Upside case
Bull case
$4975+24627.3%
SONY would need investors to value it at roughly 26x earnings — about 25x more generous than today's 0x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewBuyUpdated May 1, 2026
Sony Group Corporation (SONY) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Buy
Covering
16
analysts
11 bullish · 0 bearish · 16 covering SONY
Strong Buy
0
Buy
11
Hold
5
Sell
0
Strong Sell
0
Consensus Target
$30
+49.1% vs today
Scenario Range
$1136 – $4975
Model bear to bull value window
Coverage
16
Published analyst ratings
Valuation Context
0.1x
Forward P/E · Market cap $120.0B
SONY price targets
Three scenarios for where SONY stock could go
Current
~$20
Confidence
51 / 100
Updated
May 1, 2026
Where we are now
Current · $20
Bear
$1136
Base
$3507
Bull
$4975
Market caseClosest to today
Base case
$3507+17330.1%
At 18x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$1136+5548.0%
The bear case assumes sentiment or fundamentals disappoint enough to push SONY down roughly 5548% from the current price.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
Sony Group Corporation
SONY · NYSETechnologyConsumer ElectronicsMarch year-end
Sony Group Corporation is a diversified global entertainment and technology conglomerate spanning electronics, gaming, music, and film. It generates revenue primarily through PlayStation gaming hardware and services (~30%), electronics like cameras and TVs (~25%), music publishing and streaming (~20%), and film production and distribution (~15%). Its competitive moat lies in its integrated ecosystem of hardware, software, and content—particularly the dominant PlayStation platform and its extensive entertainment IP library.
Market Cap
$120.0B
Revenue TTM
$12.77T
Net Income TTM
$1.17T
Net Margin
9.2%
SONY Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
92%Exceptional
12 quarters tracked
Revenue Beat Rate
55%Exceptional
vs consensus estimates
Avg EPS Surprise
+27.7%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q2 2025
Q3 2025
Q4 2025
Q1 2026
Last 4 Quarters
EPS beats: 4 of 4Q2 2025
EPS
$0.21/$0.12
Revenue
$18.1B/$20.0B
Q3 2025
EPS
$0.30/$0.24
Revenue
$18.1B/$20.7B
Q4 2025
EPS
$0.37/$0.33
Revenue
$20.7B/$23.8B
Q1 2026
EPS
$0.41/$0.33
Revenue
$23.7B/$23.5B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q2 2025 | $0.21/$0.12 | +75.0% | $18.1B/$20.0B | -9.7% |
| Q3 2025 | $0.30/$0.24 | +25.0% | $18.1B/$20.7B | -12.4% |
| Q4 2025 | $0.37/$0.33 | +12.1% | $20.7B/$23.8B | -13.1% |
| Q1 2026 | $0.41/$0.33 | +24.2% | $23.7B/$23.5B | +0.6% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$13.21T
+3.5% YoY
FY2
$13.80T
+4.4% YoY
EPS Outlook
FY1
$198.80
+2.3% YoY
FY2
$208.28
+4.8% YoY
Trailing FCF (TTM)$1.70T
FCF Margin: 13.3%
Next Earnings
May 13, 2026
Expected EPS
$0.22
Expected Revenue
$18.4B
SONY beat EPS estimates in 4 of 4 tracked quarters. A perfect track record raises the bar for the upcoming report.
SONY Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2025
Total disclosed revenue $12.96T
Product Mix
Latest annual revenue by segment or product family
Sales of Products and Services
92.9%
+6.9% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
UNITED STATES
31.9%
+10.0% YoY
Tap, hover, or focus a slice to inspect segment detail.
Sales of Products and Services is the largest disclosed segment at 92.9% of FY 2025 revenue, up 6.9% YoY.
UNITED STATES is the largest reported region at 31.9%, up 10.0% YoY.
SONY Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Significantly Undervalued
Fair value est. $5066 — implies +25509.7% from today's price.
