7974.T - Nintendo Co., Ltd.

Tokyo - Tokyo Delayed Price. Currency in JPY
43,540.00
-320.00 (-0.73%)
At close: 3:15PM JST
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  • Short Term
    2W - 6W
  • Mid Term
    6W - 9M
  • Long Term
    9M+
Previous Close43,860.00
Open44,190.00
Bid43,520.00 x 0
Ask43,670.00 x 0
Day's Range43,530.00 - 44,460.00
52 Week Range31,880.00 - 47,270.00
Volume1,349,600
Avg. Volume1,390,156
Market Cap5.187T
Beta (5Y Monthly)0.76
PE Ratio (TTM)20.05
EPS (TTM)2,171.19
Earnings DateJul 28, 2020 - Aug 03, 2020
Forward Dividend & Yield1,090.00 (2.49%)
Ex-Dividend DateMar 30, 2020
1y Target Est50,050.00
Fair Value is the appropriate price for the shares of a company, based on its earnings and growth rate also interpreted as when P/E Ratio = Growth Rate. Estimated return represents the projected annual return you might expect after purchasing shares in the company and holding them over the default time horizon of 5 years, based on the EPS growth rate that we have projected.
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      Amazon’s First Major Video Game Is Here After Several False Starts

      (Bloomberg) -- Amazon.com Inc. faces a crucial test on Wednesday with the release of its first original big-budget video game. The reception from homebound gamers will signal whether the company can become a force in a $159-billion global industry dominated by the likes of Microsoft Corp. and Activision Blizzard Inc.Crucible is a free-to-play PC game in which teams hunt down opponents and creatures on a distant planet. Amazon plans to start selling another game in August. Called New World, it will put players on a mysterious island where they will battle one another and hunt. The company is also working on The Lord of The Rings game and some unannounced projects.Crucible will make money by selling digital merchandise as well as seasonal battle passes. New World should fetch $40 for a standard edition and $50 for a deluxe version, including additional in-game items and a digital art book.“There’s tremendous room for invention in games,” says Mike Frazzini, the vice president of Amazon Games. “We’re just getting started.”If the first two titles are well received, Amazon’s gaming division could attract talent and shed a reputation for fits and starts. Popular games could also help build momentum for the company’s widely expected launch of a game-streaming service to rival Google Stadia, which lets users play a bunch games from any compatible device, without needing to download or update them. “There is much riding on the success of Crucible and New World,” says Billy Pidgeon, an analyst at Go Play Research.Amazon has been selling games from independent as well as the world’s largest publishers for decades, and its Amazon Web Services and tools support development of other companies’ games. It entered game publishing in 2012, partly to give consumers another reason to sign up for its Prime subscription, which along with free shipping offers a variety of entertainment options including television shows and movies. Early efforts that focused on mid-tier games, including some designed for Amazon's Fire TV streaming devices, didn't make a splash.Amazon constructed its game strategy from various pieces. In 2014, the Seattle-based company purchased Twitch, where people stream themselves playing such games as Fortnite and Valorant. Two years later, Amazon launched Twitch Prime, which gives game-playing Prime subscribers extra perks for no additional cost.The company began working on its own titles by hiring famed designers like Kim Swift. But Amazon has struggled to retain key talent, including Swift, who left for Electronic Arts Inc. and now works at Google. In 2018, Amazon canceled a game called Breakaway, in which teams tried to move a ball to their opponent’s goal. Last summer, the gaming news publication Kotaku reported that the company had laid off dozens of game developers and shelved some unannounced titles. Even the Crucible and New World release dates have been pushed out; Amazon blamed fallout from Covid-19.There’s plenty of competition. Microsoft, Sony Corp. and Nintendo Co. all have their own hardware—often an advantage because consoles enable advanced features. Facebook Inc., meanwhile, offers games like FarmVille on its social network, and its Facebook Gaming live-streaming service has been stealing share and streamers from Twitch. Amazon is also competing with established game publishers such as Activision and EA, which are constantly improving their existing games and coming up with new hits.Amazon has called in some extra help to push its games across the finish line. In 2017, former EA veteran Bing Gordon left Amazon’s board to help guide the division as a consultant. He has advised on marketing strategy and even played some games and offered feedback. Gordon is renowned for leading EA’s product development and creating an innovative pricing strategy for its online games.His initial agreement to consult for Amazon’s games division was extended and runs for about another year, according to a person familiar with the matter. A company spokesperson confirmed Gordon is advising the division. His involvement with Amazon’s game unit was previously reported by the tech news site The Information. Gordon is also on the board of mobile game maker Zynga Inc.“Amazon Game Studios is still finding its way,” says Susan Eustis, president of Wintergreen Research. But one hit game could provide a huge lift, she adds, and Amazon's 150 million paid Prime members globally represent a big market advantage.Launching a product in the midst of a pandemic may seem counter-intuitive. But gaming has become a go-to entertainment choice for people hunkered down at home—a captive audience if ever there was one. Players have been flocking to new releases like Animal Crossing: New Horizons, as well as rediscovering old favorites like Fortnite. Still, as the lockdowns ease, the recent surge in game playing could abate. Whether people keep paying for games amid skyrocketing unemployment remains to be seen.Amazon’s new games are likely to get a bump from Twitch, which can help publishers market new releases. Twitch’s players and streamers have been involved in the development of Crucible from early on. The game itself is specifically adapted to show well on the service: Characters are easily recognizable from a distance. It’s fast-paced from the get-go, an effort to make it exciting to watch. Twitch has said that ads on the platform to promote EA’s Apex Legends game helped it get 25 million unique users in a week.“One of the things that we hear most often from people who try Crucible is that it feels unique,” Frazzini says. “There are elements and gameplay mechanics that feel familiar, but they’re combined in a way that’s different from anything else they’ve played.”But making a blockbuster game is not easy, for anyone. Some reviewers who got an early peek at the two games liked them; others have not.“The buzz on these games has not been that great,” says David Cole, founder of DFC Intelligence, which tracks digital entertainment. “They are ambitious, but the market changes fast and both products already look passe now.”There have been plenty of naysayers with many titles that have gone on to become a success. Ultimately, it’s the players who will decide whether Amazon will become a gaming powerhouse.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

