Sony Introduces Affordable PS5 Exclusively for Japan to Compete with Nintendo
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 12 2025
0mins
Should l Buy SONY?
Source: Benzinga
New PS5 Digital Edition Launch: Sony has introduced a lower-priced PS5 digital edition in Japan, set to launch on November 21 at 55,000 yen ($355), which is 25% cheaper than the current model, aiming to boost sales amid inflation and competition with Nintendo.
Strong Financial Performance: Sony's stock has risen over 41% this year, with a reported 5% increase in consolidated revenue to $21.09 billion, driven by higher PS5 sales, and an upward revision of its fiscal 2025 revenue forecast.
Region-Locked Console: The new PS5 is region-locked for Japanese accounts, marking a significant change for Sony, while maintaining the same performance as the existing digital model.
Competitive Landscape: Despite the price reduction, the PS5 remains slightly more expensive than Nintendo's Switch 2, which has sold 10 million units since its release, while the original Switch continues to be a top seller.
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Analyst Views on SONY
Wall Street analysts forecast SONY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SONY is 34.00 USD with a low forecast of 34.00 USD and a high forecast of 34.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
1 Analyst Rating
1 Buy
0 Hold
0 Sell
Moderate Buy
Current: 21.240
Low
34.00
Averages
34.00
High
34.00
Current: 21.240
Low
34.00
Averages
34.00
High
34.00
About SONY
Sony Group Corp is a Japan-based company engaged in the games & network services (G&NS), music, movies, entertainment technology & services (ET&S), imaging & sensing solutions (I&SS) and other businesses. It has seven business segments. G&NS segment is involved in network service business, the manufacture and sale of home video game consoles and software. The Music segment mainly includes music production, music publishing and video media platform businesses. The Movies segment mainly includes film production, television program production and media network businesses. The ET&S field mainly includes the television business, audio, video business, still image, video camera business, smartphone business and Internet-related service business. The I&SS segment mainly includes the image sensor business. The Financial segment is involved in the insurance business and banking business. The Other segment consists of activities such as disc manufacturing business and recording media business.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Upgraded Full-Year Outlook: The company raised its full-year operating profit forecast by 8% to ¥1.54 trillion and revenue outlook by 3% to ¥12.3 trillion, indicating optimism about future performance, particularly in the Game & Network Services, Music, and I&SS sectors.
- Increased Stock Buyback: Sony has raised its stock buyback plan to ¥150 billion, aiming to enhance shareholder returns and boost market confidence, despite its shares declining nearly 3% in U.S. market trading.
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- Joint Venture Outlook: The joint venture with TCL shows promising prospects, although analysts remain cautious about its long-term performance, which may affect investor confidence in future collaborations.
- Music Asset Acquisition: Singapore's GIC partners with Sony Music to acquire music catalog assets, enhancing Sony's market position in the music sector and potentially providing new revenue growth opportunities.
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