Company Valuation: NetEase, Inc.

Data adjusted to current consolidation scope
Fiscal Period: December 2020 2021 2022 2023 2024 2025 2026 2027
Capitalization 1 429,419 417,313 314,113 398,949 419,095 605,041 - -
Change - -2.82% -24.73% 27.01% 5.05% 44.37% - -
Enterprise Value (EV) 1 355,454 349,811 251,355 296,333 304,504 458,957 438,213 415,262
Change - -1.59% -28.15% 17.89% 2.76% 50.72% -4.52% -5.24%
P/E ratio 34.5x 25.6x 16.4x 14.1x 14.2x 17.3x 16.6x 15x
PBR 5x 4.48x 3.16x 3.3x 3x 3.63x 3.15x 2.76x
PEG - 0.7x 0.7x 0.3x 9.18x 0.9x 3.89x 1.5x
Capitalization / Revenue 5.83x 4.76x 3.26x 3.86x 3.98x 5.26x 4.93x 4.54x
EV / Revenue 4.83x 3.99x 2.6x 2.86x 2.89x 3.99x 3.57x 3.12x
EV / EBITDA 19.8x 17.8x 11.2x 9.63x 9.52x 11.6x 10.4x 8.81x
EV / EBIT 24.4x 21.3x 12.8x 10.7x 10.3x 12.4x 11.1x 9.59x
EV / FCF 14.9x 16x 10x 8.97x 8.12x 12.3x 11x 9.48x
FCF Yield 6.7% 6.24% 9.97% 11.1% 12.3% 8.1% 9.13% 10.5%
Dividend per Share 2 1.012 1.481 1.916 3.688 3.751 4.075 4.644 5.212
Rate of return 0.81% 1.15% 1.89% 2.89% 2.88% 2.13% 2.43% 2.73%
EPS 2 3.6 5.01 6.17 9.05 9.19 11.04 11.51 12.7
Distribution rate 28.1% 29.6% 31.1% 40.8% 40.8% 36.9% 40.3% 41%
Net sales 1 73,667 87,606 96,496 103,468 105,295 115,074 122,801 133,283
EBITDA 1 17,996 19,693 22,487 30,764 32,002 39,635 42,113 47,146
EBIT 1 14,538 16,417 19,629 27,709 29,584 37,160 39,606 43,280
Net income 1 12,063 16,857 20,338 29,417 29,698 35,402 36,701 40,299
Net Debt 1 -73,965 -67,502 -62,758 -102,617 -114,592 -146,083 -166,828 -189,779
Reference price 2 124.28 128.31 101.28 127.62 130.05 190.99 190.99 190.99
Nbr of stocks (in thousands) 3,455,117 3,252,359 3,101,359 3,125,972 3,222,469 3,167,959 - -
Announcement Date 25/2/21 24/2/22 23/2/23 29/2/24 20/2/25 - - -
1CNY in Million2CNY
Estimates

P/E ratio, Detailed evolution

P/E (Y) EV / Sales (Y) EV / EBITDA (Y) Dividend Yield (Y) Capi.($)
16.72x3.81x11.07x2.21% 81.6B
23.89x3.76x12.65x0.93% 14.84B
18.28x - - -.--% 13.1B
14.05x3.63x7.67x-.--% 11.6B
38.33x3.12x18.67x1.25% 8.11B
12.86x1.74x9.98x6.29% 5.15B
40.04x3.72x22x1.04% 3.98B
21.35x2.15x14.58x0.81% 3.66B
21.3x4.47x12.54x3.36% 3.11B
22.73x3.47x15.31x0.85% 3.08B
Average 22.95x 3.32x 13.83x 1.67% 14.82B
Weighted average by Cap. 19.38x 3.63x 11.91x 1.73%
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Year-on-year evolution of the PER

Historical PBR trend

Evolution Enterprise Value / Sales

Change in Enterprise Value/EBITDA

Year-on-year evolution of the Yield

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