The short answer is yes – The Walt Disney Company currently has a net worth around 4 times larger than Nintendo based on market valuation. As of March 2023, Disney boasts a market capitalization of approximately $180 billion, while Nintendo‘s market cap sits around $50 billion.
Disney‘s vast intellectual property empire spanning iconic movies, characters, and brands makes it a profit-generating giant. Nintendo has its own treasured IP, but a smaller business centered on video games and consoles. Let‘s take a detailed look at what‘s underlying these entertainment titans‘ net worths.
Disney‘s Money-Minting Assets and Brands
It‘s no secret Disney has some incredibly valuable assets. Its movie studio generated over $5.1 billion in revenue in 2022 from blockbusters like Avatar: The Way of Water. Disney‘s consumer products raked in over $4.9 billion. But the real cash cows are parks and streaming.
- Disney parks delivered $28.7 billion in revenue and $6.7 billion in operating income last year. The segment‘s operating margin was an enviable 23%.
- Disney+ subscribers have surged to 161.8 million. Streaming revenue grew 8% to $19.6 billion in 2022, though remains unprofitable.
Disney‘s treasure trove of intellectual property gives it both built-in audiences and the ability to continually reuse popular characters and stories across its business units. Just a handful of Disney‘s most lucrative brands include:
- Marvel Universe (Avengers, Black Panther, Guardians of the Galaxy) – $25.8 billion in box office revenue over last 13 years
- Star Wars – $11 billion+ in box office revenue; merchandise sales over $70 billion
- Disney Princesses (Cinderella, Snow White) – $45 billion in retail sales; #1 entertainment property for young girls
- Pixar (Toy Story, Finding Nemo) – nearly $15 billion in box office revenue
Disney‘s wealth also comes from dominating traditional media like television. The company‘s media networks segment that includes ESPN, ABC, FX Channel, and more, delivered $31.5 billion in revenue in 2022.
Nintendo‘s Console and Games Cash Cows
Unlike Disney‘s wide-ranging business model, Nintendo currently relies predominantly on its video games and consoles. The Nintendo Switch console has sold over 114 million units since its 2017 launch, now ranking among the top 10 best-selling consoles of all time.
The Switch accounted for $8.2 billion of Nintendo‘s total $15 billion revenue last year. Nintendo‘s game sales also remain strong, buoyed by evergreen franchises:
- Mario – over 825 million games sold worldwide since 1981
- Pokémon – over 450 million games sold; trading card game worth $8 billion
- The Legend of Zelda – over 118 million games sold worldwide
Nintendo has delivered sizeable profits the last 5 years, with $4.1 billion in net income for 2022. The company does face sales volatility based on new console release cycles. However, its ability to leverage hit IP like Mario ensures recurring revenues between hardware generations. Nintendo‘s current Price-to-Earnings ratio is 13.4 – favorable compared to Disney‘s 65.1.
Recent Acquisitions and Investments
Disney has made some monster acquisitions over the years to expand its IP stable, including Lucasfilm ($4 billion), Marvel ($4 billion), Pixar ($7.4 billion), and 21st Century Fox ($71 billion).
Nintendo has avoided large deals, focusing on organically growing franchises like Splatoon and Arms. However, Nintendo has been investing in Universal Studios theme park lands, an animated Mario film with Illumination, and smartphone gaming with Niantic‘s Pikmin app.
Which Company Reigns Supreme in Net Worth?
Disney is still far ahead of Nintendo in terms of net worth and business scale. Disney generated over 4.5X more revenue than Nintendo in 2022. Disney‘s market capitalization similarly eclipses Nintendo‘s by approximately $130 billion.
While Nintendo‘s IP value and nostalgic brand power can‘t be discounted, Disney boasts an unrivaled collection of money-making media properties and businesses. For now, The Walt Disney Company remains the undisputed leader when it comes to entertainment net worth.
