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EA stock drops 3% after analyst expresses doubts on SWTOR

Friday, 20th January 2012 04:07 GMT By Brenna Hillier

Investors have been scared away from EA by an analyst’s prediction that Star Wars: The Old republic won’t live up to prior expectations.

Brean Murray Carret & Co issued a note to investors on Thursday morning, slashing its price target on EA stock from $22 to $28. Analyst Todd Mitchell said he had “creeping concerns” over Star Wars: the Old Republic’s profitability.

“Specifically, initial sales appear to be below expectations, and casual observation of early play is causing us to rethink our churn assumptions,” Mitchell said, as reported by MarketWatch.

Investors were so spooked by the warning that EA stock took a beating, dropping almost 3% to $17.75.

EA and BioWare have expressed nothing but satisfaction with the launch so far.

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19 Comments

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  1. freedoms_stain

    To 22 from 28.

    #1 2 years ago
  2. OlderGamer

    Way too early to throw in the towel on SW TOR yet. However I honestly don’t see the game having much of an impact, esp long term. Its great for the Lenerds, Sheldons, Rajis, and Howiwitzes of the world, but I think your average gamer(if there is such a term) is more likly to play something like WoW. As far as MMOs go.

    SW games are better suited to the likes of Battlefront and Unleased type things. In other words SW is a great place to visit, but I wouldn’t want to live there. Pick em up and put em down games are just better fits, imo.

    #2 2 years ago
  3. e13

    If they would have done some sort of Mass Effect MMO I would be all in.

    Plus the graphics don’t look next gen

    #3 2 years ago
  4. Kalain

    Problem I see here is an analyst not really having a clue. He’s probably looked at the Console market and WoW expansion sales and decided that the 2Million copies on a single platform for a single game isn’t enough.

    The game will do well, bits need to be tuned/fixed/redo, but it will do well.

    #4 2 years ago
  5. Erthazus

    That analyst can gtfo really. I don’t understand what he is comparing. MMO to the console market or what?

    Anyway, game is broken. You can fix it, you can do everything you want with it. It’s done. Engine is done. Everything is done, hype train is over… You only have Star Wars brand and crappy WOW clone.

    Engine is worse than Vanilla WOW, not to mention that Blizzard will restructure every location in Azeroth. Just look at the Alliance new crisp location aka Gilneas City and you will understand what i’m talking about.

    This game is a mess as i said before and i was correct from the start. SWTOR is a mess and nothing more. It goes the same road Everquest II, RIFT, AION or EA’s WARHAMMER went.

    6 months and good luck with it, EA. Best wishes. Lol.

    #5 2 years ago
  6. GrimRita

    Erth – how is Rift a mess? Are you comparing EVERYTHING to the dizzy numbers of WoW? If you are, you need a brain check.

    MMOs can still be a success with a much smaller user base. EA of course wanted to topple WoW from #1 spot and will probably fail again.

    If SWTOR can bump along with small numbers and return a profit, fine. Either way, 1 million days at launch is pretty poor and I just cant see where the growth will come from. Star Wars isnt huge in Asia and maybe with the release of Episode 1 3D might bring in a few extra players but hardly enough to beat WoW.

    But the investors have a right to be worried, despite EAs claims of a ‘smooth’ launch, it wasnt – massive Qs probably forced on people to give the impression that the game is busy, lots of down time for tiny fixes that break the game.

    Bioware have a huge team behind this and its only a matter of time before that is downsized and I bet we will see the removal of voice acting from side quests by the end of the year or early next.

    #6 2 years ago
  7. Talkar

    I think SWTOR will get a lot of players each year when episode 1-VI is being released in 3D. However Grim SWTOR didn’t suffer massive q’s. It did suffer q’s yes, but not massive, massive are when you sit in a q for about 4 freaking days straight! That is how WoW was.

    #7 2 years ago
  8. Erthazus

    @6, I didn’t said that RIFT is a mess. I said that SWTOR is going the same road these mmos are going. FTP at best or small servers with small numbers.

    and yes, for MMO to be successfull, you still need a lot of subscribers because MMO’s are a huge investment.

    #8 2 years ago
  9. frostquake

    SPECULATION WILL END THE WORLD! Speculation of “FUTURES” causes prices to raise or fall on “WILLY NILLY” Who the HELL knows what the Future Holds in 3,6,12 months. SPECULATORS are RUINING this Country and the WORLD!! Want to Bitch about Gas Prices..Talk to Speculators! Want to bitch about food prices…Talk to Speculators!

    Who ever allowed SPECULATION to become a real part of our Society deserves to be sent to the deepest pit of DESPAIR!

    Oh and by the way..I HATE SPECULATORS!!!

    That being Said..I do not see anything really “LASTING” in SWTOR. They claim it will never end..a lie! They can adapt or the game will die! The Free To Play model with Pay down the line has SPOILED all the Facebook Users. The models of MMO need to change to survive!

    #9 2 years ago
  10. Talkar

    @9
    Lol at you ranting about speculating, and then finishing off with doing just that xD

    #10 2 years ago
  11. viralshag

    I had a fun game of PvP last night.

    #11 2 years ago
  12. DarkElfa

    Haterz gonna hate, players gonna play. Shut the fuck up and go play a game peoples, life is too short for bitching and speculation…

    #12 2 years ago
  13. _LarZen_

    @12 You should take your own advice then.

    #13 2 years ago
  14. TheWulf

    The only thing I have against SWTOR is the setting. They picked a really dismal time to set it in, there are much more interesting stories to be told elsewhere. I mean, the latter trilogy of Star Wars films can be considered as Sci-Fantasy detritus as they have little impact upon the minds of those unfortunate enough to see them, and most of that impact is Jar-Jar Binks.

