Capcom Co (CCOEY) AI Stock Analysis

• Market Cap: $9.87B
• Dividend Yield: 1.24%
• Average Volume (3M): 7.41K
• Price to Earnings (P/E): 23.0
• Beta (1Y): 0.38
• Revenue Growth: 45.65%
• EPS Growth: 114.09%
• Country: US
• Employees: 3,531
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 0.09
• Shares Outstanding: 1,066,022,500
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 7,412
• PEG Ratio: 2.73
• Price to Book (P/B): 6.85
• Price to Sales (P/S): 9.13
• P/FCF Ratio: 25.26
• Enterprise Value/Market Cap: 140.01
• Enterprise Value/Revenue: 7.09
• Enterprise Value/Gross Profit: 11.65
• Enterprise Value/Ebitda: 15.63
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: $13.00 ▲(7.26% Upside)

The score is driven primarily by strong financial performance (high and resilient profitability, conservative leverage historically, and solid cash generation). Offsetting this is weaker technical positioning (below key moving averages with negative MACD) and a moderate valuation (P/E ~23.8 with a modest ~1.24% yield).

Positive Factors

Revenue Growth

Consistent revenue growth indicates robust demand for Capcom's offerings, enhancing its market position and financial stability over time.

Cash Flow Generation

Strong cash flow generation supports Capcom's ability to invest in new projects, pay down debt, and return capital to shareholders, ensuring long-term sustainability.

Profit Margins

High profit margins reflect Capcom's efficient operations and pricing power, contributing to sustained profitability and competitive advantage.

Negative Factors

Valuation Concerns

Perceived overvaluation may limit stock price appreciation, potentially impacting investor sentiment and future capital raising efforts.

Dividend Yield

A low dividend yield may deter income-focused investors, potentially affecting Capcom's attractiveness as an investment option.

Technical Indicators

Bearish technical indicators could signal market skepticism, impacting short-term investor confidence and trading volumes.

Capcom Co Business Overview & Revenue Model

Company Description

Capcom Co., Ltd. is a leading Japanese video game developer and publisher, renowned for its iconic franchises such as Resident Evil, Street Fighter, and Monster Hunter. Established in 1983, Capcom operates primarily within the interactive entertainment sector, focusing on the development and distribution of video games across various platforms including consoles, PC, and mobile devices. The company also engages in merchandise and licensing related to its popular game franchises, further diversifying its offerings.

How the Company Makes Money

Capcom generates revenue primarily through the sale of video games, which includes both physical and digital formats. The company's major revenue streams include new game releases, downloadable content (DLC), and in-game purchases. Additionally, Capcom benefits from recurring revenue through its live service models, particularly with titles like Monster Hunter and Street Fighter, which offer ongoing content updates and expansions. Licensing agreements and merchandise sales also contribute to its earnings, as Capcom capitalizes on its popular franchises through collaborations and partnerships for toys, apparel, and other consumer products. Furthermore, strategic partnerships with platform holders, such as Sony and Microsoft, enhance its distribution capabilities and market reach, ultimately driving sales and revenue growth.

Capcom Co Financial Statement Overview

Summary

High-quality fundamentals: very strong profitability (net margins improving to ~31% TTM) and conservative leverage historically with strong returns on equity. The main near-term risk is the ~-14% TTM revenue decline and slightly weaker TTM free cash flow (~-9%), plus noted inconsistency in the TTM balance sheet figures which reduces confidence in the latest leverage snapshot.

Income Statement

Profitability is a key strength: the company consistently posts very high gross and operating profitability, with net margins holding in the high‑20% range and improving to ~31% in TTM (Trailing-Twelve-Months). Revenue grew solidly for several years (2021–2024), supporting steadily rising earnings, but the latest TTM (Trailing-Twelve-Months) shows a notable revenue decline (~-14%), which is the main near-term concern despite margins remaining strong.

Balance Sheet

The balance sheet appears conservatively positioned with very low leverage historically (debt-to-equity ~4%–7% across recent annual periods) and healthy returns on shareholder capital (~21%–23% historically, ~27% in TTM (Trailing-Twelve-Months)). The main weakness is a data consistency issue in TTM (Trailing-Twelve-Months) balance sheet figures (equity and assets are dramatically smaller and debt is shown as zero versus prior years), which makes the latest leverage snapshot less reliable to interpret.

Cash Flow

Cash generation is strong, with operating cash flow and free cash flow solidly positive across periods and free cash flow generally tracking earnings well (often ~0.86–0.91 of net income; ~0.76 in TTM (Trailing-Twelve-Months)). However, cash-flow performance has been somewhat uneven: free cash flow growth swings materially year to year, and the latest TTM (Trailing-Twelve-Months) shows a modest free cash flow decline (~-9%) alongside the revenue pullback.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	194.98B	169.60B	152.41B	125.93B	110.05B	95.31B
Gross Profit	118.66B	98.76B	84.66B	73.82B	63.01B	52.74B
EBITDA	88.42B	70.41B	63.56B	54.25B	46.30B	37.39B
Net Income	60.87B	48.45B	43.37B	36.74B	32.55B	24.92B
Balance Sheet
Total Assets	303.62B	312.98B	243.48B	217.37B	187.37B	163.71B
Cash, Cash Equivalents and Short-Term Investments	132.82B	166.78B	125.19B	102.12B	107.26B	71.24B
Total Debt	0.00	11.92B	12.16B	11.75B	6.10B	6.83B
Total Liabilities	54.52B	86.68B	48.40B	56.24B	40.89B	42.92B
Stockholders Equity	249.10B	226.30B	195.08B	161.13B	146.47B	120.80B
Cash Flow
Free Cash Flow	44.11B	61.34B	31.79B	14.37B	42.88B	11.50B
Operating Cash Flow	58.00B	67.62B	36.92B	21.79B	46.95B	14.63B
Investing Cash Flow	-30.27B	-7.27B	-5.96B	-7.68B	-7.43B	-4.23B
Financing Cash Flow	-15.85B	-18.73B	-15.97B	-22.48B	-9.98B	-6.96B

Capcom Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.12
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CCOEY, the sentiment is Positive. The current price of 12.12 is above the 20-day moving average (MA) of 11.58, above the 50-day MA of 11.78, and below the 200-day MA of 13.61, indicating a neutral trend. The MACD of -0.12 indicates Negative momentum. The RSI at 54.25 is Neutral, neither overbought nor oversold. The STOCH value of 41.25 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CCOEY.

Capcom Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NTES	81 Outperform	$82.06B	16.90	24.65%	2.19%	5.69%	32.87%
CCOEY	71 Outperform	$9.87B	23.04	26.66%	1.24%	45.65%	114.09%
EA	66 Neutral	$51.12B	59.63	13.20%	0.37%	-1.45%	-11.99%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
TTWO	53 Neutral	$45.39B	-10.88	-86.61%	―	13.98%	-6.71%
RBLX	52 Neutral	$51.95B	-51.92	-324.24%	―	32.70%	12.57%