The Wii U from Nintendo may be partly to blame for Nintendo stock closing more than five percent lower on June 7, 2011 at the Tokyo Stock Exchange, Forbes has reported. The reveal of the upcoming console's controller elicited cheers from journalists and press at the Nintendo E3 2011 press conference, but stock traders are not often of the tech geek variety.
Instead, they feel nervous, unsure if the system will sell well, an analyst at Daiwa Securities Co. said. Particularly when parked alongside similar products like the iPad and the prevalence of social media gaming, the Wii U just isn't holding investors' confidence. The Wii brand likely isn't helping either, as sales for that system have slowed and thus cut Nintendo profits in half since back in 2009.
The five percent plus fall may not sound a lot to gamers like us who can invest three hours to find the five percent of Templar flags we missed or unlock five percent of the Krypt, but these numbers from the Tokyo Stock Exchange put Nintendo down to pre-Wii value. Considering that the Wii system was and is still the most prevalent system worldwide in sales, that's a mighty fall.
Blame stagnation, blame lack of quality titles, blame competitors or the degradation of culture that draws gamers to female objectification and violence as opposed to the flagship family-friendly flare of Nintendo. Whichever way you frame it, time waits for no console, and until the Wii U is released in late 2012, Nintendo will have its hands full trying to sell a promise and a premise as well as a product.
To put this in perspective, Sony's stock also took a dip yesterday, but that decline was well within the margins, less than one percent. Judging from the mix of laughter and boos from the PlayStation Vita and AT&T partnership announcement, one might have expected a greater dive. Still, even a loss of less than one percent can't look great for Kaz Hirai and the rest of Sony, which has lost more than eight percent of its stock value since the PSN outage back in April.
Meanwhile, Microsoft's stocks closed out higher yesterday, though that rise was even smaller than Sony's fall. So sort of a "meh" E3 for businessmen in fancy suits. Thankfully, from a consumer's perspective we've got tons to look forward to from each of "the big three," with Mass Effect 3 featuring Kinect support and Gears of War 3 batting for Microsoft, Uncharted 3 and Resistance 3 for Sony, and Kid Icarus: Uprising and The Legend of Zelda: Skyward Sword for Nintendo.