TSE:7974Entertainment
Nintendo (TSE:7974) Stock Can Software Margins Sustain Q1 Profit Strength?
The market priced Nintendo as a steady compounder coming into this print. The stock had already climbed over the past month and quarter while trading on a P/E above the broader Japanese entertainment group. Then Q1 hit with a jolt. Basic earnings per share landed at ¥127.88 and net income reached ¥147.42b, both strong headline figures for a seasonally softer quarter.
The result is straightforward for investors: a stock that appeared cautiously discounted on a discounted cash flow model just...