Nintendo Stock Falls Slightly
Wii sellouts can't stop a minor decline in share prices.
by Micah Seff
December 4, 2006 - Forbes is reporting that Nintendo stock has taken a slight hit this past weekend, following the launch of it's new Wii console in Japan. According to several sources, the 400,000 launch units of the system sold out almost immediately after its launch on December 2. This came hot on the heels of a similar sellout in North America of the 600,000+ units that were available there after the November 19 launch date.
Noted finance journal, Bloomberg, reported that, "Nintendo, based in Kyoto, said it delivered 400,000 Wii consoles to retailers in Japan for the opening day and has produced 1 million units to replenish stores, such as Yodobashi, that sell out of the game. The company on Nov. 27 said it sold more than 600,000 Wii consoles in the Americas during the product's first eight days."
In spite of these strong sales for the innovative new console, Nintendo's stock refused to echo this success. Nintendo's share prices on the Nikkei stock index fell by slightly more than one percent over weekend trading. Industrious Nintendo fans should already know that the lucrative stock has seen a 91% increase this past year due in no small part to strong sales of the dual-screened handheld and pre-launch hype surrounding the Wii.
According to Forbes, "Nintendo lost 290 yen or 1.1 percent at 26,890 (on the Japanese Nikkei index) after the launch here (in Japan) Saturday of its Wii next-generation game consoles, during which buyers snapped up all 400,000 that were put on the market, dealers said."
It is not yet known whether this decline in share prices will be repeated on the American Stock Market.
