Nacon SASU (NACON) AI Stock Analysis

• Market Cap: €15.30M
• Dividend Yield: N/A
• Average Volume (3M): 146.49K
• Price to Earnings (P/E): 7.8
• Beta (1Y): 1.71
• Revenue Growth: -4.48%
• EPS Growth: -105.25%
• Country: FR
• Employees: 1,070
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 0.00
• Shares Outstanding: 109,172,490
• 10 Day Avg. Volume: 135,591
• 30 Day Avg. Volume: 146,490
• PEG Ratio: 0.42
• Price to Book (P/B): 0.21
• Price to Sales (P/S): 0.36
• P/FCF Ratio: 1.01
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.02
• Revenue Forecast (FY): €175.95M

• Rating: 47 Neutral
• Price Target: €0.14 ▼(-73.96% Downside)
• Action: Reiterated Date: 03/07/26
• Date: Action: Reiterated 03/07/26

The score is held back mainly by very weak technical momentum and downtrend signals, alongside pressured fundamentals (declining revenue and negative profitability/ROE). A relatively low P/E provides some valuation support but is not enough to offset the operational and price-trend weakness.

Positive Factors

Diversified business lines (games + accessories)

Nacon's dual-revenue model—publishing/distribution of games plus branded gaming accessories—creates structural diversification. This reduces reliance on any single revenue stream, allows cross-selling, and smooths cash flow timing versus pure-play publishers dependent only on release cycles.

High gross profit margin (63.22%)

A sustained gross margin above 60% indicates durable unit economics across publishing and accessories, giving Nacon room to absorb marketing or R&D spend. High gross margins provide a structural buffer that supports operating leverage if revenue stabilizes or grows.

Free cash flow roughly covers net income

FCF nearly covering net income signals decent cash conversion and operational cash generation. Over a multi-month horizon this supports reinvestment in titles and hardware, debt service, and limits dilution risk compared with companies burning cash.

Negative Factors

Revenue decline (-5.09%)

A recent revenue decline of ~5% reflects weakening top-line momentum and reduces scale advantages in publishing and accessory sales. Persisting declines would constrain investment in new IP, marketing, and product development, hindering medium-term growth potential.

Negative profitability and margin deterioration

Net losses and worsening operating margins indicate the company is not currently converting its healthy gross margin into sustainable profits. This undermines return generation for shareholders and may force tighter cost controls or limit investment in high-return projects.

Hit-driven revenue concentration risk

Publishing economics are inherently hit-driven: earnings depend on the success and timing of specific titles and licensing terms. For a company focused on AA titles, a few underperforming releases or unfavorable studio terms can create sustained revenue and margin volatility.

Nacon SASU Business Overview & Revenue Model

Company Description

Nacon S.A. designs and distributes gaming accessories in France and internationally. The company offers accessories, including headsets, microphones, controllers, racing wheels, gaming chairs, keyboards, mice, mats, audio accessories, and console accessories. It also develops and publishes video games in various categories, such as action-adventure, racing, sport, and simulation. The company was founded in 2019 and is based in Fretin, France. Nacon S.A. is a subsidiary of BigBen Interactive SA.

How the Company Makes Money

Nacon primarily makes money through two main business lines: (1) video games and (2) gaming accessories. In video games, it earns revenue by publishing and distributing titles it owns or licenses, generating sales from physical game units sold through retail and distribution partners and from digital downloads sold via online storefronts (platform marketplaces and PC digital stores). Depending on the title and agreements, revenue can include publisher margins after retailer/platform fees, as well as income from licensing its intellectual property, and from live-game or post-launch monetization where applicable (e.g., downloadable content and other add-on content); if a game is developed by external studios, Nacon’s economics are influenced by development/royalty terms and recoupment structures. In gaming accessories, it earns revenue by designing, sourcing/manufacturing, and selling branded peripherals (notably controllers and other accessories) through wholesale channels (retailers/distributors) and, where applicable, direct-to-consumer e-commerce; earnings depend on unit volumes, product mix, and gross margins after manufacturing, logistics, and retailer/distributor discounts. Additional factors that can materially affect earnings include the success of key game releases, the strength and longevity of owned or licensed IP, the scale and terms of distribution relationships with console/PC platforms and retail partners, and any formal licensing/compatibility programs with console manufacturers where applicable; if specific partnership terms are not publicly available, null.

