NetEase, Inc. (NTES) intrinsic value & 10-year financials
NetEase, Inc. (NTES) has a Graham intrinsic value of CNY 1,552.44 per share. At CNY 118.61 on Oct 24, 2026, the stock trades 92% below that value. Over the last 10 fiscal years revenue grew 12.8% a year to CNY 112.6B, with an average return on invested capital of 22.3%.
- Graham intrinsic value
- CNY 1,552.44
- Share price (Oct 24, 2026)
- CNY 118.61
- Price vs Graham value
- 92% below
- Market cap
- CNY 76.3B
- Revenue (FY2025)
- CNY 112.6B
- Revenue growth (10-yr CAGR)
- 12.8%
- ROIC (10-yr avg)
- 22.3%
- Free cash flow (FY2025)
- CNY 49.7B
NTES 10-year financial history
| Fiscal year | Revenue | Net income | EPS (diluted) | Free cash flow | Operating margin | ROIC |
|---|---|---|---|---|---|---|
| FY2025 | CNY 112.6B | CNY 34.8B | CNY 52.40 | CNY 49.7B | 31.8% | 30.3% |
| FY2024 | CNY 105.3B | CNY 30.3B | CNY 45.95 | CNY 38.4B | 28.1% | 26.1% |
| FY2023 | CNY 103.5B | CNY 29.4B | CNY 45.25 | CNY 33.0B | 26.8% | 25.4% |
| FY2022 | CNY 96.5B | CNY 19.8B | CNY 30.85 | CNY 25.6B | 20.3% | 18.8% |
| FY2021 | CNY 87.6B | CNY 17.0B | CNY 25.05 | CNY 23.3B | 18.7% | 16.9% |
| FY2020 | CNY 73.7B | CNY 12.3B | CNY 18.00 | CNY 23.8B | 19.7% | 17.7% |
| FY2019 | CNY 59.2B | CNY 21.4B | CNY 32.65 | CNY 16.0B | 23.3% | 20.8% |
| FY2018 | CNY 67.2B | CNY 6.5B | CNY 9.45 | CNY 10.9B | 11.8% | — |
| FY2017 | CNY 54.1B | CNY 10.8B | CNY 16.15 | CNY 10.0B | 22.5% | — |
| FY2016 | CNY 38.2B | CNY 11.6B | CNY 17.55 | CNY 14.4B | 33.1% | — |
Source: annual 10-K filings on SEC EDGAR. Figures in CNY.
Executive summary
NetEase, Inc. is a consistent compounder, expanding top-line revenue at 12.8% annually over the past decade.
NetEase, Inc. has earned high returns on invested capital, averaging 22.3% ROIC over the available history. High ROIC is consistent with a durable franchise, but it is not by itself proof of an economic moat.
NetEase, Inc. has not shown aggressive share repurchases (>10% retirement) or a major balance-sheet leverage increase (>50% net debt growth) over the 10-year window.
Benjamin Graham lens
Under Benjamin Graham's formula using SEC EDGAR fundamentals, NetEase, Inc. is modeled at 12.9% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $1552.44 per share.