Nintendo Stocks Continue Decline on 3DS Fears

September 9, 2011 -

Nintendo stocks declined 2.3 percent - the biggest decline in more than two weeks - in Osaka trading on the growing concern that price cuts to the 3DS will not do enough for the company to meet its full-year sales target. Nintendo stock fell 2.3 percent to 13,160 yen, the biggest drop the company has seen since August 24. Overall, the stock has declined 45 percent this year.

Investors are worried because the company was projected to sell 16 million 3DS systems by the year ending March 31, 2012. In July the company slashed the price of the 3DS by 40 percent, or $80, after sales fell far short of the company’s expectations.

“Nintendo must adjust its expectations in a world increasingly dominated by smartphones and tablets,” said Michael Pachter, an analyst at Los Angeles-based Wedbush Securities Inc to Bloomberg. “Nintendo will have two-thirds as much success in handhelds and consoles as in the past.”

The company sold about 235,000 units of the 3DS in the U.S. in August, About 185,000 of those units were sold after the price was cut to $169.99 on Aug. 12. Sales of the 3DS in Japan totaled around 55,000 units in the seven days ended Sept. 4, according to the Enterbrain. The figure is 74 percent fewer than sales made in the second week of August when Nintendo cut the price.

Source: Bloomberg


Comments

Re: Nintendo Stocks Continue Decline on 3DS Fears

I'm suprised that they even bet on 3D when 3D TV sales are so bad. Even without the glasses, its been around and no ones been that impressed.

-Austin from Oregon

Feel free to check out my blog.

Re: Nintendo Stocks Continue Decline on 3DS Fears

Methinks Nintendo overestimated it's own popularity and salability of it's products due to the Wii. The Wii was popular because it was cheap and it promoted exercise (or at least appeared to) with many of it's games. The price point for a lot of the games was also cheaper than the current price point of 3ds games.

Their other big problem with the market they're competing in. With the Wii, they were fighting against the 360 and the PS3. With the 3DS, their main competition isn't the PSP, but the Apple iPhone, iPad, and various Droid phones and Pads. They may have had a corner on the portable market for years, but with the massive popularity of flash games being played on phones for free or a dollar, it's a lot harder to convince the 'casual' gaming market to buy a dedicated portable for gaming.

I hate broccoli/ and think it totally sucks/ Why isn't it meat?

Re: Nintendo Stocks Continue Decline on 3DS Fears

They sold 235,000 units. That's still not a lot, especially worldwide. And we're only talking less than a month on increase; even the Titanic thought they had the incoming water under control for a moment. Point being, sales have spiked before only to drop again. I'm hoping this (and the fall line-up) means a turnaround for our beloved handheld, but we can never be sure. Keep your fingers crossed.

Re: Nintendo Stocks Continue Decline on 3DS Fears

And yet, unit sales have increased by 260% since the price dropped. Curiouser and curiouser...

 
Forgot your password?
Username :
Password :

Poll

Which video game platform are you most thankful for?:

Shout box

You're not permitted to post shouts.
MaskedPixelantehttp://www.nintendolife.com/news/2014/11/two_tetris_downloads_to_be_removed_from_the_3ds_eshop_in_europe Tetris to be removed from the 3DS VC at the end of the year in Europe. Other regions unknown, but will probably all happen too.11/28/2014 - 9:16am
Andrew EisenThe story you just linked to? The story you asked if anyone had seen? Yes, THAT obnoxiousness. I've heard it parroted for nearly two years now.11/27/2014 - 7:57pm
ZippyDSMleeAndrew Eisen: That shes an ex con man?11/27/2014 - 7:54pm
Andrew EisenI've heard the same obnoxious horse poo for years. It's nothing new.11/27/2014 - 7:45pm
ZippyDSMleeAlso anyone see this? http://guardianlv.com/2014/11/anita-sarkeesian-unmasked-feminist-icon-or-con-artist/11/27/2014 - 7:28pm
ZippyDSMleeEvil within is a badly designed game.11/27/2014 - 7:28pm
Andrew EisenSure but you said "widens," hence my confusion. Looking into it, yep, there's a tweak to completely re-frame the image, adding more info at the top and bottom. You apparently need a fairly beefy rig to keep it running smooth when you do that though.11/27/2014 - 6:48pm
Matthew Wilsonthere is vertical fov, not just horizontal fov11/27/2014 - 6:38pm
Andrew EisenWell, you can widen it to 3:1 or even 10:1 but I don't know why you'd want to. From what I understand it's the missing visual info at the top and bottom that some object to, not that there isn't enough on either side.11/27/2014 - 6:36pm
Matthew WilsonI think it widenss the fov, so you get to see more.11/27/2014 - 6:31pm
Andrew EisenI don't see how as doing so would not add any visual information to the top or bottom of the screen.11/27/2014 - 6:04pm
Matthew Wilsonfrom what I read, getting rid of the black bars and stretching it out made for a better play experience.11/27/2014 - 5:59pm
Andrew EisenFrom what I hear, there's a ton of "look up and shoot at the guys above you" stuff in the game that the wider frame doesn't accommodate such actions well.11/27/2014 - 5:55pm
Andrew EisenHaving a game run in scope is not necessarily a bad thing but like any aspect ratio, you have to compose your shots correctly.11/27/2014 - 5:55pm
Neo_DrKefkaThe Evil Within was pretty bad and to make it worse the way the screen size made it hard for you to see even on a big screen it really hurt the game. Being Artistic is great but when you focus on art rather than what sells you run the risk of that happen11/27/2014 - 5:33pm
Matthew WilsonI kinda hope this is not true. http://www.nintendolife.com/news/2014/11/nintendo_might_not_be_making_more_gamecube_controller_adapters_at_the_moment11/27/2014 - 1:34pm
Matthew WilsonI saw that. I wish people would stop preording, but sadly that will never happen.11/27/2014 - 1:26pm
Papa MidnightUbisoft has cancelled the Season Pass for Assassin's Creed: Unity (http://www.reddit.com/r/pcmasterrace/comments/2ni2ac/ubisoft_cancel_season_pass_for_ac_unity/)11/27/2014 - 1:08pm
NeenekoBut now I can use the christmas discount justification too,11/27/2014 - 11:46am
NeenekoI am also sorely temped by Civ:BE, mostly because I have a demo coming up and I know my productivity will tank.11/27/2014 - 11:45am
 

Be Heard - Contact Your Politician