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Sony on the NYSE
twodayslate
Member Posts: 724
I started wondering how the current class action suits would compare to their overall net worth, and got directed to this:
Didn't know it had tanked that much in the past months, ~10% of their stocks current worth might hurt if it stays at that level.
Comments
According to that graph, since the hacking issue on the 16th of april they've lost 2 bucks in share prices.
It doesn't work like that though. First of all, the lawsuit isn't in US currency.
Secondly, although it should be, corporate equity isn't always (or immediately) reflected in stock prices.
Finally, some equity and profit is considered a liability and cannot be used in calculating a net worth (i.e. mortgaged property, equipment leins, loans and other debt.)
The reality of it is that they will survive, but will need to make VERY hard choices. I think that SOE will survive, but I have a feeling that they will more than likely consolidate their entire gaming unit into one division and hold investments to any future SOE titles for some time.
They may even shed off the dead weight games and sell them to other companies to recoup some of the costs. I think that this would be the best thing for the industry. It would take some of the more "indy-like" games like vanguard and put them back into development.
Those exchange volume peaks are what stood out to me, sort of reminds me of those biodiversity charts that span geologic time, with the extinction events clearly marked.
It's quite clear to anyone familiar with sharedealing that the SNE stock started to plummit on the 9th march, before any hack.
--
Note: PlayNC will refuse to allow you access to your account if you forget your password and can't provide a scanned image of the product key for the first product you purchased..... LOL
Sony stocks went to $150 back in 2000, damn.
buy low sell high!
Some equity cannot be used to calculate net worth? Wrong on so many levels.
Net worth = Total assets - Total liabilities
Value of the firm is the value to the owners, aka the stakeholder.
Value of the firm is the present value of future income streams discounted by the weighted average cost of capital (WACC)
WACC is composed of the proportions of debt & equity multiplied by the cost of equity and cost of borrowing.
Therefore the discount rate (WACC) used to evaluate future cash flows is imperative to determining the value of ANY firm. My goodness, this is simple security analysis/corporate finance. Even my 6th grade newphew knows the simple theory of the time value of money and discount rates.
And on another note ,exchange rate risk, whether it is translation or transaction, is somewhat null and void because the firm uses the average of the more recent spot rates over the time period that matches the financial statement in question, by GAAP regulation, same method used in Japan. All subsidiaries are not requireed to remit revenue streams. In Sony's case, the US subsidiaries reinvest 95% of their revenue streams in order to take full advantage of the US corproate tax system and gain an optimal capital structure by exploiting the concept of tax debt shield, up until a prudent level, eventhough the cost of borrowing in Japan is so low.
And considering the notion of whether "corporate equity" isn't always reflected in the stock prices?
Again do you know what you are even talking about? EQUITY is STOCKS.
And depending on your stance on the efficient-market theory and behavioral finance, you SHOULD know both pretty much sum up how current stock prices reflect information, albeit not instantly but very very VERY quickly. Do the research. They reflect very quickly current sentiment and information, else you would have huge levels of arbitrage and smart money exploiting the market leaving an immense imbalance.
Meh, I dont really care anything about the stock exchange. The vast majority of human beings on the planet actually have to work for a living. Its just a scam anyways, yet another system specifically designed so that a select few can profit from the hardwork of the masses. Thats really all it boils down to. And as an American citizen who now makes my residence in Australia, good ridance to the whole lot. In this country I can make a decent living by doing good honest work, I feel my contributions are valued. Doing a job that I couldve done in America for 8.50 an hour, here I make 30 bucks an hour (60 for Sundays and public hollidays, and AUS dollar is stronger atm) 4 weeks paid vacation a year and I dont have to worry about this health care nonsense since its all taken care of for me, without any difference in the tax I pay. Im by no means rich, but at least I can do an honest mans job without coming home and feeling as though Ive been anally violated. By comparison what I used to put up with in the US and what the poor folks still there continue to put up with is insanity.
I know this all has absolutely nothing to do with the thread, and I apologize for going off topic. But who gives a fuck about the particulars of the stock exchange, honestly?
It is a scam.
That's why it was deemed illegal in the Middle Ages. Making money from money was an illegal practice that would get you jailed.
When Europe expanded and needed more cashflow for trade they made it legal, even though many people were opposed to the idea.
That;'s right, because Australia doesn't have a stock exchange, oh wait...
http://www.asx.com.au/
Last time I checked there was no "million dollar rich" requirment to invest in stocks. I was a broke college student. I turned $4,000 of my own student loans into $65,000 by investing while I was attending school in one year, now my school is paid for and I work in a 6-figure position. I could've done this anywhere in the world.
U.S. sure has a lot of problems, but a mmoorpg forum is no place for you to vent off topic information and hate.
If it wasn't for stock exchanges, you have NO idea how much banks would be charging people everyday for everything little thing in order to fund all the paperwork and manpower they would need to fix the problems of asymmetric information to fasciliate private loans to corporations. Ignorance is bliss, lol.