What should nintendo do with all the money they are making?

[Rath]

ion-storm said:

Rath said:

 

Nintendo is both more valuable (anymore? I don't know actually but they certainly were) and more profitable than Sony. They have smaller revenue and less employees but thats not really what matters. Nintendo is a little bit similar to Google, both reasonably small, very focused on a single sector and amazingly profitable.

Being as this is only a guess, so no one say I said it was a fact. But I imagine Sony has a lot more money in fixed assets than Nintendo. Remember, revenue is not the only source of money a company has. As a whole I imagine Sony is worth a lot more than Nintendo.

 

A companies value is dictated by the share price and for a time (and possibly still) Nintendo was far more valuable than Sony. Basically people would pay more to own 1% of Ninty than for 1% of Sony, including fixed assets.

 Plus, Nintendo is almost certain to have far larger cash reserves with the massive profits they are currently making.