Joystiq

EA loses spot on the NASDAQ-100

Alexander Sliwinski — Mon, 17 Dec 2012 18:00:00 EST

The NASDAQ-100 Index will remove Electronic Arts as part of its annual re-ranking. The index, which is a fancy term for the grouping of a bunch of stocks, includes the 100 largest non-financial stocks listed on the Nasdaq stock exchange. EA joins nine other stocks, including Netflix, to be removed from the index.

"The securities being added to the NASDAQ-100 Index will join Facebook, Costco, Apple, Google and other household names that are leading the new economy forward," said NASDAQ executive VP John L. Jacobs. "Our objective re-ranking process ensures the NASDAQ-100 remains a relevant investable index that is the underlying benchmark for about 7,100 products in 22 countries with a notional value of about $1 trillion."

The new group of stocks being added doesn't include any traditional video game companies. As GI.biz notes, EA may be off the list, but the NASDAQ-100 still includes Activision Blizzard and Microsoft.

EA loses spot on the NASDAQ-100 originally appeared on Joystiq on Mon, 17 Dec 2012 18:00:00 EST. Please see our terms for use of feeds.

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NASDAQ tells THQ they cool for now

Alexander Sliwinski — Tue, 24 Jul 2012 09:00:00 EST

THQ received notification from stock exchange NASDAQ that the company is back in compliance, having maintained a closing stock price of over $1 for 10 consecutive business days.

The publisher accomplished the feat through a 10-to-one reverse stock split, consolidating THQ's 70 million shares to 7 million and inflating the price by moving the decimal point one space to the right. THQ's market capitalization now stands at $35.4 million, and its stock is trading at $5.16/share this morning.

THQ has done the executive shuffle the past few months to get things back on track, adding new president Jason Rubin and announcing yesterday the addition of Relic founder Ron Moravek as "Executive Vice President, Production." THQ's next game is Darksiders 2, due on August 14.

NASDAQ tells THQ they cool for now originally appeared on Joystiq on Tue, 24 Jul 2012 09:00:00 EST. Please see our terms for use of feeds.

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THQ retains NASDAQ listing as board approves reverse stock split

Ben Gilbert — Mon, 02 Jul 2012 10:30:00 EST

THQ will keep its NASDAQ listing following the approval of a reverse stock split by its controlling board. Last week, stockholders met and approved a 10-to-one reverse stock split, effectively consolidating THQ's nearly 70 million stock units to around 7 million, and bringing their value from around $0.62 to $6.20 apiece. THQ risked delisting from NASDAQ due to shares trading below $1 for nearly 30 days, the cutoff for retaining NASDAQ listing status.

The reverse split is set to go into effect on July 9 (next Monday). Initially, it will increase THQ's stock price well above the minimum $1 required, but it's unknown if that stock price will stay above $1 per share for 10 consecutive days - if it doesn't, THQ once again faces delisting.

The next game THQ plans to launch is Darksiders 2 for Xbox 360, PlayStation 3, and PC on August 14.

THQ retains NASDAQ listing as board approves reverse stock split originally appeared on Joystiq on Mon, 02 Jul 2012 10:30:00 EST. Please see our terms for use of feeds.

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THQ planning reverse stock split to avoid NASDAQ delisting

Mike Suszek — Sun, 27 May 2012 12:00:00 EST

THQ filed plans with the SEC Friday for a June 29 stockholders meeting, where the company will propose a reverse stock split to avoid delisting from NASDAQ.

In the filing, the company describes the need for the stock split to maintain the $1 per share minimum that NASDAQ requires for listing. THQ outlined three options in the process: 1:3, 1:5, and 1:10 reverse stock split ratios. Exercising any of these options results in fewer outstanding shares with an increased apparent value per share. For instance, should THQ perform a 1:3 reverse stock split, each stockholder would own one stock for every three owned prior to the split, even though the total value of the company's stock would not change.

The company's stock is currently trading at 61 cents per share.

THQ first received a delisting warning from Nasdaq on January 31, noting that the company's stock was trading below $1 per share. It has until July 23 to meet-and-maintain that closing standard for ten consecutive business days in order to be eligible for continued listing. THQ recently reported a net loss of $239.9 million for the fiscal year ending on March 31, 2012.

THQ planning reverse stock split to avoid NASDAQ delisting originally appeared on Joystiq on Sun, 27 May 2012 12:00:00 EST. Please see our terms for use of feeds.