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      (Bloomberg) -- Nintendo Co. is struggling to procure some essential components for its popular Switch console due to government-imposed lockdowns in Malaysia and the Philippines, likely limiting its production this year, according to people familiar with its operations.Malaysia is Nintendo’s source for printed circuit boards while the Philippines provides passive components that attach to those PCBs. Both nations have had to limit business operations and travel as part of their efforts to curb the spread of the novel coronavirus. Malaysia officially relaxed its lockdown on May 4, opening up for most forms of economic activity, however states delayed easing rules due to lack of preparation while companies struggled to get all their workers tested before resuming work.A Nintendo spokesperson declined to comment.Read more: Philippines Mulls Selective Lockdown in Capital After May 15The restrictions will make it difficult for Nintendo to exceed its forecast of 19 million Switch unit sales in the current fiscal year, a disappointing projection that triggered a slide in its stock on Friday. The Switch is out of stock in many markets around the world after the record-breaking success of Animal Crossing: New Horizons, the biggest gaming hit of the coronavirus era.Nintendo’s forecast would mean a decline in Switch sales from the 21 million consoles it sold in the last fiscal year, despite the device’s soaring popularity. Restoring full production capacity will largely depend on how the pandemic situation develops, and Nintendo may have to delay the release of some games and services if things don’t improve, President Shuntaro Furukawa said on its earnings call on Thursday.“We expect the Covid-19 impact on our production to go away by summer,” Furukawa said.Rivals Microsoft Corp. and Sony Corp. plan to introduce new iterations of their consoles later this year, putting pressure on Nintendo to capitalize on the Switch’s popularity before the competition arrives. The Xbox and PlayStation teams source components from other countries and are therefore not affected by these particular lockdowns.The PCB and passive components shortage is now Nintendo’s most pressing supply constraint, after it previously had to also contend with a production bottleneck in China. Limited access to DRAM, for which Nintendo has to compete with smartphone makers, could also have an impact in the latter half of the year.“The inventory may recover in the summer, but we may see shortages again toward the year-end because Nintendo wouldn’t be able to produce enough units for the shopping season,” said Hideki Yasuda, an analyst at Ace Research Institute.Philippines President Rodrigo Duterte is considering reducing some of his country’s lockdown measures from May 15, a spokesman said last week, while the Malaysian government has decided to continue what it terms a relaxed lockdown until June 9.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

