Blogger Analyst: Xbox is 3% of Microsoft's Value

[supercat]

Killergran said:

supercat said:
It's basically saying that the 360 brings in a horrible rate of return for the amount invested in it, even for the most recent quarters.

Wait! Did we read the same article?

 

Where did it say that?

I'm forming my own conclusions from simple math: 

 

Ms's games division got 375 million in profit most recently, which is 4.5% of total profit, but the firm lists this as 3% of it's value, implying

that the profit coming from this division generates less return on investment than the other ones.  Basically it takes more resources to generate a profit from the games division than the other divisions if of course, we can consider the trefis model as valid.