Nintendo’s Stock Plummets Because It’s Not Making Enough Money Off of Pokémon Go

Earlier last week, Nintendo was basking in a dewey post-Pokémon Go glow, its stock doubling in value because of the game’s wild success. But what goes up must come down—thanks, Newton—and after the market closed on Friday, Nintendo revealed in a press release that “the game’s financial impact will be ‘limited’ and that it doesn’t expect to revise its annual forecast higher based on ‘current conditions,’” according to Bloomberg.

We already talked about how the success of Pokemon Go wasn’t a solution to Nintendo’s problems but merely a symptom.

The value of Nintendo’s shares went down 15%, meaning the company decreased $5.6 billion in market value.

Since it was reported last week that Nintendo is not making much direct profit from Pokémon Go, the company’s announcement did not surprise experts. “The content of the announcement itself is not that shocking, but it is a surprise they said it on Friday instead of when they report earnings,” Nobuyuki Fujimoto, a senior market analyst at SBI Securities Co. told Bloomberg.

So what does this mean for the hardcore Pokémon Go fans? Not much! Keep Pokéstop-ing and battling your Pikachus and your Eevees, or whatever it is you all do.

 

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