Microsoft Stock Price and Starfield…
Hey everyone! I’m new here so if this doesn’t meet the rules for wallsteeetbets feel free to take this down…
As I’m looking at some long term plays, I can’t help but wonder about Microsoft as an investment. In the past I’ve made year long plays on stock like Sony in anticipation of PS5 sales and made decent returns, and I’m looking at Bethesda’s new release in November: Starfield.
But it’s a little bit different than Sony. Bethesda was an acquisition (albeit a multi-million dollar one) and while I would think that Starfield would make a killing for Microsoft, I wonder how much a successful release of Starfield would actually impact it’s stock price?
In terms of their revenues, they would be potentially substantial. Immediate sales from previous games has ranged from 7 million copies to 12 million copies for Skyrim and Fallout 4, respectively. For Fallout 4 (the most recent of the two), sales in the first week or so (immediate downloads, pre orders and such) we’re $750 million. You would think that for a new series that sales would be higher.
The other thing to consider is that this game will be an Xbox exclusive, which would theoretically lower their sales because of a lower market size. I haven’t done a whole lot of research into games that are console exclusive like MLB the Show or God of War, but that’s the other potential downside of investing. Based on what Skyrim sold, 59% of their sales came on Xbox. It could arguable be higher if there isn’t a choice between consoles, but that’s an assumption.
Suffice it to say, I’m really debating buying some stock in anticipation of Starfield November release, but what are your thoughts on the risk or gain?
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July 20, 2021 at 05:45PM