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Varchild2008 (83.81)

Why won't the Deceivers Fess Up? (GME)



June 07, 2011 – Comments (4) | RELATED TICKERS: GME

The deceivers are the ones telling us that by 2014 we are going to see video gaming become almost entirely digital based. Where you buy your games digital and much less so physical.

Interesting huh then why:

NINTENDO 3DS      (Cartridges)

WII U                     (HD Optical 1080  discs)

SONY PLAYSTATION VITA   (Flash Memory Cards)

are the only announced brand new systems, announced this year, and all 3 systems use physical video games.

The Next Generation of Video Gaming is PHYSICAL!
As for why Gamestop's share price is not

$9999999999999999999999999999999999999999999999999999 9999999999999999999999999999999999999999999999999999999 9999999999999999999999999999999...a share as of the closing bell today...

Well...uhm.... No stock is skyrocketing today in a market that has fallen for 5.5 weeks straight.
The overall market is tanking....and thus 75% of the reason Gamestop's price has been slipping is because of that.  The other 25% is simply because the stock's RSI before it started pulling back was overheated....well above 70. Now it is more a reasonable 40 something.

And besides...

Q2 is Gamestop's worst performing quarter of the year so there is no reason for Investors to get interested in buying into a stock like (GME). Not until Q3 and especially Q4 will we see higher volume.  Furthermore.... The SLIP in share price had a lot to do with the SHORTIES constant boasting and bragging:

1) Ha ha ha SONY/MICROSOFT/NINTENDO will never let Gamestop sell a video game in their next generation consoles!!! Just watch!!!

E3 is coming!!!!!

E3 is coming!!!!! the Brittish are coming!!!!!

And these big 3 companies are going to scare the Bejessus out of the LONGS!!!!! Just watch!!!!!!!!!!!!!!!!!!!!!

Whooooooooooooooo boy it's a Digital Only World out there!!!!

2) Once Digital Gaming releases same day as Physical...... or companies like Electronic Arts sell their games exclusively themselves and cut out the middle man....


GAMESTOP IS DONE!!!! Better shut off the light folks!!!!!


And I get asked about "Gee, Gamestop's share price sure is skyrocketing off the news that Physical Games aren't going away." (sarcastic).

Yeah well a lot of big time Hedge Funds / Investors / Financial Managers have been trimming away their stakes starting at the beginning of the sell-off in (GME) in much anticipation that everything the SHORTIES have scared us to believing was going to be reality.

It will take a couple more weeks... Probably sometime in JULY we will see a recovery in this stock and go straight into the 30s.

It takes awhile to convince the Hedge Funds, Mutual Funds, and BIG TIME Investors with millions of common stock in (GME) to finally drop the B.S. and realize that Gamestop has a future.

The only one without a future are the SHORTS that keep telling us LONGS that there is absolutely no way for Gamestop to survive or at the very least find any growth.

Give me a break!!! Gamestop has stuck in there even in the face of 10.1% unemployment.

OUR ECONOMY STINKS and no one will ignore that fact when it comes to valuing GME.

But GME will survive anything thrown at it.

4 Comments – Post Your Own

#1) On June 07, 2011 at 6:37 PM, chk999longonly (97.89) wrote:

Well, I think the changeover to digital distribution is inevitable given the lower distribution costs and lack of unsaleable inventory. (When a title get replaced by the next in the series, with digital distribution you don't have a stack of DVDs sitting there that cost you money. You can also stock all the versions of a game for basically free.)

The only question is at what rate does this happen? 2014 may be a little aggressive, but I bet it happens before 2020. So what does GME do when Gears Of War 14 is only available by download? 

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#2) On June 07, 2011 at 9:35 PM, Varchild2008 (83.81) wrote:

NOPE!   That will absolutely never happen.

While you mention how Digital saves you money what about how Digital COSTS you money??????

1)  Digital costs you money by the true fact you have to sell it for much less than the same standard version of the title in physical.

2)  Digital costs you money because there is no such thing as digitally downloading FIGHT STICKS.......or FLIGHT STICKS.......  or ACTION FIGURES...... or NIGHT VISION GOGGLES..... or ETC.

One of the biggest profit margin money makers in Video Gaming right now IS NOT DIGITAL!!!!!!!!!!!!!!!!!!!!!!!

It is in fact Physical Sales of Collector's Edition or Limited Edition versions of Software games.

Activision made far more profits off of Call of Duty's Super High Priced Versions vs.  Digital Downloaded Standard Versions of Call of Duty games.

It is an absolute undeniable fact that Publishers will never give up the roost and abandon physical when you can sell a single video game for as much as $100.00 a pop.

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#3) On June 08, 2011 at 2:11 PM, chk999 (99.97) wrote:

Color me skeptical. An awful lot of things are distributed digitally that were thought not to work well that way. For instance, I think the paper newspaper doesn't have a long life ahead of it.

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#4) On June 08, 2011 at 6:23 PM, Varchild2008 (83.81) wrote:

True CHK999...

Go ahead and digitally download a FIGHT STICK.... or an ACTION FIGURE.....

Good luck with that!

Digitally download Night Vision Goggles!

Good luck with that Chk999!!!

Currently limited edition versions of AAA titles sold through Gamestop's IMPULSE do not include any of the *toys* you get when you buy limited/collector's versions of AAA games.

I'd love to see someone digitally download the KINECT.

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