Industry News | Government Causes Nintendo Stock Drop

By Jorge Ba-oh 26.02.2007 5

Nintendo have announced a decline in its shares this week after revealing that Japan's government will be selling its stake in the company, around 1.4% of outstanding stock.

According to Bloomberg, the company's stock fell 2.7% to 32,950 yen today. The 1.987 million shares the government previously held will be priced between March 5th and 8th, valued at 67.3 billion yen ($557 million) as of Friday.

Nintendo aims to increase the number of individual shareholders to increase the company's liquidity, with recent products like Wii and DS causing an increased interest in its stock.

"The news suggests a worsening of share supply and demand, and comes at the time of concern that the stock's price is high."
Yoku Ihara, head of equity research at Retela Crea Securities Co. in Tokyo.

In the past 6 months the company's stock gained 43 percent.

Stay tuned for updates..

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Comments

Share-tastic. That's a massive gain for Nintendo (the 6 month one), good to see their positive performance is being matched in the markets.

Trying to think of a witty signature after 'Hacker-gate'...

*ZOOM*

...right over my head Smilie

dojo said:
*ZOOM*...right over my head Smilie
Same here. Smilie

Well no, I think it pierced right through my face, & out of my ears. Smilie

Twitter | C3 Writer/Moderator | Backloggery

Nintendo are (or were) Japan's secret CIA/MI5 type dudes. Shigsy was spying on us all.

What the fack? Does the Japanese government not like money? Then again I suppose they may have wanted to sell their part in case it loses all the value it's gained in the last 6 months... I doubt that'll happen though ;3

Still a proud member of the 'omfg amazing water in games' society

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