BANDAI NAMCO Holdings (7832) AI Stock Analysis

• Market Cap: $3.11T
• Dividend Yield: 1.82%
• Average Volume (3M): 1.74M
• Price to Earnings (P/E): 23.5
• Beta (1Y): 0.66
• Revenue Growth: 9.86%
• EPS Growth: -1.06%
• Country: JP
• Employees: 11,159
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Leisure
• EPS (TTM): 59.22
• Shares Outstanding: 650,000,000
• 10 Day Avg. Volume: 1,757,780
• 30 Day Avg. Volume: 1,744,916
• PEG Ratio: 0.88
• Price to Book (P/B): 4.12
• Price to Sales (P/S): 2.63
• P/FCF Ratio: 22.57
• Enterprise Value/Market Cap: 0.98
• Enterprise Value/Revenue: 2.42
• Enterprise Value/Gross Profit: 5.97
• Enterprise Value/Ebitda: 13.29
• 1Y Price Target: $6,209.23
• Price Target Upside: 37.43% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ¥4,743.00 ▲(4.98% Upside)

BANDAI NAMCO Holdings' strong financial performance is a key strength, reflecting robust revenue growth and solid profitability. However, technical indicators suggest a bearish trend, and the stock appears overvalued based on its P/E ratio. These factors result in a moderate overall stock score.

Positive Factors

Revenue Growth

The substantial revenue growth indicates a strong market position and effective business strategies, enhancing long-term financial stability and expansion potential.

Profitability Margins

Strong profitability margins suggest efficient cost management and pricing power, contributing to sustained earnings and competitive advantage.

Balance Sheet Health

A low debt-to-equity ratio reflects financial prudence and flexibility, allowing the company to invest in growth opportunities without significant risk.

Negative Factors

Asset Utilization

Suboptimal asset utilization may limit efficiency and return on investments, potentially impacting long-term profitability and growth.

Cash Flow to Net Income Ratio

While ratios are healthy, they suggest a reliance on earnings for cash generation, which may pose risks if earnings fluctuate significantly.

Technical Weakness

Persistent technical weakness could signal underlying market concerns, potentially affecting investor confidence and stock performance.

BANDAI NAMCO Holdings Business Overview & Revenue Model

Company Description

BANDAI NAMCO Holdings Inc. is a Japanese multinational company that operates primarily in the entertainment and gaming sectors. Founded in 2005 through the merger of Bandai and Namco, the company is a leading developer and publisher of video games, toys, and anime, leveraging its extensive portfolio of intellectual properties such as 'Dragon Ball', 'Naruto', and 'One Piece'. BANDAI NAMCO operates across several segments, including Game Software, Toys and Hobby, and Visual and Music Production, with a strong emphasis on interactive entertainment and fan engagement.

How the Company Makes Money

BANDAI NAMCO Holdings generates revenue through multiple key streams. The Game Software segment is a significant contributor, where the company earns money by developing and publishing video games across various platforms including consoles, PCs, and mobile devices. The Toys and Hobby segment produces and sells merchandise linked to popular franchises, including action figures and collectibles. Additionally, the Visual and Music Production segment generates income from the production and distribution of anime, films, and music related to its properties. Furthermore, partnerships with other companies for licensing and collaboration in developing games and merchandise enhance revenue opportunities. The company's focus on international markets and digital distribution channels also contributes to its earnings, allowing for broader audience reach and engagement.

BANDAI NAMCO Holdings Financial Statement Overview

Summary

BANDAI NAMCO Holdings exhibits strong financial health with impressive revenue growth and solid profitability margins. The balance sheet is characterized by low leverage and high equity, while cash flows are robust, supporting ongoing operations and growth.

Income Statement

BANDAI NAMCO Holdings has demonstrated strong revenue growth, with a significant increase of 62.2% in the latest year. The company maintains healthy profitability margins, with a gross profit margin of 39.89% and a net profit margin of 10.41%. The EBIT and EBITDA margins are also robust at 14.86% and 18.31%, respectively, indicating efficient operational management. Overall, the income statement reflects a positive growth trajectory and stable profitability.

Balance Sheet

The balance sheet of BANDAI NAMCO Holdings is solid, with a low debt-to-equity ratio of 0.015, indicating minimal leverage and financial risk. The return on equity is strong at 16.31%, showcasing effective use of shareholder funds. The equity ratio stands at 71.89%, reflecting a strong equity base relative to total assets. The company's financial stability is commendable, although there is room for improvement in asset utilization.

