Nintendo's stock is down 20% since Super Mario Run came out ~updated~

[mountaindewslave]

VAMatt said:

Darwinianevolution said:
So, despite winning a decent amount of change, getting all the brand advertisement the mobile market can get, and being one of the biggest paid apps right now (and still having to release on Android), the investers think this is somehow bad? What did they expect, Pokemon Go level of success? These two apps are very different. Investers sure are picky.

Stock prices are a reflection of investors' expectations for the future.  So, the day before Run came out, the bid/ask prices of Nintendo stock factored in X number of downloads of run, resulting in Y dollars of revenue and profit.  Once the game launched, investors have real data to work with, rather than guesses and estimates.  So, the bid/ask prices are adjusted accordingly.  

In other words, its not about investors thinking its bad.  It is about the results falling short of expectations.  

the problem is, who's expectations? the reality is some of the expectations are made off of whims and nothing concrete. You have random analysts writing articles claiming for no clear reasons that something Super Mario Run (which isn't free) should magically get downloaded as much as Pokemon GO

 

the reality is things like stocks are effected by the media and what they read and hear constantly. a number of economic journalists hyped up expected numbers on a whim to get clicks and then got investors over excited. Its that simple

Nintendo's stock has been extremely volatile lately, I think the jumps say less about Nintendo and more about the type of people currently investing in the company (i.e. people hoping to make a quick buck and looking for a Pokemon GO situation to occur again, where overnight the stock doubles or something)