Nazara Technologies Ltd. (NAZARA) AI Stock Analysis

• Market Cap: ₹98.17B
• Dividend Yield: N/A
• Average Volume (3M): 122.01K
• Price to Earnings (P/E): 69.7
• Beta (1Y): 0.50
• Revenue Growth: 65.14%
• EPS Growth: 81.31%
• Country: IN
• Employees: 74
• Sector: Technology
• Sector Strength: 88
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): N/A
• Shares Outstanding: 370,465,030
• 10 Day Avg. Volume: 35,946
• 30 Day Avg. Volume: 122,006
• PEG Ratio: 3.20
• Price to Book (P/B): 1.32
• Price to Sales (P/S): 2.33
• P/FCF Ratio: -178.83
• 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): 373.51
• Revenue Forecast (FY): ₹1.92T

• Rating: 60 Neutral
• Price Target: ₹286.00 ▲(8.15% Upside)

Nazara Technologies Ltd. has a strong financial foundation with robust revenue growth and efficient cost management. However, the stock faces challenges with high valuation metrics and weak technical indicators, suggesting potential overvaluation and bearish momentum. These factors contribute to a moderate overall stock score.

Nazara Technologies Ltd. Business Overview & Revenue Model

Company Description

Nazara Technologies Ltd. is a prominent gaming and sports media company based in India, specializing in mobile gaming and interactive entertainment. Established in 2000, Nazara operates across various sectors, including gaming, esports, and edutainment. The company offers a diverse portfolio of products, including mobile games, gaming subscriptions, and skill-based gaming platforms, catering to a broad audience in India and globally.

How the Company Makes Money

Nazara Technologies generates revenue through multiple streams, primarily from in-game purchases, subscription services, and advertising within its gaming applications. The company's mobile gaming segment benefits from a freemium model, where users can download games for free and make optional purchases for enhanced features or virtual goods. Additionally, Nazara has established partnerships with global gaming companies and platforms, expanding its reach and enhancing its content offerings. The company also monetizes its esports initiatives through sponsorships, partnerships, and event management, contributing significantly to its earnings. Overall, Nazara's diverse revenue model, focusing on both casual and skill-based gaming, positions it well in the rapidly evolving digital entertainment landscape.

Nazara Technologies Ltd. Financial Statement Overview

Summary

Nazara Technologies Ltd. demonstrates strong revenue growth and efficient cost management, contributing to a stable financial position. However, variability in profitability and cash flow indicates potential operational challenges that require careful attention to sustain long-term growth.

Income Statement

Nazara Technologies Ltd. has shown robust revenue growth with a significant increase from 2021 to 2025. The gross profit margin remains strong, indicating efficient cost management. However, the net profit margin shows room for improvement due to fluctuating EBIT and EBITDA margins, which suggest potential volatility in operational efficiency.

Balance Sheet

The company maintains a healthy debt-to-equity ratio, indicating a low reliance on debt financing. Strong stockholders' equity growth supports a solid equity ratio, reflecting financial stability. Return on equity has improved over time, suggesting effective use of equity to generate profits.

Cash Flow

Operating cash flow has improved, yet free cash flow remains inconsistent due to significant capital expenditures. The operating cash flow to net income ratio suggests good cash generation, but the free cash flow to net income ratio highlights areas for optimizing cash use.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	18.73B	16.24B	11.38B	10.91B	6.22B	4.54B
Gross Profit	11.58B	6.70B	6.67B	6.40B	4.82B	4.02B
EBITDA	2.61B	2.13B	1.80B	1.52B	1.11B	554.70M
Net Income	1.27B	753.50M	565.70M	393.90M	284.00M	92.00M
Balance Sheet
Total Assets	0.00	44.35B	27.62B	17.02B	14.10B	10.23B
Cash, Cash Equivalents and Short-Term Investments	6.53B	6.53B	14.26B	5.96B	7.32B	4.78B
Total Debt	0.00	2.19B	277.00M	382.00M	43.00M	17.00M
Total Liabilities	-32.37B	11.98B	4.27B	3.85B	2.12B	2.44B
Stockholders Equity	32.37B	28.63B	19.99B	11.05B	10.41B	6.58B
Cash Flow
Free Cash Flow	0.00	-211.20M	639.40M	-2.00M	498.00M	642.23M
Operating Cash Flow	0.00	1.27B	907.90M	81.00M	621.00M	674.06M
Investing Cash Flow	0.00	-12.01B	-6.03B	-952.00M	-3.50B	-2.68B
Financing Cash Flow	0.00	8.11B	9.46B	145.00M	3.35B	2.17B

