Contrasting NEXON (NEXOY) & The Competition

NEXON (OTCMKTS:NEXOY) is one of 186 publicly-traded companies in the “Entertainment” industry, but how does it compare to its competitors? We will compare NEXON to related businesses based on the strength of its risk, dividends, institutional ownership, valuation, earnings, analyst recommendations and profitability.

Analyst Ratings

This is a summary of recent ratings and recommmendations for NEXON and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NEXON	0	2	2	0	2.50
NEXON Competitors	1800	4404	9447	244	2.51

As a group, “Entertainment” companies have a potential upside of 22.69%. Given NEXON’s competitors stronger consensus rating and higher probable upside, analysts plainly believe NEXON has less favorable growth aspects than its competitors.

Institutional & Insider Ownership

35.8% of shares of all “Entertainment” companies are owned by institutional investors. 23.1% of shares of all “Entertainment” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Dividends

NEXON pays an annual dividend of C$0.13 per share and has a dividend yield of 0.6%. NEXON pays out 11.7% of its earnings in the form of a dividend. As a group, “Entertainment” companies pay a dividend yield of 18.8% and pay out 79.2% of their earnings in the form of a dividend.

Profitability

This table compares NEXON and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NEXON	26.37%	12.45%	9.72%
NEXON Competitors	8.93%	-62.41%	-3.30%

Earnings and Valuation

This table compares NEXON and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
NEXON	$3.18 billion	$616.75 million	18.66
NEXON Competitors	$5.60 billion	$76.31 million	12.55

NEXON’s competitors have higher revenue, but lower earnings than NEXON. NEXON is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Summary

NEXON competitors beat NEXON on 8 of the 14 factors compared.

About NEXON

NEXON Co., Ltd. produces, develops, and services PC online and mobile games. It operates through five segments: Japan, Korea, China, North America, and Others. The company's PC online game titles include MapleStory, Dungeon & Fighter, and EA SPORTS FIFA ONLINE 4. The company was formerly known as NEXON Japan Co., Ltd. and changed its name to NEXON Co., Ltd. in April 2009. NEXON Co., Ltd. was founded in 1994 and is headquartered in Tokyo, Japan.