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Nintendo shares dive on Wii U announcement

Stock hits five year low as analysts question if firm can repeat Wii level of success

Nintendo shares tumbled to a five year low following yesterday's E3 reveal of its new home console, the backwards compatible, high definition Wii U.

According to Bloomberg, analysts have been quick to cast doubt on whether the platform holder will be able to repeat the success of Wii with the new system, which is set to launch between next April and the end of 2012.

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"There were high expectations from the new version of the Wii and this fell far short," Yusuke Tsunoda, an analyst at Tokai Tokyo Securities said. "People had expected to see something more at a big event like the E3, but there wasn't really anything more than what's already reported."

Nintendo shares fell as much as 7.5 percent as of 1:21 p.m. in Osaka trading, with more than 1.67 million changing hands, verss a six-month daily average of 724,000.

CVG went hands-on with the Wii U last night in LA. See what we thought of it here.

[ SOURCE: Bloomberg ]

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