Farsala said:
Kynes said:
Gugerface said: So how does MS profits compare to Sony/Nintendo? 6.7 billion to what? If that is not fair, how does MS profits for this quarter compare to Nintendo/Sony market cap? |
MS could buy Sony (16.24B market cap) or Nintendo (14.79B) with the profits of one year.
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I do not think they could purchase all of Sony's assets though. Heck they sold 2 buildings for 2Bn+.
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When you purchase the shares of a company, you purchase its assets and its liabilities. Sony has ~160B on assets, but they also have ~135B on liabilities. Of course MS can't purchase all their assets alone with the profits of one year, but they could purchase a majority of the shares and control the company. The most important data to know the health of a company IMO is the shareholders equity and the profits of the last 3-5 years. When you have losses during several years, and the shareholders equity is in a sharp decline, that company has huge problems, and that's why the share value has been so low.