# Ubisoft Entertainment (UBI.PA)

Canonical: https://gigainvestors.com/s/UBI.PA

Analysis as of: 2026-10-16T07:44:56.982Z. Financial observations: FY2002–FY2026.

Listing currency: EUR. Reporting currency: EUR.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: EUR 5.02 per share; close as of 2026-10-15.

## Checklist

### understandable: fail

- 5 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- negative average operating margin

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 5

- Years with a net loss: 4

- Operating margin variation: 5.45×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.12×

- FY2018: 0.13×

- FY2019: 0.09×

- FY2020: -0.04×

- FY2021: 0.13×

- FY2022: 0.11×

- FY2023: -0.32×

- FY2024: 0.14×

- FY2025: -0.04×

- FY2026: -0.87×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- Recent gross margin fell 110.5pp below the typical margin (limit 4pp)

- ROIC, median of available years: 6.7%

- ROIC, second-lowest year: -19.5%

- Typical minus recent gross margin: 110.5 pp

- Typical gross margin (annual median): 84.7%

- Recent gross margin (lower of latest and 3-year median): -25.7%

- Years with nonpositive capital: 0

- Capital spending / revenue: 34.7%

- ROIC including acquisitions, ten-year median: 0.7%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 11.5%

- FY2018: 13.0%

- FY2019: 11.6%

- FY2020: -3.6%

- FY2021: 11.3%

- FY2022: 6.8%

- FY2023: -19.5%

- FY2024: 6.6%

- FY2025: -2.2%

- FY2026: -51.1%

### economics: fail

- incremental invested capital return below threshold

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: EUR 1.6B

- Net income, five-year total: EUR -1.9B

- Return on incremental invested capital: 0.0%

- Working capital / revenue, annual change: 0.1 pp

- Working capital / revenue, change between three-year averages: 1.7 pp

- Working capital / revenue, final three-year average: 24.6%

Chart: Owner earnings · five years; fiscal year observations.

- FY2022: EUR 504M

- FY2023: EUR 660M

- FY2024: EUR -76M

- FY2025: EUR 452M

- FY2026: EUR 27M

### management: fail

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- potential debt-funded buybacks (informational)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 11.6% vs -2.2%

- Per-share earnings: 0.88 to -1.21 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- acquired goodwill and intangibles (proxy) exceeds half of ten-year net income with low and deteriorating ROIC

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 0.8%

- Ordinary dilution, 5-year annual growth: 1.2%

- Market cap gain: EUR -4.4B

- Cumulative retained earnings: EUR -1.6B

- Diluted shares, 10-year annual growth: 0.8%

- Diluted shares, 5-year annual growth: 1.2%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value change: EUR -2.09

- Per-share value, starting three-year median: EUR 0.88

- Per-share value, ending three-year median: EUR -1.21

- Buybacks concentrated in cheaper years (correlation): -0.10

- Average buyback yield: 2.6%

- Buyback history: 5 years

- Debt-funded buybacks: Yes

- Acquisition spending: EUR 2.0B

- Cumulative net income, 10 years: EUR -1.6B

- ROIC, first three-year median: 11.6%

- ROIC, last three-year median: -2.2%

Chart: Earnings per share; fiscal year observations.

- FY2017: EUR 0.88

- FY2018: EUR 1.30

- FY2019: EUR 0.86

- FY2020: EUR -1.02

- FY2021: EUR 0.83

- FY2022: EUR 0.62

- FY2023: EUR -4.01

- FY2024: EUR 1.24

- FY2025: EUR -1.21

- FY2026: EUR -11.15

### accounting: pass

- Sloan accruals: -44.5%

- Receivables to sales index (DSRI): 1.38×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 12.6%

- Earnings backed by cash: Yes

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.98×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -20.8%

- FY2018: -19.7%

- FY2019: -26.5%

- FY2020: -20.1%

- FY2021: -17.5%

- FY2022: 5.5%

- FY2023: -3.0%

- FY2024: -7.4%

- FY2025: -7.0%

- FY2026: -44.5%

## Holders

## Price story

Down 90% since Jan 2022 · "Ubisoft Entertainment (ENXTPA:UBI) Is Down 41.3% After Major Restructuring And Game Cancellations Reset Expectations" (finance.yahoo.com, Jan 2026) · sales -26.5%

Story as of 2026-10-16T10:00:13.253Z; price observation 2026-10-15.

