The Fascinating Truth About Nintendo | Nintendo Stock Analysis

Is it game over for Nintendo?
Let's analyze Nintendo (Ticker: NTDOF), and value it using a DCF model to see if this company could be a great investment opportunity.

🗃 Content:
0:00 Nintendo Today
1:41 Past Results
2:22 Investors
3:38 Financial Health
4:41 Growth
5:24 Dividends
6:18 Nintendo Valuation
8:12 Nintendo Overview
9:02 Bear vs Bull

#Nintendostock #Nintendo #StockAnalysis

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DISCLAIMER:
I am not a financial adviser. This video is for educational and entertainment purposes only. Seek professional help before making any investment decision.​

[BarryDonoghue-ykpl]

Great insight, thanks for the video. Is there a reason you quoted the NTDOF price rather than NTDOY? And do you recommend a preferred ticker symbol out both to invest in?

[regeldavid]

They also start other business opportunities like theme parks, movies, and product branding. Big advantage over PS is Nintendo has so many strong individual brands Mario, Donkey Kong, Zelda. Strong entry barriers and future growth potential 💪

[phantomcreamer]

It's hard to imagine shareholder alignment without insiders holding shares. However, they have bought back roughly 10% of shares in the past 10 years.

[NiekVink]

Thanks for the great video. Nintendo just dropped big, considering opening a small position.

Question, on all brokers i get different dollar prices from what you use in your video. Yahoo finance shows 11, 89 dollars now. Was there a stock split? Or did you use another exchange?

[Fizzulko]

You are so right, in my opinion if nintendo makes new console which might be handheld and maybe even home console, their growth would rocket. I mean they sit on lot of money at the moment so they can surely afford it. Also they make the new system for online gaming as well as consoles itself, man that would be amazing for their growth. Competition is big, but Nintendo will still be here all they need is to improve their weakness. Thank you for the video!

[guytzuv]

I’m very long on Nintendo, they are a cyclical company that managed to generate revenues in the low times of the cycle. With Switch 2 coming up in 25 being pretty much the ONLY portable console can’t see too many cons.

[thiagomassa]

It's a very different scenario with insider shareholders in Japan, this is why comparing stocks like, with a fixed criteria, is also pointless. Japanese companies also tend to prioritize their own workers vs. shareholders.

So is different to analyse profit margins of gaming companies, for example, when Nintendo released the Nintendo Switch for the first time, it did really well, but they've had a very small margin on the console.

But after around 10 years, that console cost is much smaller as the hardware is no longer that good, which means they make more profit now. But this only happened because the Switch was the most successful console in Nintendo's history, they've made as much revenue in the past years as they've done in their whole history. As they can't sell that dated hardware that most $50 phones are better Today, they'll need to release a new console and create an environment that would make their current switch users to buy the new one, that isn't as easy as people think. For example, see how it was hard to move people from the Wii (big success) to Wii U (not successful at all).

To expect that this trend will happen as it did before is very naive. They sure can repeat this, but it is not like a company that sells pasta or cereal. They need to do a lot of things right and there isn't an infinite market for infinite growth as those DCF or whatever models suggest.

This is why looking at the past in companies isn't that useful if they operate in a field with a lot of ambiguity like entertainment, this sort of modeling works for predictable stuff like companies that generate energy and business that existed 100 years ago.

[dgo]

Absolutely Fantastic analysis! Grade A content and entertainment. I am a better student of value analysis and doing my own homework listening to stuff you post. I’m considering your value analysis app.

[nafet]

i'm concerned about the mega trend a video game consoles becoming miniature computers, although it seems that nintendo has always tried to differentiate themselves and they're hardware in that regard. i'm excited about the opportunities for expansion into other entertainment areas and the ability to monetize their ip, although there are inexperience and excessive caution is something to be wary of. Thanks for the video and i would love to hear your opinion on these thoughts.

[jmanakajosh]

I see it as bad that they have zero debt. It's a little bit silly to be a corporation with zero debt.

[marinikc]

yes, but you have bought it in 2008 - you'd be almost 0% up... ;)
too nichy for me, not to mention, the competition is strong! and the big behemoths (like msft, aapl, tencent) give them lower chances to compete...they will probably be bought, eventually...

[chiquita]

Nintendo Switch 2 will flop. Nintendo only made back to back great consoles once the NES to SNES. Every console after that was good followed by bad. Nintendo is also making too many remakes which shows they are out of original ideas. They need to do a massive buyback to give investors the cash before they destroy it