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Forums - Nintendo - Nintendo becomes Japan's 2nd most valuable company!

johnsobas on 25 September 2007

for those that aren't business savy in here i'm gonna post the definition of market cap since many people don't seem to get it


Market capitalization, or market cap, is a measurement of corporate or economic size equal to the share price times the number of shares outstanding of a public company. As owning stock represents owning the company, including all its assets, capitalization represents the public opinion of a company's net worth and is a determining factor in stock valuation.



currently playing: Skyward Sword, Mario Sunshine, Xenoblade Chronicles X

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albionus on 25 September 2007
konnichiwa said:
albionus said:
hmmmm, I'm going to relish this for a little while. So contrary to the freak out by ckmlb a couple months ago, my "today DoCoMo, tomorrow Toyota" comment was quite prescient. The amazing thing is Nintendo is still in the first year of the Wii which is when profits are supposed to be low. Imagine what will happen in a couple years when the Wii is making a proft at $100, selling millions a month and MarioKart/Zelda/Animal Crossing/MP9/Mario Sports are selling on a system with 50+ million users.

My new bold claim, Nintendo will be in a position to easily buy Sony soon.

 100$ profit  Isn't it the case now?

Buying Sony then they have to be huge, Sony is not only gaming it is a hell lot more.


I'm a bit confused on the first part.  I said "at $100" not "of $100", of course Nintendo is making a profit now but only selling a million or so Wii's a month.  When the Wii is making a profit at $100 then Nintendo will be selling far more systems.  Might be a smaller profit but all the extra game/peripheral sales will more than make up for it.

On the second part, I know that being able to buy Sony is huge but so was saying Nintendo would move up to the top tier of the top ten list a couple months ago.  Actually buying Sony may not be so huge, I know if I had Sony stock I'd be more than happy to trade it for Nintendo stock these days.



FishyJoe on 25 September 2007

Nintendo's price is quite reasonable when you compare it to companies with similar profits and growth. Nintendo makes almost as much profit as Apple. Nintendo's profit margins is as much as Microsoft. Nintendo's growth rate is close to 80%. And to top it off it has no debt and lots of cash.



thetonestarr on 25 September 2007
konnichiwa said:
albionus said:
hmmmm, I'm going to relish this for a little while. So contrary to the freak out by ckmlb a couple months ago, my "today DoCoMo, tomorrow Toyota" comment was quite prescient. The amazing thing is Nintendo is still in the first year of the Wii which is when profits are supposed to be low. Imagine what will happen in a couple years when the Wii is making a proft at $100, selling millions a month and MarioKart/Zelda/Animal Crossing/MP9/Mario Sports are selling on a system with 50+ million users.

My new bold claim, Nintendo will be in a position to easily buy Sony soon.

100$ profit Isn't it the case now?

Buying Sony then they have to be huge, Sony is not only gaming it is a hell lot more.


 Nintendo gets profit of about $47 per console in America (the highest), $3 in Australia (lowest), and I can't remember how much elsewhere.



 SW-5120-1900-6153

hibikir on 25 September 2007
kamil said:
What about Honda? It's pretty huge company, surely bigger than Mitsubishi and I thought it's doing ok. Also Nissan is big.

And Nintendo isn't bigger than Sony, maybe more valuable at a time but in terms of revenue, number of factories, employees Sony is much bigger. For example Sony's revenue is 70 billions $ per year (which is about one third of what Toyota makes), Nintendo is only 7.8 billion. But being huge company and generating profit (thus being valuable) aren't the same things. Actually some big company in a part of its life can be worth close to nothing.

And the chance of Nintendo beating Toyota (assuming Toyota keeps its level its success) is pretty low. Acutally the fact that Nintendo is worth one third of a company which has 30 times bigger profits is an outstanding result.

 It's not Mitsubishi Motors: It's the Mitsubishi Financial group, a huge bank. They are both parts of the Mitsubishi zaibatsu, which builds anything under the sun.

 FYI, Honda's market capitalization is about 59 billion, while nintendo's is 65 billion. Honda has about 4 times the net income that Nintendo has, but the market cap doesn't have to match the financials at all: Remember when AOL had a bigger market cap than Time Warner?



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leo-j on 25 September 2007

Sony is actually gaining, the psp sales really are boosting there revenue in japan. Hopefully it continues.



 

mM
FishyJoe on 25 September 2007
leo-j said:
Sony is actually gaining, the psp sales really are boosting there revenue in japan. Hopefully it continues.

 Read my sig.



Smashchu on 25 September 2007
shams said:
Update to this:

Nintendo are actually third - behind Mitsubishi Financial Group as well - but they are not actively being traded at the moment, so on the charts Ninty is #2.

If Toyota end up not trading at some point, Ninty would have the chance to be #1 - at least for a few days ;)

http://uk.reuters.com/article/internetNews/idUKT1482820070925?rpc=401&

 That makes me LAWL



leo-j on 25 September 2007
Soriku said:
FishyJoe said:
leo-j said:
Sony is actually gaining, the psp sales really are boosting there revenue in japan. Hopefully it continues.

 Read my sig.


 

My thoughts exactly. leo-j, WHY do you bring off-topic Sony news into Nintendo threads such as this?

Because people were talking about sony and nintendo, and I just wanted them to know that sony is starting to make a profit in japan again.



 

mM
johnsobas on 25 September 2007
leo-j said:
Soriku said:
FishyJoe said:
leo-j said:
Sony is actually gaining, the psp sales really are boosting there revenue in japan. Hopefully it continues.

 Read my sig.


 

My thoughts exactly. leo-j, WHY do you bring off-topic Sony news into Nintendo threads such as this?

Because people were talking about sony and nintendo, and I just wanted them to know that sony is starting to make a profit in japan again.

why do you even post stuff like this?  Yes i know the sales of PSP are high the last 2 weeks but you don't if they are making a profit or not in japan.  You're just making up stuff, reminds me of kwaad.

 



currently playing: Skyward Sword, Mario Sunshine, Xenoblade Chronicles X