    Not only that, but the choices of races were poor. There are some really interesting Star Wars races out there, including my personal favourites – the Shistavanen. Not only that, but originally the reason they said they left out same sex couplings in Star Wars was because the lore didn’t support it. However, to the contrary, there are actually a number of precedents for it. This shows that the writers aren’t very familiar with the source material that they’re working with.

    Where Relic have done great things for the Warhammer 40k Universe with their writing, Bioware has actually managed to detract from their given IP. It’s almost as bad as the latter trilogy of films. Not quite, but almost. It’s certainly not as interesting as Star Wars could be.

    And the story stuff I saw had little impact on the world itself, and it had little to do with what the player was doing. And really it was just conversational stuff that was much ado about nothing. I watched a lot of the story on Youtube and some of it just put me to sleep.

    There’s just no excitement, wonder, or romance there. It’s all cold. Really, it feels like a bit of a cash-in. That’s my problem with it. Star Wars is a great IP, I KNOW this. And it could be put to far better use than TOR did. Really, this is no more interesting than The Force Unleashed, and nowhere near as compelling as Knights of the Old Republic II, which was a broken mess.

    I’m sure I’ll get hate for this, but really, I’m just being honest. Which is more than you can say for a lot of the fans. If I see something particularly brilliant, I’ll definitely talk it up. But as it stands, this is Star Wars not at its worst, but definitely at its most unexciting.

    #14 2 years ago
  15. Phoenixblight

    “The only thing I have against SWTOR is the setting. They picked a really dismal time to set it in, there are much more interesting stories to be told elsewhere. I mean, the latter trilogy of Star Wars films can be considered as Sci-Fantasy detritus as they have little impact upon the minds of those unfortunate enough to see them, and most of that impact is Jar-Jar Binks.”

    More freedom to do as they please since there are books upon books writen about the Star wars movies and afterward. Bioware also has the KOTOR support, there are a lot of quests and such related to Revan. I wouldn’t be playing it if it was related to the movies at all.

    “And the story stuff I saw had little impact on the world itself, and it had little to do with what the player was doing. And really it was just conversational stuff that was much ado about nothing. I watched a lot of the story on Youtube and some of it just put me to sleep.”

    WHere would you get the idea you have an effect on the actual world? Each story of each classes tells a different perspective around the Emperor, and each factions role in the lead up to the war. What you do have control over especially by the end of each act is how your story changes. The story changes based on the choices you make through out your class quest. I can confirm that having a level 40 Imperial Agent and my friend also playing the imperial agent and we have discussed this but our story is different because we had made completely different choices.

    Anyways fans have clamored for a KOTOR MMO since KOTOR release so those fans like me have gotten what we wanted from Bioware.

    #15 2 years ago
  16. Kabby

    Sith Warrior Conversations:

    Option 1 – A somewhat reasoned response.
    Option 2 – A question or amusing quip.
    Option 3 – You annoyed me, time to die.

    Picking 1 and 2 often leads to more interesting paths but resisting that third option requires real life use of the force.

    #16 2 years ago
  17. GrimRita

    Well with my alt, the BH story was about as interesting as watching a Soap on TV – fucking boring.

    The amount of times you travel back and forth only to find your target ‘isnt there’ or escaped right under your nose when there is only ONE way out, with YOU blocking that means of escape.

    Then theres the running back and forth to your ship for a chat – why cant those lazy bastards meet you for a change?!

    Anyway, I am pleased my time has come to an end because SWTOR has to be probably THE biggest disappointment of 2011. It lacks any kind of creativity, has a development who are utterly stupid and a game engine creaking under the sheer weight of all those ‘stories’ it will burst.

    Roll on the EA fiscal call because not even they can hide the numbers

    #17 2 years ago
  18. viralshag

    @14, I agree with what you said there. I actually really liked the stories I played – I completed the smuggler story as “Dark” and past the starting areas for Consular, Bounty Hunter, Knight and Trooper – Trooper being the most boring.

    But the problem, as you said, is that it really makes no difference what epic choices (and some are epic in scale) you make within the story. As PB keeps pointing out (and missing what you’re trying say anyway) you can have a very varied story towards the end, but I don’t see how any of those choices mean anything at the end of it other than to yourself?

    In my opinion, this should have been given the ME3 treatment – a (hopefully) fantastic SP game with a great story and some optional but related MP.

    At the end of the day, no matter what you have done in your time as a Smuggler, Bounty Hunter or Knight; you will still be in a “blank canvas” of an MMO world.

    “Anyways fans have clamored for a KOTOR MMO since KOTOR release so those fans like me have gotten what we wanted from Bioware.” – Think that’s the first time I have heard a KOTOR fan saying they always wanted a KOTOR MMO. I personally just always wanted a KOTOR sequel… Something that will never happen now. TOR is the end of that franchise… which is the real big shame here.

    #18 2 years ago
  19. GrimRita

    I dont think they had much of a ‘choice’(see what I did there!)when it came to setting.

    After SWG, it was clear that players wanted to be a Jedi also. Look what happened to that game, once Jedi were let loose, at a time when there were only a handful around.

    But the beauty of SWG was that it appealed to those who enjoyed combat(pve or/and pvp) AND, importantly, those who just wanted to spend their time crafting, resource gathering and putting effort into creating stuff(pre NGE of course).

    If you can get people to pay £8.99 to do what they more or less wanted, then you are on to a winner. Had SWG been set in the Clone War era, things may have turned out differently.

    #19 2 years ago