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SoftBank Group Corp 9984

Morningstar Rating
JPY 7,782.00 +179.00 (2.35%)
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Company Report

SoftBank Valuation Now Driven Largely by ARM

As a telecom and technology investment company, SoftBank Group represents a unique investment opportunity. The current portfolio is a mix of internet and technology investments with a stake in a developed-market mobile services business. Internet and artificial intelligence are the two main themes likely to underpin most investments in the future. The company can invest in public and private markets both directly and through is Vision Funds that invest in mostly pre-IPO technology companies.

Price vs Fair Value

9984 is trading at a 2% discount.
Price
JPY 7,518.00
Fair Value
JPY 8,452.00
Uncertainty
High
1-Star Price
JPY 64,142.00
5-Star Price
JPY 8,893.00
Economic Moat
Ljgq
Capital Allocation
Qwxnjxbt

Bulls Say, Bears Say

Bulls

With the vast array of internet and e-commerce investments that SoftBank owns, it could unearth more investments that, like Alibaba, offer very high returns.

Bears

The SoftBank Vision Funds may struggle when the tech market is in a downturn and the IPO market is shut.

Is it the right time to buy, sell, or hold?
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News

Trading Information

Previous Close Price
JPY 7,603.00
Day Range
JPY 7,680.007,814.00
52-Week Range
JPY 4,854.009,386.00
Bid/Ask
JPY 7,779.00 / JPY 7,783.00
Market Cap
JPY 11.41 Tril
Volume/Avg
6.1 Mil / 10.9 Mil

Key Statistics

Price/Earnings (Normalized)
2.18
Price/Sales
1.73
Dividend Yield (Trailing)
0.59%
Dividend Yield (Forward)
0.59%
Total Yield
0.58%

Company Profile

SoftBank is a Japan-based telecom and e-commerce conglomerate that has expanded mainly through acquisitions, and its key assets include a 40%-owned mobile and fixed broadband telecom operator business in Japan. It also owns 90% of semiconductor chip designer ARM Holdings following the 2023 IPO of this business, and has a vast portfolio of mainly internet- and e-commerce-focused early stage investments. It is also general partner of the $100 billion SoftBank Vision Fund 1 and sole investor in SoftBank Vision Fund 2, both of which primarily invest in pre-IPO internet companies.
Sector
Communication Services
Industry
Telecom Services
Stock Style Box
Large Growth
Total Number of Employees
86,023

Competitors

Valuation

Metric
9984
9432
9434
Price/Earnings (Normalized)
2.1812.6919.83
Price/Book Value
1.171.563.83
Price/Sales
1.731.111.49
Price/Cash Flow
181.104.947.89
Price/Earnings
9984
9432
9434

Financial Strength

Metric
9984
9432
9434
Quick Ratio
0.800.750.70
Current Ratio
0.920.980.75
Interest Coverage
1.1516.239.48
Quick Ratio
9984
9432
9434

Profitability

Metric
9984
9432
9434
Return on Assets (Normalized)
−0.64%4.84%3.66%
Return on Equity (Normalized)
−2.99%14.22%24.19%
Return on Invested Capital (Normalized)
0.43%6.31%5.95%
Return on Assets
9984
9432
9434
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