    • Now More Than Ever, Investors Love Toys
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    • Animal Crossing: 9 Personal-Finance Lessons From Nintendo's Hit Game
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      (Bloomberg Opinion) -- In these days of sheltering in place, music fans looking for live entertainment in a concert or large-group setting are pretty much out of luck. The best many can hope for are at-home performances of their favorite entertainers beamed through Zoom or on TV. In late April, though, followers of rapper Travis Scott became the exceptions, thanks to Epic Games Inc.’s Fortnite.The video game — most of the time a battle-royale style contest where 100 players face off against each other in deadly combat on an island — was transformed into one of the world’s biggest concert venues, with the platform presenting new material from the rapper in a psychedelic show, “Astronomical.” Performing as a giant-sized avatar, Scott appeared in outlandish space and undersea scenes, with gamers able to simultaneously fly, swim or dance around him. In all, nearly 28 million people found mental refuge attending the concerts inside the game.The scale of this type of new virtual-world mass experience and the popularity of rebooted old favorites such as Nintendo’s “Animal Crossing” point to what is now becoming possible on the back of the latest technology advances in gaming, including cloud-computing, more powerful semiconductors and game programming engines. And with video-game usage soaring as one of the main options for in-home entertainment amid the pandemic, these innovations come at the perfect time to spark the next level of growth for the industry.Life in lockdown has certainly given the gaming sector a boost: According to the NPD Group, U.S. video-game industry sales rose 35% in March with only two weeks of the shelter-in-place benefit, versus monthly declines during the first two months of the year. And April is likely to be even better. KeyBanc Capital Markets’ internal card spending data for the category shows weekly year-over-year revenue growth rates ranging from 70% to 90% last month. Late Tuesday, the two largest independent U.S game publishers — Activision Blizzard Inc. and Electronic Arts Inc. — confirmed they saw accelerating business momentum in the last month, following the lockdown orders. These latest growth rates are much higher than the 9% sales rise for the 2020 global games market projected by research firm Newzoo.In many ways, Epic Games is at the forefront in driving this next gear for the industry. Not only does it make Fortnite, it also has created the market-leading Unreal game engine that is widely used by other development studios to enable similar mass multi-player experiences. And investors are noticing Epic’s wild success. Last month, Bloomberg News reported the game maker is in talks to raise a new round of funding that is now expected to come at a significantly higher valuation than its last round, done at $15 billion in 2018.This gaming surge could be the catalyst for a series of strong growth years for the industry. While there has always been a hard-core, steady audience for industry’s online multi-player games, the influx of new gamers may be more durable due to several factors. First, new habits are being formed as the beginners get exposed to the social communities inherent in today’s online multi-player games. As they build relationships with others inside these virtual worlds, it engenders long-term stickiness to the hobby. Second, the rising interest comes at the perfect moment, right before Microsoft Corp. and Sony Corp. are about to launch their next-generation gaming consoles for the first time in seven years. The cutting-edge technologies inside the two hardware devices that are slated to launch this holiday will enable even more immersive worlds and addictive photo-realistic experiences. And in this more uncertain environment, gaming makes economic sense, too. In March, I wrote about the record-breaking sales of the latest version of the multi-player “Animal Crossing” and how retailers couldn’t keep the three-year-old Nintendo Switch console in stock because of rising demand for the title. At first blush, buying a $299 console to play a virtual life-simulation may seem like a big splurge. But the reality is, gaming is one of most inexpensive forms of entertainment on a per hour basis. Consumers can literally get hundreds of hours of playing time from one title.Read more: Nintendo's Animals May Be a Covid-19 Netflix Moment: Tim CulpanTo be sure, the industry won’t be totally immune from the negative aftereffects of the virus. There will likely be some delays as developers face challenges creating games and art assets from their home offices. Moreover, the initial manufacturing volumes for the new consoles could be reduced in the event of component shortages from supply-chain difficulties. But any short-term disruptions are less important compared to the larger long-term secular opportunity.Eventually, the pandemic will wane and people will return to spend time on their favorite outdoor activities. But most gamers — new and old — are likely to keep coming back to the hobby because of the enjoyment it provides. Yes, there’s never been a better time to be a gamer and this could be the start of a new golden era for the industry.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tae Kim is a Bloomberg Opinion columnist covering technology. He previously covered technology for Barron's, following an earlier career as an equity analyst.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

    • Electronic Arts, Activision Blizzard, Nintendo beat earnings estimates as gaming soars
      Yahoo Finance Video

      Electronic Arts, Activision Blizzard, Nintendo beat earnings estimates as gaming soars

      Nintendo earnings soar 41% and Activision Blizzard posted a beat on its earnings report. Yahoo Finance’s Tech Editor Dan Howley breaks down the latest video game earnings results.

    • Nintendo smashes Switch sales view; says Animal Crossing is device's fastest-selling game
      Reuters

      Nintendo smashes Switch sales view; says Animal Crossing is device's fastest-selling game

      Japan's Nintendo Co Ltd <7974.T> said on Thursday its fourth-quarter profit soared 200% due to surging demand for its Switch games console, and that title Animal Crossing: New Horizons shifted a record 13.4 million units in its first six weeks. Nintendo has defied scepticism over its ability to draw in consumers beyond a hardcore base in the Switch's fourth year with the runaway success of Animal Crossing: New Horizons, which has become the console's fastest-selling title since launching on March 20. The appeal of the title among consumers looking for escapism in coronavirus-hit economies around the world underscores Nintendo's games-maker credentials at a time when investors have been frustrated by the company's conservative management, which includes what many regard as a half-baked foray into mobile gaming.

