Morningstar

NetEase Inc ADR NTES

Morningstar Rating
Unlock
Stock XNAS Rating as of
$122.12 −0.52 (0.42%)
View Full Chart
As of Cboe BZX Real-Time Price Closed

Company Report

View Archive

NetEase Masters Live-Service Games in China While Betting on Lean Globalization

Ivan Su

NetEase is China's second-largest gaming company, built on live-service games including Fantasy Westward Journey, Identity V, Eggy Party, and Where Winds Meet. These games generate most revenue from continuous online operations rather than packaged sales. This model rewards operators that can run the same title for a decade, and industry dynamics increasingly favor them. As China's gaming market saturates, engagement is consolidating around a shrinking set of proven titles, which protects NetEase's revenue base even in quarters with no major launch.

Read Analysis

Price vs Fair Value

View History
NTES is trading at a LOCK|d%NjC premium.
Price
$122.63
Fair Value
LOCK|Y<
Uncertainty
LOCK|^H
1-Star Price
LOCK|j$
5-Star Price
!Q>
Economic Moat
LOCK|Tn?W
Capital Allocation
LOCK|LwTgwx

Bulls Say, Bears Say

Bulls

The shift to China-developed, globally launched titles structurally lowers content cost, widening the margin gap between NetEase and Western studio-heavy peers.

Bears

NetEase’s historical strength in MMORPGs could become a long‑term vulnerability if player preferences continue shifting toward faster‑paced, session‑based, or socially driven genres.

Show More

News

View All

Articles & Videos

Trading Information

Previous Close Price
$122.63
Day Range
$121.42–122.82
52-Week Range
$106.20–149.22
Bid/Ask
$91.72 / $126.00
Shares Outstanding
640.29M
Market Cap
$78.14B
Volume/Avg
486,347 / 782,141

Key Statistics

Price/Earnings (Normalized)
13.76
Price/Sales
4.75
Dividend Yield (Trailing)
2.39%
Dividend Yield (Forward)
2.39%
Dividend Payment Schedule
Mar, Jun, Sep, Dec
Total Yield
2.95%

Company Profile

Founded in the late 1990s as an internet portal, NetEase has evolved into China’s second-largest online gaming company. Its early success was anchored by the massively multiplayer online role-playing game Fantasy Westward Journey, which laid the foundation for a durable franchise strategy. Over the past decade, the company has expanded its portfolio with successful titles such as Justice, Identity V, Naraka: Bladepoint, and Eggy Party, all of which continue to maintain sizable and engaged player bases.In addition to its in-house development capabilities, NetEase partners with global IP holders such as Microsoft and Marvel to develop and publish titles based on established franchises, including World of Warcraft, Diablo Immortal, and Marvel Rivals, further strengthening its global presence.
Sector
Communication Services
Industry
Electronic Gaming & Multimedia
Stock Style Box
Large Core
Total Number of Employees
25,382
Website
https://ir.netease.com

Competitors

Valuation

View More
Metric
NTES
3659
TTWO
Price/Earnings (Normalized)
13.7617.9194.53
Price/Book Value
3.193.0111.56
Price/Sales
4.754.566.58
Price/Cash Flow
11.7323.2125.52
Price/Earnings
NTES
3659
TTWO

Financial Strength

Metric
NTES
3659
TTWO
Quick Ratio
3.261.560.83
Current Ratio
3.452.091.09
Interest Coverage
——−1.11
Quick Ratio
NTES
3659
TTWO

Profitability

Metric
NTES
3659
TTWO
Return on Assets (Normalized)
16.06%9.74%0.38%
Return on Equity (Normalized)
22.31%13.18%1.03%
Return on Invested Capital (Normalized)
18.73%9.14%1.01%
Return on Assets
NTES
3659
TTWO

Electronic Gaming & Multimedia Industry Comparables

Screen With Investor
1-Day Chart
Name
Price
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
NetEase Inc Ordinary Shares
NETTF
—LOCK|f##f<$79B
Nintendo Co Ltd
NTDOF
—LOCK|bq$62B
Nintendo Co Ltd ADR
NTDOY
—LOCK|VC%$62B
Take-Two Interactive Software Inc
TTWO
LOCK|^Zq%r$bLOCK|WZ!Sw$42B
Roblox Corp Ordinary Shares - Class A
RBLX
LOCK|F$YrHh#LOCK|RgwBH$37B
Konami Group Corp ADR
KONMY
—LOCK|^?z#$24B
Konami Group Corp
KNAMF
—LOCK|&vwT$24B
NEXON Co Ltd ADR
NEXOY
—LOCK|@xPsk$15B
GigaMedia Ltd
GIGM
—LOCK|DpS$15M

Sponsor Center

Site Index
United States Flag United States

© Copyright 2026 Morningstar, Inc. All rights reserved. Dow Jones Industrial Average, S&P 500, Nasdaq, and Morningstar Index (Market Barometer) quotes are real-time.