Sony shares reach record high

Summary

  • Sony Group share prices recently reached their highest closing value in over 24 years.
  • The all-time high was driven by optimism about upcoming game releases from PlayStation's first-party studios.
  • Sony's latest earnings report promised that major single-player PlayStation games would be released every year going forward.



Sony Group The stock hit an all-time high of 3,338 yen ($22) earlier this week. The historic closing price broke a 24-year-old record for Sony and was apparently due to optimism about the company's PlayStation division, which is heading into what could be a very profitable year.

PlayStation is by far Sony's most profitable division and accounts for around a third of the company's profits. The rest is spread across other Sony divisions such as film and television, anime, music, consumer electronics, etc. Earlier this year, Sony announced that the current generation of PS5 consoles is the most profitable of all time, surpassing the PS4's cumulative revenue by less than four points reaches years. Additionally, Sony shareholders are likely to be very optimistic about the company's huge profit projections given that the second half of the PS5's lifecycle is set to release blockbuster games, including many from major PlayStation-owned studios.


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This optimism was reflected in Sony Group's share price earlier this week on Tuesday closed at an all-time high of 3,338 yen ($22) thanks to an assessment by Australian financial firm Macquarie. The assessment predicted higher operating profits for Sony's upcoming fiscal year, which was scheduled to begin in April 2025. A key reason for Macquarie's revision was higher expected revenue from games developed by PlayStation first-party studios in the coming years. Sony confirmed in its last earnings call that it expects to release major single-player PlayStation games every year going forward.


Sony is expected to see a huge boost in profits thanks to major upcoming PlayStation games


The ambition and budgets for AAA games have increased significantly in recent years, which has subsequently led to longer development times. PlayStation had a strong first-party presence in the first two years of the PS5 generation with games like God of War Ragnarok, Gran Turismo 7, return, Horizon Forbidden West, Ratchet and Clank: Rift Apartetc. However, as of 2023, the only notable single-player releases have been from Sony Spider Man 2 And AstroBot. Both were successful, but demand for big new PlayStation games is bubbling up, especially from big-name studios like Naughty Dog, Santa Monica Studio, Guerrilla Games and others.

These PlayStation studios have several projects in the works, many of which have put a lot of time into development. Therefore, it is very likely that they will be ready for release in the coming years. With Sucker Punch's Spirit of Yotei Confirmed for 2025, it remains to be seen whether Sony has any more tentpole PlayStation first-party games planned for next year. However, apart from first-party, Sony is expected to be heavily influenced by massive third-party titles such as: B. benefit GTA 6which is scheduled to release in fall 2025 and is expected to be a big PS5 system seller.

PlayStation 5 Tag Page Cover Art-1

PlayStation 5

Sony's PlayStation 5 is part of the ninth generation of consoles and debuted with a launch lineup that included Demon's Souls and Astro's Playroom. The console comes with a Blu-ray disc, although a digital-only version is also available at a cheaper price.

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