Sega Sammy Holdings (6460) AI Stock Analysis

• Market Cap: $561.21B
• Dividend Yield: 1.85%
• Average Volume (3M): 730.68K
• Price to Earnings (P/E): 35.8
• Beta (1Y): 0.61
• Revenue Growth: -12.78%
• EPS Growth: -56.73%
• Country: JP
• Employees: 8,623
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -15.89
• Shares Outstanding: 221,229,480
• 10 Day Avg. Volume: 697,950
• 30 Day Avg. Volume: 730,676
• PEG Ratio: 0.35
• Price to Book (P/B): 1.62
• Price to Sales (P/S): 1.45
• P/FCF Ratio: 68.92
• Enterprise Value/Market Cap: 1.32
• Enterprise Value/Revenue: 1.83
• Enterprise Value/Gross Profit: 4.20
• Enterprise Value/Ebitda: 17.56
• 1Y Price Target: $3,208.44
• Price Target Upside: 14.00% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 70 Outperform
• Price Target: ¥3,304.00 ▲(17.39% Upside)

Sega Sammy Holdings' overall stock score is driven by strong financial performance and a positive outlook from recent earnings calls. However, technical indicators and valuation metrics suggest caution, with the stock appearing relatively expensive and showing neutral to bearish technical signals. The company's ability to navigate foreign exchange challenges and underperforming segments will be crucial for future growth.

Sega Sammy Holdings Business Overview & Revenue Model

Company Description

Sega Sammy Holdings Inc., through its subsidiaries, engages in the game machine, entertainment content, and resort businesses. The company operates through Entertainment Contents, Pachislot and Pachinko Machines, and Resort segments. It develops pachislot machines and provides machines for the pachinko business; offers entertainment-related content and services, including consumer and arcade games, toys, and animation; and develops and operates hotels, entertainment and commercial facilities, and casinos. Sega Sammy Holdings Inc. was founded in 2004 and is based in Tokyo, Japan.

How the Company Makes Money

Sega Sammy Holdings generates revenue through several key streams. The primary source of income comes from its video game division, which includes sales of both physical and digital games, downloadable content, and in-game purchases. The company benefits from the popularity of its established franchises and continually develops new titles to attract gamers. Additionally, Sega Sammy earns significant revenue from its arcade operations and the manufacturing and sale of arcade machines. The pachinko and pachislot segment is another crucial revenue driver, where the company designs and produces these gambling machines for the Japanese market. Partnerships with other game developers, licensing agreements, and collaborations for co-producing titles also enhance its revenue potential. The company's diversified portfolio allows it to mitigate risks and capitalize on various segments of the entertainment industry.

Sega Sammy Holdings Financial Statement Overview

Summary

Sega Sammy Holdings demonstrates strong financial performance with robust revenue growth and profitability metrics. The income statement shows effective revenue and profit management, while the balance sheet indicates a stable financial foundation with low leverage. Despite some fluctuations in cash flow components, the company maintains strong cash generation capabilities.

Income Statement

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

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

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.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	405.22B	428.95B	467.90B	389.63B	320.95B	277.75B
Gross Profit	176.56B	192.71B	196.74B	158.07B	127.87B	100.78B
EBITDA	42.21B	72.73B	58.61B	60.24B	51.94B	7.36B
Net Income	17.14B	45.05B	33.05B	45.94B	37.03B	1.27B
Balance Sheet
Total Assets	636.62B	644.78B	653.99B	501.57B	435.49B	421.60B
Cash, Cash Equivalents and Short-Term Investments	148.63B	200.36B	219.81B	179.51B	152.46B	155.69B
Total Debt	153.39B	154.14B	161.84B	57.35B	56.01B	56.81B
Total Liabilities	269.74B	263.17B	296.30B	170.22B	142.85B	130.34B
Stockholders Equity	366.85B	381.58B	357.67B	331.32B	292.59B	290.76B
Cash Flow
Free Cash Flow	0.00	9.00B	54.72B	33.88B	27.75B	-21.39B
Operating Cash Flow	0.00	20.86B	65.83B	44.70B	39.61B	-6.38B
Investing Cash Flow	0.00	-12.54B	-113.51B	-2.35B	-8.79B	30.47B
Financing Cash Flow	0.00	-27.98B	79.79B	-15.36B	-35.97B	-31.49B

