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View Full Version : Sony stock slides 2.75 percent on PS3 concerns


RobertoOrtiz
10-04-2006, 06:50 PM
Quote:
"
Analysts downgrade electronic giant's stock following reports of PS3 malfunctions at TGS and "disappointing" PSP sales.

By Tor Thorsen (http://www.gamespot.com/pages/profile/index.php?user=thorsen-ink), GameSpot (http://www.gamespot.com/) Posted Oct 3, 2006 5:03 pm PT

The PlayStation 3 launch (http://www.gamespot.com/events/ps3launch/index.html) is now just over six weeks away, and Sony Corp. stockholders are apparently getting nervous. Today, the Japanese electronic giant's share price slid 130 yen ($1.11) to 4,600 yen ($38.98) on the Tokyo Stock Exchange, a decline of 2.75 percent.

According to several news-service reports, the stock drop came after two major analysts downgraded Sony's stock on concerns about its gaming division, Sony Computer Entertainment. "We have adopted a cautious view of the impact of the [Sony] game business on the electronics business this term,'' Goldman Sachs analyst Yuji Fujimori told Bloomberg. Fujimori downgraded Sony's rating from "buy" to "neutral" citing "confusion over the release of PlayStation 3 and concerns [about] disappointing sales of [the] PlayStation Portable," according to the Associated Press. "



>>LINK<< (http://www.gamespot.com/news/6159254.html)

-R

RuinedMessiah
10-04-2006, 07:05 PM
Wasn't this the same regional analyst who stated the japanese price drop before launch was disappointing? Oh well, time will tell. Console launches are not for the timid.

thoughtlesswhisper
10-04-2006, 08:27 PM
I read about this on the train to work this morning. It was in the metro strangely enough. It seems fair considering the delays and psp sales. The article in the metro also stated that at the TGS show, all 200 consoles on show had to constantly be reset and configured due to intense over heating. Sony blamed the kiosk cases. Its not surprising. Its a haul ass piece of hardware so its obviously gonna kick out a lot of heat. Just like the 360 and any pc of equivalent power.

Our technician told us hes had first hand experience with the ps3 kits. Not the huge pc sized dev kits, but smaller finalized hardware and they said its so heavy you literally cant hold it with one hand. Sonys uphill struggle seems to continue.

ParamountCell
10-04-2006, 08:58 PM
Link (http://www.bloomberg.com/apps/news?pid=conewsstory&refer=conews&tkr=NTDOY:US&sid=aK7nIvKe7maw)

Nintendo Shares Jump to 6-Year High on Profit Outlook (Update1)
By Dave McCombs

Oct. 4 (Bloomberg) -- Shares of Nintendo Co., the world's biggest maker of handheld video-games, jumped to their highest in more than six years after the company raised its full-year profit, citing sales of its DS model and a weaker-than-expected yen.

The stock jumped 4 percent to 24,760 yen as of the 11 a.m. close on the Osaka Securities Exchange, after rising to as much as 25,100 yen, the highest since Feb. 21, 2000, when the shares closed at a record 25,350 yen. The earnings forecast announcement came after the market shut yesterday.

Nintendo's touch-screen DS player and software such as Nintendogs, an interactive pet game, are helping the company fend off competition from Sony Corp.'s PlayStation Portable. The Kyoto, Japan-based company next month will release the Wii game console, which has a motion-sensor remote controller and a lower price than Sony's delayed PlayStation 3.

Nintendo's market share will probably ``turn up in the next cycle, assisted by the success of the DS portable game console, which the company released ahead of the Wii platform, as well as lower prices compared with competing products, active third-party game developer activity, and the postponement of the PS3's debut in Europe,'' Atsuko Kaneko, an analyst at UBS Securities Japan Ltd., wrote in a note to clients dated yesterday.

Net income will climb to 100 billion yen ($847 million) for the year ending March 31, compared with a July estimate for 83 billion yen, the Kyoto-based company said in a preliminary earnings statement yesterday. Nintendo reported 98.4 billion yen profit a year earlier.

Nintendo shares have soared 83 percent in the past 12 months, on better-than-expected sales of DS players and rising expectations the Wii console will lure new users to video games.

To contact the reporter for this story: Dave McCombs in Tokyo at

mummey
10-05-2006, 12:31 AM
Paramount: something like that deserves its own thread. Posting it here gives the appearance of "awaking the trolls".

thoughtlesswhisper
10-05-2006, 12:32 AM
The Wii is really gonna rock man. I only found out today that BOTH the nuchuk AND the wiimote have motion sensors in them. You can use both hands for things such as dual gun wielding, boxing, running etc... It frigiin amazing. I hope this is true, because that really is going to bring new gamers to the seat.