- 2025-05-15: Ubisoft shares drop as it uses more cash to develop games ([finance.yahoo.com](https://finance.yahoo.com/news/ubisoft-shares-plummet-guides-further-072712330.html))

- 2025-07-22: Ubisoft Sales Miss Forecasts as Rainbow Six Siege Glitch Takes Toll ([finance.yahoo.com](https://finance.yahoo.com/m/fc8b0fda-04c1-32fd-81fb-fca47badc6bc/ubisoft-sales-miss-forecasts.html))

- 2026-01-23: Ubisoft Entertainment (ENXTPA:UBI) Is Down 41.3% After Major Restructuring And Game Cancellations Reset Expectations ([finance.yahoo.com](https://finance.yahoo.com/news/ubisoft-entertainment-enxtpa-ubi-down-071343063.html))

### Sales · FY2025–2026

sales -26.5%; source https://filings.xbrl.org/969500I7C8V1LBIMSM05/2026-03-31/ESEF/FR/0/ubisoft-2026-03-31-1-fr/reports/ubisoft-2026-03-31-1-fr.xhtml; observed 2026-07-07.

- FY2017: EUR 1.5B 

- FY2018: EUR 1.7B 

- FY2019: EUR 1.8B 

- FY2020: EUR 1.6B 

- FY2021: EUR 2.2B 

- FY2022: EUR 2.1B 

- FY2023: EUR 1.8B 

- FY2024: EUR 2.3B 

- FY2025: EUR 1.9B 

- FY2026: EUR 1.4B 

### Gross margin · FY2025

gross margin 89.3%; source https://filings.xbrl.org/969500I7C8V1LBIMSM05/2026-03-31/ESEF/FR/0/ubisoft-2026-03-31-1-fr/reports/ubisoft-2026-03-31-1-fr.xhtml; observed 2026-07-07.

- FY2017: 81.4% 

- FY2018: 82.9% 

- FY2019: 82.2% 

- FY2020: 84.1% 

- FY2021: 85.4% 

- FY2022: 87.3% 

- FY2023: 88.1% 

- FY2024: 91.1% 

- FY2025: 89.3% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in electronic gaming & multimedia; annual sales are EUR 1.4 billion.

- Source: https://filings.xbrl.org/969500I7C8V1LBIMSM05/2026-03-31/ESEF/FR/0/ubisoft-2026-03-31-1-fr/reports/ubisoft-2026-03-31-1-fr.xhtml (filed 2026-07-07); FY2026: revenue 1395700000; grossProfit -358900000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); UBI.PA: Ubisoft Entertainment SA produces, publishes, distributes, and operates video games for consoles, PC, smartphones, and tablets in physical and digital formats in Europe, North America, and internationally. It designs and develops software, including scenarios, animation, gameplay, layouts, and game rules, as well as design tools and game engines. The company was incorporated in 1986 and is headquartered in Saint-Mandé, France.

### Why customers stay

It earns 6.7% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); FY2024: grossProfit / revenue = 91.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); FY2025: grossProfit / revenue = 89.3%.

