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Sega Sammy Holdings (JP:6460)
:6460
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Sega Sammy Holdings (6460) AI Stock Analysis

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Sega Sammy Holdings

(OTC:6460)

Rating:77Outperform
Price Target:
¥3,632.00
▲(16.37%Upside)
Sega Sammy Holdings achieves a strong overall score driven by its robust financial performance and positive technical indicators. While the valuation is fair, it does not offer significant upside potential. The absence of earnings call insights and corporate events means these factors do not impact the score.

Sega Sammy Holdings (6460) vs. iShares MSCI Japan ETF (EWJ)

Sega Sammy Holdings Business Overview & Revenue Model

Company DescriptionSega Sammy Holdings Inc. is a prominent Japanese conglomerate primarily engaged in the entertainment industry, encompassing both the development and distribution of video games and the operation of pachinko and pachislot machines. Established in 2004 through the merger of Sega Corporation and Sammy Corporation, the company leverages its rich legacy in gaming to deliver innovative experiences. Sega is well-known for its iconic video game franchises such as Sonic the Hedgehog, while Sammy is a leading player in Japan's pachinko gaming sector.
How the Company Makes MoneySega Sammy Holdings generates revenue through multiple streams. The company's primary revenue sources include video game sales, amusement machine sales, and pachinko and pachislot machine operations. The video game segment profits from the sale of both physical and digital games, downloadable content, and royalties from licensing its intellectual properties. The amusement segment includes arcade operations and sales of arcade machines. Additionally, the pachinko and pachislot segment is a significant profit driver, where the company manufactures and sells machines to parlors across Japan. The company also benefits from strategic partnerships and collaborations in the gaming and entertainment sectors, which enhance its market reach and contribute to its diverse earnings portfolio.

Sega Sammy Holdings Financial Statement Overview

Summary
Sega Sammy Holdings demonstrates solid financial health with robust revenue growth and profitability. Despite a slight revenue decline in 2025, strong margins and cash generation capabilities underscore efficient management. The balance sheet reflects low leverage and financial stability, though asset fluctuations require attention.
Income Statement
85
Very Positive
Sega Sammy Holdings has demonstrated robust revenue growth over the past five years, culminating in impressive Gross Profit and Net Profit margins. The company achieved a significant revenue growth rate, particularly from 2021 to 2024. However, the revenue slightly decreased in 2025 compared to the previous year. The EBIT and EBITDA margins remain strong, reflecting efficient operational management and cost control strategies.
Balance Sheet
80
Positive
The balance sheet reveals a healthy financial structure. The Debt-to-Equity ratio is low, indicating low leverage and reduced financial risk. The Return on Equity is strong, showcasing effective use of equity to generate profits. Moreover, the Equity Ratio suggests a solid equity base against total assets, contributing to financial stability. However, the slight fluctuations in total assets and equity over the years require monitoring.
Cash Flow
78
Positive
The cash flow statement indicates strong cash generation capabilities, with consistent positive Free Cash Flow and Operating Cash Flow. There is a noteworthy increase in Free Cash Flow over the years, although the growth rate declined in 2025. The Operating Cash Flow to Net Income ratio is healthy, suggesting efficient conversion of income into cash. Nevertheless, the company experienced volatility in financing cash flow, reflecting strategic shifts in capital management.
BreakdownMar 2025Mar 2024Mar 2023Mar 2022Mar 2021
Income Statement
Total Revenue428.95B467.90B389.63B320.95B277.75B
Gross Profit192.71B196.74B158.07B127.87B100.78B
EBITDA72.73B58.61B60.24B51.94B7.36B
Net Income45.05B33.05B45.94B37.03B1.27B
Balance Sheet
Total Assets644.78B653.99B501.57B435.49B421.60B
Cash, Cash Equivalents and Short-Term Investments200.36B219.81B179.51B152.46B155.69B
Total Debt154.14B161.84B57.35B56.01B56.81B
Total Liabilities263.17B296.30B170.22B142.85B130.34B
Stockholders Equity381.58B357.67B331.32B292.59B290.76B
Cash Flow
Free Cash Flow16.68B54.72B33.88B27.75B-21.39B
Operating Cash Flow22.21B65.83B44.70B39.61B-6.38B
Investing Cash Flow-13.90B-113.51B-2.35B-8.79B30.47B
Financing Cash Flow-27.98B79.79B-15.36B-35.97B-31.49B

Sega Sammy Holdings Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price3121.00
Price Trends
50DMA
3095.67
Positive
100DMA
2980.98
Positive
200DMA
2905.57
Positive
Market Momentum
MACD
-17.19
Positive
RSI
45.29
Neutral
STOCH
34.88
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6460, the sentiment is Neutral. The current price of 3121 is below the 20-day moving average (MA) of 3306.75, above the 50-day MA of 3095.67, and above the 200-day MA of 2905.57, indicating a neutral trend. The MACD of -17.19 indicates Positive momentum. The RSI at 45.29 is Neutral, neither overbought nor oversold. The STOCH value of 34.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:6460.

