Turkish said:
StarDoor said:
How would PlayStation alone be worth more than Nintendo when Sony has five divisions that are more profitable than PlayStation, yet the overall market cap for all of Sony combined is only 5% higher than Nintendo?
Apparently, you must think that Sony could multiply its stock value by six times if all of its divisions split up into separate companies.
Also, saying that Sony sells more consoles is dubious, since the only timeframe for which that's true is the last 4 years:
http://gamrconnect.vgchartz.com/thread.php?id=230847&page=1
They've only sold more since the PS4 launched: In other words, they've sold more only when you look at Nintendo's worst generation and exclude the 3DS's best two years on top of that. During the fifth gen, Nintendo was ahead. During the sixth gen, Sony and Nintendo sold nearly equal amounts. During the seventh gen, Nintendo was significantly ahead. Only during the eighth gen has Sony been significantly ahead.
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Saying Sony selling more consoles is not dubious lol, it's a fact. You don't need to go 5 or 10 years to claim otherwise. "nintendos worst generation" is an excuse, can also be said about "sony's worst generation".
KLAMarine said:
It's difficult for me: I'm not in the habit of looking up financial reports but going off of some recent articles, sounds like Nintendo has done pretty well:
Nintendo: $190 million in profit out of $1.38 billion in net sales
https://mynintendonews.com/2017/07/26/nintendo-returns-to-profit-thanks-to-nintendo-switch/
PlayStation: $160 million in operating profit out of revenue of $3.15 billion
http://comicbook.com/gaming/2017/08/01/playstation-4-sales-slump-gaming-profits-down-sony-earnings-report/
I'm not a business major, far from it. I believe profit and operating profit are two different things as are net sales and revenue so these figures are likely not directly comparable...
Also, are these for the same periods of time? I often hear about quarters and to this day, I'm not entirely sure what time periods these quarters span...
Seriously, this financial stuff just doesn't interest me much. I just hope the games I like are successful.
So? Has a representative poll been done worldwide?
Your travels covered 3/4 of the world? You polled 5.6 billion people on this matter in your travels?
Over 30 years for Nintendo.
This may be so but why is it that by the metric YOU brought up, Nintendo is currently valued more highly than PlayStation?
Why might this be?
Recall you stated before that
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Yeah they're for the same period, last quarter. I'm comparing operating income for both companies, which is exactly what those numbers are.
JWeinCom said:
Yeah, I used Sony when I meant playstation. My bad. I still have no idea how showing that the games/services division made more money in one quarter shows that they are more profitable. That's like... not how business works.
If you meant fastest selling, you should have said fastest selling... because that is not synonymous. Either way it's completely irrelevant to the point you were making. Again, Sony lost money as they launched the PS4. So there's no reason to expect a launch to be a profitable time, or to expect that this will be the most profitable point of the switch's lifespan.
As I've said several times... market cap is not the value of a company... Even if it were, Sony's market value is slightly higher than Nintendo's... that's all of Sony. So unless every other Sony division is less than worthless (worth negative dollars) then I don't see how the playstation division can be worth more than Nintendo.
Playstation 4 is the most popular console on the market... which doesn't really have much to do with whether the Playstation division is worth more than Nintendo. But yay for them, I guess?
Of course Sony ain't lying. I'm sure Sony has people who know how to properly evaluate a company's worth, and wouldn't be saying these kinds of nonsensical things.
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Most popular console and fastest selling console mean the same thing in that context, it is factually the most popular console for the same timeframe. How else would you interpret that? That a console 4 months on the market is already their biggest selling, why would I ever claim that?
"So unless every other Sony division is less than worthless (worth negative dollars) then I don't see how the playstation division can be worth more than Nintendo"
Look at the Ebay situation, when they spun off Paypal, it overtook its parent company's market cap, now it's worth double.
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