Upside to Fair Value
25509.7%
potential upside
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
SONY
16.7x
vs
S&P 500
25.1x
33% discount
vs Technology Trailing P/E
SONY
16.7x
vs
Technology
26.7x
37% discount
vs SONY 5Y Avg P/E
Today
16.7x
vs
5Y Average
0.1x
+13159% premium
Forward PE
0.1x
S&P 500
19.1x
-99%
Technology
22.1x
-100%
5Y Avg
—
—
Trailing PE
16.7x
S&P 500
25.1x
-33%
Technology
26.7x
-37%
5Y Avg
0.1x
+13159%
PEG Ratio
1.09x
S&P 500
1.72x
-36%
Technology
1.52x
-28%
5Y Avg
—
—
EV/EBITDA
11.1x
S&P 500
15.2x
-27%
Technology
17.5x
-36%
5Y Avg
1.0x
+1059%
Price/FCF
11.2x
S&P 500
21.1x
-47%
Technology
19.5x
-43%
5Y Avg
0.1x
+7414%
Price/Sales
1.4x
S&P 500
3.1x
-54%
Technology
2.4x
-41%
5Y Avg
0.0x
+12372%
Dividend Yield
0.60%
S&P 500
1.87%
-68%
Technology
1.16%
-48%
5Y Avg
—
—
| Metric | SONY | S&P 500 | Technology | 5Y Avg SONY |
|---|---|---|---|---|
| Forward PE | 0.1x | 19.1x-99% | 22.1x-100% | — |
| Trailing PE | 16.7x | 25.1x-33% | 26.7x-37% | 0.1x+13159% |
| PEG Ratio | 1.09x | 1.72x-36% | 1.52x-28% | — |
| EV/EBITDA | 11.1x | 15.2x-27% | 17.5x-36% | 1.0x+1059% |
| Price/FCF | 11.2x | 21.1x-47% | 19.5x-43% | 0.1x+7414% |
| Price/Sales | 1.4x | 3.1x-54% | 2.4x-41% | 0.0x+12372% |
| Dividend Yield | 0.60% | 1.87% | 1.16% | — |
SONY trades above S&P 500 benchmarks on 0 of 6 measured multiples — appears modestly priced relative to the S&P 500 on most measures.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolSONY Financial Health
Verdict
Strong
SONY generates $1.70T in free cash flow at a 13.3% margin — 10.7% ROIC signals a durable competitive advantage · returns 2.1% of market cap to shareholders annually.
Cash Engine
Revenue, margins, and cash generation
Revenue (TTM)
Trailing-twelve-month sales base
$12.77T
Revenue Growth
TTM vs prior year
+0.6%
Gross Margin
Gross profit as a share of revenue
29.2%
Operating Margin
Operating income divided by revenue
11.3%
Net Margin
Net income divided by revenue
9.2%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$194.32
Free Cash Flow (TTM)
Cash generation after capex
$1.70T
FCF Margin
FCF as share of revenue — the primary cash quality signal
13.3%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
10.7%
ROA
Return on assets, trailing twelve months
3.2%
Cash & Equivalents
Liquid assets on the balance sheet
$2.98T
Net Debt
Total debt minus cash
$1.22T
Debt Serviceability
Net debt as a multiple of annual free cash flow
0.7× FCF
~0.7 years to full repayment at current FCF run-rate
ROE
Return on equity, trailing twelve months
14.6%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
2.1%
Dividend
0.6%
Buyback
1.5%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$285.5B
Dividend / Share
Annualized trailing dividend per share
$18.97
Payout Ratio
Share of earnings distributed as dividends
10.1%
Shares Outstanding
Declining as buybacks retire shares
6.1B
All figures from the trailing twelve months. ROIC uses invested capital (equity + net debt).
Open full ratios pageSONY Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 11, 2026
High Risk
Geopolitical Tariffs & Supply Chain
Tariffs on semiconductor imports into the U.S. could raise Sony’s production costs and squeeze margins, especially as the company relies on global supply chains. The company is mitigating this risk through price increases and diversification, but the impact on profitability remains significant.
