The forecast for Nintendo’s sales certainly isn’t looking sunny since the company announced poor figures for its Wii U console. Over the past two days alone, the gaming company’s shares have dropped 10% in its native Japan.
The company’s shares, which were worth an all-time high of $407 in 2007, dropped to $126 on the Japanese stock market according a report made by Reuters. Whilst Nintendo’s stock has not been as high as it had been in 2007 for some time, the company’s shares were holding at a steady $140 as of last Friday. However, Nintendo announced late last week that it had revised its sales projections for the struggling Wii U games consoles, prompting a significant dip in stock prices.
Previously, the Wii U had been anticipated to sell a total of 9 million units between April 2013 and March 2014, however the newest estimates are far lower than expected. The company has projected a 69% drop in estimated sales, with only 2.8 million units sold within the same timeframe. It is estimated that Nintendo will lose around $336 million (35 billion yen) rather than generating the $961 million profit that was previously expected. According to Reuters, this will mark the third year in a row in which the company has reported a loss.