- Source: https://filings.xbrl.org/969500I7C8V1LBIMSM05/2026-03-31/ESEF/FR/0/ubisoft-2026-03-31-1-fr/reports/ubisoft-2026-03-31-1-fr.xhtml (filed 2026-07-07); FY2026: grossProfit / revenue = -25.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); 10-year return on capital observations [[2017,0.11515263023013234],[2018,0.13037361024220478],[2019,0.11604146660823551],[2020,-0.03550996355460463],[2021,0.11315567853705485],[2022,0.06846730928599468],[2023,-0.19468343780236422],[2024,0.06559613837489944],[2025,-0.022387895838336707],[2026,-0.5108137296834901]]; median 0.06703172383044706. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 5 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); FY2017: growth capex 3712324.5935018063; upkeep 555789675.4064982; owner earnings 1563324.5935018063. Growth capex / owner earnings = 2.374634550580629.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); FY2018: growth capex 16900275.039734006; upkeep 563755724.960266; owner earnings 81486275.039734. Growth capex / owner earnings = 0.2074002650322789.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); FY2022: growth capex 0; upkeep 90600000; owner earnings 503820000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); FY2023: growth capex 0; upkeep 71600000; owner earnings 659500000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); FY2025: growth capex 0; upkeep 41900000; owner earnings 451560000. Growth capex / owner earnings = 0.

- Source: https://filings.xbrl.org/969500I7C8V1LBIMSM05/2026-03-31/ESEF/FR/0/ubisoft-2026-03-31-1-fr/reports/ubisoft-2026-03-31-1-fr.xhtml (filed 2026-07-07); FY2026: growth capex 0; upkeep 34800000; owner earnings 26660000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); Dividend observations: [[2017,669683000],[2018,896978000],[2019,643466000],[2020,0],[2021,117000000],[2022,158300000],[2023,0],[2024,0],[2025,0],[2026,0]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 28.3% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); UBI.PA SharesStats.PercentInsiders = 28.319 percentage points; cache date 2026-10-16.

### What the price says

The price is 0.5 times annual sales.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-07); Closing price 5.016 EUR; reporting-to-trading FX 1; FY2026 annual sales per share 10.549189744830088; price multiple 0.47548675503331667. FY2026 cash earnings/share 0.20150562341274642. Closing-price date 2026-10-15.

