With NEXON Co., Ltd. (TSE:3659) It Looks Like You'll Get What You Pay For
Jul 13
Japanese (NIKKEI) Entertainment Industry Analysis
UpdatedJul 16, 2024
DataAggregated Company Financials
Companies71
- 7D2.5%
- 3M16.2%
- 1Y18.0%
- YTD17.0%
The Entertainment industry is up 2.5% in the last week, with NEXON up 2.7%. This means that the industry has gained 18% over the past year. As for the next few years, earnings are expected to grow by 6.4% 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, 17 Jul 2024 | JP¥20.7t | JP¥5.2t | JP¥801.1b | 24.3x | 25.8x | 4x |
| Fri, 14 Jun 2024 | JP¥19.1t | JP¥5.2t | JP¥800.7b | 23.8x | 23.8x | 3.7x |
| Sun, 12 May 2024 | JP¥18.5t | JP¥5.2t | JP¥836.1b | 22.4x | 22.1x | 3.6x |
| Tue, 09 Apr 2024 | JP¥18.5t | JP¥5.2t | JP¥836.4b | 22.7x | 22.1x | 3.6x |
| Thu, 07 Mar 2024 | JP¥19.4t | JP¥5.2t | JP¥837.7b | 22.3x | 23.2x | 3.7x |
| Sat, 03 Feb 2024 | JP¥20.0t | JP¥5.3t | JP¥887.5b | 24.1x | 22.6x | 3.8x |
| Mon, 01 Jan 2024 | JP¥17.7t | JP¥5.2t | JP¥870.3b | 20.8x | 20.4x | 3.4x |
| Wed, 29 Nov 2023 | JP¥17.7t | JP¥5.2t | JP¥873.0b | 22.5x | 20.3x | 3.4x |
| Fri, 27 Oct 2023 | JP¥16.2t | JP¥5.2t | JP¥913.8b | 20.2x | 17.8x | 3.1x |
| Sun, 24 Sep 2023 | JP¥16.8t | JP¥5.2t | JP¥914.3b | 22.7x | 18.4x | 3.2x |
| Tue, 22 Aug 2023 | JP¥16.9t | JP¥5.2t | JP¥913.1b | 21.8x | 18.5x | 3.3x |
| Thu, 20 Jul 2023 | JP¥17.8t | JP¥4.9t | JP¥851.3b | 19.3x | 20.9x | 3.6x |
| Sat, 17 Jun 2023 | JP¥17.9t | JP¥4.9t | JP¥848.2b | 21.1x | 21.1x | 3.7x |
| Mon, 15 May 2023 | JP¥16.8t | JP¥4.7t | JP¥832.5b | 24.9x | 20.2x | 3.6x |
| Wed, 12 Apr 2023 | JP¥16.0t | JP¥4.7t | JP¥849.8b | 21x | 18.8x | 3.4x |
| Fri, 10 Mar 2023 | JP¥15.7t | JP¥4.7t | JP¥849.2b | 21.9x | 18.5x | 3.3x |
| Sun, 05 Feb 2023 | JP¥15.9t | JP¥4.7t | JP¥968.4b | 19.1x | 16.4x | 3.4x |
| Tue, 03 Jan 2023 | JP¥15.8t | JP¥4.7t | JP¥987.6b | 18.2x | 16x | 3.4x |
| Thu, 01 Dec 2022 | JP¥16.5t | JP¥4.7t | JP¥984.7b | 18.9x | 16.7x | 3.5x |
| Sat, 29 Oct 2022 | JP¥16.2t | JP¥4.5t | JP¥944.3b | 17.1x | 17.2x | 3.6x |
| Mon, 26 Sep 2022 | JP¥16.2t | JP¥4.5t | JP¥935.0b | 19.4x | 17.4x | 3.6x |
| Wed, 24 Aug 2022 | JP¥16.4t | JP¥4.5t | JP¥934.7b | 19.5x | 17.5x | 3.6x |
| Fri, 22 Jul 2022 | JP¥16.6t | JP¥4.4t | JP¥893.3b | 20.7x | 18.6x | 3.8x |
| Sun, 19 Jun 2022 | JP¥15.2t | JP¥4.4t | JP¥880.4b | 18.4x | 17.3x | 3.5x |
| Tue, 17 May 2022 | JP¥15.4t | JP¥4.4t | JP¥900.7b | 15.5x | 17.1x | 3.5x |
| Thu, 14 Apr 2022 | JP¥16.5t | JP¥4.3t | JP¥872.4b | 18.1x | 18.9x | 3.8x |
| Sat, 12 Mar 2022 | JP¥14.9t | JP¥4.3t | JP¥874.6b | 14.9x | 17.1x | 3.5x |
| Mon, 07 Feb 2022 | JP¥14.8t | JP¥4.3t | JP¥805.8b | 17.6x | 18.4x | 3.4x |
| Wed, 05 Jan 2022 | JP¥14.5t | JP¥4.3t | JP¥778.6b | 16.5x | 18.6x | 3.4x |
| Fri, 03 Dec 2021 | JP¥14.3t | JP¥4.3t | JP¥781.9b | 17.5x | 18.3x | 3.3x |
| Sun, 31 Oct 2021 | JP¥14.4t | JP¥4.4t | JP¥770.8b | 18x | 18.6x | 3.3x |
| Tue, 28 Sep 2021 | JP¥15.2t | JP¥4.4t | JP¥759.9b | 18.1x | 20x | 3.5x |
| Thu, 26 Aug 2021 | JP¥14.7t | JP¥4.4t | JP¥763.5b | 19.8x | 19.3x | 3.4x |
Price to Earnings Ratio
19.3x
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 25.8x which is higher than its 3-year average PE of 19.2x.
- The 3-year average PS ratio of 3.5x is lower than the industry's current PS ratio of 4.0x.
Past Earnings Growth
- The earnings for companies in the Entertainment industry have remained mostly flat over the last three years.
- Meanwhile revenues for these companies have grown 5.6% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.
Industry Trends
Which industries have driven the changes within the Japanese Telecom industry?
| JP Market | 1.03% | |
| Telecom | 2.08% | |
| Entertainment | 2.55% | |
| Interactive Home Entertainment | 2.74% | |
| Movies and Entertainment | 1.12% | |
Industry PE
- Investors are most optimistic about the Interactive Home Entertainment industry which is trading above its 3-year average PE ratio of 18.0x.
- Analysts are expecting annual earnings growth of 6.4%, which is higher than its past year's earnings decline of 21.0% per year.
- Investors are most pessimistic about the Movies and Entertainment industry, which is trading below its 3-year average of 32.3x.
Forecasted Growth
- Analysts are most optimistic on the Movies and Entertainment industry, expecting annual earnings growth of 6.4% over the next 5 years.
- This is better than its past earnings decline of 8.5% per year.
- In contrast, the Interactive Home Entertainment industry is expected to see its earnings grow by 6.4% 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 | |
|---|---|---|---|---|---|
| 3659 NEXON | JP¥3.32k | 2.7% +JP¥72.4b | 19.8% | PE51.4x | |
| 9697 Capcom | JP¥3.31k | 2.4% +JP¥32.2b | 14.8% | PE31.9x | |
| 3635 Koei Tecmo Holdings | JP¥1.48k | 7.0% +JP¥30.6b | -37.7% | PE13.9x | |
| 9766 Konami Group | JP¥11.95k | 0.8% +JP¥13.6b | 58.0% | PE27.4x | |
| 9684 Square Enix Holdings | JP¥4.89k | 1.7% +JP¥10.1b | -25.0% | PE39.3x |
