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Forums - Sales Discussion - Nintendo shares fall to seven month low

The entire Japanese market is in the dumper. Just about every major company in Japan is off 25-30% from their highs. It's not like Nintendo is being punished any more or less than other companies, but it still sucks for those of us holding shares. Japan is pretty much in full recession mode and 2004 must weigh heavy on Japanese investors.



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Kyros said:
The shares were ridiculously high anyway. Its just a small company. These are neccessary adjustments.

You have an interesting definition of "small".

 



I don't need your console war.
It feeds the rich while it buries the poor.
You're power hungry, spinnin' stories, and bein' graphics whores.
I don't need your console war.

NO NO, NO NO NO.

ZenfoldorVGI said:
Kyros said:
The shares were ridiculously high anyway. Its just a small company. These are neccessary adjustments.

You have an interesting definition of "small".

 


Nice cherry picking, now show us the total net profits for each company by year.



FishyJoe said:
The entire Japanese market is in the dumper. Just about every major company in Japan is off 25-30% from their highs. It's not like Nintendo is being punished any more or less than other companies, but it still sucks for those of us holding shares. Japan is pretty much in full recession mode and 2004 must weigh heavy on Japanese investors.

 You know what the main man of investing always says though.  "The Market is built on fear and greed.  Only be fearful when everyone else is greedy, and greedy when everyone else is fearful."



Kasz216 said:
FishyJoe said:
The entire Japanese market is in the dumper. Just about every major company in Japan is off 25-30% from their highs. It's not like Nintendo is being punished any more or less than other companies, but it still sucks for those of us holding shares. Japan is pretty much in full recession mode and 2004 must weigh heavy on Japanese investors.

 You know what the main man of investing always says though.  "The Market is built on fear and greed.  Only be fearful when everyone else is greedy, and greedy when everyone else is fearful."


Good advice :)



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Buy on the rumor, sell on the news. The holiday season has reported in, and most larger investors that move money about, leave to seek other plays for their money.

Potentially, with Wii Fit and even more so, Brawl doing so well in Japan, the 'rumor' to buy would be that both would do very well in America and Other. Brawl, being just a disc, will bring in better profits for each one sold, than Wii Fit with its accessory most likely not having the same profit margin over it. That is, the cost to produce one more Brawl well



Torturing the numbers.  Hear them scream.

" its not that small, its one of the biggest Japanese companies, and a market leader"

Yes but it has a revenue of ~5billion (4.5b 2006) Just as comparison Sony has 70billion revenue, Microsoft 50b.
It may be a market leader but in a small niche of the market.



kingofwale said:
> Entertainment is always a necessity,

hmmm, how is Entertainment a 'necessity'? When someone loses his/her job, entertainment cost is first to go, you think they'd still buy their kid that 50 bucks game per week/month if they are living on unemployment insurance?

Expect stocks to drop further, nobody is foolish enough to buy stocks in huge numbers when the market is clearly going into recession

 On both topics you are wrong, first off, even during recessions and depressions the entertainment industry has done well in the US, go look at the history of those industries, a cheap system like Wii which can be enjoyed by the whole family will do quite welleven in a downturn.

 

Also a recession or a depression is sometimes the best time to buy stocks in a strong company, fortunes were made during the depression by those who were smart enough to know when to get into the market



 

Predictions:Sales of Wii Fit will surpass the combined sales of the Grand Theft Auto franchiseLifetime sales of Wii will surpass the combined sales of the entire Playstation family of consoles by 12/31/2015 Wii hardware sales will surpass the total hardware sales of the PS2 by 12/31/2010 Wii will have 50% marketshare or more by the end of 2008 (I was wrong!!  It was a little over 48% only)Wii will surpass 45 Million in lifetime sales by the end of 2008 (I was wrong!!  Nintendo Financials showed it fell slightly short of 45 million shipped by end of 2008)Wii will surpass 80 Million in lifetime sales by the end of 2009 (I was wrong!! Wii didn't even get to 70 Million)