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Zynga shares close at record low following lackluster Facebook IPO

Jordan Mallory — Sat, 19 May 2012 13:30:00 EST

Facebook went public yesterday, and its unexpectedly less-than-stellar performance on the trading floor has had powerful ramifications for its social soul sister Zynga, which finished the day's trading at a record low of $7.16 a share.

It's possible that Facebook's unimpressive IPO, closing out Friday at $38.23 a share - four dollars less than its $42.05 opening price - caused Zynga's value to drop in tandem, as the two platforms are inexorably intertwined in the public mindset. It's also possible that Zynga share holders jumped ship in favor of that new Facebook hotness, no longer having to settle for social second best.

Regardless, the severe downturn in value lead to two trading halts on Zynga shares over the course of the day; once after reaching $7.17 a share, and once again after a slight increase in market value. Despite this, share values eventually dropped to as little as $6.93 before finally settling at $7.16.

Zynga shares close at record low following lackluster Facebook IPO originally appeared on Joystiq on Sat, 19 May 2012 13:30:00 EST. Please see our terms for use of feeds.

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THQ receives stock delisting notice

Alexander Sliwinski — Tue, 31 Jan 2012 08:10:00 EST

THQ's woes continue as the troubled publisher receives a delisting warning from the Nasdaq stock exchange. The company's stock has been trading below the minimum of $1 for the past 30 days.

The publisher has 180 calendar days (until July 23, 2012) to make its stock regain compliance for 10 consecutive business days. If the company can't comply, well, let's just say these things don't end happy. There are examples of game companies coming back from the brink. Heck, Majesco has done it twice.

THQ is hurting bad, as it works through a realignment and sets off waves of layoffs to stabilize the company. The publisher is expected to explain its current financial issues during an investor call this Thursday, February 2. THQ's stock price is trading at $0.70 as of 8AM ET today.

THQ receives stock delisting notice originally appeared on Joystiq on Tue, 31 Jan 2012 08:10:00 EST. Please see our terms for use of feeds.

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BioWare docs explain how to stay true to your roots while expanding massively

Ben Gilbert — Wed, 21 Dec 2011 17:15:00 EST

With eight (eight!) studios around the globe as of the end of 2011, BioWare label heads Dr. Ray Muzyka and Dr. Greg Zeschuk have kind of a lot going on at any given time. When I spoke with them earlier this week at Times Square's NASDAQ building, though, they were remarkably calm after ringing the financial institution's opening bell (surrounded by and emblazoned in Star Wars accoutrement), and launching the six-years-in-development Star Wars: The Old Republic.

Beyond the aforementioned accomplishments, the doctors' division of EA has been rapidly expanding -- over just the last six months, BioWare has added a Sacramento office, a San Francisco office, and an Ireland office, to say nothing of "BioWare Victory," the studio heading up Command & Conquer: Generals 2. That's a whole lot of people (501 - 1000, approximately, according to LinkedIn)! How do two guys that started out with eight people in a studio apartment manage that kind of expansion without diluting the original values they began with?

BioWare co-founder Ray Muzyka offered an explanation by way of example:

"You're seeing how we're doing that in The Old Republic. We're merging story in in a really seamless way. It doesn't feel tacked on or added, it's actually there from the ground floor. It's actually adding to the experience and increasing that emotional engagement, which, you go back to our vision, that's what it's all about. Building that emotional engagement."

The concept of "emotional engagement" was one that both Muzyka and his long-time business partner Dr. Greg Zeschuk touched on repeatedly during the interview. Muzyka called it a "pillar" of the label's vision, but also emphasized that story -- BioWare's traditional method for engaging players on an emotional level -- isn't the only way to evoke an emotional response from players.

Continue reading BioWare docs explain how to stay true to your roots while expanding massively

BioWare docs explain how to stay true to your roots while expanding massively originally appeared on Joystiq on Wed, 21 Dec 2011 17:15:00 EST. Please see our terms for use of feeds.

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Zynga stock falters, holds on first day of trading

Mike Schramm — Sat, 17 Dec 2011 07:00:00 EST

Zynga stock finally roared out of the gate and on to the trading floor yesterday at $10 a share, but investors weren't hugely impressed with the social gaming company. The stock started up a dollar at $11, and then dropped back down two, and then thirty, and then fifty cents during the day, leveling off at $9.50, which Forbes says was thanks mostly to "a stabilizing bid by Zynga's underwriters," which means Zynga's investors stepped in and bought up enough stock to keep the price up.