Sega Sammy Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2814.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:6460, the sentiment is Negative. The current price of 2814.5 is below the 20-day moving average (MA) of 2953.18, below the 50-day MA of 3058.62, and below the 200-day MA of 2993.40, indicating a bearish trend. The MACD of -65.90 indicates Positive momentum. The RSI at 36.71 is Neutral, neither overbought nor oversold. The STOCH value of 9.03 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:6460.

Sega Sammy Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
3659	―	$2.51T	25.05	10.04%	0.99%	2.84%	51.14%
6460	―	$561.21B	35.76	4.51%	1.85%	-12.78%	-56.73%
9697	―	$1.73T	30.97	26.66%	0.97%	45.17%	81.91%
9766	―	¥3.01T	39.22	16.24%	0.82%	13.45%	16.03%
Sector *	―	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
9684	―	$1.08T	58.20	5.77%	1.72%	-7.85%	-3.39%

Sega Sammy Holdings Corporate Events

SEGA SAMMY Completes Treasury Stock Disposal Under RSU and PSU Systems

SEGA SAMMY HOLDINGS INC. has completed the payment procedures for the disposal of 13,400 shares of its treasury stock under the Restricted Stock Unit (RSU) and Performance Share Unit (PSU) systems. This move, resolved at the Board of Directors’ meeting on August 27, 2025, involves the allocation of shares to resigned directors and executive officers from both domestic and overseas group companies, potentially impacting the company’s stock management and stakeholder interests.

The most recent analyst rating on (JP:6460) stock is a Buy with a Yen3469.00 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 Announces Treasury Stock Disposal to Align Interests

Sega Sammy Holdings Inc. announced the disposal of treasury stocks through its RSU and PSU systems, aimed at aligning the company’s long-term interests with shareholders and enhancing corporate value. This move involves transferring shares to resigned directors and executive officers, reflecting the company’s strategic focus on incentivizing leadership to meet performance targets and drive growth.

The most recent analyst rating on (JP:6460) stock is a Hold with a Yen3200.00 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 Q1 2025 Earnings

Sega Sammy Holdings Inc., a prominent player in the entertainment and gaming industry, is known for its diverse portfolio spanning video games, pachinko machines, and animation. The company is listed on the Tokyo Stock Exchange and continues to expand its global presence through strategic acquisitions.

Sega Sammy Holdings Faces Financial Decline Amid Strategic Restructuring

Sega Sammy Holdings reported a significant decline in its financial performance for the three months ended June 30, 2025, with net sales dropping by 22.7% compared to the previous year. The company experienced operating and ordinary income losses, reflecting challenges in its operational efficiency and market conditions. Despite these setbacks, Sega Sammy plans to maintain its dividend payments and has made strategic changes by adding new subsidiaries, indicating a focus on restructuring and potential growth opportunities.

The most recent analyst rating on (JP:6460) stock is a Hold with a Yen3200.00 price target. To see the full list of analyst forecasts on Sega Sammy Holdings stock, see the JP:6460 Stock Forecast page.

Sega Sammy Introduces Stock-Based Compensation for Executives

Sega Sammy Holdings Inc. announced the implementation of a new stock-based compensation system for its directors and executive officers, including those of its subsidiaries. This move, involving the granting of Restricted Stock Units (RSUs) and Performance Share Units (PSUs), is aimed at aligning the interests of its management with shareholders and enhancing long-term corporate value.

The most recent analyst rating on (JP:6460) stock is a Hold with a Yen3200.00 price target. To see the full list of analyst forecasts on Sega Sammy Holdings stock, see the JP:6460 Stock Forecast page.