Funcom Share Prices Drop on The Secret World Launch

Posted by | July 8, 2012

Funcom, a largely-inept MMO company has recently released its latest project, The Secret World. This was perhaps not the best idea, as the company’s share price has dropped some 40% on the news. While Funcom is known for destroying good ideas, word on the street is that The Secret World is at least decent, if not good. So why the drop? Perhaps it has something to do with the company’s CEO stepping down on the eve of the release. Or maybe people are just banking on Funcom’s history of disaster to pay out by shorting the company’s stock. GameSpot has the story.


7 Comments so far
  1. Nelson Williams
    July 8, 2012 6:07 pm

    If anyone out there just bagged a few large by betting against Funcom, do let us know. I need to start getting in on that kind of action.

  2. Frank
    July 9, 2012 4:33 am

    The stock market in general is down. Your “largely-inept” comment shows how uninformed you are. I I bought 135,000 shares @ 4.10 NOK back late 4th Quarter 2008 and sold them this April @ 23.90 NOK do the math grab your calculator. Repurchased some more @ 10.50 NOK and will be profiting yet again from the “doom naysayers” like yourself. “The sky is falling! Bankrupcy! Terrible game! CEO QUIT!”

    All typical idiotic comments from people like you that post on no-name websites.

    Quote from you “These days, I sign my cheques in leet.”

    Let me guess some barely 20 something kid right? Who says “leet” and wants to be taken seriously? No one.

  3. Nelson Williams
    July 9, 2012 8:18 am

    I’m glad for you that you’ve made a profit off Funcom, they’re a great company right up until the game is released. This stock drop, though, is quite real. From a high at 17.40 on July 2nd to a plunge at 11.40 on July 6th. That is rather impressive. The curious question is why? I don’t know. Since you seem invested in the company, perhaps you have some insight?

    Also, thanks for reading the comments and replying!

  4. Frank
    July 10, 2012 9:02 am

    Its going back up quickly! 12.15 NOK today http://uk.finance.yahoo.com/q?s=FUNCOM.OL

    Ended at its highest today. Sorry for my being rude in previous comment, just so sick of people saying the company sucks and their games suck. They are one of the very few companies that try to create something outside of the norm. They know it will be a niche game but they still try to create something unique.

    As for the reasons it dropped so bad? AOC flashbacks for investors thinking it’ll take a dive just after release. Major reason was last 4-5 days of trading on the market was down worldwide. Almost as major was the CEO announcement which really baffles me. These guys on the board and executives planned this obviously.

    They had to have known it would affect the stock and that 1 day before major release of a 5 yr project would greatly cause doubts and panic. I’m just having to assume they knew this but did not feel it would matter because as CEO Trond Aas said “Everything is great with TSW and the company right now”. We’ll see but today was a decent day back 9.46% Hopefully it’ll get back up there and they will be successful.

  5. GT
    July 24, 2012 7:20 am

    Still tanking… Is this still due to AoC history and no release of player numbers? I am however liking that they are letting word of mouth do the initial PR whilst they seem to iron out problems.. I was also looking into website traffic and they have 16000 hits a day on secret world, which is lower than for AoC…? I’m guessing they have sold 5-800000 copies with 5-10% buying lifetime subs. How would this affect the expected stock price? I’m buying on the way down but I’m getting a bit worried about how low it will go… Any thoughts?

  6. Nelson Williams
    July 24, 2012 10:29 am

    From my side of things, I’m seeing a lot of publicity for The Secret World from the gaming press, people playing the game and giving trip reports. That’s a little unusual, so it might be a good sign. There are bugs in the game, no doubt, but players seem to think they’re worth dealing with to explore more of the story.

    There are probably a lot of investors who expect World of Warcraft numbers, and since that’s never going to happen, they’re pulling out. Still, if Funcom can keep an audience of 500K plus in The Secret World, it should be a nice revenue stream into the future.

  7. GT
    July 26, 2012 7:58 am

    Cool, Thanks for sharing you oppinion! Looks like the panic is calming a bit as its bounced back a decently..

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