay 01, 2024
DataAggregated Company Financials
Companies71
- 7D1.8%
- 3M-6.5%
- 1Y8.0%
- YTD2.2%
Over the last 7 days, the Entertainment industry has risen 1.8%, driven by gains from Nintendo of 1.7%. In the same time, Koei Tecmo Holdings was down 7.9%. This takes the industry's 12 month performance to a gain of 8.0%. As for the next few years, earnings are expected to grow by 3.5% per annum.
Industry Valuation and Performance
Has the Japanese Entertainment Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 01 May 2024 | JP¥18.1t | JP¥5.2t | JP¥848.2b | 22x | 21.3x | 3.5x |
| Fri, 29 Mar 2024 | JP¥19.2t | JP¥5.2t | JP¥836.5b | 22.7x | 23x | 3.7x |
| Sun, 25 Feb 2024 | JP¥19.6t | JP¥5.2t | JP¥837.7b | 23.1x | 23.4x | 3.8x |
| Tue, 23 Jan 2024 | JP¥19.0t | JP¥5.2t | JP¥870.3b | 21.5x | 21.9x | 3.6x |
| Thu, 21 Dec 2023 | JP¥17.6t | JP¥5.2t | JP¥870.3b | 20.9x | 20.2x | 3.4x |
| Sat, 18 Nov 2023 | JP¥17.8t | JP¥5.2t | JP¥876.9b | 23.2x | 20.3x | 3.4x |
| Mon, 16 Oct 2023 | JP¥16.7t | JP¥5.2t | JP¥913.6b | 20.5x | 18.2x | 3.2x |
| Wed, 13 Sep 2023 | JP¥17.6t | JP¥5.2t | JP¥913.3b | 22.9x | 19.3x | 3.4x |
| Fri, 11 Aug 2023 | JP¥17.3t | JP¥5.2t | JP¥914.1b | 21x | 19x | 3.4x |
| Sun, 09 Jul 2023 | JP¥17.3t | JP¥4.9t | JP¥848.1b | 19.3x | 20.4x | 3.6x |
| Tue, 06 Jun 2023 | JP¥17.5t | JP¥4.9t | JP¥847.7b | 18.9x | 20.7x | 3.6x |
| Thu, 04 May 2023 | JP¥16.7t | JP¥4.7t | JP¥855.7b | 21.5x | 19.6x | 3.5x |
| Sat, 01 Apr 2023 | JP¥15.6t | JP¥4.7t | JP¥849.8b | 20.4x | 18.4x | 3.3x |
| Mon, 27 Feb 2023 | JP¥15.5t | JP¥4.7t | JP¥849.2b | 20.8x | 18.2x | 3.3x |
| Wed, 25 Jan 2023 | JP¥15.9t | JP¥4.7t | JP¥989.8b | 18.3x | 16x | 3.4x |
| Fri, 23 Dec 2022 | JP¥15.8t | JP¥4.7t | JP¥987.6b | 17.6x | 16x | 3.4x |
| Sun, 20 Nov 2022 | JP¥16.6t | JP¥4.7t | JP¥984.7b | 19x | 16.9x | 3.6x |
| Tue, 18 Oct 2022 | JP¥16.3t | JP¥4.5t | JP¥939.2b | 18.2x | 17.3x | 3.6x |
| Thu, 15 Sep 2022 | JP¥16.4t | JP¥4.5t | JP¥935.3b | 19.2x | 17.5x | 3.6x |
| Sat, 13 Aug 2022 | JP¥16.0t | JP¥4.5t | JP¥932.6b | 20x | 17.1x | 3.6x |
| Mon, 11 Jul 2022 | JP¥15.9t | JP¥4.4t | JP¥880.4b | 19.7x | 18x | 3.6x |
| Wed, 08 Jun 2022 | JP¥16.2t | JP¥4.4t | JP¥882.3b | 19.1x | 18.3x | 3.7x |
| Fri, 06 May 2022 | JP¥15.6t | JP¥4.3t | JP¥881.5b | 16.1x | 17.7x | 3.6x |
| Sun, 03 Apr 2022 | JP¥16.2t | JP¥4.3t | JP¥872.2b | 17.2x | 18.6x | 3.7x |
| Tue, 01 Mar 2022 | JP¥14.8t | JP¥4.3t | JP¥874.6b | 15.7x | 16.9x | 3.4x |
| Thu, 27 Jan 2022 | JP¥14.0t | JP¥4.3t | JP¥774.8b | 16.7x | 18.1x | 3.3x |
| Sat, 25 Dec 2021 | JP¥14.5t | JP¥4.3t | JP¥778.6b | 16.5x | 18.7x | 3.4x |
| Mon, 22 Nov 2021 | JP¥15.2t | JP¥4.3t | JP¥782.0b | 18.7x | 19.4x | 3.5x |
| Wed, 20 Oct 2021 | JP¥14.9t | JP¥4.4t | JP¥769.1b | 18.2x | 19.4x | 3.4x |
| Fri, 17 Sep 2021 | JP¥15.1t | JP¥4.4t | JP¥760.0b | 17.8x | 19.9x | 3.5x |
| Sun, 15 Aug 2021 | JP¥14.6t | JP¥4.4t | JP¥763.5b | 20.4x | 19.2x | 3.3x |
| Thu, 10 Jun 2021 | JP¥17.0t | JP¥4.4t | JP¥751.4b | 28.2x | 22.7x | 3.9x |
Price to Earnings Ratio
23.3x
Current Industry PE
- Investors are optimistic on the Japanese Entertainment industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 21.3x which is higher than its 3-year average PE of 19.1x.
- The industry is trading close to its 3-year average PS ratio of 3.5x.
Past Earnings Growth
- The earnings for companies in the Entertainment industry have grown 4.5% per year over the last three years.
- Revenues for these companies have grown 6.3% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Japanese Telecom industry?
| JP Market | 2.54% | |
| Telecom | 1.98% | |
| Entertainment | 1.82% | |
| Interactive Home Entertainment | 2.21% | |
| Movies and Entertainment | -0.48% | |
Industry PE
- Investors are most optimistic about the Movies and Entertainment industry even though it's trading below its 3-year average PE ratio of 34.7x.
- Analysts are expecting annual earnings growth of 4.6%, which is lower than the prior year's growth of 11.0% per year.
- Investors are most pessimistic about the Interactive Home Entertainment industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 17.7x.
Forecasted Growth
- Analysts are most optimistic on the Movies and Entertainment industry, expecting annual earnings growth of 4.6% over the next 5 years.
- However this is lower than its past earnings growth rate of 11% per year.
- In contrast, the Interactive Home Entertainment industry is expected to see its earnings grow by 3.3% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 7974 Nintendo | JP¥7.64k | 1.7% +JP¥147.9b | 34.1% | PE18x | |
| 9684 Square Enix Holdings | JP¥6.01k | 5.4% +JP¥37.1b | -9.7% | PE24.3x | |
| 9697 Capcom | JP¥2.61k | 1.7% +JP¥17.8b | 0.6% | PE22.8x | |
| 9766 Konami Group | JP¥9.45k | 0.7% +JP¥8.5b | 41.2% | PE24.7x | |
| 5032 ANYCOLOR | JP¥2.27k | 3.9% +JP¥5.3b | -16.3% | PE18.3x |
