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The point is that falling stocks does not hurt; actually spending money on a game that flops does.

And while I suspect (and hope) mobile Diablo will flop, I also learned to never underestimate stupidity. After all, players spent $200M on a game that is not even out yet, so I can not rule out disgusting possibility of mobile Diablo not flopping.

Falling stocks don't hurt companies? I want whatever good good you're smoking brah haha. And if you know about stocks you'd know EA has already passed it's 52wk low, which is a big deal. So yes, falling stocks do hurt companies and those stocks fall because of high profile flops. Gamers wasting $ on a crappy game only encourages them and hurts gamers in the long run.

 

 

 

Falling stocks don't directly hurt companies. The causality is reversed. Crappy companies produce falling stock, not vice versa.

 

Important: stock prices you see are the secondary market. Companies don't see any of that money when a share is sold or bought. It only matters for their IPO or for secondary public offerings, when they're actually issuing that stock and the money the stock is sold for goes into their pockets.

 

Stock prices can hurt companies indirectly: if a company needs to issue more equity to raise more money a crappy share price makes it harder to do that. It can also make them more vulnerable to hostile takeovers. Also shareholders will start getting real antsy about their investments tanking, so you could end up with hedge funds or activist funds buying up shares and voting for major changes. If you're compensating your employees significantly in stock (common for tech companies), then falling share prices makes it harder to retain employees.

 

But frankly, if you have a loyal board in place and you're still bringing in revenues with a good future, then it's completely irrelevant if your share price hits a 52 week low. If anything, that means the company should buy back shares because they'll reduce their outstanding liability for cheap. (It's what Warren Buffet would recommend.)

Edited by thelee
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Just saw credits roll last night.

General off the cuff impressions; The exploration was excellent (nautical/shipfaring theme.. beautiful).

Ending felt rushed would have liked the opportunity to explore the final area and to be thrown back into the open world after the final encounter.

Overall was a joy, gonna go through it again or start a 'pre endgame' load and do the stuff i missed/DLC.

Adored it, bring on Pillars the Third.

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hose stocks fall because of high profile flops.

 

 

no they don't, there seems to be a trend of guys who think they know how stock market works in relation to their hobby and they're all wrong in the same way, by thinking consumers have some kind of leverage and that the stock market is a democratic system or something where companies rise and fall based on their excellent products or what have you (hahahahaha). i have a few ideas where this kind of market analysis is coming from but its extremely incorrect. wall street investors are not carefully keeping track of every electronic arts release and measuring fan reaction lol thats not really how finance works man i know that narrative conveniently fits into a particular worldview that assumes you have a lot more power by complaining on steam than you actually do

Edited by Cartoons Plural
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I am pretty sure I finished the game and the stocks went up ... Sorry couldn't help myself.

 

I just got to some later levels and once again the game put a big smile on my face, Drowned Barrows and the Painted Masks, both pretty great!

Edited by bringingyouthefuture
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“How do you 'accidentally' kill a nobleman in his own mansion?"

"With a knife in the chest. Or, rather, a pair of knives in the chest...”

The Final Empire, Mistborn Trilogy

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hose stocks fall because of high profile flops.

 

no they don't, there seems to be a trend of guys who think they know how stock market works in relation to their hobby and they're all wrong in the same way, by thinking consumers have some kind of leverage and that the stock market is a democratic system or something where companies rise and fall based on their excellent products or what have you (hahahahaha). i have a few ideas where this kind of market analysis is coming from but its extremely incorrect. wall street investors are not carefully keeping track of every electronic arts release and measuring fan reaction lol thats not really how finance works man i know that narrative conveniently fits into a particular worldview that assumes you have a lot more power by complaining on steam than you actually do
When a company reports lower than expected sales on a flagship title, lower sales = lower revenue = lower guidance and this is a major reason why investor's sell. That's how finance works, mate. Edited by Verde
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