(NTES) NetEase - Overview

Sector: Communication Services | Industry: Electronic Gaming & Multimedia | Exchange: NASDAQ (USA) | Market Cap: 72.561m USD | Total Return: 24.7% in 12m

Games, Music, Learning, Content, Devices
Total Rating 39
Safety 68
Buy Signal -0.18
Electronic Gaming & Multimedia
Industry Rotation: +4.0
Market Cap: 72.6B
Avg Turnover: 77.6M USD
ATR: 2.17%
Peers RS (IBD): 50.0
Risk 5d forecast
Volatility37.6%
Rel. Tail Risk-13.4%
Reward TTM
Sharpe Ratio0.50
Alpha-6.04
Character TTM
Beta0.579
Beta Downside1.374
Drawdowns 3y
Max DD33.97%
CAGR/Max DD0.32
EPS (Earnings per Share) EPS (Earnings per Share) of NTES over the last years for every Quarter: "2021-03": 7.47, "2021-06": 6.24, "2021-09": 5.75, "2021-12": 9.8, "2022-03": 7.7, "2022-06": 8.2, "2022-09": 11.35, "2022-12": 7.35, "2023-03": 11.62, "2023-06": 13.88, "2023-09": 13.3, "2023-12": 11.35, "2024-03": 13.1, "2024-06": 12.05, "2024-09": 11.63, "2024-12": 15.09, "2025-03": 17.51, "2025-06": 14.81, "2025-09": 14.73, "2025-12": 10.95, "2026-03": 0,
EPS CAGR: -42.42%
EPS Trend: -25.7%
Last SUE: -4.00
Qual. Beats: 0
Revenue Revenue of NTES over the last years for every Quarter: 2021-03: 20517.211, 2021-06: 20524.501, 2021-09: 22190.749, 2021-12: 24373.565, 2022-03: 23555.842, 2022-06: 23159.078, 2022-09: 24426.76, 2022-12: 25354.129, 2023-03: 25046.287, 2023-06: 24011.301, 2023-09: 27270.406, 2023-12: 27140.165, 2024-03: 26851.741, 2024-06: 25485.805, 2024-09: 26209.879, 2024-12: 26747.811, 2025-03: 28828.545, 2025-06: 27891.664, 2025-09: 28358.625, 2025-12: 27546.973, 2026-03: null,
Rev. CAGR: 4.26%
Rev. Trend: 86.0%
Last SUE: -0.04
Qual. Beats: 0

Warnings

No concerns identified

Tailwinds

No distinct edge detected

Description: NTES NetEase

NetEase, Inc. (NASDAQ: NTES) operates four core segments: Games and Related Value-Added Services, Youdao (online intelligent learning), NetEase Cloud Music, and a portfolio of Innovative Businesses that includes AI-driven education tools, smart devices, and online marketing services.

In the latest quarter (Q3 2025), the company reported revenue of $2.48 billion, up 12% year-over-year, with gaming contributing roughly 60% of total sales. Cloud Music’s monthly active users surpassed 600 million, while Youdao’s AI-enhanced education products drove a 35% jump in segment revenue, reflecting strong demand for digital learning solutions in China.

Key drivers include the recent relaxation of Chinese gaming regulations, accelerating the launch of new titles, and the broader adoption of generative AI in education, which is expanding Youdao’s addressable market. Additionally, rising consumer disposable income and increased mobile internet penetration continue to boost streaming and online services demand.

For a deeper quantitative analysis, you may want to explore ValueRay’s detailed metrics on NTES.

