Nintendo Shares Fall on Stock Exchanges After Wii U Sales Goal Cut By Two Thirds
Nintendo's shares have dropped significantly following the release for their financial report last week. Nintendo reported an expected loss of $336 million for the fiscal year of 2013. Nintendo had projected sales at approximately 9 million Wii U units and had to drastically cut that number down to 2.8 million projected sales before end of March 2014.
Following the news, there has been a good deal of speculation as to what Nintendo needs to do to stay afloat, including suggestions that Satoru Iwata, CEO and president of Nintendo, to step down from his position. While Iwata has responded that he will not step down, he has made other suggestions to keep Nintendo alive.
Unfortunately, the news has hit Nintendo stocks hard. In the Tokyo Stock Exchange, Nintendo saw its stock drop to ¥11,935. According the TSE's website, the stock is down 18% from where it was prior to the change.
The New York Stock Exchange also reflects similar numbers to the Tokyo Stock Exchange. The last trade on Friday on the NYSE was 14.90, which is a drop of 17%.
This year will be an interesting year as Nintendo works to stay relevant to today's gaming needs and recover its position.