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Funcom Shareholders Lose Confidence

Posted Mon, Jul 28, 2008 by Morvelaira

Stock price dips - correction or bad sign?

What Funcom's stock price may be probably doesn't sound important, but it really is when it makes dramatic moves. It's a barometer of how investors are feeling, and you always want your investors to be happy - else they and their money go elsewhere.

Funcom's average stock price before AoC was about 25 dollars a share. With the excitement and very strong pre-order numbers around the launch of AoC, that price more than doubled up to 54 dollars per share. Now, we've tumbled back down - to about 24 dollars per share. Here's why:

There's speculation that, despite strong initial sales and account sign-ups, investors are concerned at how well the game will retain its players.

Although polished in the early stages, some feel that Age of Conan's content and quality thins out as the game progresses, and that this has led many players to cancel their subscriptions. We gave it the benefit of the doubt in our review.

So this could be part of a natural cycle. The people that jumped on the bandwagon for quick cash have all jumped off, and the true investors are still there. Or it could be a true loss of confidence in Funcom, and the stock will continue to plumet. We'll just have to wait and see.

For more information, please check here.

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