Sega Sammy Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$1.87T38.5622.64%1.01%11.28%11.70%
80
Outperform
¥2.23T18.3512.67%1.08%10.80%138.34%
77
Outperform
¥603.15B14.8811.92%1.60%-8.32%39.87%
70
Outperform
$1.21T49.887.32%0.85%0.58%-56.67%
70
Outperform
¥2.80T37.4716.43%0.96%17.01%26.23%
62
Neutral
$41.14B-1.94-12.05%3.98%2.10%-69.66%
* Communication Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:6460
Sega Sammy Holdings
3,121.00
728.05
30.42%
JP:9766
KONAMI HOLDINGS
20,645.00
8,938.88
76.36%
JP:3659
NEXON Co
2,771.50
-457.76
-14.18%
JP:9684
Square Enix Holdings Co
10,145.00
5,275.25
108.33%
JP:9697
Capcom Co
4,467.00
1,383.78
44.88%

Sega Sammy Holdings Corporate Events

Sega Sammy Holdings Announces New Management Structure
Jun 24, 2025

Sega Sammy Holdings Inc. announced a new management structure following its Board of Directors meeting, which took place after the Ordinary General Meeting of Shareholders on June 24, 2025. The company appointed new Representative Directors and Directors with titles, as well as executive officers, to enhance its operational efficiency and strategic direction. This restructuring is expected to impact the company’s operations positively by streamlining leadership roles and potentially improving stakeholder confidence.

The most recent analyst rating on (JP:6460) stock is a Buy with a Yen3700.00 price target. To see the full list of analyst forecasts on Sega Sammy Holdings stock, see the JP:6460 Stock Forecast page.

SEGA SAMMY HOLDINGS Updates on Treasury Stock Acquisition
Jun 2, 2025

SEGA SAMMY HOLDINGS INC. announced the status of its treasury stock acquisition, revealing that no shares have been acquired yet, despite a plan to purchase up to 6 million shares by the end of 2025. This move is part of a strategic decision to manage the company’s capital structure, potentially impacting shareholder value and market perception.

The most recent analyst rating on (JP:6460) stock is a Buy with a Yen3700.00 price target. To see the full list of analyst forecasts on Sega Sammy Holdings stock, see the JP:6460 Stock Forecast page.

Sega Sammy Completes Acquisition of GAN Limited
May 28, 2025

Sega Sammy Holdings Inc. has completed the acquisition of GAN Limited, a SaaS provider for casino operators and online gaming operator, enhancing its position in the U.S., European, and South American markets. The acquisition, finalized on May 27, 2025, involved a revised total cost of approximately 15.13 billion yen, with the impact on Sega Sammy’s financial results still under evaluation.

The most recent analyst rating on (JP:6460) stock is a Buy with a Yen3700.00 price target. To see the full list of analyst forecasts on Sega Sammy Holdings stock, see the JP:6460 Stock Forecast page.

SEGA SAMMY to Acquire GAN Limited, Expanding Gaming Portfolio
May 20, 2025

SEGA SAMMY HOLDINGS INC. announced the acquisition of GAN Limited, a company listed on Nasdaq, with the acquisition expected to be completed by May 27, 2025. The acquisition, valued at approximately 95.8 million USD, will see GAN become a subsidiary of SEGA SAMMY, potentially strengthening the company’s position in the gaming industry.

The most recent analyst rating on (JP:6460) stock is a Buy with a Yen3700.00 price target. To see the full list of analyst forecasts on Sega Sammy Holdings stock, see the JP:6460 Stock Forecast page.

Sega Sammy Holdings Reports Increased Profitability Amid Declining Sales
May 12, 2025

Sega Sammy Holdings reported its consolidated financial results for the fiscal year ended March 31, 2025, showing a decline in net sales by 8.5% to ¥428,948 million. However, the company achieved a significant increase in profit attributable to owners of the parent by 36.3% to ¥45,051 million, indicating improved profitability despite lower sales. The company also announced plans to increase its dividend payouts, reflecting confidence in its financial stability and commitment to returning value to shareholders.

SEGA SAMMY Enhances Shareholder Returns with Dividend Increase and Treasury Stock Actions
May 12, 2025

SEGA SAMMY HOLDINGS INC. announced a decision to distribute dividends from retained earnings and to acquire and cancel treasury stock. The company aims to enhance shareholder returns by increasing dividends per share and executing a significant treasury stock acquisition and cancellation plan, reflecting confidence in future business growth and current stock price levels.

SEGA SAMMY Announces Director Reappointments Ahead of Shareholders Meeting
May 12, 2025

SEGA SAMMY HOLDINGS INC. announced the reappointment of several key directors at its recent Board of Directors meeting, with the proposal to be presented at the upcoming General Meeting of Shareholders. This decision reflects the company’s commitment to maintaining its current leadership structure, which is likely to ensure continuity in its strategic direction and operations.

SEGA SAMMY Completes Acquisition of Stakelogic B.V.
Apr 29, 2025

SEGA SAMMY HOLDINGS INC. has successfully completed the acquisition of Stakelogic B.V., a Netherlands-based B2B iGaming content supplier, as of April 28, 2025. This strategic move, valued at approximately 125 million Euros, is expected to enhance SEGA SAMMY’s position in the iGaming sector, although the financial impact on the company’s consolidated results is still being assessed.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 10, 2025