PARIS (Reuters) – Shares in Ubisoft fell 19% on Thursday after the French video game maker warned of lower-than-expected revenue and postponed the release of its game “Skull and Bones”, prompting some analysts to cut their estimates and price targets.
Late on Wednesday, Ubisoft said that it was increasing its writedown estimate to 500 million euros ($538 million) and cutting its full-year revenue target after ending 2022 with weaker-than-expected sales.
Morningstar analysts said they had cut their fair value estimate on Ubisoft to 35 euros from 60 euros “to account for the revenue drop, lower top-line growth, and potential further game delay”
By 0808 GMT, Ubisoft shares were down 19.48% at 19.38 euros.
(Reporting by Dominique Vidalon; Editing by Benoit Van Overstraeten)
