RolStoppable said:
Your theory is 100% nonsensical and here's why: It doesn't matter what Nintendo forecasts because hardware shipments will ultimately judged by actual performance. For example, if Switch managed 20.5m this fiscal year, it wouldn't matter at all if Nintendo forecasted 19.5m, 20.0m or 20.5m, because the actual performance of 20.5m would be the measuring stick going forward in any case. Secondly, what the stock market is really looking at is the bottom line of a company, so it's about expected profits/losses. Even a company that makes a loss of $1 billion can see their stock rise when their forecast was a loss of $1.5 billion, because they performed above expectations. Now as an example, if Nintendo finished this fiscal year with 19.5m and then forecasted 19.0m for the following fiscal year, that's not necessary going to hurt the stock; because what is important is their profit forecast and that might very well be higher despite lower hardware shipments. That's because software is more profitable and software sales continue to grow even when the hardware has already reached a plateau. In short, you are too obsessed with hardware shipments when it comes to stock price. |
hmm. Ok. And by the way, what would be your explanation for that (I have fucking no clue) :