High Risk
Cybersecurity Threats
Cyberattacks that compromise Sony’s business or personal data could disrupt operations and lead to substantial financial losses. The company’s extensive digital footprint across gaming, entertainment, and financial services increases its exposure.
High Risk
Product Quality & Security
Defects or security vulnerabilities in Sony’s connected products expose the firm to liability claims and reputational damage. Such incidents could result in costly recalls, legal settlements, and erosion of consumer trust.
Medium
R&D Commercialization Risk
Sony’s ability to bring new technologies to market depends on successful R&D and timely product launches. Failure to identify growth opportunities or being outpaced by competitors could limit revenue growth in key segments.
Medium
Capital Markets Volatility
Sudden swings in global financial markets or credit rating downgrades could increase Sony’s borrowing costs and restrict access to capital. This would affect the company’s ability to fund expansion and maintain liquidity.
Medium
Asset Impairment & Debt Exposure
Declining performance could trigger impairment charges on goodwill, content, and other intangible assets, eroding earnings. While Sony’s debt-to-equity ratio is low, its total liabilities remain significant and warrant monitoring.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why SONY Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 11, 2026
Diversified Business Portfolio
Sony spans consumer electronics, entertainment, gaming, and financial services, providing multiple growth channels and risk mitigation. The mix of high‑margin gaming and steady consumer electronics sales supports resilience.
Record‑High FY25 Q2 Performance
FY25 Q2 sales rose 5% YoY while operating income climbed 10%, marking the strongest quarter in recent history. The company also raised its full‑year FY2025 sales outlook to ¥12 trillion, reflecting confidence in its operating model.
Segment‑Level Strength
Imaging & Sensing Solutions, Music, and Game & Network Services each posted robust growth, with gaming and entertainment segments expected to benefit from upcoming releases like Grand Theft Auto VI and Monster Hunter Wilds. These high‑margin segments drive top‑line momentum.
IP‑Driven Value Creation
Sony is actively maximizing intellectual property value across its businesses, leveraging its “Creative Entertainment Vision” to connect physical and virtual worlds. The strategy aims to unlock synergies and generate sustainable long‑term returns.
AI‑Enabled Creative Acceleration
The company views AI as a tool to speed content creation in games and anime, potentially expanding its monetizable portfolio. AI integration is expected to enhance productivity and open new revenue streams.
Aggressive Capital Allocation
Management is accelerating dividend growth and plans to reach a total payout ratio of roughly 40% by fiscal 2026, signaling improved earnings quality and cash flow. This commitment enhances shareholder value.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
SONY Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$20.12
52W Range Position
5%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$19.63
+2.5% from the low
52-Week High
$30.34
-33.7% from the high
1 Month
-3.18%
3 Month
-5.27%
YTD
-22.3%
1 Year
-20.3%
3Y CAGR
+2.3%
5Y CAGR
+0.6%
10Y CAGR
+15.4%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
SONY vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
0.1x
vs 29.1x median
-100% below peer median
Revenue Growth
+3.5%
vs +5.8% median
-40% below peer median
Net Margin
9.2%
vs 11.8% median
-22% below peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
SON SONY Sony Group Corporation | $120.0B | 0.1x | +3.5% | 9.2% | Buy | +49.1% |
MSF MSFT Microsoft Corporation | $3.06T | 24.8x | +7.0% | 39.3% | Buy | +34.1% |
WBD WBD Warner Bros. Discovery, Inc. | $73.8B | — | +10.7% | 1.3% | Hold | +9.9% |
AAP AAPL Apple Inc. | $4.17T | 33.4x | +4.0% | 27.2% | Buy | +11.6% |
EA EA Electronic Arts Inc. | $50.4B | 23.5x | +4.9% | 11.8% | Hold | -14.3% |
TTW TTWO Take-Two Interactive Software, Inc. | $46.6B | 57.2x | +5.8% | -60.4% | Buy | +30.5% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
SONY Dividend and Capital Return
SONY returns capital mainly through $285.5B/year in buybacks (1.5% buyback yield), with a modest 0.60% dividend — combining for 2.1% total shareholder yield. The dividend has grown for 5 consecutive years.
