NetEase Inc. (NETE34) fair value: what the stock is really worth
As of Sep 30, 2026: fair value of NetEase Inc. BRL 65.10, price BRL 70.01, upside -7.0%, quality 77 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
- Fair value above price? No
- Good quality? Yes
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NetEase Inc.
NETE34 · SAQuality WatchlistA strong company, but the current price is close to Fair Value.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 29, 2026.
How to read this chart
60‑month range R$26.46 – R$82.57 · fair‑value band R$48.83 – R$81.38 · the R$70.01 price screens above the R$65.10 fair value. Dashed = 300-day average. As of Sep 29, 2026.
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Company profile
NetEase, Inc. engages in online games, music streaming, online intelligent learning services, and internet content services businesses in China and internationally. The company operates through Games and Related Value-Added Services; Youdao; NetEase Cloud Music; and Innovative Businesses and Others segments.
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NetEase, Inc. engages in online games, music streaming, online intelligent learning services, and internet content services businesses in China and internationally. The company operates through Games and Related Value-Added Services; Youdao; NetEase Cloud Music; and Innovative Businesses and Others segments. It develops and operates mobile and PC games; and offers games licensed from other developers. The company also provides live streaming service, and other related or ancillary value-added services related to games, such as the sale of game-themed merchandise. In addition, it offers digital content services with interactive learning features, including Youdao Lingshi and Youdao Literature; STEAM courses consisting computer coding courses and other STEAM courses; and adult courses, such as China University massive open online course. Further, the company provides Youdao Dictionary, an online language tool; Confucius, a large language model for the education sector; Hi Echo, an AI-driven virtual English-speaking tutor; Mr. P AI Tutor, a conversation-based tool; Youdao Desktop Translation, a desktop dictionary tool; U-Dictionary, an online dictionary and translation app; iRecord, an audio transcription tool; LectMate, an interpretation software for study-abroad lecture scenarios; iArch, an AI home design software; Baby Genius, an AI baby generator; and One Translate Translator, a translation tool for travelers. It also offers online marketing services consisting of performance-based advertising services, and global marketing and promotion services through banners, text links, videos, logos, buttons, and rich media. Additionally, the company develops and offers smart devices, including Youdao Dictionary Pen, Youdao Listening Pod, and Youdao Smart Learning Pad. NetEase, Inc. was formerly known as NetEase.com, Inc. and changed its name to NetEase, Inc. in March 2012. The company was founded in 1997 and is headquartered in Hangzhou, the People's Republic of China.
Stock analysis
NetEase Inc. (NETE34) currently trades at R$70.01, while our model-based Fair Value estimate is R$65.10, so the stock looks roughly fairly valued today (gap 7.5%).
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Valuation
Bull case: the DCF Models group reads highest at a median of R$83.23 per share, and 12 of the 26 models we run sit above the R$70.01 price.
Bear case: the Asset-Based group reads lowest at R$13.06, and 14 of the 26 models stay below the price. Evidence for this calculation is high.
Scenario range: R$48.83 (bear) to R$81.38 (bull), the price of R$70.01 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 77/100 (high quality), in the Communication Services sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
NetEase Inc. reported revenue of 113B CNY in FY2025 versus 87.6B CNY in FY2021, a compound +6.5%/yr. Reported net income was 33.8B CNY in FY2025, compounding +19.0%/yr from FY2021.
Key figures
Market cap R$424B (≈ $81.2B) · P/E ratio 17.4 · P/S ratio 5.21 · EPS (TTM) R$4.03 · Dividend yield 6.0% · Net margin 30.0% · Return on equity 22.1% · Return on assets (EBIT) 13.8%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 58 out of 100 (medium confidence).
What moves the price
The share trades about 14% below its 52-week high and 30% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Communication Services peers we cover trades at 44% fair-value upside, at −7%, NETE34 screens richer than that median.
Fair Value models
All 26 models by family
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Set up alert →Quality Score breakdown
Of which business quality 75 · Market factors (momentum, volatility) 48
Revenue & earnings trend
Growth Forecast
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Recent news
- NetEase's Ananta Could Drive 2027 Growth, Morgan Stanley Says
- Are Options Traders Betting on a Big Move in NetEase Stock?
- Produced by a World-Class International Team! Adam Fan's Official New Album SKYFALL Makes Exclusive Debut on NetEase Cloud Music
- NetEase’s (NTES) Old Hits Are Still Doing The Heavy Lifting
Compare NetEase Inc. with another stock
Price, fair value, quality and upside side by side.
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Electronic Gaming & Multimedia · 133 stocks
Valuation Multiplesvs Electronic Gaming & Multimedia median · lower = cheaper
Strength profile in five axes (Snowflake)
Context: sector, industry, market
- Is the Communication Services sector expensive or cheap?
- P/E, EV/EBITDA and margins by industry (reference tables)
- Undervalued stocks: Communication Services
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Electronic Gaming & Multimedia stocks, each showing price versus our Fair Value estimate.
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Take-Two Interactive Software, Inc TTWO | $203.62 | $75.29 | −63% |
| Roblox Corporation RBLX | $43.00 | $45.24 | +5% |
| Zhejiang Century Huatong Group 002602 | ¥14.23 | ¥27.63 | +94% |
| International Games System Co 3293 | 761.00 TWD | 1,094 TWD | +44% |
| Giant Network Group 002558 | ¥23.62 | ¥31.97 | +35% |
| KRAFTON, Inc 259960 | 198,000 KRW | 410,472 KRW | +107% |
| CD Projekt S.A CDR | 244.60 PLN | 269.06 PLN | +10% |
| 37 Interactive Entertainment Network Technology Group 002555 | ¥17.38 | ¥39.02 | +125% |
| Kingnet Network Co 002517 | ¥16.17 | ¥22.00 | +36% |
| Kingsoft Corporation 3888 | HK$24.52 | HK$44.33 | +81% |
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Key figures of NetEase Inc.
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