So what happened? Shortly put, Zynga's stock wasn't really worth what it was priced out at. An initial public offering is designed to be priced a little low, in order to drum up demand for a company's stock from the public (not to mention raise some money). But Zynga went high and, as a result, didn't quite get the graph it wanted today.

They didn't sell the FarmVille, so to speak -- ZNGA will likely be trading fine on Monday (and $9.50 is fine for the highly competitive gaming industry; THQ is sitting down at 75 cents right now). But Zynga's hype phase appears to be over. Now the company needs to prove it can sell more than just cow clickers.

Zynga stock falters, holds on first day of trading originally appeared on Joystiq on Sat, 17 Dec 2011 07:00:00 EST. Please see our terms for use of feeds.

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Zynga's IPO road show begins, expects to raise $1 billion

Jessica Conditt — Sat, 03 Dec 2011 17:30:00 EST

Zynga is doing extremely well, especially for a company that started by piggybacking on a social-networking site, Facebook, and making games about farming. Zynga is in the process of launching its IPO, and while it won't be worth as much as initially expected this summer -- dropping from an expected high of $20 billion to a current possible low of about $10 billion -- Zynga is positioned to be worth more than EA, currently valued at $7.7 billion, and to compete with Activision Blizzard, which is valued at $14 billion.

Zynga plans to raise roughly $1 billion for its IPO and has begun a nine-day pitch process to convince investors that the company is truly worth it, with plans to sell shares for $8.50 to $10 each under the Nasdaq label, "ZNGA." Zynga's offerings would mark the largest for a U.S. Internet company since Google in 2004, but with Facebook expected to eclipse it in 2012.

If you're an interested investor, surveyor or slideshow-lover, you can view Zynga's complete IPO presentation right here.

Zynga's IPO road show begins, expects to raise $1 billion originally appeared on Joystiq on Sat, 03 Dec 2011 17:30:00 EST. Please see our terms for use of feeds.

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Counting Angry Birds before they hatch: dev talks US IPO, analysts need track record

Alexander Sliwinski — Tue, 22 Mar 2011 00:00:00 EST

Angry Birds developer Rovio has been on a roll: raking in millions of unit sales, breaking through to the mainstream and recently receiving another $42 million from investors. Now the company is talking about going public on the Nasdaq with an IPO in the next five years.

"At an estimated value of nearly $300 million, it would still be considered a relatively small company," EEDAR's Jesse Divnich explained when we asked about the company's chances. "Gameloft, for example has a current market cap of $344 million (the cost for someone to own every share of the company), this is compared to Activsion which has a market valuation of over $12 billion, and Google at $185 billion. In fact, most large mutual funds typically don't invest in anything with a market cap under $1 billion. If they do, they typically classify them as 'high-risk' or 'aggressive plays.'"

Wedbush Morgan's Michael Pachter had similar reservations about the company telling Joystiq, "Any company can go public, but the rule of thumb is that the company has at least $50 million of annual revenue before they try to sell stock. That revenue has to be recurring, and I think that is an obstacle for Rovio, which so far is a one-hit wonder. If they can replicate what they've done with Angry Birds, there might be some interest."

Pachter also mentioned that the administrative costs of being public is about $5 million annually, which is why small companies don't usually take the stock route.

Counting Angry Birds before they hatch: dev talks US IPO, analysts need track record originally appeared on Joystiq on Tue, 22 Mar 2011 00:00:00 EST. Please see our terms for use of feeds.

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Zynga estimated to be worth more than EA

Ben Gilbert — Wed, 27 Oct 2010 13:50:00 EST

We can't help but be kept awake at night, a constant state of worry hanging over our heads, wondering whether Zynga is financially surpassing the EAs and Activisions of the world. According to a Business Week report, it seems that Zynga recently did just that -- finally -- with SharesPost Inc. reporting Zynga's stock value at $5.51 billion, a full $290 million above EA's NASDAQ valuation of $5.22 billion.

ThinkEquity LLC analyst Atul Bagga told BW that Zynga's valuation "is not that crazy, given what's going on in the market," noting that growth prospects over the next three years help add value to the still nascent social game company. Bagga estimates Zynga's virtual goods profits will rise from approximately $1.6 billion this year to $3.6 billion by 2013, making Zynga a riskier, but potentially more lucrative investment. That is, of course, if people keep buying ... whatever it is they buy in Facebook games.

