Why you *might want to* buy Mad Catz stock. SOON.

Knoxximus

Knoxximus

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Disclaimer: I am not a financial professional...but I seem to have a knack for picking out good gaming stock opportunities. So take the following with a logical grain of salt. ^_^


Look into Mad Catz stock. NOW.


I can't believe I'm backing Mad Catz either, but seeing/playing is believing.


Some bullet points:


- Street Fighter IV releases on consoles mid-Feburary.


- Critical reception of Mad Catz Street Fighter IV controllers at CES last week.


- Street Fighter IV will sell buckets, hence Mad Catz will sell buckets.


- THIS AIN'T YO PAPPY'S MAD CATZ!! Do your homework.


- It's currently less than 50 cents a share.


- I expect it to hit at *least* a buck a share in a few months if not more. We'll see!


- Company is KNOWN to be shyt.


- Average investor has never even HEARD of them. I didn't even know there were listed until last week.


- Average investor does NOT KNOW what Street Fighter mania truly is.

Bottom line is, no one is checking, or has ever checked for Mad Catz....THIS is what makes them the perfect sleeper in my book.


Links of interest:

Video overview of controllers and guts of Tourney Stick. Also, after you watch the video, scroll down to witness the reaction of the consumers who will be giving Mad Catz their monies:

http://www.destructoid.com/ces-2009-str ... 7539.phtml

An excerpt from an article about the SF4 stuff:

Lastly, Mad Catz has come out with a whole shabang of goods of StreetFighter IV accessories: FightStick; FightPad; and FightStick, Tournament Edition (these three are for Xbox 360 and PlayStation 3 consoles only); Faceplate and Console Skinz (Xbox 360); Controller Faceplate and Console Skinz (PS3); and Wall Scroll.

The FightStick has dual-speed Turbo functionality with LED indicators. The Tournament version is made by the brilliant Yoshinori Ono (one of the best developers out there) with a Japanese style ball-handled joystick with 30mm Action Buttons -- this means it's the first time such features have been added to a commercial product outside Japan.

The Console Skinz are beauty enhancements, if you will. They go on you console as a backdrop. The Wall Scroll is just the same -- it's a vinyl scroll with official SFIV artwork.
Click to expand...
That's a lot of extraneous stuff to buy to enhance your SFIV experience, but if you're a rabid fan, ain't no thang but a chicken wing, right?


Another article of shock and disbelief:

http://arstechnica.com/journals/thumbs. ... ade-sticks

Financial news during CES:

http://www.gamesindustry.biz/articles/m ... w-products

DISCUSS!
 
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I love Street Fighter and am super pumped for SF4.

However, I'm not sure it's going to be a huge hit outside of the Fighting game fanbase.
 
Well, I never thought I'd see this thread here...

lol.

Knoxximus, are you sure? Are you buying stock?

What makes you so confident in the SF4 stuff? Have you done your research?
 
[quote name='MarkMan']Well, I never thought I'd see this thread here...

lol.

Knoxximus, are you sure? Are you buying stock?

What makes you so confident in the SF4 stuff? Have you done your research?[/quote]

Yessir Markman...I'm already in for a little over 2000 shares.

I called Nintendo back when it was 12 bucks in January of '06, and made a killing on it when everyone else thought I was crazy. That the Wii wasn't gonna do shyt. But I understood that Nintendo was the only company that didn't follow the normal business model of selling hardware for a loss, and hope to make the difference up in software.

Mad Catz Q2 2009 fiscals state they made some 58 million dollars, yet posted a net loss of 1.2 million or so. This was attributed to spending for advertising, etc. And this was without a killer app...just normal Mad Catz stuff that most of us wouldn't touch with a 10-foot pole.

Mad Katz has a killer app now.

If they just about broke even without a headliner in the catalog, I feel there will DEFINITELY be some upward momentum once these controllers start selling.

I only invest in what I believe in and you, MarkMan, and Team Mad Catz made me a believer at CES last week Thursday. Ask your buds to tell you about the guy who pre-ordered the stick on his bluetooth headset while playing on the Tourney Stick....that was me.

I think the word of mouth on this game will be HUGE. I think it will sell well throughout the entire year once other people start trying other peoples copies. I feel this Street Fighter 4 could be the biggest bit of Street Fighter mania the likes of I haven't witnessed since '91.

So far, ALL of the game stores in Vegas (maybe the country?), have pulled all preorders for the Tourney Stick. I really think demand is gonna be through the roof. Like I said, I can't imagine the profit margin being huge, but buying at .37 cents a share, and with Mad Katz having a 52-week high of 1.03, I should at least *double* my money I think.

