Company Valuation: NetEase, Inc.

Data adjusted to current consolidation scope
Fiscal Period: December 2021 2022 2023 2024 2025 2026 2027 2028
Market Cap 1 4,17,313 3,14,113 3,98,949 4,12,006 6,10,925 5,69,457 - -
Change - -24.73% 27.01% 3.27% 48.28% -6.79% - -
Enterprise Value (EV) 1 3,49,811 2,51,355 2,96,333 2,97,415 4,77,502 3,91,115 3,63,047 3,34,957
Change - -28.15% 17.89% 0.37% 60.55% -18.09% -7.18% -7.74%
P/E 25.6x 16.4x 14.1x 14.2x 18.4x 14.2x 12.9x 11.7x
PBR 4.48x 3.16x 3.3x 3x 3.83x 3.07x 2.69x 2.4x
PEG - 0.7x 0.3x 9.18x 1.3x 0.7x 1.2x 1.17x
Capitalization / Revenue 4.76x 3.26x 3.86x 3.91x 5.42x 4.71x 4.36x 4.05x
EV / Revenue 3.99x 2.6x 2.86x 2.82x 4.24x 3.23x 2.78x 2.38x
EV / EBITDA 17.8x 11.2x 9.63x 9.29x 12.5x 8.4x 7.26x 6.13x
EV / EBIT 21.3x 12.8x 10.7x 10.1x 13.3x 8.92x 7.63x 6.42x
EV / FCF 16x 10x 8.97x 7.93x 9.8x 8.61x 7.99x 6.05x
FCF Yield 6.24% 9.97% 11.1% 12.6% 10.2% 11.6% 12.5% 16.5%
Dividend per Share 2 1.481 1.916 3.688 3.751 4.113 4.4 5.249 5.903
Rate of return 1.15% 1.89% 2.89% 2.88% 2.13% 2.48% 2.95% 3.32%
EPS 2 5.01 6.17 9.05 9.19 10.48 12.48 13.77 15.15
Distribution rate 29.6% 31.1% 40.8% 40.8% 39.2% 35.3% 38.1% 39%
Net sales 1 87,606 96,496 1,03,468 1,05,295 1,12,626 1,21,016 1,30,605 1,40,650
EBITDA 1 19,693 22,487 30,764 32,002 38,082 46,543 49,974 54,672
EBIT 1 16,417 19,629 27,709 29,584 35,835 43,834 47,563 52,141
Net income 1 16,857 20,338 29,417 29,698 33,760 39,573 43,287 46,980
Net Debt 1 -67,502 -62,758 -1,02,617 -1,14,592 -1,33,423 -1,78,342 -2,06,410 -2,34,500
Reference price 2 128.31 101.28 127.62 130.05 192.85 177.76 177.76 177.76
Nbr of stocks (in thousands) 32,52,359 31,01,359 31,25,972 31,67,959 31,67,959 32,03,577 - -
Announcement Date 24/02/22 23/02/23 29/02/24 20/02/25 11/02/26 - - -
1CNY in Million2CNY
Estimates

P/E, Detailed evolution

P/E (Y) EV / Sales (Y) EV / EBITDA (Y) Dividend Yield (Y) Capi.($)
14.24x3.23x8.4x2.48% 8.39TCr
16.07x2.03x6.99x2.63% 1.12TCr
10.25x1.78x5.19x0.95% 674.67Cr
13.6x2.33x10.73x5.98% 629.02Cr
24.58x2.08x10.44x1.85% 560.56Cr
13.38x3.19x7.96x5.7% 378.48Cr
13.47x2.19x9.3x7.41% 339.45Cr
11.84x1.34x6.05x0.5% 330.68Cr
14.63x4.65x11.31x3.61% 324.08Cr
10.46x2x6.12x0.86% 277.79Cr
Average 14.25x 2.48x 8.25x 3.2% 1.3TCr
Weighted average by Cap. 14.43x 2.89x 8.29x 2.72%

Y-o-Y evolution of P/E

Historical PBR trend

Evolution Enterprise Value / Sales

Change in Enterprise Value/EBITDA

Year-on-year evolution of the Yield

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