Nintendo experienced a significant drop in stock shares after being excluded from the Nikkei 225 Stock Average, resulting in its biggest slump in more than two years, Bloomberg reports.
Shares of the company fell 8.4 percent to 10,860 yen in Tokyo. Nintendo previously gained 31 percent following expectations of its stock being added to the Nikkei, Japan's most widely quoted average of Japanese equities; however, it failed to be promoted in the annual index review as was expected by market analysts.
In a report referenced by Bloomberg, BNP Paribas SA analyst Takao Suzuki stated: "We believe Nintendo's shares have been overvalued due to speculative demand, on the assumption that they would be included in the Nikkei. As this expectation has come to nothing, this appears to be the right time to sell."
The company recently transferred its listing from Osaka to Tokyo, making its stock eligible for the Nikkei. A review of membership in the Nikkei 225 is held once a year every fall and later implemented in early October. Had Nintendo been added, it would likely have become the fourth-most influential stock on the Nikkei 225, behind Fast Retailing Co., Softbank Corp and Fanuc Corp.
- No skin thick enough: The daily harassment of women in the game industry
- The studio that made Tony Hawk's Pro Skater closed, here's its billion-dollar story
- Dark Souls 2: Crown of the Sunken King review: return of the king
- How the Model T convinced Nvidia to build a gaming-focused tablet
- Kickstarter suspends Ex-STALKER devs' Areal campaign, West Games turns to direct funding
More from Polygon
- Love Marriage Vashikaran Mantra +918437760034
- Powerful get Online intercast love marriage specialist baba ji +91 8437760034
- voodoo tantra mantra specialist baba ji +91-8437760034
- Love Problem Solution Baba vashikaran +91-8437760034
- Join the Polynauts Destiny clan today
- Anime, Cartoons, Comics! Plight Vol. 2, no. 15.1: Silent Crusaders
- Women in Games: A Reaction
- Polygon Daily Open Thread - Tue July 22
- Do you often read the reviews after finishing a game?
- Polynauts OT: Gender, sexuality and representation in gaming