Zynga estimated to be worth more than EA originally appeared on Joystiq on Wed, 27 Oct 2010 13:50:00 EST. Please see our terms for use of feeds.

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Majesco threatened with Nasdaq delisting, again

Alexander Sliwinski — Mon, 08 Mar 2010 11:10:00 EST

Majesco, publisher of Cooking Mama and ... other stuff, has received a delisting notice from the Nasdaq stock market. The company now has 180 calendar days to bring its stock above $1 per share, the minimum required to remain on the exchange. The trick, though, is it can't just pop its fiscally hurting head above a buck for a day and everything will go back to being right with the world again. The company needs to hold the price for "a minimum of 10 consecutive trading days prior to August 30, 2010."

This is not the first time Majesco was threatened with being kicked from the exchange. The company came back from the brink of that potential delisting disaster early last year. If you're curious to see what happens after a company is delisted, here are two case studies: Midway and Atari.

Majesco threatened with Nasdaq delisting, again originally appeared on Joystiq on Mon, 08 Mar 2010 11:10:00 EST. Please see our terms for use of feeds.

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GameFly going public, files $50 million IPO

Alexander Sliwinski — Wed, 10 Feb 2010 13:53:00 EST

GameFly, game rental service and media entity, has filed a $50 million initial public offering with the Securities and Exchange Commission and has applied to appear as "GFLY" on the NASDAQ ticker. The IPO registration form lays out many details that were previously unknown about the privately held company. Tidbits include that GameFly has approximately 334,000 subscribers as of September 2009 and generated $84.7 milllion in revenue in its fiscal year ending March 2009.

Additionally, the form suggests that GameFly's collection of media sites, which includes the ShackNews properties, apparently draws 4.4 million monthly unique visitors.

GameFly is currently practicing a "quiet period" and representatives could not comment on this report.

[Via BusinessInsider; thanks, Wolvie75]

GameFly going public, files $50 million IPO originally appeared on Joystiq on Wed, 10 Feb 2010 13:53:00 EST. Please see our terms for use of feeds.

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Majesco cooks up compliance with Nasdaq

Alexander Sliwinski — Fri, 03 Apr 2009 16:38:00 EST

Majesco has regained compliance with the Nasdaq stock exchange after completing a stint of ten consecutive days with a stock price of over $1. When asked for comment, Cooking Mama exclaimed, "RONDERFUL!"

The publisher is known for Cooking Mama and ... um. Anyway, last August, Majesco was informed it had 180 days to get its stock back in compliance with Nasdaq rules or face delisting. Optimistically, buying the stock now at its bargain price would be fantastic if Majesco can find another franchise (A Boy and his Blob?) worth its salt and pepper.

[Via GoNintendo, GamerInvestments]

Majesco cooks up compliance with Nasdaq originally appeared on Joystiq on Fri, 03 Apr 2009 16:38:00 EST. Please see our terms for use of feeds.

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Publisher stocks hit by market freefall; analysts optimistic

Ross Miller — Tue, 30 Sep 2008 17:40:00 EST

Filed under: Culture, Business

If you haven't looked out your window today, you might have missed stocks that are falling faster than Chicken Little can blink. Game publishers were not immune, as the NASDAQ (where most publishers are listed) Composite Index fell 199.61 points, or 9.14 percent. As for the individual publishers, Gamespot points out that Electronic Arts saw a 9.16 percent drop to $36 a share. Activision Blizzard was hit hard with a 13.8 percent drop to $14.12 a share. As for the console makers, Sony and Microsoft saw a 5.09 and 8.72 respective percent drop. Overseas, Ubisoft's stock dropped a whopping 21.5% to €45.50 (US $65.37) on the Euronext market.

Despite these stock drops, analysts speaking to Gamasutra remain optimistic, with Wedbush Morgan's Michael Pachter expecting none of the companies to be affected by the lending crisis. Lazard Capital Markets' Colin Sebastian predicts a "cocooning" effect where people flock to games as a cost-efficient form of escapism. In what is surely the most "no duh" prediction, Sebastian expects World of Warcraft to continue serving as an unwavering money stream for Activision Blizzard.

[Image Source: Digg]

Publisher stocks hit by market freefall; analysts optimistic originally appeared on Joystiq on Tue, 30 Sep 2008 17:40:00 EST. Please see our terms for use of feeds.

