Following Nintendo’s traumatic announcement last week about their sales forecast for the Wii U, it would appear a recovery has started. The company’s share price took a big hit after the disappointing sales news, but has started to rise again.
Nintendo’s annual sales forecast for their flagship games console was 9 million units, however this was cut all the way down to 2.8 million after seeing the significant profit loss. Investors have been concerned by this news and have sold shares in the company at lower prices, decreasing Nintendo’s overall value.
Nintendo’s shares hit a low point last week of $14.53 after the announcement, but has since steadily recovered to $16.36. The value reportedly reached its lowest point back when Nintendo released another set of disappointing Wii U results almost a year ago, dropping to $11.39. Sales of the 3DS were very good throughout 2013 and is one of the factors that has kept Nintendo’s share price relatively steady.
The struggles exerted by the Wii U has prompted a lot of fans to call for Nintendo to release their titles for mobile platforms like iOS and Android. We have seen a big demand for Pokemon and Super Mario titles to be made available, although this is something Nintendo has said they are not prepared to do as it would damage their hardware sales.
What do you make of Nintendo’s struggles with the Wii U and should they offer their titles on mobile to give more options?