‘Pokemon Go’ Bubble Bursts: Nintendo Tumbles As Indonesia Issues "National Security Threat"
By Tyler Durden
Indonesian officials have warned that 'Pokemon Go' is a “national security threat,” and military headquarters have banned personnel from playing the game while on duty, according to Jakarta Post. It appears the 'Pokemon Go' bubble is bursting, after surging 120% in 8 days, Nintendo is down over 12% today (as the bubble passes over to McDonalds Japan, which is up 12%, after reports of sponsoring 'Pokemon Go' in Japan).
As Bloomberg reports,
Indonesian Military headquarter has banned personnel from playing ‘Pokemon Go’ game while on duty, Jakarta Post reports, citing spokesman for Indonesian Armed Force, or TNI, Tatang Sulaiman.
TNI says cautious as app could encourage gamers to go to restricted military facilities, record activities and post details online.
And the bubble is bursting… tumbling 12% after doubling in 8 days…
As UBS warns the rally is “hard to explain”…
Nintendo’s market cap. expansion to more than 2t yen is “hard to explain” even when “substantial” billing rev. and reasonable vol. for Nintendo Plus is factored in, writes UBS analyst Sumito Takeda (sell) in note earlier.
Estimates Pokémon Go Plus toy may generate direct earnings when released in future.
Some expectations Nintendo may shift from hardware to software after seeing other cos. are using Nintendo IP to create popular games; believes co. should continue to invest in hardware.
Maintains sell rating, 12-month price target 15,000 yen.
But McDonalds Japan is surging…
This follows reports from The Wall Street Journal that the company will be a sponsor of Pokemon Go in Japan, participating in the game’s release in the country and making its restaurants key locations for game players.
Source: ‘Pokemon Go’ Bubble Bursts: Nintendo Tumbles As Indonesia Issues "National Security Threat"
