Ubisoft Shares Drop!

[Bilge_Rat]

Originally Posted by Brag

Is Ubisoft's strategy of DRMing up more business a success?
Shareholders must be aware of the customer resistance and are dumping Ubisoft.

2009 average share price was euros 0.87
Today's price is euros 0.47 a 50% drop. Pretty dramatic results after DRMing SH5, AC2 and Settlers.

It would appear that their DRM is turning into a Dive of Doom.

Moo!

Ref:UBISOFT ENTERTAINMENT (UBI:FP): Earnings Estimates - BusinessWeek

The drop in UBI share price all took place in the last quarter of 2008 when a lot of companies got hit. Its actually about the same now as it was in jan. 2009 and its actually gone up about 20% since SH5 was released.

Whatever weakness you see in the share price has more to do with the ongoing recession. Ubi is forecasting a loss in 2010. Don't forget that PC game sales only represent about 9% of Ubi's total revenues.

If you compare with EA's numbers, you see its an industry wide problem. EA, by way, is in worse shape than UBI, based on their numbers.

Other than UBI and EA, is there any large publisher still in mass market PC games?