Upside case
Bull case
$3108+15188.8%
SONY would need investors to value it at roughly 15x earnings — about 15x more generous than today's 0x forward P/E. That requires meaningful multiple expansion on top of continued earnings growth.
Analysis OverviewBuyUpdated Jun 18, 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
+47.6% vs today
Scenario Range
$1486 – $3108
Model bear to bull value window
Coverage
16
Published analyst ratings
Valuation Context
0.1x
Forward P/E · Market cap $120.1B
SONY price targets
Three scenarios for where SONY stock could go
Current
~$20
Confidence
46 / 100
Updated
Jun 18, 2026
Where we are now
Current · $20
Bear
$1486
Base
$2359
Bull
$3108
Market caseClosest to today
Base case
$2359+11503.5%
At 11x 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
$1486+7210.2%
The bear case assumes sentiment or fundamentals disappoint enough to push SONY down roughly 7210% 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
$120.1B
Revenue TTM
$12.60T
Net Income TTM
-$343.6B
Net Margin
-2.7%
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
83%Exceptional
12 quarters tracked
Revenue Beat Rate
58%Exceptional
vs consensus estimates
Avg EPS Surprise
+22.0%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q3 2025
Q4 2025
Q1 2026
Q2 2026
Last 4 Quarters
EPS beats: 3 of 4Q3 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
Q2 2026
EPS
$0.09/$0.13
Revenue
$19.4B/$18.4B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| 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% |
| Q2 2026 | $0.09/$0.13 | -30.1% | $19.4B/$18.4B | +5.2% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$13.08T
+3.8% YoY
FY2
$13.37T
+2.2% YoY
EPS Outlook
FY1
$68.51
+220.4% YoY
FY2
$131.06
+91.3% YoY
Trailing FCF (TTM)$1.53T
FCF Margin: 12.1%
Next Earnings
August 6, 2026
Expected EPS
$0.28
Expected Revenue
$17.2B
SONY beat EPS estimates in 3 of 4 tracked quarters. A strong delivery record supports forward estimate credibility.
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
Cheap versus peers
Fair value est. $10366 — implies +50890.5% from today's price.
Upside to Fair Value
50890.5%
potential upside
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
SONY
-56.8x
vs
S&P 500
24.4x
332% discount
vs Technology Trailing P/E
SONY
-56.8x
vs
Technology
29.0x
296% discount
vs SONY 5Y Avg P/E
Today
-56.8x
vs
5Y Average
0.1x
45346% discount
Forward PE
0.1x
S&P 500
18.8x
-99%
Technology
22.3x
-100%
5Y Avg
—
—
Trailing PE
-56.8x
S&P 500
24.4x
-332%
Technology
29.0x
-296%
5Y Avg
0.1x
-45346%
PEG Ratio
—
S&P 500
1.66x
—
Technology
1.51x
—
5Y Avg
—
—
EV/EBITDA
6.5x
S&P 500
15.2x
-57%
Technology
16.6x
-61%
5Y Avg
1.0x
+518%
Price/FCF
12.2x
S&P 500
20.7x
-41%
Technology
19.2x
-36%
5Y Avg
0.1x
+10217%
Price/Sales
1.5x
S&P 500
3.1x
-53%
Technology
2.4x
-40%
5Y Avg
0.0x
+13759%
Dividend Yield
0.73%
S&P 500
1.91%
-62%
Technology
1.11%
-34%
5Y Avg
—
—
| Metric | SONY | S&P 500 | Technology | 5Y Avg SONY |
|---|---|---|---|---|
| Forward PE | 0.1x | 18.8x-99% | 22.3x-100% | — |
| Trailing PE | -56.8x | 24.4x-332% | 29.0x-296% | 0.1x-45346% |
| PEG Ratio | — | 1.66x | 1.51x | — |
| EV/EBITDA | 6.5x | 15.2x-57% | 16.6x-61% | 1.0x+518% |
| Price/FCF | 12.2x | 20.7x-41% | 19.2x-36% | 0.1x+10217% |
| Price/Sales | 1.5x | 3.1x-53% | 2.4x-40% | 0.0x+13759% |
| Dividend Yield | 0.73% | 1.91% | 1.11% | — |
SONY trades above S&P 500 benchmarks on 0 of 5 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
Stressed
SONY generates $1.53T in free cash flow at a 12.1% margin — 13.9% ROIC signals a durable competitive advantage · returns 3.6% of market cap to shareholders annually.
Cash Engine
Revenue, margins, and cash generation
Revenue (TTM)
Trailing-twelve-month sales base
$12.60T
Revenue Growth
TTM vs prior year
+0.7%
Gross Margin
Gross profit as a share of revenue
30.8%
Operating Margin
Operating income divided by revenue
12.2%
Net Margin
Net income divided by revenue
-2.7%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$-56.91
Free Cash Flow (TTM)
Cash generation after capex
$1.53T
FCF Margin
FCF as share of revenue — the primary cash quality signal
12.1%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
13.9%
ROA
Return on assets, trailing twelve months
-1.3%
Cash & Equivalents
Liquid assets on the balance sheet
$2.22T
Net Cash
Cash exceeds total debt — no net leverage
$541.5B
Debt Serviceability
Net debt as a multiple of annual free cash flow
Net cash ✓
ROE
Return on equity, trailing twelve months
-4.1%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
3.6%
Dividend
0.7%
Buyback
2.9%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$553.6B
Dividend / Share
Annualized trailing dividend per share
$23.96
Payout Ratio
Share of earnings distributed as dividends
—
Shares Outstanding
Declining as buybacks retire shares
5.9B
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 June 17, 2026
High Risk
Macroeconomic pressures
Sony is bracing for a difficult 2026 due to macroeconomic pressures and US tariffs on Chinese goods impacting its hardware-heavy business lines.
