Nintendo's stock price plunges 5 percent after press event

Nintendo has taken it on the chin in terms of its recent financial situation. The announcement of its upcoming Nintendo Wii U console back at E3 2011 in June caused Nintendo's stock price to drop over 10 percent as investors were unimpressed by its hardware. The company's stock price took yet another hit in July as Nintendo slashed the price of its portable Nintendo 3DS console in an effort to boost the poor sales of the 3D-based device.

On Tuesday, Nintendo held a press event just a couple of days before the opening of the Tokyo Game Show where it showed off a number of upcoming Wii and Nintendo 3DS games and hardware products. But the event was yet another disappointment for investors. Reuters reports that the company's stock price went down 5 percent in trading after the press event. One of the reasons for the stock price decline was that there was no announcement by Nintendo concerning launching its games on mobile phone platforms. Mitsushige Akino, chief fund manager at Ichiyoshi Investment, said, "Nintendo succeeded by pulling in people who weren't gamers and their needs now are no longer being filled by Nintendo, they are happy playing games on their mobile phones." Nintendo's stock has been cut by almost 50 percent so far this year.

At the press event, Nintendo announced an upcoming software update for the Nintendo 3DS console that according to Joystiq will allow users to access 3D video capture features. The update will be released in November. Nintendo also announced that the console would get a hardware accessory that adds a second analog control pad. It will launch in Japan on December 10 but there's no word when it will be made available here in the US.

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9 Comments

Blimey, why are these guys so hung up on Nintendo releasing their games available for Smartphones! Any Nintendo fan (or fanboy) worth their weight knows, off the top of their head, that Nintendo has stated previously they'll only make their games for their systems as they can control the perfect synergy between hardware and software - if they cannot make the hardware, they will no longer make the software. These investors should have known that before investing - do some bloody research!

This is no more ludicrous then asking Apple to make OSX available for all PCs.

The Teej said,
Blimey, why are these guys so hung up on Nintendo releasing their games available for Smartphones! Any Nintendo fan (or fanboy) worth their weight knows, off the top of their head, that Nintendo has stated previously they'll only make their games for their systems as they can control the perfect synergy between hardware and software - if they cannot make the hardware, they will no longer make the software.

If they cannot adapt to change they will die.

The Teej said,
Blimey, why are these guys so hung up on Nintendo releasing their games available for Smartphones! Any Nintendo fan (or fanboy) worth their weight knows, off the top of their head, that Nintendo has stated previously they'll only make their games for their systems as they can control the perfect synergy between hardware and software - if they cannot make the hardware, they will no longer make the software. These investors should have known that before investing - do some bloody research!

This is no more ludicrous then asking Apple to make OSX available for all PCs.

They're investors, they're only in it for a quick buck. They don't actually care about the games or have the intelligence to be able to research.

Skyfrog said,
If they cannot adapt to change they will die.
And by that (flawed) logic MS and Sony's game divisions will also die cause they're not discontinuing their hardware and canceling all their console games in favor of putting all of them on phones.


And by that (flawed) logic MS and Sony's game divisions will also die cause they're not discontinuing their hardware and canceling all their console games in favor of putting all of them on phones.

Yeah, they are totally ignoring it. I mean integrating xbox live with Windows phone 7? Creating a Sony Xperia Play to integrate the playstation brand with their phones? So behind the curve. Should I add a sarcasm tag or do you get it?

No-one is saying that they need to close-up console production and migrate, all they're saying is that there needs to be some continuity between all platforms as opposed to Nintendo completely turning a blind eye to the incredibly popular mobile phone market.

empty said,


Yeah, they are totally ignoring it. I mean integrating xbox live with Windows phone 7? Creating a Sony Xperia Play to integrate the playstation brand with their phones? So behind the curve. Should I add a sarcasm tag or do you get it?

No-one is saying that they need to close-up console production and migrate, all they're saying is that there needs to be some continuity between all platforms as opposed to Nintendo completely turning a blind eye to the incredibly popular mobile phone market.

the problem is not everyone has a smart phone, or wants to pay for one or it's dataplan.... especially kids parents who generally guy these things for their kids!

Stewart Gilligan Griffin said,

the problem is not everyone has a smart phone, or wants to pay for one or it's dataplan.... especially kids parents who generally guy these things for their kids!

The iPod Touch and iPad don't require a data plan. Neither do unlocked phones.

ahhell said,
Uh....the whole market has been down in the past few weeks.

don't you dare put logic into this!!!!!! I love all these x company is doing bad this year, yeah well almost everyone is!

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