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Pachter: Nintendo Set For Better Than Expected 2009
Pachter: Nintendo Set For Better Than Expected 2009
April 28, 2008 | By Eric Caoili

April 28, 2008 | By Eric Caoili
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More: Console/PC

In his latest note to investors following Nintendo’s FY 2008 results, Wedbush Morgan’s Michael Pachter has said the company is “executing flawlessly,” adding that it has the potential to sell upwards of 40 million software units more than it has forecast.

“We believe that Nintendo’s software guidance is exceedingly conservative,” said Pachter, noting that while Nintendo expects to sell 177 million Wii software units, up from 119.6 million units the previous year, the console’s installed hardware base is expected to double.

“We think that the actual software shipment figure will be closer to 200 million," he said, "with a bias for upside," and noted that average price points in the forthcoming year will be higher as well, with the forthcoming Wii Fit priced 80 percent higher than the average Wii title.

Pachter reiterated his stance with Nintendo’s own DS predictions, as well, saying, “The company’s software forecast is not reasonable for the DS. Nintendo expects DS software sales to increase from 185.6 million units to 187 million, while expecting the DS installed base to go from 70.6 million to 98.6 million."

"Our best guess," he concluded, "is that the DS software unit figure will be closer to 210 million, particularly with games like Pokemon and Guitar Hero shipped during the year.”

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