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Nintendo shares plummet 18% following loss warning

Monday, 20th January 2014 08:16 GMT By Dave Cook

Nintendo’s shares have dropped 18% following the company’s financial report, published last week.

It follows our report on Nintendo’s financials, which saw the company posting an expected $336 million loss. We also wrote a blog suggesting that it is perhaps time for Satoru Iwata to resign.

Now, the BBC reports that following publication of Nintendo’s projected ¥35 billion / $335 million / 205 million loss, the company’s stock fell to ¥11,935 a share on the Tokyo Stock Exchange today. It amounts to a drop of around 18%, says the site.

In response to last week’s profit warning, analysts chipped in to suggest that Nintendo must move into new formats to survive, including mobile.

What’s your take on Nintendo’s current situation? Let us know below.

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14 Comments

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  1. Hyperx64

    Unless Nintendo releases a new console that matches the Xbox One & PS4 specs. Then I think going multi-platform would be great.

    A powerful Nintendo console. With a controller. Like they used to make. They way Nintendo became successful and a household name in the first place!

    #1 6 months ago
  2. The_Red

    @1
    Releasing a super powerful console would only increase Nintendo’s losses. It would be GameCube all over again but way too late with much fewer 3rd party titles and no exclusives like Resident Evil 4.

    #2 6 months ago
  3. FeaturePreacher

    I think Nintendo has already figured out that they can’t compete with technologically superior companies like Sony and MS. If they are making new hardware, my bet is that it will be a7 inch tablet where they control the ecosystem.

    #3 6 months ago
  4. SplatteredHouse

    Don’t make the mistake of getting all caught up on the tech specs in this matter. They would not be in such a place if they were offering a competitive service in tune with what their customers wanted to support/buy. If the things were meeting their goals, then they would be fine. They need a top-down rethink. They need to offer a rebooted Nintendo, and their American Mr SpikeTV cheerleader’s got to go. He doesn’t have the facility to stand up for his region. I don’t get the impression Europe even exists as a strategy cornerstone to Nintendo. Why the hell would I buy from a group that views my part of the world as a secondary market?
    Waiting on Japan> foolishness.

    #4 6 months ago
  5. xxxGamesMasterxxx

    Goodbye Nintendo. It was nice knowing you. lol

    #5 6 months ago
  6. dotfaust

    Imho Nintendo still have a chance to salvage decent sales from the wii u by cutting the tablet controller as on optional peripheral in order to lower the price another $50. The games I play on the system (mario 3d world, wind waker) dont even fully require the tablet, I get by on wii motes and the pro controller.

    They shouldn’t go multiplat/software only, Sega is the perfect example of what would happen.

    #6 6 months ago
  7. Legendaryboss

    @5
    Nintendo is not going anywhere just yet.

    #7 6 months ago
  8. dreamcastnews

    @6 they could easily just drop the price anyway. Only way out of this is to get people buying the system, there’s loads of people I’ve seen that are waiting for the price to drop to pick one up to go along side their Xbox One or PS4.

    #8 6 months ago
  9. Dragon

    ^ And that is anecdotal.
    There is no sustainable console market for “second console”. That is non-existent.

    You would never hear a hardware manufacturer say that. People don’t generally 2 things for doing the same thing (playing games in this case).

    #9 6 months ago
  10. dreamcastnews

    That maybe true, but honestly last night a local game store to me had a Facebook poll about what systems are best suited for them and most were saying XBO/PS4 with Wii U or buying a Wii U when it goes cheaper for ‘Nintendo stuff’ I can citation if required?

    #10 6 months ago
  11. SplatteredHouse

    @6 You mean you’re concerned that Nintendo might turn overnight into a half-assed lackadaisical publishing arm, reliant upon outside developers to release anything of worth, even based on its own legacy IP. The horror!

    #11 6 months ago
  12. dotfaust

    @splattered well I’m not saying they wouldn’t find success doing any of that, my main concern is the quality of their “first party” titles. I think we can all agree Sonic games can’t hold a candle to Mario games these days.

    #12 6 months ago
  13. antraxsuicide

    The problem with the “Second Console” demographic is that it’s shrinking. The average age of gamers is going up all the time, and with that, the average amount of free time goes down. I’m getting to the point where I legitimately think I’ve only got room in my life for one console (unless I resign myself to a MASSIVE backlog).

    And between the 3 consoles, I’m definitely not getting a Wii U. Not with the support it’s getting. I’d only end up buying another console anyway, and I can’t get my money’s worth out of 2 consoles.

    #13 6 months ago
  14. dizzygear

    “What’s your take on Nintendo’s current situation? Let us know below.”

    After this and this i love to see them bleed. A good beating did Sony pretty good after all.

    Maybe Nintendo will finally pull its head out its ass and realise bullshit like region locks, backwards ass online systems, eShop games that are tied to the hardware their bought on instead of the account, censorship and those godawfull Mii’s is not doing them any favours.

    #14 6 months ago