The long-awaited release comes after customers experienced difficulties looking to preorder the Sony PS5. Eager buyers complained about multiple retailers being out of preorder stock after preorders started a day earlier than announced.
Is PlayStation on the stock market?
PlayStation is manufactured by the Sony Corporation, which trades on the NYSE under the ticker symbol "SNE." The stock closed at $85.91 on Nov. 10 and has gone down slightly in pre-market trading to $85.36 on Nov. 11.
Sony's stock forecast due to the PS5 launch
The PlayStation 5 Digital Edition's suggested retail price is $399, while the PS5 with Ultra HD Blu-Ray Disc Drive is $499.
Several analysts expect at least 6 million PS5 console units to be sold within the fiscal year or even at launch time. Amit Garg, a senior analyst of Japanese equities at CSLA, said that 6.7 million units will likely be sold in the fiscal year, according to CNBC.
Damian Thong, co-head of Asia technology research at Macquarie Capital Securities, stated earlier this year that 6 million units of the PS5 could be sold immediately upon release. His outlook for Sony was promising for the longer term. He expects the PS5 to provide “good earnings momentum for Sony in the next couple of years to three years.”
Is Sony stock going to go up with the PS5 release?
Sony’s earnings outpaced the expectations for the first quarter of fiscal 2020. The gaming and network services were responsible for 54 percent of the company's operating profits. As of August, analysts projected the PS5 to be a key source of company profits, according to CNBC.
The CEO of Tokyo game industry consultancy Kantan Games, Serkan Toto, told CNBC that the PS5 would be the primary driver for Sony’s business in the fiscal year. He said, “It’s the start of a new console generation, the previous PlayStation was released seven years ago, and the PS5 hype is already through the roof.”
Sony CEO Kenichiro Yoshida's salary
Kenichiro Yoshida is the CEO of Sony Corporation. He took over the role in 2018 and replaced Kazuo Hirai. Previously, Yoshida was the company’s chief financial officer and vice president. His salary doubled to $1.47 million when he became the CEO.
However, the base salary isn't the whole compensation plan for tech executives. Yoshida’s performance bonus for 2019 decreased by $1.1 million, according to Sony's financial filings in 2019.