Skip to main content

Market Overview

Wedbush Calls April Video Game Growth A 'One-Hit Wonder'

Wedbush Calls April Video Game Growth A 'One-Hit Wonder'

In a report published Friday, Wedbush analyst Michael Pachter commented on NPD data (released Thursday) that showed gaming console and hardware software sales rose 13 percent year-over-year to $257 million, exceeding the analyst's estimates of $248 million.

"Sales were up for the third time in four months and by a double-digit percentage for the first time since last May (when Ubisoft released Watch Dogs), driven by new release Warner Bros.' Mortal Kombat X> which sold 1.28 million units, roughly double our estimate of 650,000 units," Pachter wrote. "The game had the strongest launch month of any new release in 2015 so far, a reflection of solid reviews and the franchise's pedigree."

Xbox One Outsells PS4

Pachter said overall sales were higher despite a continued decline in current-gen sales and an early Easter falling on April 5, just one day after the end of the March retail month. The analyst noted that during the month, 187,000 Microsoft Corporation (NASDAQ: MSFT) Xbox One units were sold, falling short of his 175,000 estimate. In addition, 175,000 Sony Corp (ADR) (NYSE: SNE) PS4 units sold in the month were also short of his 250,000 estimate.

Interestingly enough, sales of Xbox consoles exceeded those of PS4 for the first time since December of last year, reflecting a $50 price cut and bundles. Moreover, sales of Xbox One consoles were above those of Nintendo 3DS for the first time in three month, likely a result of declining popularity in the Nintendo console as a "solid" game slate finally waned.

Latest Ratings for MSFT

Apr 2021Morgan StanleyMaintainsOverweight
Apr 2021MizuhoMaintainsBuy
Apr 2021Credit SuisseMaintainsOutperform

View More Analyst Ratings for MSFT
View the Latest Analyst Ratings


Related Articles (MSFT + SNE)

View Comments and Join the Discussion!

Posted-In: Michael Pachter Mortal Kombat X NPD PS4 UbisoftAnalyst Color Analyst Ratings Tech Best of Benzinga

Latest Ratings

CWBHFCantor FitzgeraldMaintains3.8
PRTSRoth CapitalMaintains30.0
MUXRoth CapitalMaintains2.0
BABAJP MorganInitiates Coverage On
CLARRoth CapitalMaintains24.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at