Michael Pachter
Michael Pachter
Michael Pachter is a video game, social media, digital media and electronics analyst with Wedbush Securities. He is also the Head of Research for the Private Shares Group, a Wedbush division which focuses on companies which have not yet gone public such as Facebookand Twitter. Pachter has an MBA & two law degrees. Pachter worked for 16 years at Arco where he was Arco's director of strategic planning until mid-1998...
bigger cheap content deal discount game guts hidden nobody people sexual stock
Nobody at Take-Two will have the guts to put any hidden sexual content in any game so people are making a bigger deal out of this than is there, ... At the end of the day, the stock is really cheap and the discount makes no sense.
atari cheap either group investors mistakenly small thrive
Take-Two is cheap and Atari is really cheap. Investors mistakenly look at the group as either being big and going to thrive or small and going to go broke.
Take-Two has always been a 'trust us' story. We think that Take-Two has become a 'show me' story.
bunch cut cuts publishers reflect
EA has a bunch of underperforming games, and I think that the cuts reflect that. Other publishers will cut underperformers as well.
analogy buy limit pc reason success
It will limit the success if they're not materially better than the current-generation games. The analogy is, do you buy a new PC if you don't have a reason to? You just don't do it.
build business clearly
They clearly aren't in the big leagues. They're back in the minors now and we'll see if they can build the business back up.
components conference held lined press
They wouldn't have held a press conference if they didn't have all the components lined up already.
abysmal box job managing marketing supply
It's killing the market. They did a masterful job of marketing the box and an abysmal job of managing the supply chain.
million number production ramp start zero
The number of units is a manufacturing constraint. You can't start production from zero and ramp to a million a week.
number
The number of units is a manufacturing constraint,
decline dramatic expected holidays months none sales six
The year's a mess. None of us thought six months ago the holidays would be so weak, and no one expected there'd be such a dramatic decline in sales for the current-generation of games.
buzz continue europe eventually four frankly games grow imaginary maybe million online outlet people work
I don't think there are four million people in the world who really want to play online games every month. World of Warcraft is such an exception. I frankly think it's the buzz factor, and eventually it will come back to the mean, maybe a million subscribers. It may continue to grow in China, but not in Europe or the U.S. We don't need the imaginary outlet to feel a sense of accomplishment here. It just doesn't work in the U.S. It just doesn't make any sense.
decision earlier
The earlier movers aren't making a decision between the two.
along company continues expect generating invest large losses throughout
The company continues to invest in its future, generating large losses along the way, and we expect this to continue throughout 2006.