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Nihon FalcomTSE:3723 +2.66%68 Net Margin % is 33.92% as of Mar. 2026, which is 4% below its 10-year median of 35.29. GuruFocus rates TSE:3723 with a GF Score™ of 68/100 and a GF Value™ of 円1,730.16 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 553 Interactive Media companies, Nihon Falcom ranks better than 95.66% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Nihon Falcom's Net Income for the
three
months ended in Mar. 2026 was 円203 Mil. Nihon Falcom's Revenue for the
three
months ended in Mar. 2026 was 円598 Mil. Therefore, Nihon Falcom's net margin for the quarter that ended in Mar. 2026 was 33.92%.
The historical rank and industry rank for Nihon Falcom's Net Margin % or its related term are showing as below:
TSE:3723'
s Net Margin % Range Over the Past 10 Years
Min: 26.42 Med: 35.29 Max: 43.69
Current: 43.69
TSE:3723's Net Margin % is ranked better than 95.66% of 553
companies
in the Interactive Media industry
Industry Median: 1.4
vs TSE:3723: 43.69
Nihon Falcom (TSE:3723) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Nihon Falcom Net Margin % Related Terms
Nihon Falcom Net Margin % Historical Data
* Premium members only.
The historical data trend for Nihon Falcom's Net Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
TSE:3723 vs NTES, EA, TTWO: Net Margin % Comparison
For the Electronic Gaming & Multimedia subindustry, Nihon Falcom's Net Margin %, along with its competitors' market caps and Net Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Nihon Falcom Net Margin % vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, Nihon Falcom's Net Margin % distribution charts can be found below:
* The bar in red indicates where Nihon Falcom's Net Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Nihon Falcom (TSE:3723) has a Net Margin % of 33.92% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Nihon Falcom and its competitors. This is near median its historical median of 35.29. Over the past decade, Nihon Falcom's Net Margin % has ranged from 26.42 to 43.69. According to the industry distribution chart, Nihon Falcom ranks #24 out of 553 companies in the Interactive Media industry, placing it in the top 4.3%.
Is Nihon Falcom's Net Margin % too high?
Nihon Falcom's current Net Margin % of 33.92% is near median its 10-year median of 35.29. Over the past 10 years, this metric has ranged from a low of 26.42 to a high of 43.69. The Interactive Media industry median Net Margin % is 1.40. Nihon Falcom's value of 33.92% is 2322.9% above this industry median. Based on the distribution chart, Nihon Falcom ranks #24 out of 553 companies in the Interactive Media industry, which is in the top quartile — a strong position relative to peers. Overall, Nihon Falcom has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Nihon Falcom's Net Margin % compare to NTES and EA?
According to the Interactive Media industry distribution chart, Nihon Falcom ranks #24 out of 553 companies for Net Margin %. This places Nihon Falcom in the top 4% of its industry — outperforming the majority of peers. The industry median Net Margin % is 1.40. Nihon Falcom's value of 33.92% is 2322.9% above this benchmark. Historically, Nihon Falcom's own Net Margin % has ranged from 26.42 to 43.69 over the past decade. While the company's 10-year median is 35.29 vs. the industry median of 1.40, Nihon Falcom has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for an Interactive Media company?
The median Net Margin % among Interactive Media companies is 1.40, based on 553 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Nihon Falcom's current Net Margin % of 33.92% is 2322.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Nihon Falcom and its competitors. For the Interactive Media industry, the median Net Margin % is 1.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nihon Falcom's current Net Margin % is 33.92%, which is near median its own 10-year median of 35.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nihon Falcom stock overvalued right now?
Based on GuruFocus' analysis, Nihon Falcom (TSE:3723) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,730.16, compared to a current price of 円2,627.00 — trading 51.8% above its estimated fair value. The current Net Margin % is 33.92%, which is near median its 10-year median of 35.29 and 2322.9% above the Interactive Media industry median of 1.40. Nihon Falcom's overall GF Score™ is 68/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Nihon Falcom (TSE:3723), the current Net Margin % is 33.92% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Nihon Falcom (TSE:3723) Overvalued in 2026?
Based on GuruFocus' analysis, Nihon Falcom stock appears to be overvalued.
The current stock price of 円2,627.00 is trading 51.8% above its estimated GF Value™ of 円1,730.16.
GuruFocus considers Nihon Falcom to be Significantly Overvalued.
Key valuation signals for TSE:3723:
Net Margin %: 33.92% (near median its 10-year median of 35.29)
GF Value™: 円1,730.16 vs. price of 円2,627.00 (51.8% above fair value)
Industry Position: 2322.9% above the Interactive Media median (#24 of 553)
No single metric tells the full story. See the TSE:3723 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nihon Falcom Corp is a Japan-based company engages in the development and sale of game software. It produces music titles/video titles; plans game software; sells game software and related products; and provides various licenses. It offers role-playing game software and Japanese version of overseas game software as well as home-use game software, among others.
68GF Score
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Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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