Sony’s Stock Price Drops 8.1% Due To Weak PlayStation Sales, PS5 Launch Very Likely

Sony Interactive Entertainment’s stock price has decreased by 8.1% on the Tokyo Stock Exchange today due to weak PlayStation 4 sales. It’s the largest fall since September 2015 according to Bloomberg.

The fall in Sony’s stock price is also the result of declining share prices in its smartphone business. It’s surprising to know right after Sony revealed in its financial report that PlayStation 4 lifetime sales have crossed 94.2 million as of December 31, 2018.

PlayStation 4 sales are expected to cross 100 million units by the end of 2019 making it one of the best selling consoles in history.

2019 is unlikely to be as good as the previous year for Sony. In 2018, we saw games like God of War, Spider-Man and Red Dead Redemption 2 but in 2019 there are not many big games planned to help prevent the declining PS4 hardware sales. Damian Thong, an analyst at Macquarie Group Ltd said:

Strong profits from game software were offset by higher promotional and marketing costs aimed at driving PS4 volumes. We are moving to the sidelines until we can better assess the risks in the Games segment.

Another analyst, Amir Anvarzadeh is indicating low PS4 sales as a signal PlayStation 5’s launch.

There is more downside as we believe slowing growth in its games division signals a very likely PS5 launch for next fiscal year and the ensuing costs that come with the launch of a new platform.

If it’s true then the question of when PS5 will release comes to our mind and it can release as soon as 2020.

The rumored specs of PS5 include 3.2 GHz AMD Zen/Navi Chip. It’s being speculated that upcoming PS5 will be a step over the current PS4 and will offer 4K gaming out of the box with 60 FPS.

Though do take this all with a grain of salt and enjoy PS4 and its exclusives while they last.

Veteran Gamer, Trophy Hunter, And a Youtuber.