The lights are on
[Update]: Nintendo's stock continued to decline for a second day after the company's announcement of the Wii U.
The Wall Street Journal reports that Nintendo's stock was down 5.2 percent during the second day after the Wii U's unveiling. Mitsushige Akino, a chief fund manager at Ichiyoshi Investment Management says, "The product itself is not bad – bad market expectations had been far too high." Akino also says that the market itself is different and that expectations need to be tempered after the Wii sold so many units due to its appeal to casual consumers. Akino believes that Nintendo may have a hard time getting those people to buy the Wii U since they may have moved on to playing games on their phones and tablets.
Looks like Nintendo is damned if it does and damned if it doesn't. Release a casual console and the hardcore will feel jilted two consoles in a row. Release a more core-appealing system and grandma might not pay attention.
[Original Story]: Nintendo's stock fell to a five-year low after the announcement of its 2012 system, Wii U.
According to Bloomberg, Nintendo's shares on the Japanese stock market fell 5.7 percent. "There were high expectations from the new version of the Wii, and this fell short," says Yusuke Tsunoda, an analyst at Tokai Tokyo Securities. "People had expected to see something more at a big event like E3, but there wasn't really anything more than what's already reported."
While Tsunoda is right that nobody was really surprised that the Wii U was announced, to say the Wii U actually "fell short" of people's expectations is surprising in and of itself. Regardless, there are obviously some people in Japan who feel like Tsunoda does – at least enough traders to make the stock dip.
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