I had small probs with the controller before i new this because i assumed you would still need a dual analoge. But this as it turns out still is in some way a dual analogue. Some might say a better version. Well have to wait and see. But that small difference has got me really interested/excited.

RobertoOrtiz
10-05-2006, 01:18 AM
Link (http://www.bloomberg.com/apps/news?pid=conewsstory&refer=conews&tkr=NTDOY:US&sid=aK7nIvKe7maw)

Nintendo Shares Jump to 6-Year High on Profit Outlook (Update1)
By Dave McCombs

Oct. 4 (Bloomberg) -- Shares of Nintendo Co., the world's biggest maker of handheld video-games, jumped to their highest in more than six years after the company raised its full-year profit, citing sales of its DS model and a weaker-than-expected yen.

The stock jumped 4 percent to 24,760 yen as of the 11 a.m. close on the Osaka Securities Exchange, after rising to as much as 25,100 yen, the highest since Feb. 21, 2000, when the shares closed at a record 25,350 yen. The earnings forecast announcement came after the market shut yesterday.

Nintendo's touch-screen DS player and software such as Nintendogs, an interactive pet game, are helping the company fend off competition from Sony Corp.'s PlayStation Portable. The Kyoto, Japan-based company next month will release the Wii game console, which has a motion-sensor remote controller and a lower price than Sony's delayed PlayStation 3.

Nintendo's market share will probably ``turn up in the next cycle, assisted by the success of the DS portable game console, which the company released ahead of the Wii platform, as well as lower prices compared with competing products, active third-party game developer activity, and the postponement of the PS3's debut in Europe,'' Atsuko Kaneko, an analyst at UBS Securities Japan Ltd., wrote in a note to clients dated yesterday.

Net income will climb to 100 billion yen ($847 million) for the year ending March 31, compared with a July estimate for 83 billion yen, the Kyoto-based company said in a preliminary earnings statement yesterday. Nintendo reported 98.4 billion yen profit a year earlier.

Nintendo shares have soared 83 percent in the past 12 months, on better-than-expected sales of DS players and rising expectations the Wii console will lure new users to video games.

To contact the reporter for this story: Dave McCombs in Tokyo at


I am postig this on its own thread, to avoid warfare.
-R

ParamountCell
10-05-2006, 02:33 AM
"awaking the trolls".

lol that would be a cool name for a movie.

EnlightenedPixel
10-05-2006, 01:50 PM
lol that would be a cool name for a movie.

A Sci-Fi Channel Original!

Neil
10-05-2006, 08:26 PM
This is just a gateway for the playstation haters to come out.

RuinedMessiah
10-05-2006, 09:58 PM
Well yes, and no. Because, historically speaking, Sony always gets the stock worries before launch. Playstation, Playstation 2, and now Playstation 3. I expected this news, actually.

Also, the view of this news is rather limited. The analysts who dropped the expectations of Sony based on PS3 were the same analysts who claimed the price drop in Japan was a bad sign and indicative of "giving in already." It also mentions PSP as selling poorly but here's the other issue. Yes, it's selling poorly... in Japan. Software and hardware are both doing much better in the states and in Europe. And while the US remains PSPs strongest market, sales aren't slouching in Europe.

I don't want to say PSP is doomed in Japan but if I were Sony, I'd start finding ways to make PSP an extension of the PS3 experience and a way to push console sales before it's too late. Easiest solution would be to borrow directly from their previous hits like making Final Fantasy VII-IX and Dragon Quest available for download on your PSP day one of the service. PSPs fate in Japan is now as a virtual console which, unfortunately means it won't have mass appeal but it will still see some hope.

quyeno
10-06-2006, 02:40 PM
i think the reason the ps3 weighs so much is because it has alot of sound proofing in it, which is usually dense rubber sheets which line the inside of the console. This may also explain the heat issues, but then again if the PS3 were in glass cabinets then its basically in a green house. If so i would imagine any kit would over heat.

thoughtlesswhisper
10-06-2006, 05:34 PM
i think the reason the ps3 weighs so much is because it has alot of sound proofing in it, which is usually dense rubber sheets which line the inside of the console. This may also explain the heat issues, but then again if the PS3 were in glass cabinets then its basically in a green house. If so i would imagine any kit would over heat.

I wouldnt have thought that sony would worry about sound proofing the dev kits. If your referring to my point on the weight of the kits that is, and not the ones at the TGS show. Sound proofing is purely cosmetic and at the moment i would assume they just want to get the working kits out to devs to get these games ready.

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