High Risk
Memory chip shortages
Persistent memory shortages and rising memory chip costs are expected to weigh on Sony's hardware-heavy segments.
Medium
Gaming competition
Sony faces competition from Nintendo's Switch successor, which could temper the recovery of its gaming segment.
Medium
Revenue declines
Anticipated revenue declines in hardware-heavy areas may offset profit growth in Sony's entertainment segments.
Lower
Execution risk
Investors should monitor Sony's execution on FY2026 guidance amid evolving industry dynamics, particularly in gaming and semiconductor segments.
Lower
Valuation uncertainty
A.L. Capital Advisory's DCF model suggests a wide intrinsic value range, indicating potential valuation uncertainty for Sony.
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 June 17, 2026
Strong e-commerce platform
Sony's direct sales platform offers free shipping, easy returns, and fast delivery, enhancing customer experience and revenue potential.
Attractive valuation metrics
SONY's trailing and forward P/E ratios of 16.99 and 15.95, respectively, suggest the stock is reasonably priced relative to earnings.
Bullish analyst coverage
Multiple bullish theses from research platforms like CompoundingAlpha and WinterGems highlight SONY's growth potential.
Diverse business segments
Sony's Entertainment, Technology & Services (ET&S) division spans gaming, electronics, and content, providing diversified revenue streams.
Undervalued intrinsic potential
A.L. Capital's DCF model suggests a bull case intrinsic value of $45, implying significant upside at current prices.
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
$20.33
52W Range Position
7%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$19.63
+3.6% from the low
52-Week High
$30.34
-33.0% from the high
1 Month
-10.48%
3 Month
-0.25%
YTD
-21.4%
1 Year
-21.4%
3Y CAGR
+1.8%
5Y CAGR
+1.4%
10Y CAGR
+13.5%
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 28.8x median
-100% below peer median
Revenue Growth
+3.8%
vs +6.8% median
-44% below peer median
Net Margin
-2.7%
vs 11.8% median
-123% below peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
SON SONY Sony Group Corporation | $120.1B | 0.1x | +3.8% | -2.7% | Buy | +47.6% |
MSF MSFT Microsoft Corporation | $2.82T | 22.6x | +8.8% | 39.3% | Buy | +45.5% |
WBD WBD Warner Bros. Discovery, Inc. | $65.7B | — | +5.6% | -5.8% | Hold | +17.6% |
AAP AAPL Apple Inc. | $4.38T | 34.0x | +6.8% | 27.2% | Buy | +9.6% |
EA EA Electronic Arts Inc. | $50.6B | 23.5x | +6.7% | 11.8% | Hold | -14.6% |
TTW TTWO Take-Two Interactive Software, Inc. | $44.4B | 35.6x | +22.2% | -4.5% | Buy | +20.1% |
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 $553.6B/year in buybacks (2.9% buyback yield), with a modest 0.73% dividend — combining for 3.6% total shareholder yield. The dividend has grown for 10 consecutive years.
Dividend UnknownFCF Well Covered
Total Shareholder Yield
3.6%
Dividend + buyback return per year
Buyback Yield
2.9%
Dividend Yield
0.73%
Payout Ratio
—
How SONY Splits Its Return
Div 0.73%
Buyback 2.9%
Dividend 0.73%Buybacks 2.9%
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$23.96
Growth Streak
Consecutive years of dividend increases
10Y
3Y Div CAGR
12.8%
5Y Div CAGR
10.3%
Ex-Dividend Date
—
Payment Cadence
Semi-Annual
2 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
$553.6B
Estimated Shares Retired
27.2B
Approx. Share Reduction
460.9%
Shares Outstanding
Current diluted share count from the screening snapshot
5.9B
At 460.9%/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 |
|---|---|---|---|---|
| 2026 | $0.08 | — | 100.0% | 100.0% |
| 2025 | $0.15 | +23.4% | 100.0% | 100.0% |
| 2024 | $0.12 | +10.8% | 100.0% | 100.0% |
| 2023 | $0.11 | +5.0% | 88.2% | 100.0% |
| 2022 | $0.10 | -0.3% | 69.0% | 100.0% |
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 +47.6% from the current price of $20. The bear case scenario is $1486 and the bull case is $3108.
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 (+47.6% from today), and the low-end target is $30 (+47.6%). The base case model target is $2359.
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 cheap versus peers. 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) Macroeconomic pressures — Sony is bracing for a difficult 2026 due to macroeconomic pressures and US tariffs on Chinese goods impacting its hardware-heavy business lines. (2) Memory chip shortages — Persistent memory shortages and rising memory chip costs are expected to weigh on Sony's hardware-heavy segments. (3) Gaming competition — Sony faces competition from Nintendo's Switch successor, which could temper the recovery of its gaming segment. 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 $13.08T (+3.8% year-over-year) and EPS of $68.51 (+220.4% year-over-year) for the upcoming fiscal year. The following year, analysts project $13.37T in revenue.
06When does Sony Group Corporation (SONY) report its next earnings?
Sony Group Corporation is expected to report its next earnings on approximately 2026-08-06. Consensus expects EPS of $0.28 and revenue of $17.2B. Over recent quarters, SONY has beaten EPS estimates 83% of the time.
07How much free cash flow does Sony Group Corporation generate?
Sony Group Corporation (SONY) generated $1.53T in free cash flow over the trailing twelve months — a free cash flow margin of 12.1%. SONY returns capital to shareholders through dividends (0.7% yield) and share repurchases ($553.6B TTM).