Nazara Technologies Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 264.45
• 50DMA: Negative
• 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 IN:NAZARA, the sentiment is Negative. The current price of 264.45 is below the 20-day moving average (MA) of 266.92, below the 50-day MA of 272.86, and below the 200-day MA of 282.27, indicating a bearish trend. The MACD of -2.77 indicates Negative momentum. The RSI at 44.71 is Neutral, neither overbought nor oversold. The STOCH value of 37.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:NAZARA.

Nazara Technologies Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INTELLECT	73 Outperform	₹166.70B	41.37	―	0.62%	15.87%	39.55%
SAKSOFT	68 Neutral	₹26.20B	21.76	―	0.41%	19.50%	18.47%
SASKEN	63 Neutral	₹22.50B	54.02	―	2.56%	62.55%	-41.78%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
NAZARA	60 Neutral	₹98.17B	69.75	―	―	65.14%	81.31%

Nazara Technologies Ltd. Corporate Events

Nazara Technologies Terminates Share Purchase Agreement Amid Regulatory Changes

Nazara Technologies Ltd. announced the termination of its Share Purchase Agreement with I3 Interactive Inc. for acquiring equity shares in Moonshine Technology Private Limited. This decision follows the enactment of the Promotion and Regulation of Online Gaming Act, 2025, which prohibits online real money gaming in India, leading to a material adverse effect on the agreement.

Nazara Technologies Subsidiaries Secure Loans to Boost Expansion

Nazara Technologies Ltd. has announced that its subsidiaries Kiddopia Inc., Sportskeeda Inc., and Nazara Technologies (Mauritius) have entered into loan agreements with Nazara Technologies UK Limited, a wholly-owned subsidiary. These agreements involve granting unsecured loans totaling approximately INR 17.73 Crores for various business purposes, including working capital, acquisitions, and expansion plans. This strategic move is expected to enhance the company’s operational capabilities and support its growth initiatives across different regions.

Nazara Technologies Clarifies Impact of Proposed Online Gaming Bill

Nazara Technologies Limited has clarified that the proposed Promotion and Regulation of Online Gaming Bill, 2025, will not materially impact its financial performance, as it has no direct involvement in real money gaming. The company’s indirect exposure is limited to its minority stake in Moonshine Technologies, which does not affect its consolidated financial statements.

Nazara Technologies Initiates Postal Ballot for Member Approval

Nazara Technologies Ltd. has announced a postal ballot to seek approval from its members for certain business resolutions through remote electronic voting. The e-voting period is set to commence on August 17, 2025, and conclude on September 15, 2025. This move is in compliance with various regulations and aims to facilitate shareholder engagement in decision-making processes, potentially impacting the company’s governance and operational strategies.

Nazara Technologies Extends Timeline for Moonshine Technology Acquisition

Nazara Technologies Ltd. has announced an update regarding its acquisition of equity shares in Moonshine Technology Private Limited. The timeline for acquiring the remaining 0.96% equity shares from I3 Interactive Inc. has been extended to August 31, 2025. This extension indicates Nazara’s continued strategic investment efforts to strengthen its position in the gaming industry, potentially impacting its market presence and stakeholder interests.

Nazara Technologies Expands Stake in Getstan Technologies

Nazara Technologies Ltd. announced that its wholly owned subsidiary, Nazara Technologies FZ LLC, has increased its stake in Getstan Technologies Pte. Ltd. by acquiring 37,461 Compulsorily Convertible Preference Shares for USD 1 million. This acquisition raises Nazara Dubai’s total shareholding in Getstan to 14.57%, potentially strengthening its strategic position in the gaming industry and expanding its influence in the digital sports market.