Nintendo Co (7974) AI Stock Analysis

• Market Cap: ¥9.44T
• Dividend Yield: 1.17%
• Average Volume (3M): 5.83M
• Price to Earnings (P/E): 19.3
• Beta (1Y): 0.55
• Revenue Growth: 24.47%
• EPS Growth: 12.54%
• Country: JP
• Employees: 7,724
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 137.36
• Shares Outstanding: 1,287,260,000
• 10 Day Avg. Volume: 6,683,710
• 30 Day Avg. Volume: 5,826,276
• PEG Ratio: -0.98
• Price to Book (P/B): 4.32
• Price to Sales (P/S): 10.10
• P/FCF Ratio: -1.70K
• 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: ¥12,577.88
• Price Target Upside: 53.41% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 397.18
• Revenue Forecast (FY): ¥2.56T

• Rating: 67 Neutral
• Price Target: ¥8,896.00 ▲(8.50% Upside)
• Action: Reiterated Date: 03/12/26
• Date: Action: Reiterated 03/12/26

The score is primarily supported by strong profitability and an exceptionally solid, low-debt balance sheet. It is held back by weakening cash generation (negative free cash flow) and declining revenues, while technical signals remain mixed with a weaker longer-term trend.

Positive Factors

High profitability margins

Sustained gross margins above 55% and net margins near 24% indicate structurally high-margin products and efficient cost structure. That margin profile supports durable earnings power, funds R&D/IP investment, and cushions operating performance through cyclical software/hardware cycles.

Negative Factors

Weak cash generation

Negative free cash flow despite reported profitability is a structural concern: it limits internal funding for development, hardware refreshes, dividends, or buybacks without drawing on cash reserves. Persistent FCF weakness can pressure investment and strategic optionality.

Nintendo Co Business Overview & Revenue Model

Company Description

Nintendo Co., Ltd., together with its subsidiaries, develops, manufactures, and sells home entertainment products in Japan, the Americas, Europe, and internationally. It offers video game platforms, playing cards, Karuta, and other products; and h...

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Nintendo Co., Ltd., together with its subsidiaries, develops, manufactures, and sells home entertainment products in Japan, the Americas, Europe, and internationally. It offers video game platforms, playing cards, Karuta, and other products; and h...

How the Company Makes Money

Nintendo primarily makes money by monetizing its gaming ecosystem across hardware, software, and networked digital services. (1) Hardware sales: Revenue is generated from selling dedicated game systems and related accessories (e.g., controllers an...

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Nintendo primarily makes money by monetizing its gaming ecosystem across hardware, software, and networked digital services. (1) Hardware sales: Revenue is generated from selling dedicated game systems and related accessories (e.g., controllers an...

Nintendo Co Financial Statement Overview

Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	2.11T	1.16T	1.67T	1.60T	1.70T	1.76T
Gross Profit	857.10B	710.17B	954.34B	885.44B	946.04B	970.47B
EBITDA	550.13B	387.69B	698.75B	611.92B	603.29B	651.43B
Net Income	400.48B	278.81B	490.60B	432.77B	477.69B	480.38B
Balance Sheet
Total Assets	3.86T	3.40T	3.21T	2.85T	2.66T	2.45T
Cash, Cash Equivalents and Short-Term Investments	2.29T	2.06T	2.25T	1.88T	1.71T	1.74T
Total Debt	65.20B	7.16B	6.13B	6.29B	6.23B	5.77B
Total Liabilities	886.96B	673.07B	604.01B	587.82B	593.08B	572.30B
Stockholders Equity	2.98T	2.72T	2.60T	2.27T	2.07T	1.87T
Cash Flow
Free Cash Flow	0.00	-6.94B	445.97B	300.65B	282.07B	605.10B
Operating Cash Flow	0.00	12.07B	462.10B	322.84B	289.66B	612.11B
Investing Cash Flow	0.00	753.06B	-630.63B	111.51B	93.70B	-136.53B
Financing Cash Flow	0.00	-195.13B	-236.96B	-290.97B	-337.01B	-194.94B

Nintendo Co Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8199.00
• 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:7974, the sentiment is Negative. The current price of 8199 is below the 20-day moving average (MA) of 8889.32, below the 50-day MA of 8868.66, and below the 200-day MA of 11525.46, indicating a bearish trend. The MACD of -208.84 indicates Positive momentum. The RSI at 34.06 is Neutral, neither overbought nor oversold. The STOCH value of 8.52 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7974.

Nintendo Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9766	72 Outperform	¥2.83T	25.95	17.57%	0.84%	18.39%	23.33%
9697	69 Neutral	¥1.52T	33.58	26.91%	1.17%	45.17%	81.91%
6460	68 Neutral	¥524.59B	-6.55	-3.66%	2.12%	-8.73%	-55.81%
7974	67 Neutral	¥9.44T	19.28	13.46%	1.17%	24.47%	12.54%
3659	64 Neutral	¥2.11T	33.43	8.89%	0.78%	-4.40%	89.91%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
9684	57 Neutral	¥948.73B	16.57	6.70%	1.80%	-12.02%	126.06%