Dividend SustainableFCF Well Covered
Total Shareholder Yield
2.1%
Dividend + buyback return per year
Buyback Yield
1.5%
Dividend Yield
0.60%
Payout Ratio
10.1%
How SONY Splits Its Return
Div 0.60%
Buyback 1.5%
Dividend 0.60%Buybacks 1.5%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$18.97
Growth Streak
Consecutive years of dividend increases
5Y
3Y Div CAGR
12.7%
5Y Div CAGR
10.3%
Ex-Dividend Date
—
Payment Cadence
Annual
1 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$285.5B
Estimated Shares Retired
14.2B
Approx. Share Reduction
233.6%
Shares Outstanding
Current diluted share count from the screening snapshot
6.1B
At 233.6%/year, buybacks mechanically lift EPS even with flat earnings — each remaining share represents a slightly larger piece of the company.
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2025 | $0.15 | +23.2% | 100.0% | 100.0% |
| 2024 | $0.12 | +10.8% | 100.0% | 100.0% |
| 2023 | $0.11 | +4.9% | 88.2% | 100.0% |
| 2022 | $0.11 | -0.0% | 69.0% | 100.0% |
| 2021 | $0.11 | +13.9% | 0.3% | 46.5% |
FAQ
7 questionsSONY Investor Questions
Common questions answered from live analyst data and company financials.
01Is Sony Group Corporation (SONY) stock a buy or sell in 2026?
Sony Group Corporation (SONY) is rated Buy by Wall Street analysts as of 2026. Of 16 analysts covering the stock, 11 rate it Buy or Strong Buy, 5 rate it Hold, and 0 rate it Sell or Strong Sell. The consensus 12-month price target is $30, implying +49.1% from the current price of $20. The bear case scenario is $1136 and the bull case is $4975.
02What is the SONY stock price target for 2026?
The Wall Street consensus price target for SONY is $30 based on 16 analyst estimates. The high-end target is $30 (+49.1% from today), and the low-end target is $30 (+49.1%). The base case model target is $3507.
03Is Sony Group Corporation (SONY) stock overvalued in 2026?
SONY trades at 0.1x times forward earnings. The stock currently trades at a discount to the broader market. Based on current multiples versus the peer group, the relative model signals significantly undervalued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for Sony Group Corporation (SONY) stock in 2026?
The primary risks for SONY in 2026 are: (1) Geopolitical Tariffs & Supply Chain — Tariffs on semiconductor imports into the U. (2) Cybersecurity Threats — Cyberattacks that compromise Sony’s business or personal data could disrupt operations and lead to substantial financial losses. (3) Product Quality & Security — Defects or security vulnerabilities in Sony’s connected products expose the firm to liability claims and reputational damage. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is Sony Group Corporation's revenue and earnings forecast?
Analyst consensus estimates SONY will report consensus revenue of $13.21T (+3.5% year-over-year) and EPS of $198.80 (+2.3% year-over-year) for the upcoming fiscal year. The following year, analysts project $13.80T in revenue.
06When does Sony Group Corporation (SONY) report its next earnings?
Sony Group Corporation is expected to report its next earnings on approximately 2026-05-13. Consensus expects EPS of $0.22 and revenue of $18.4B. Over recent quarters, SONY has beaten EPS estimates 92% of the time.
07How much free cash flow does Sony Group Corporation generate?
Sony Group Corporation (SONY) generated $1.70T in free cash flow over the trailing twelve months — a free cash flow margin of 13.3%. SONY returns capital to shareholders through dividends (0.6% yield) and share repurchases ($285.5B TTM).