Sometimes relatively obscure financial news can bring rather nice vibes for Nintendo and its fans, such as today's confirmation of a fairly meaty jump of over 7% in share price, to 10,330 Yen — roughly $110 / €85 / £73.
While it'd be nice to think that this surge in value was down to a surprise announcement so awesome that the financial markets couldn't contain themselves, the reasons are far more complicated and boring. The weakening of the Japanese Yen currency has been a positive for trading and exporting companies in the region, while solid economic and job figures in the U.S. have played a big part in the jump — 39% of Nintendo's sales are reportedly in the U.S. of A.
Other Japanese companies, including Sony, also saw stock increase as factors like these combined, though it seems that Nintendo's jump was the most significant. It shows that Nintendo's bean counters are very capable at what they do, with the most recent financial results of the company projecting an overall profit for the company of just over $150 million, despite the operations of the business — actually making and selling stuff — set to record a loss, albeit a loss lower than previous years.
Nintendo had a rough spell where a strong Yen and other factors harmed profits, so this piece of relatively good fortune arrives at the perfect time, offsetting a challenging period with some welcome cash in the bank.
In summary we can reveal that, today at least, Nintendo is not doomed.
[source gamesindustry.biz, via google.co.uk]
Comments 36
That was a quick turn around from being doomed last week
prepare for a barrage of lame wall o text rants...
if you want a healthy dose of "NINTENDO IS DOOMED" comments check the comments on any article about Nintendo on the Verge...
... its painful.
@pashaveliki Pretty much any multi-format site's comments on a Nintendo article are endless rants about how poor business performance mean the device they've never used is awful and somehow a personal attack on their "hardcore" values...
There's a Dot after the S in the U.S. of A., methinks.
I couldn't help but smile as I read that last line.
Honestly, I need a steady stream of games on the e-shop to feel confident about the Wii U, not a business report.
Nonetheless, cool article. Nice to hear some good (?) news for a change!
Oh my god, an honest article on the Wii u! how did it end up here? oh well, it's so nice to see a fact based article and not some jerry springer bull crap from internet haters.
.......
still doomed.
They are making money overall? But, but I keep reading Nintendo is DOOOOOOOMMMMMEDDD! This makes no sense? Is the internet not always truthful? Maybe the Internet is DOOMED?!?!?!?!
The time is now to buy stock in Nintendo. Because come October, when Pokemon X/Y comes out for the 3DS and system sales go bonkers, the Nintendo is Doomed crap is going to end for at least a couple of years.
@ritsuka666 It's honest to report negatives, too, the dishonesty would be to say "everything's brilliant and couldn't be better, hooray!". We aim to cover the full picture, even if some of it isn't always the happiest news.
In this case though, as we've said in practically every financial report, Nintendo's in really good shape.
Besides, we often show optimism for Wii U's future prospects, even if you choose to focus on published stories where third-parties are negative or sales are low. We don't make this bad stuff up, but we report it because it's all relevant to the big N.
Fire Emblem helps save Nintendo from financial ruin! .
Nintendo is so doomed, because they are drowning in money.
@ritsuka666 You seem to be confusing "honest" with "stuff I want to see"
Sorry bro, i prefer the good news instead bad news ( I hate pessimism) Anyway,the media is really coming down hard on Nintendo.. I still think it is ridiculously early to be jumping onto the "Nintendoom" bandwagon.
So please, hardcore elitist gamers and others whom have never played a Wii U, explain to me again why Nintendo is doomed.
"This is not a factual article", still doomed, etc
I want to see those people that say "Nintendo should become a third party developer" say it again
Even bigger jumps are to be expected when the new games hit the market and WiiU sales pick up! Good time to dig in !
But, Nintendo is still DOOOOMMMED!!!
But seriously, this is very good news, nice to hear it for a change.
Glad to see Nintendo is doing fine as always, if the company that created some of my most treasured memories with games went away, I would definitely be very sad and frankly would probably quit gaming.
I'm always glad to see Nintendo doing well. I raise a blue potion to Nintendo!
Still, as an owner of Nintendo stock, I'm still kicking myself for not selling during their prime. When the Wii and DS were at their peak, Nintendo's price per share was worth 70 USD. Now they are only worth around 13 USD and some change. Which bodes the question, what is that $110 referring to? It's most certainly not the price per share.
In another word, that's the result from the world wide money printing and hot money flows into the stock market crazily. That's a sign for a huge bubble to be burst soon :/ CRASH!! CRASH!!
I wonder if the MediaCreate sales lists had anything to do with it. I know the ¥/$ ratio was probably the main driving force....but the 3DS still outsold the Vita after a price drop and games being released. It is possible that investors are happy to see that even with such measures, the Vita isn't posing a large threat.
Some have also theorized that the recent interview with Miyamoto about him stepping back to let new people with fresh ideas take over had a part in it. Investors could be thinking that new blood is exactly what the company needs. Considering this isn't the first time he has said it, I doubt this to have any impact.
@ThomasBW84 It baffles me to think that people believe Ninty is anywhere close to being in the kind of financial trouble that would lead to them to go 3rd party. I guess that's the life of the internet where opinion is spread like wildfire as fact. If people actually took a look at their financial reports, they would see that they have enough money to last several decades while taking several hundred million in losses every year.
I also like to think that if Nintendo was ever forced to shut down, that they would take their franchises with them instead of pulling a Sega and basically ruining them.
Nintendo, doomed since 1889.
This is just the calm before the DOOM
I'm gonna sing the doom song now!
Doom doom doom doom doom doomy doom doom doom...
LOL, the Nintendo doomed talk is getting played out. All the info is discussed here. Even Adam Sessler is staring to doom Nintendo, because of January NPD sales! OMG I used to have some respect for him, but now I have none.
.............Is it just me, or does anyone get this sudden urge to play Fortune Street every time they hear a topic on Stock's? xD
Hooray for currency getting weaker!
Great! Glad to see that Nintendo is getting back on track.
Give it a week, the doom sayers will come back
@moo99 I see what you did there...
@Magolor The Doomsayers will always be there, turning up their noses, as every Mario game outsells theirs 11 to one. Nintendo has been around 120 years- few competing studios are around more than 3 years. But, doooooomed!
"Nintendo's Stock Price Jumps Higher than Mario"
Surprising considering Nintendo really is struggling at the moment!!
Nice article Thomas.
not higher then a running start triple jump in super Mario 64
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