Is there a decent set of multi-year financials for Nintendo that is published in USD instead of Yen? I am using Reuters for now but that is in Yen.
Am I reading this correctly that Nintendo is at a P/E of 5 and pays about a 5.5% dividend?
Are there any unusual expenses holding this stock as a US ADR instead of buying it directly on Tokyo exchange? Many brokers let these days let you buy it directly on the foreign exchange. If I hold the ADR, how much is the ADR banking skimming off the top by bad exchange rates, holding fees, etc?
Wow, I'm really messing this up. Yen is not working well with my brain. I am showing the last four quarters of net income as the following in millions of Yen:
212,561.0 144,846.0 107,366.0 124,898.0
So that is 589,671 million yen.
Current market cap is 3,913,294 million yen. So P/E works out to 6.6 for the trailing four quarters. It looks cheap. The 14 number you are using is probably from the last published year and is way out of date?
I did a rough calculation of Enterprise Value / EBITDA and came up with 2.4, which also looks ridiculously cheap.
Looks like I inverted things there. P/E is in neighborhood of 20.
So you are paying for a lot of growth there. With a market cap of many billions of USD, it's difficult to imagine how they could sustain that level of growth for more than a few years.
Wii is a great toy, but don't Microsoft and Sony eventually incorporate motion sensors into their consoles as well, and when that happens how can we hold our margins and avoid an expensive price war on consoles?
I believe Nintendo will be very successful for the next 10 years, but I have a hard time believing they can sustain a 20%+ growth rate for 10 years, starting out at the huge market cap they are starting at.