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Majesco cooking up recipe for delisting

James Ransom-Wiley — Thu, 28 Aug 2008 21:30:00 EST

Filed under: Business

We hope you can smell what's cooking, Mama. 'Cause it ain't the sizzlin' aroma of seasoned ground beef. Nasdaq today gave notice to Majesco Entertainment, warning the publisher that its single share value had dipped below the minimum required for continued inclusion on the market. In other words, you're better off carrying a pocketful of pennies than owning a share of Majesco stock.

The company is being given 180 days to gets its recipe in order or else the kitchen's closed.

Majesco cooking up recipe for delisting originally appeared on Joystiq on Thu, 28 Aug 2008 21:30:00 EST. Please see our terms for use of feeds.

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Atari gets delisted by Nasdaq

Alexander Sliwinski — Fri, 09 May 2008 10:00:00 EST

Filed under: Business

As of today Atari has been delisted by the Nasdaq stock exchange, but the company states it will appeal. The company was first threatened with delisting last July after it failed to submitits year-end financials, then again in December because its market value was too low, and one final time in March for not fixing its issues from the previous year. The publisher will have its stock quoted on Pink Sheets and OTC Bulletin Board until the decision is reversed.

The delisting of Atari won't stop the $11 million buyout by Infogrames or the master plan of CEO David Gardner, Directeur Général Délégué Phil Harrsion and rest of the new Atari/Infogrames crew. Bargain hunters looking for a good deal might want to see if Gardner would be willing to trade some Atari stock for a casserole or some landscaping work.

Atari gets delisted by Nasdaq originally appeared on Joystiq on Fri, 09 May 2008 10:00:00 EST. Please see our terms for use of feeds.

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Nasdaq sends Atari another delisting warning

Alexander Sliwinski — Thu, 27 Mar 2008 02:00:00 EST

Filed under: Business

With all its fancy new executives, everything appears to be sunshine at the moment for Infogrames/Atari; but for the third time in less than a year Atari has been threatened with delisting by the Nasdaq stock exchange. The company admits it received a letter from Nasdaq's Listing Qualifications Department stating that it had not gained compliance with the last warning requiring the company obtain $15 million in market capitalization for 10 consecutive days before March 20.

Atari has asked Nasdaq for a hearing which will put a stay on the stock's execution. Meanwhile, Infogrames is looking to buy the "outstanding common stock" of the company, which may put this whole issue to rest. If Infogrames does not succeed, Atari admits there's no assurance it won't be delisted.

Nasdaq sends Atari another delisting warning originally appeared on Joystiq on Thu, 27 Mar 2008 02:00:00 EST. Please see our terms for use of feeds.

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Nasdaq: Atari could be delisted, market value too low

Christopher Grant — Thu, 27 Dec 2007 20:30:00 EST

Filed under: Business

For the second time this year, Atari has received a warning from Nasdaq that its stock could be delisted. This time, the violation doesn't concern a tardy financial report, rather the market value of the ailing video game publisher's stock, which is below $15 million. If that number stays below $15m for thirty consecutive days, the stock will be delisted (and we can't imagine that's going to go over well with investors).

That isn't the end of the line for Atari though; they'll have until March 20th to get their ship in order and, barring that, they'll be able to appeal the decision. Really, it pains us to watch this once proud video gaming brand dragged slowly to its death. Let's hope Midway's Hollywood plan saves that company from a similarly grim fate.

[Thanks, Vytenis]

Nasdaq: Atari could be delisted, market value too low originally appeared on Joystiq on Thu, 27 Dec 2007 20:30:00 EST. Please see our terms for use of feeds.

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Atari may get the boot from Nasdaq

Alexander Sliwinski — Mon, 23 Jul 2007 15:50:00 EST

Filed under: Culture, Business

If Atari's financial woes weren't already a beacon that the legendary game company has fallen far, their notice of potential delisting from the Nasdaq stock exchange should pretty much seal the deal. Atari received the notice from Nasdaq because they did not file their financial report for their fiscal year ending March 31.

Atari says they haven't filed yet because they're still trying to figure out what accounting entries they need to make. With any luck The Witcher and Alone in the Dark will help the company out this fiscal year. Heck, for all we know, My Horse & Me could be Atari's killer application which will help them ride into the land of fiscal fortitude.

Atari may get the boot from Nasdaq originally appeared on Joystiq on Mon, 23 Jul 2007 15:50:00 EST. Please see our terms for use of feeds.

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