Cash Flow

The cash flow statement reveals a significant improvement in free cash flow, with a growth rate of 'Infinity' due to a substantial increase in free cash flow. The operating cash flow to net income ratio is healthy at 0.67, and the free cash flow to net income ratio is 0.77, indicating strong cash generation relative to earnings. The company's cash flow position is robust, supporting its operational and strategic initiatives.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.26T	1.24T	1.05T	990.09B	889.27B	740.90B
Gross Profit	511.05B	495.19B	370.96B	368.66B	356.27B	282.01B
EBITDA	229.56B	227.35B	187.99B	157.65B	159.20B	99.16B
Net Income	133.58B	129.30B	101.49B	90.34B	92.75B	48.89B
Balance Sheet
Total Assets	1.08T	1.10T	971.84B	926.36B	862.65B	732.78B
Cash, Cash Equivalents and Short-Term Investments	320.91B	388.46B	321.87B	280.23B	279.40B	204.33B
Total Debt	25.23B	12.01B	12.36B	10.77B	21.05B	20.62B
Total Liabilities	280.05B	309.42B	272.02B	274.23B	278.42B	221.35B
Stockholders Equity	796.05B	792.85B	699.52B	651.85B	584.00B	510.52B
Cash Flow
Free Cash Flow	0.00	144.90B	54.00B	61.82B	94.42B	36.63B
Operating Cash Flow	0.00	187.34B	88.91B	95.63B	121.21B	60.48B
Investing Cash Flow	0.00	-62.00B	10.14B	-40.88B	-27.14B	-29.77B
Financing Cash Flow	0.00	-77.35B	-75.24B	-59.52B	-25.45B	-19.04B

BANDAI NAMCO Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4518.00
• 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:7832, the sentiment is Negative. The current price of 4518 is below the 20-day moving average (MA) of 4747.55, below the 50-day MA of 4862.68, and below the 200-day MA of 4779.37, indicating a bearish trend. The MACD of -76.29 indicates Positive momentum. The RSI at 35.58 is Neutral, neither overbought nor oversold. The STOCH value of 14.77 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7832.

BANDAI NAMCO Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
7867	73 Outperform	¥291.45B	16.90	―	1.87%	17.05%	66.00%
7944	72 Outperform	¥85.64B	14.30	―	5.19%	-4.39%	-27.30%
7809	70 Outperform	¥13.89B	12.12	―	2.47%	0.75%	-2.08%
7990	67 Neutral	¥53.44B	10.90	―	3.65%	0.66%	31.91%
7832	62 Neutral	$3.11T	23.46	15.67%	1.82%	9.86%	-1.06%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
7952	56 Neutral	¥22.35B	43.08	―	3.68%	-6.74%	-69.87%

BANDAI NAMCO Holdings Corporate Events

Bandai Namco Revises Projections Upward Amid Strong IP Strategy Execution

Bandai Namco Holdings Inc. has revised its consolidated projections for the fiscal year ending March 31, 2026, reflecting a positive outlook with increased net sales and profits. This adjustment is attributed to the successful implementation of its IP axis strategy, particularly the growth in the Gundam series, and strong performances in its Toys and Hobby and Amusement businesses.

The most recent analyst rating on (JP:7832) stock is a Hold with a Yen5264.00 price target. To see the full list of analyst forecasts on BANDAI NAMCO Holdings stock, see the JP:7832 Stock Forecast page.

Bandai Namco Reports Mixed Financial Results for Q2 FY2026

Bandai Namco Holdings reported a 5.3% increase in net sales for the second quarter of the fiscal year ending March 31, 2026, reaching ¥643,816 million. However, operating and ordinary profits declined by 7.2% and 4.6%, respectively, compared to the previous year. The company’s financial position remains strong with a slight increase in total assets and net assets, and an equity ratio of 72.5%. Despite the decline in profits, the company’s market position remains stable, with comprehensive income showing minimal change. This financial performance highlights the company’s resilience in a competitive market environment.

The most recent analyst rating on (JP:7832) stock is a Hold with a Yen5264.00 price target. To see the full list of analyst forecasts on BANDAI NAMCO Holdings stock, see the JP:7832 Stock Forecast page.

Bandai Namco Reports Strong Q1 Performance

Bandai Namco Holdings Inc. is a leading Japanese entertainment company known for its production of video games, toys, and amusement facilities, operating primarily in the entertainment sector.