According to CNBC, Sony’s market value fell sharply after the publication of the quarterly report for October- December 2023. The report was released on February 14, and by the evening of February 16, the company was valued at $10 billion cheaper.

It is reported that one of the main reasons for the fall was a new forecast for console sales. As part of the report, Sony said it plans to sell not 25 million PlayStation 5 consoles for the entire fiscal year but only 21 million. Also, in the last quarter, the company sold a million fewer PlayStation 5 consoles than expected. Their sales totaled 8.2 million units. However, even so, this is a record number.

Another factor could have been the very low operating margin of the gaming division. As calculated by analyst Atul Goyal from Jefferies Group, it amounted to 6%. He believes Sony had every chance to raise the margin to 20%.

Analyst Serkan Toto of Kantan Games believes margins may have increased because Sony spends more on game development.

The company’s spending on games is not officially disclosed. However, from a recent leak of the studio’s internal documents, Insomniac Games became a known possible budget for several projects. For example, it is assumed that the development of Marvel’s Spider-Man 2 cost $315 million.

Note that Sony continues to get cheaper. The morning of February 19 began for her with a fall in share price by 3.4%. One company share can be purchased for $88.84 when writing the news. According to Google Finance, at this stock price, the market value of Sony is $113.37 billion.

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