so atari was profiitable for 4 years... and this is comparable to Nintendo how?

It can happen to Nintendo and Microsoft, and it can happen to Sony.  It's just something to think about.

Considering what Microsoft is going through now, Microsoft is a prime candidate.  Competent companies don't misfire like they did with the XBOX ONE.  They combined the misfiring of Sony with the PS3 (flip crab, $599) with the misunderstanding of DIVX.  They are seeing their situation being threatened now also, as they lost a foothold in the portable arena, where the growth is.  And we should all know the red ink Sony has been bleeding.  But people who are console loyalists happen to not thing it is possible with their company.  It can happen.  I am one who had backed Atari and Sega back in the day.  It can happen.

You want me to compare profitability of companies as the benchmark?  How profitable was General Motors?  They went through bankruptcy.  They were THIS close to even not being in the videogame business, if they hadn't allowed Miyamoto do do what he did with Donkey Kong, despite management protesting.  I do recommend reading "The Chaos Imperative" on how unpredictability is essential, and how companies define themselves and change.  Heck, Nintendo now isn't who Nintendo was before Donkey Kong.  They do still put out playing cards, but they are noted for video games now, and did a number of other things they aren't doing now. 

What is the story of Nintendo when Miyamoto retires?  And if you are seeing this JUST about Nintendo, you are a Nintendo loyalist who can't fathom things changing.  If you go back to the original post, I didn't just mention Nintendo.  I also mentioned Activision.  This is a general thread about how companies come and go, despite what you think otherwise.  Atari wasn't around forever at all, eventhough people thought they were.  Things got so messed up with Atari, that even Bushnell couldn't save them later as a brand.

I could go on here.  Anyone remember Blockbuster?  Netflix did them in.  

I guess it's time to sell my Spirograph stocks

Why are people talking as if Miyamoto is keeping Nintendo running? I thought he was training the younger devs nowadays and taking a less...up-front role.

Anyways, when somebody says Nintendo will be around it's just in response to people who instantly shout doom at every little stumble.

They don't literally mean they'll be around "forever." They just mean they'll be around a long time from now because the fact that they makes sure to keep a warchest close to them, have been profitable for the majority of their years, keep their franchises at a quality that continues to keep them in high demand, don't sell hardware at big losses and don't really do the seemingly unsustainable high budget sell-or-bust thing inspires confidence in their future financial state and longevity.

Just like Microsoft seems of their game with their top management leaving (since Gates left, Microsoft hasn't been keeping up), Nintendo is going to face issues when Miyamoto retires.  Most of the noted IP at Nintendo that makes Nintendo, Nintendo, is due to him.  He is THAT important to Nintendo and the videogame industry.  You have some exceptions, but the core of what is Nintendo is him.  And I think, if you end up thinking Miyamoto training people means that he is going to impart his own innovation, and genius, something is off there.  That is more of the same.  What is needed is new stuff, that are different and hit the market differently.

What Nintendo is facing is the strategy of not selling a console at a large loss means they are producing consoles that don't have a long enough lifespan.  With the WiiU, unless the second screen shows itself as a must have feature, they have their recycling of old IP to lean on.  This is NOT a good place to be in.  To have the 3DS be relevant, Nintendo had to dip in the selling at a loss.

Thing is now, they aren't producing the next must-have IP at all.  And when you are here, your days are numbered.  It happened to Atari, and can happen to others.  And if you think this is just about Nintendo, you miss the point.

Nothing lasts forever but staying profitable helps which is something Nintendo is really good at

It's like many things in life. You know you could die any minute now... for whatever reason. This could happen, it's a possible outcome. It doesn't mean it will happen,

Miyamoto doesn't even work on most of the games he created anymore.