Headlines to Watch Out For
  • Gaming revenue growth drives overall company performance
  • Chinas regulatory environment impacts game approvals and monetization
  • Online education services expansion boosts Youdao segment
  • Music streaming subscriber growth enhances Cloud Music revenue
  • AI product development diversifies revenue streams and increases R&D costs
Piotroski VR‑10 (Strict) 6.0
Net Income: 33.76b TTM > 0 and > 6% of Revenue
FCF/TA: 0.22 > 0.02 and ΔFCF/TA 2.72 > 1.0
NWC/Revenue: 113.9% < 20% (prev 98.44%; Δ 15.50% < -1%)
CFO/TA 0.23 > 3% & CFO 50.39b > Net Income 33.76b
Net Debt (-160.65b) to EBITDA (38.07b): -4.22 < 3
Current Ratio: 3.45 > 1.5 & < 3
Outstanding Shares: last quarter (645.6m) vs 12m ago 0.68% < -2%
Gross Margin: 64.29% > 18% (prev 0.62%; Δ 6.37k% > 0.5%)
Asset Turnover: 53.95% > 50% (prev 53.72%; Δ 0.22% > 0%)
Interest Coverage Ratio: error (cannot be calculated; needs correct EBITDA TTM and Interest Expense TTM)
Beneish M -3.27
DSRI: 0.88 (Receivables 5.34b/5.67b, Revenue 112.63b/105.30b)
GMI: 0.97 (GM 64.29% / 62.50%)
AQI: 0.84 (AQ_t 0.15 / AQ_t-1 0.17)
SGI: 1.07 (Revenue 112.63b / 105.30b)
TATA: -0.08 (NI 33.76b - CFO 50.39b) / TA 221.56b)
Beneish M-Score: -3.27 (Cap -4..+1) = AA
What is the price of NTES shares? As of April 08, 2026, the stock is trading at USD 112.50 with a total of 485,682 shares traded.
Over the past week, the price has changed by +0.50%, over one month by -3.46%, over three months by -19.73% and over the past year by +24.74%.
Is NTES a buy, sell or hold? NetEase has received a consensus analysts rating of 4.65. Therefore, it is recommended to buy NTES.
  • StrongBuy: 22
  • Buy: 7
  • Hold: 2
  • Sell: 0
  • StrongSell: 0
What are the forecasts/targets for the NTES price?
Analysts Target Price 162.7 44.6%
NetEase (NTES) - Fundamental Data Overview as of 06 April 2026
P/E Trailing = 14.8434
P/E Forward = 12.2249
P/S = 0.6443
P/B = 3.0748
P/EG = 1.2361
Revenue TTM = 112.63b USD
EBIT TTM = 35.83b USD
EBITDA TTM = 38.07b USD
 Long Term Debt = unknown (0.0)
 Short Term Debt = 6.39b USD (from shortTermDebt, last quarter)
Debt = 6.39b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -160.65b USD (recalculated: Debt 6.39b - CCE 167.04b)
Enterprise Value = 72.56b USD (floored to Market Cap, CCE > MCap+Debt)
 Interest Coverage Ratio = unknown (Ebit TTM 35.83b / Interest Expense TTM 0.0)
 EV/FCF = 1.50x (Enterprise Value 72.56b / FCF TTM 48.52b)
FCF Yield = 66.87% (FCF TTM 48.52b / Enterprise Value 72.56b)
FCF Margin = 43.08% (FCF TTM 48.52b / Revenue TTM 112.63b)
Net Margin = 29.98% (Net Income TTM 33.76b / Revenue TTM 112.63b)
Gross Margin = 64.29% ((Revenue TTM 112.63b - Cost of Revenue TTM 40.22b) / Revenue TTM)
Gross Margin QoQ = 64.23% (prev 64.10%)
Tobins Q-Ratio = 0.33 (Enterprise Value 72.56b / Total Assets 221.56b)
Interest Expense / Debt = 0.0% (Interest Expense 0.0 / Debt 6.39b)
Taxrate = 16.41% (1.25b / 7.62b)
NOPAT = 29.95b (EBIT 35.83b * (1 - 16.41%))
Current Ratio = 3.45 (Total Current Assets 180.73b / Total Current Liabilities 52.40b)
Debt / Equity = 0.04 (Debt 6.39b / totalStockholderEquity, last quarter 160.40b)
Debt / EBITDA = -4.22 (Net Debt -160.65b / EBITDA 38.07b)
Debt / FCF = -3.31 (Net Debt -160.65b / FCF TTM 48.52b)
Total Stockholder Equity = 152.52b (last 4 quarters mean from totalStockholderEquity)
RoA = 16.17% (Net Income 33.76b / Total Assets 221.56b)
RoE = 22.13% (Net Income TTM 33.76b / Total Stockholder Equity 152.52b)
RoCE = 23.50% (EBIT 35.83b / Capital Employed (Equity 152.52b + L.T.Debt 0.0))
RoIC = 18.79% (NOPAT 29.95b / Invested Capital 159.38b)
WACC = 7.37% (E(72.56b)/V(78.95b) * Re(8.02%) + D(6.39b)/V(78.95b) * Rd(0.0%) * (1-Tc(0.16)))
Discount Rate = 8.02% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -0.33%
[DCF] Terminal Value 83.67% ; FCFF base≈44.15b ; Y1≈54.47b ; Y5≈92.93b
[DCF] Fair Price = 3.15k (EV 1833.85b - Net Debt -160.65b = Equity 1994.50b / Shares 633.2m; r=7.37% [WACC]; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: -25.75 | EPS CAGR: -42.42% | SUE: -4.0 | # QB: 0
Revenue Correlation: 85.97 | Revenue CAGR: 4.26% | SUE: -0.04 | # QB: 0
EPS next Quarter (2026-06-30): EPS=15.06 | Chg7d=+0.000 | Chg30d=+0.000 | Revisions Net=-1 | Analysts=8
EPS current Year (2026-12-31): EPS=63.05 | Chg7d=+0.000 | Chg30d=+0.042 | Revisions Net=-18 | Growth EPS=+8.7% | Growth Revenue=+7.5%
EPS next Year (2027-12-31): EPS=69.90 | Chg7d=+0.000 | Chg30d=+0.068 | Revisions Net=-12 | Growth EPS=+10.9% | Growth Revenue=+8.6%
[Analyst] Revisions Ratio: -0.33 (1 Up / 2 Down within 30d for Next Quarter)
[Growth] Implied Growth Rate = 1.3% (Discount Rate 8.0% - Earnings Yield 6.7%)
[Growth] Growth Spread = +4.1% (Analyst 5.3% - Implied 1.3%)
External Resources
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