Nintendo's announcement today with DeNA, in which it revealed a new corporate partnership and plans that include bringing its IP to smart device games, brought a fevered reaction among analysts, fans and intrigued observers. The announcement did come after the Japanese stock market had closed for the day, however, delaying any impact to share prices in the Tokyo exchange until 18th March.
There has been a positive impact in the company's overseas share holdings, however, with significant increases in NTDOF and NTDOS values in the US market. There are huge increases of over 20% in value at the time of writing, in both cases bringing the highest values over the last 12 months. The graphs below were accurate as of 15:50 UK time on 17th March.
We'll see how these close later today, and how the core share value is impacted in the Tokyo market tomorrow. This positive reaction - and increased activity - is no surprise considering the continued calls from investors for Nintendo to move into the smart device market.
[source bloomberg.com]
Comments 30
Everything will be fine. It's fine.
Yay...
In case anybody is wondering if this due to a market wide event, DOW is down 1%, S&P 500 down .7%, NASDAQ down .25%, so this is all Nintendo's doing.
@Punished_Boss_84 really? I'm scared and confused! Tell me it'll be fine and I'll believe you... Is it going to be fine?
@rjejr
Nintendo announces games for smartphones, its share value increases and you wrote Nintendo without any misspelling. World's End is at hand
@AhabSpampurse
Nintendo need to do this.
I don't know jack $#|+ about the stock market. Will someone please explain this to me like they're explaining it to a six year old?
wow, good job Iwata.
@allav866 basically its a sign that the market likes the move
And people say Nintendo don't listen to their fans
@allav866
Company reveals good things, investors jump in, share price goes up (saleable stocks). In a nutshell, it's like gambling.
Wow i guess announcement is actually helping them,good.
@allav866 It's very meta. The share value simply goes up because more investors want to buy the shares. In general, that means investors believe the company will soon become more profitable, at least in the short term.
Not releasing standard new 3ds, followed by an announcement of smartphone games... I know money drives companies but this is so obvious, not wrong, just obvious.
@hiptanaka @Punished_Boss_84 @foodmetaphors Thanks. I think I get it now.
@hiptanaka @Punished_Boss_84 @foodmetaphors Thanks. I think I get it now.
@jeb_leeds How many stocks did you bought from Nintendo before the rise of stocks? (It's so obvious to you, you gonna be rich).
I knew I should have invested last summer.
Of course it went up. If Nintendo announced tomorrow they were dumping their hardware division and making games for Playstation and XBOX it would go even higher. People who invest in stocks care about moves they think will be more profitable; right now there's probably a lot of people out there thinking Nintendo should give up on console dev because R&D is a significant investment in cash they could be paying out as dividends instead.
I think it remains to be seen whether this is a good move or not, but a share price spike isn't anything more than gamblers rejoicing at what they think is a sure bet - doesn't mean it's the best choice for Nintendo.
@sinalefa - I only spelled it correctly b/c @Punished_Boss_84 asked me a few days ago why I always spell it incorrectly, and he had the first post, so I made sure to correct it for him. (It'll never happen again, not even in this post.)
I saw Wario World, got happy, and thought that Gamecube VC was announced
Stock prices fluctuate over the most mundane things. :/
It's not the most mundane things, it's easily the biggest prospect of big profits for Nintendo in the last 5 years.
30% rise is a significant even if it is a daily rise. Hype raises hype, even on the markets. Now Im glad that I bought the stocks when they were cheap
Oh... and Nintendo's own buyback operation less than a year ago now seems like a damn fine things. Nicely played Nintendo. Few more days and Nintendo already made back the money it spent on the buyback.
Now just announce the freemium Mario-Village title and make it good and you'll have WAY too much of my money that I have so far reserved not to use on freemiums
Although to be honest I don't own a single share. My son owns them, but since he was born 2014 I still have quite a few more years as the legal guardian of his assets
Oh wow. Congrats to whoever owns Nintendo' stock.
Because of the Wario World picture, all I can think about is how good greed is.
It was an extremely good move on Nintendo's part, both the DeNa announcement and the reassurance of continuing hardware with NX. Glad to see their share value went up because of it.
It is an amazing spike but am hoping it will continue on a steady rise until it reaches at least 3 times of what it is now.
Well, Nintendo just gave the investors exactly what they wanted... It remains to be seen whether either the investors or the loyal customers come first from now on... The stock market is just a glorified, legalized gambling arena which primarily only serves the wealthy...
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