Shares of Nintendo Co. fell nearly 13 percent in Wednesday's trading session in Tokyo following media reports that the much-awaited launch of the hugely-popular Pokemon Go mobile game in Japan was cancelled after an email leak. Well, the Pokemon Go is what everyone is talking about and it is an augmented reality game that is meant for smartphones.
Yesterday it was reported that Pokemon Go would arrive in Japan today. This isn't too bad for a game that is giving millions of players trouble with server issues and numerous glitches, and the game hasn't even launched in all planned territories yet.
Prior to the tumble, Nintendo had rallied by more than 86% in the market value adding more than $17 billion in market value in the process.
Is a doubling in the company's stock price justified?
Jawbone recently released figures showing that owners of its UP fitness tracker who mentioned the Go game in its leader boards, saw a 62% increase in steps.
Understanding the Pokemon Go Terms is an important first step in playing the game. We still managed to bring the servers down immediately and repeatedly, and it's kind of baffling that Niantic and Nintendo continued the roll out while the service was still so unstable. Nintendo referred any queries regarding Pokemon GO to Pokemon Company.
On the other side, Nintendo's rival Sony has enjoyed success this year with its PS4 console, while Nintendo's gaming console Wii U has struggled.
Nintendo Co., Ltd (ADR) (OTCMKTS:NTDOY) stock, which has been on an impressive run over the past two weeks, registered its biggest one-day drop since 2011, amidst server capacity concerns in relation to Pokemon Go. The hype lasted for a few years until their value dropped after 2012.
The popularity of Pokémon Go is producing an unexpected boom in some shares that have a scant link to the game.
Pokemon Go's first sponsored locations reportedly went live today in Japan, offering retailers the chance to create "gyms", which let players battle or train characters in the mobile game.