    • After the triumph of Animal Crossing, a thin pipeline for Nintendo
      Reuters

      After the triumph of Animal Crossing, a thin pipeline for Nintendo

      The runaway success of Nintendo Co Ltd's <7974.T> island life simulator Animal Crossing: New Horizons has overshadowed an uncomfortable fact for fans of the Switch console - it lacks upcoming titles. Nintendo on Thursday said Animal Crossing, which has become an escapist hit for players locked down by the coronavirus, is one of 27th Switch titles to shift more than a million copies, following games populated with characters such as Italian plumber Mario and sword-wielding fighter Link. Rival Sony Corp <6758.T> has already been forced to announce delays to major titles such as The Last Of Us Part II as the coronavirus impacts production.

    • Nintendo Sells 21 Million Switch Consoles During the Pandemic
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    • Nintendo’s Animals May Be a Covid-19 Netflix Moment
      Bloomberg

      Nintendo’s Animals May Be a Covid-19 Netflix Moment

      (Bloomberg Opinion) -- Nintendo Co. is getting a boost from the Covid-19 lockdown thanks to its smash-hit new game, “Animal Crossing: New Horizons.” But the unexpected boon of a captive audience differs markedly from the one being enjoyed by Netflix Inc., and the Japanese company’s success needs examining for how well it can keep gamers addicted.“Animal Crossing” is helping Nintendo push software sales and sell out of its Switch hardware console. The game itself sold 11.8 million units, the second-highest quarterly figure behind “Pokemon Sword/Shield,” which was released in the pre-Christmas peak. That helped the company ship 3.3 million units of the Switch, closing out the fiscal year to March with sales of 21 million, ahead of its own 19.5 million forecast. Yet the longer-term value may be in keeping the handheld games machine relevant. That’s not so clear.Quarantined consumers around the world have turned to digital entertainment to keep themselves, and their kids, occupied. For Netflix, that means more people signing on for subscriptions. If it’s lucky, the purveyor of streaming video will keep collecting monthly revenue even after lockdowns are lifted, because many consumers will never bother to cancel. Nintendo doesn’t enjoy that kind of forgettable revenue stream. “Animal Crossing” is a $59.99 one-time buy. The game puts players in a virtual world, starting with their own island upon which they can design a house, grow food, fish in the sea or visit friends. It’s become a social phenomenon and the family-friendly play has made it a godsend for stressed-out, work-from-home parents trying to keep kids occupied.After the initial purchase, it’s possible that players will want to sign up for a Switch Online subscription, giving Nintendo as much as $20 extra per year, but that’s not guaranteed, nor is it necessary to keep playing. Of course, the console (from $199.99) itself is needed and “Animal Crossing” has spurred such demand for the hardware that suppliers haven’t been able to keep up.What will be valuable to Nintendo is the reminder to Switch owners that they even have the device. Launched three years ago, it’s a hybrid handheld-cum-console that allows gamers to play on a connected TV, or to pick up and go — hence the name. It’s likely that millions now sit in drawers, alongside old phones and USB thumb drives. Such dust collectors don’t create any further revenue for Nintendo. And, as my colleague Tae Kim noted recently, Microsoft Corp. and Sony Corp. have shinier new consoles coming later this year.The technological upmanship is less important than game quality and experience. The beauty of “Animal Crossing” is that it doesn’t need leading-edge graphics chips or high-speed internet connections. It’s simple and accessible to the whole family. But Nintendo does need to keep people engaged, not only with the game but with the idea that the Switch is a fun device that will hold their interest in the face of more exciting new hardware options. With Nintendo releasing new games and upgrades to existing titles in coming months, one of the most powerful marketing tools will be the device already in consumers’ hands and their desire for something fresh. While the World Health Organization notes that gaming can be a health measure — keeping people at home instead of going out — others note that addiction is also likely to rise. For parents, though, the fare offered by Nintendo makes almost any title a safe choice for keeping kids occupied, and perhaps even educated.Netflix also knows the value of helping people while away hours stuck inside. It added a record 15.8 million subscribers during the quarter. Yet it also warned investors not to expect such growth to continue. By contrast, Switch may offer longevity that streaming video doesn’t: The device is portable and its games are innately social.Which means that in coming months, Nintendo may discover that a Switch in hand is worth two in the drawer.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tim Culpan is a Bloomberg Opinion columnist covering technology. He previously covered technology for Bloomberg News.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.