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PS4 and next-Xbox releases this holiday to benefit GameStop the most – analyst

Saturday, 2nd March 2013 19:44 GMT By Stephany Nunneley

Analyst Michael Pachter has said he has “high hopes” that PS4 and the next Xbox console will “renew investor interest” in game publishers, and he expects retail outlets, specifically GameStop, to well in the process.

Speaking in an investor’s note highlighted by GI International, Pachter expects Microsoft to launch it’s next console in time for a battle royale between it and Sony during the holiday shopping extravaganza.

“We expect Microsoft to announce its console in the next few months, and at the latest at the E3 Expo in mid-June,” he said. “Although we think that Microsoft aspires to position the next Xbox as the entertainment hub in the living room, suggesting a possible launch delay, we think that the company is intent upon gaining further market share next cycle. As such, we think that the company intends to launch alongside the PS4, and we expect gamers to have two next-generation consoles to choose from this fall.

“The biggest beneficiary of all this is GameStop. The company thrives in a product refresh cycle, and its used business typically spikes, as many gamers trade in old systems and software to generate currency so that they can buy new systems.

“There has been some speculation that the PS4 and the next Xbox will block used games, but Sony’s studio head, Shuhei Yoshida, stated firmly that the PS4 will not block used games. We think that Microsoft would be foolhardy to do so if Sony does not, as we believe that gamers will favor the console that provides them the greatest number of options; in our view, should one manufacturer block used games and the other doesn’t, the latter manufacturer would most likely gain more than 20% market share.

“Accordingly, we do not expect either console to block used games, and we expect GameStop shares to rally for the balance of the year.”

Pachter expects stock in publishers to take an upswing, with Activision having the “most potential” of the lot.

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6 Comments

  1. Mike W

    This will be the first time in history the consoles go head to head, if it’s true they will come out around the same time. Exciting times, my friends, exciting times.

    #1 2 years ago
  2. Hellhound30x

    Nah, its just going to be the Playstation 4…

    #2 2 years ago
  3. Lengendaryboss

    @2 if the rumors about the Next Xbox are true then it might as well just be the PS4.

    #3 2 years ago
  4. NightCrawler1970

    And hopefully PS4(no more out of stock) i remember when they launch PS3 within a week was it out of stock… specialy Bestbuy and Walmart.. a truckload full with PS4 per shop nation wide…

    than it will sells like hotcakes…

    #4 2 years ago
  5. melonbuster1

    Microsoft will be able to make at least 4 million systems for the holiday season. Sony will make 1-2 million. Both will sell what is available but due to the shortage of ddr5 ram the Ps4 won’t have enough systems to compete. Ddr3 won’t be hard to get for Microsoft and they will have both plants producing at peak by end of the 4Q. Sony made a mistake with the ram and that is the only reason Microsoft will win this holiday

    #5 2 years ago
  6. melonbuster1

    But again I will have both with all the best launch games to go next to my Wiiu. . So who really wins … me! !! Hahhaha. Good times are ah coming

    #6 2 years ago

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