Nintendo recently announced its quarterly earnings report and the market hasn’t reacted well so far — Nintendo shares fell to a 5-month low today.
And that’s despite the company bringing in over $500 million in profits — one of the best quarters the company has had in years.
Nintendo shares declined 2.3 percent to close at 22,625 yen, the lowest since late August where the share price was still riding high from the Pokemon GO success.
The biggest reason for the drop in share price is that Nintendo cut its full-year profit outlook by a third, meaning the company is expecting a tough quarter ahead (where the Switch launches).
Another reason shares are lower is the disappointing result of Super Mario Run. While the game netted Nintendo tens of millions of dollars and made a big profit, the purchase-rate disappointed analysts: just 5% of players who downloaded the game decided to spend the $10 to buy the full version.
The Switch launches on March 3rd, which Nintendo recently said that they will sell at a profit on day one.
