Sony Profits to Rise?

[Rich Tate]

Even though Sony has been mired in bad Playstation3 press lately, there are some analysts who are predicting this could be a very big year for them, which has already pushed their stock to a 5 year high. They aren’t just basing their conclusions solely on the PS3 however.

Shares in Sony climbed to a five-year high on Friday after a newspaper predicted a sixfold increase in its profits for the current year.

 

[Obi_Kwiet]

Strong PS3 sales wouldn't help their income, because they take a loss on each one. They'd have to have strong sales of games and stuff too, and that won't happen so soon. Besides, Demand for the PS3 is that strong.

 

[Martyr]

well its not like sony makes money on the ps3 at the moment.

 

[Rich Tate]

well its not like sony makes money on the ps3 at the moment.

They aren't making a profit but they are recouping the money from that huge loan they took out.

 

[CopyCat]

Its not like they lose money when they sell PS3s. They just dont make all of the money spent back. Of course they are making money when PS3s sell, just not enough to say its a profit for each one.

Still less of a loss when they are sold.....saying they lose money when PS3s are sold is a not a good way of looking at it.

And other Sony electronics have been selling extremely well as of late so that is a big reason why Sony is posting profits even with the PS3

 

[forcefed]

Profits to rise sixfold? Who is stupid enough to believe that?

 

[BladeVenom]

Whoever wrote that article is probably engaging in stock spam.

 

[overthetop]

The article states that Sony is expected to ship 10 million PS3s. I doubt that.