Nacon SASU Financial Statement Overview

Summary

Financial statements show weakening profitability and operations: revenue recently declined (-5.09%) and net margin turned negative with deteriorating EBIT/EBITDA margins. Balance sheet leverage is moderate (debt-to-equity 0.50) and equity ratio is healthy, but negative ROE and softer free cash flow growth (-5.34%) limit the score.

Income Statement

Nacon SASU has experienced fluctuating revenue growth, with a recent decline of 5.09% in the latest period. The gross profit margin remains relatively stable at 63.22%, indicating efficient cost management. However, the net profit margin has turned negative, reflecting challenges in maintaining profitability. The EBIT and EBITDA margins have also deteriorated, suggesting operational inefficiencies.

Balance Sheet

The company's debt-to-equity ratio is moderate at 0.50, indicating a balanced approach to leveraging. However, the return on equity has turned negative, highlighting issues in generating returns for shareholders. The equity ratio remains healthy, suggesting a solid capital structure.

Cash Flow

Nacon SASU's free cash flow growth has declined by 5.34%, indicating potential cash flow challenges. The operating cash flow to net income ratio is below 1, suggesting that cash flow generation is not fully supporting net income. However, the free cash flow to net income ratio is close to 1, indicating that free cash flow is almost covering net income.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	169.03M	167.94M	167.71M	155.98M	155.91M	177.83M
Gross Profit	64.26M	21.59M	28.14M	35.88M	37.61M	49.93M
EBITDA	2.84M	-1.28M	70.54M	48.56M	39.84M	54.96M
Net Income	-1.03M	-1.34M	17.53M	12.77M	9.96M	18.30M
Balance Sheet
Total Assets	516.51M	512.93M	478.96M	483.31M	412.25M	317.51M
Cash, Cash Equivalents and Short-Term Investments	16.48M	29.27M	26.24M	47.60M	82.15M	96.75M
Total Debt	136.16M	143.48M	142.80M	168.85M	145.00M	59.45M
Total Liabilities	233.26M	228.57M	215.41M	240.76M	183.84M	107.05M
Stockholders Equity	283.26M	284.36M	263.55M	242.55M	228.41M	210.72M
Cash Flow
Free Cash Flow	69.45M	59.34M	71.88M	45.04M	31.04M	54.46M
Operating Cash Flow	70.12M	60.46M	73.09M	47.35M	32.38M	55.66M
Investing Cash Flow	-78.66M	-79.99M	-87.30M	-115.94M	-81.35M	-53.70M
Financing Cash Flow	4.14M	19.14M	-8.55M	33.89M	35.28M	-15.58M

Nacon SASU Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.53
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:NACON, the sentiment is Negative. The current price of 0.53 is above the 20-day moving average (MA) of 0.19, above the 50-day MA of 0.32, and below the 200-day MA of 0.61, indicating a bearish trend. The MACD of -0.05 indicates Negative momentum. The RSI at 19.48 is Positive, neither overbought nor oversold. The STOCH value of 17.20 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:NACON.

Nacon SASU Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALREW	73 Outperform	€84.00M	2.65	12.60%	1.29%	-3.53%	28.87%
ALPUL	62 Neutral	€105.24M	―	-0.44%	6.54%	-14.35%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
NACON	47 Neutral	€15.30M	7.83	-0.36%	―	-4.48%	-105.25%
UBI	45 Neutral	€515.50M	-1.98	-4.52%	―	-11.78%	-28.61%
ALDNE	38 Underperform	€5.23M	-0.16	-97.87%	―	90.92%	24.05%
ALATA	38 Underperform	€58.38M	-2.54	-514.29%	―	63.11%	10.97%