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Forums - Nintendo Discussion - Nintendo Stock has NOT Recovered, Apologists!

SpokenTruth said:

Ah. 

I think there is an inherent flaw with using stock as a measure of corporate health.  Or trying to predict dips and recoveries based on how we as gamers see the company.  Stocks can fall even on a healthy company if their profits are stagnant.  A company can have great profits year after year but if those profits are not increasing, chances are good that the stock will actually fall.  Stocks can ride waves of minor information for us and never budge at all on news we consider fantastic.



He's lying btw. Here's the post that set him off.

http://gamrconnect.vgchartz.com/post.php?id=7595185



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The big question is whether Nintendo understands the modern core video game market and will make products to meet that market.

Profits come from people for whom gaming is an important hobby or leisure activity. And when you are only catering to a small segment of that market your business model will struggle.

You can do 2 things: meet the market; or try to change the market. They tried to change the market with Wii and it succeeded for 4 years. But it turned out they didn't really change the market at all. With Wii U they seemed to totally misread the situation. And we all know that portable gaming is all about the phone. So Apple, in particular, ended up changing the market out from under Nintendo.

So, what are they going to do now? Are they going to try to meet the market or change the market?



“The fundamental cause of the trouble is that in the modern world the stupid are cocksure while the intelligent are full of doubt.” - Bertrand Russell

"When the power of love overcomes the love of power, the world will know peace."

Jimi Hendrix

 

SpokenTruth said:
VitroBahllee said:

Wyrdness argued that it would recover to what it was before its giant  drop, and then go on to be even higher. It has gone from 16 to 17 to 16.50 from 15, I wouldn't call that a recovery. I was arguing that it is now substantially lower than what it was when he argued it would now recover, months ago. It's just gotten worse, and the fact that it's gotten a little better from being worse than it was when it dropped doesn't mean it has 'recovered.' It hasn't returned to what it was after it had its big 'mobile delay' drop, let alone to what it was BEFORE, which is what he was arguing.

Ah. 

I think there is an inherent flaw with using stock as a measure of corporate health.  Or trying to predict dips and recoveries based on how we as gamers see the company.  Stocks can fall even on a healthy company if their profits are stagnant.  A company can have great profits year after year but if those profits are not increasing, chances are good that the stock will actually fall.  Stocks can ride waves of minor information for us and never budge at all on news we consider fantastic.



 

I agree with you. I personally feel Nintendo are going to clean up with the NX and they will eventually be dominant in mobile. I was simply arguing that their short term prospects in terms of stock won't improve until after they put something out for mobile besides Miitomo, which isn't very exciting for investors and not what they were expecting. My original argument was more about Miitomo then the stock, but so far things are exactly as I thought they would be.



Vitro, are you an expert on stock? It's off topic but I would like to know so I can hassle you in the future if I have some financial questions :)



SWORDF1SH said:
Vitro, are you an expert on stock? It's off topic but I would like to know so I can hassle you in the future if I have some financial questions :)

 

Haha, not at all. But feel free to hassle me haha I'm good at googling, I might still be able to help haha



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That's what I thought. Once I stated my position clearly, my main detractor has nothing to say.





In this day and age, with the Internet, ignorance is a choice! And they're still choosing Ignorance! - Dr. Filthy Frank

I don't think I ever commented about Nintendo stock but I did probably think they would recover so -- I'm sorry. From the bottom of my heart, I'm sorry.

There. Feel better?