Nippon Ichi Software (TSE:3851) Risk Assessment

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

TSE:3851 Nippon Ichi Software Inc TSE:3851
50 GF Score
Price 円1,232.00
GF Value 円654.36
Valuation Significantly Overvalued
! 9 Warning Signs
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What is Nippon Ichi Software Risk Assessment?

Risk Assessment represents the investment risk of a stock derived from our exclusive method. It suggests how risky the investment opportunity is based on the valuation and the fundamental performance of the stock. It is derived from following key aspects:

1. GuruFocus internally developed valuations of the stock, such as GF valuation.
2. Quality Rank, a business quality indicator developed by GuruFocus.
3. Fundamental performance: Piotroski F-Score, Altman Z-Score, Beneish M-Score, etc.
4. Growth opportunities: 5-year revenue growth rate, 5-Year EPS without NRI Growth Rate, etc.

Value investors are always willing to find undervalued stocks. However, not all the undervalued stocks are good deals, we should also be careful of how risky the investment opportunity is. We believe that if the company's financial strength and profitability are strong, and the stock price is within a reasonable range of the GF valuation, or stock has a high return with its price being undervalued, then it might be a good investment opportunity with low risk.

Based on those aspects listed above, GuruFocus believes the risk assessment of Nippon Ichi Software is: Moderate Risk: Sensitive, better choose undervalued stock.

Nippon Ichi Software  (TSE:3851) Risk Assessment Explanation

Based on the four aspects listed above, GuruFocus provides the following 7 evaluations:

All-in-One Screener Examples (1)
Low Risk: Strong fundamentals, worth long-term holding
Moderate Risk: Sensitive, better choose undervalued stock
High Risk: High uncertainty with risk-return tradeoff
High Risk: Good fundamentals, beware of shrinking business
High Risk: Sensitive to economic or industry trends
High Risk: High uncertainty
No Data: Cannot be evaluated

(1) These are some simple examples. You can access our Risk Assessment filter under All-in-One Screener’s Fundamental tab and set your own criteria.

Nippon Ichi Software Risk Assessment Related Terms

TSE:3851 vs NTES, TTWO, RBLX: Risk Assessment Comparison

For the Electronic Gaming & Multimedia subindustry, Nippon Ichi Software's Risk Assessment, along with its competitors' market caps and Risk Assessment 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.

Nippon Ichi Software Risk Assessment vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Nippon Ichi Software's Risk Assessment distribution charts can be found below:

* The bar in red indicates where Nippon Ichi Software's Risk Assessment falls into.


TSE:3851
50GF Score
Nippon Ichi Software Inc TSE:3851
Risk Assessment is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Is Nippon Ichi Software (TSE:3851) Overvalued in 2026?

Based on GuruFocus' analysis, Nippon Ichi Software stock appears to be overvalued. The current stock price of 円1,232.00 is trading 88.3% above its estimated GF Value™ of 円654.36. GuruFocus considers Nippon Ichi Software to be Significantly Overvalued.

Key valuation signals for TSE:3851:

  • Risk Assessment:
  • GF Value™: 円654.36 vs. price of 円1,232.00 (88.3% above fair value)
  • GF Score™: 50/100 with 9 warning signs

No single metric tells the full story. See the TSE:3851 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Nippon Ichi Software Business Description

Address 3-17 Tsukiokacho, Sohara, Gifu Prefecture, Kakamigahara, JPN
Nippon Ichi Software Inc is engaged in developing, manufacturing, and selling computer software in Japan and other Asian countries, North America, and Europe. It develops software for consumer game machines, mobile game machines, mobile phones, smartphones, arcades, and produces content of various genres. Its segments include Entertainment Business and Student Dormitories & Other Businesses.
50GF Score

Get the complete analysis for TSE:3851

Risk Assessment is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円1,232.00
Price
円654.36
GF Value