## Monthly share-price history (EUR per share)

- 2016-10: EUR 31.00 per share

- 2016-11: EUR 32.84 per share

- 2016-12: EUR 33.80 per share

- 2017-01: EUR 30.42 per share

- 2017-02: EUR 34.63 per share

- 2017-03: EUR 40.05 per share

- 2017-04: EUR 43.50 per share

- 2017-05: EUR 49.53 per share

- 2017-06: EUR 49.68 per share

- 2017-07: EUR 53.43 per share

- 2017-08: EUR 55.96 per share

- 2017-09: EUR 58.16 per share

- 2017-10: EUR 65.50 per share

- 2017-11: EUR 64.43 per share

- 2017-12: EUR 64.14 per share

- 2018-01: EUR 68.94 per share

- 2018-02: EUR 68.00 per share

- 2018-03: EUR 68.52 per share

- 2018-04: EUR 79.26 per share

- 2018-05: EUR 92.62 per share

- 2018-06: EUR 93.98 per share

- 2018-07: EUR 94.44 per share

- 2018-08: EUR 92.66 per share

- 2018-09: EUR 93.42 per share

- 2018-10: EUR 79.50 per share

- 2018-11: EUR 71.94 per share

- 2018-12: EUR 70.48 per share

- 2019-01: EUR 77.50 per share

- 2019-02: EUR 63.50 per share

- 2019-03: EUR 79.36 per share

- 2019-04: EUR 85.04 per share

- 2019-05: EUR 73.36 per share

- 2019-06: EUR 68.84 per share

- 2019-07: EUR 74.76 per share

- 2019-08: EUR 73.36 per share

- 2019-09: EUR 66.34 per share

- 2019-10: EUR 52.94 per share

- 2019-11: EUR 55.10 per share

- 2019-12: EUR 61.58 per share

- 2020-01: EUR 68.64 per share

- 2020-02: EUR 67.38 per share

- 2020-03: EUR 67.18 per share

- 2020-04: EUR 67.92 per share

- 2020-05: EUR 69.66 per share

- 2020-06: EUR 73.40 per share

- 2020-07: EUR 70.78 per share

- 2020-08: EUR 68.96 per share

- 2020-09: EUR 77.06 per share

- 2020-10: EUR 75.74 per share

- 2020-11: EUR 79.78 per share

- 2020-12: EUR 78.84 per share

- 2021-01: EUR 82.40 per share

- 2021-02: EUR 67.58 per share

- 2021-03: EUR 64.88 per share

- 2021-04: EUR 62.46 per share

- 2021-05: EUR 59.96 per share

- 2021-06: EUR 59.04 per share

- 2021-07: EUR 53.54 per share

- 2021-08: EUR 53.92 per share

- 2021-09: EUR 51.88 per share

- 2021-10: EUR 45.23 per share

- 2021-11: EUR 45.31 per share

- 2021-12: EUR 43.07 per share

- 2022-01: EUR 50.74 per share

- 2022-02: EUR 48.35 per share

- 2022-03: EUR 39.95 per share

- 2022-04: EUR 43.15 per share

- 2022-05: EUR 48.75 per share

- 2022-06: EUR 41.90 per share

- 2022-07: EUR 41.51 per share

- 2022-08: EUR 46.01 per share

- 2022-09: EUR 28.32 per share

- 2022-10: EUR 27.77 per share

- 2022-11: EUR 26.58 per share

- 2022-12: EUR 26.41 per share

- 2023-01: EUR 18.93 per share

- 2023-02: EUR 20.88 per share

- 2023-03: EUR 24.46 per share

- 2023-04: EUR 26.49 per share

- 2023-05: EUR 26.53 per share

- 2023-06: EUR 25.88 per share

- 2023-07: EUR 30.60 per share

- 2023-08: EUR 27.96 per share

- 2023-09: EUR 30.76 per share

- 2023-10: EUR 26.88 per share

- 2023-11: EUR 26.13 per share

- 2023-12: EUR 23.11 per share

- 2024-01: EUR 20.51 per share

- 2024-02: EUR 21.20 per share

- 2024-03: EUR 19.51 per share

- 2024-04: EUR 22.17 per share

- 2024-05: EUR 22.42 per share

- 2024-06: EUR 20.44 per share

- 2024-07: EUR 19.00 per share

- 2024-08: EUR 17.19 per share

- 2024-09: EUR 10.10 per share

- 2024-10: EUR 13.64 per share

- 2024-11: EUR 12.46 per share

- 2024-12: EUR 13.15 per share

- 2025-01: EUR 11.12 per share

- 2025-02: EUR 12.21 per share

- 2025-03: EUR 11.16 per share

- 2025-04: EUR 10.36 per share

- 2025-05: EUR 10.08 per share

- 2025-06: EUR 9.39 per share

- 2025-07: EUR 9.27 per share

- 2025-08: EUR 9.35 per share

- 2025-09: EUR 9.73 per share

- 2025-10: EUR 7.75 per share

- 2025-11: EUR 7.24 per share

- 2025-12: EUR 6.44 per share

- 2026-01: EUR 4.37 per share

- 2026-02: EUR 4.16 per share

- 2026-03: EUR 3.84 per share

- 2026-04: EUR 4.94 per share

- 2026-05: EUR 5.63 per share

- 2026-06: EUR 5.38 per share

- 2026-07: EUR 5.69 per share

- 2026-08: EUR 5.05 per share

- 2026-09: EUR 5.29 per share

- 2026-10: EUR 5.06 per share

## Annual estimated value (EUR per share)

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:50:48.327Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original ESEF filing](https://filings.xbrl.org/969500I7C8V1LBIMSM05/2026-03-31/ESEF/FR/0/ubisoft-2026-03-31-1-fr/reports/ubisoft-2026-03-31-1-fr.xhtml); period 2026-03-31, filed 2026-07-07.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.