You can see some of the homework I've done by checking the links in my OP.

Let me know what you think and thank you for taking me seriously!:applause:

-Knoxximus
 
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Me either. I loved SFII back in the day, but I'm just not into fighers anymore. They just don't hold my attention and I have no time/patience for games that require practice these days.
 
[quote name='Knoxximus']We gamers are a strange lot. Most of us would rather eat ramen for a week than miss out on the newest release. Street Fighter is damn near a religion. It HAS to be bought at launch to be as competitive as possible in the long run. Whether it's the Tourney Stick, Fight Stick, or Pad, these controllers WILL be going at a 1-to-1 ratio with the game. PLUS, it's hardware. Some unscrupulous gamers may bootleg SF4, buy they cannot bootleg the Tourney Stick and/or gamepads.[/QUOTE]

I don't agree with this. I really doubt it would be a 1-to-1 ratio. The joysticks cost way too much, if priced around $49.99 it would sell better. You're pretty much going to be using a joystick for fighting games only, and how many of them are out there now? People who actually wanted one probably bought the Soul Calibur ones already.

As for the pads, there are cons to it. For PS3 there's no rumble, I don't see many people replacing their DS3. The PS pads are good enough not to warrant a different controller purchase. More people would probably buy the 360 since the dpad on that sucks balls. But you'll be missing wireless and rumble on that.
 
[quote name='gokou36']I don't agree with this. I really doubt it would be a 1-to-1 ratio. The joysticks cost way too much, if priced around $49.99 it would sell better. You're pretty much going to be using a joystick for fighting games only, and how many of them are out there now? People who actually wanted one probably bought the Soul Calibur ones already.

As for the pads, there are cons to it. For PS3 there's no rumble, I don't see many people replacing their DS3. The PS pads are good enough not to warrant a different controller purchase. More people would probably buy the 360 since the dpad on that sucks balls. But you'll be missing wireless and rumble on that.[/quote]

Dude, take the CAG glasses of for juuuuuuust a minute. Look at the big picture. SF4, and its rock solid perperials, are going to be HUGE.
 
[quote name='Knoxximus']Dude, take the CAG glasses of for juuuuuuust a minute. Look at the big picture. SF4, and its rock solid perperials, are going to be HUGE.[/QUOTE]

WTF is wrong with you? I posted my opinion and you tell me to take CAG glasses off?!? Because I don't think the joysticks are worth that much makes me a cheapass? Please dude, I just paid $500 for a video card, you think I can't afford to pay $150? That is your opinion that it will be HUGE, not fact.
 
[quote name='gokou36']WTF is wrong with you? I posted my opinion and you tell me to take CAG glasses off?!? Because I don't think the joysticks are worth that much makes me a cheapass? Please dude, I just paid $500 for a video card, you think I can't afford to pay $150? That is your opinion that it will be HUGE, not fact.[/quote]

Okay....deep breath....not trying to turn this into a flamelake or anything, ok?

I went hands on with the sticks and pads, and I feel they are worth the money, in much the same way you feel that $500 video card was worth your money.

I wasn't saying nor did I say you couldn't afford it...I was trying to say that the intended audience will feel it's worth the money, and we will eat it up, is all.
 
Thanks for the compliments about the products.

And yes, someone in the office mentioned you making a preorder via phone!

lol, that is awesome.

Hope you're right!

I want promotions :)
 
Well those Street Fighter controllers I bought years ago for the PS2 didn't exactly fly off the shelf.

I dunno, I'm a pretty big Street Fighter fan (well more since I got back into it when Alpha 3 was out) but don't consider myself great by any means, more average, but I just don't see how this game is going to sell 2.3+ million copies like Capcom claims. The best selling fighting game of recent was 2 million and that was between the PS3 and 360 (SC IV), and that was much more hyped/commericialized then SF4 seems to be considering It's out in a good month. DOA4 sold a million over It's career but that probably wouldn't break two million if it were on two consoles either.

I'm hoping it breaks atleast one million between both platforms but if it does more I'll be shocked/happy.
 
Hmm... to me it seems that you're giving a lot of credit to SF. I'm not sure if it's going to blow up like you're thinking and the controllers selling 1:1 is tough to swallow. Plus, your avatar makes me weary of bias. And, the TE Stick is going to have a 3,000 initial production run. You might have better luck putting the money from the shares into buying TE sticks and selling on eBay. :)

If I was going to buy a small amount of shares (say 500), what would be my best way of doing this?
 
[quote name='guinaevere']Same way one buys stock in any publicly traded company.[/QUOTE]

Yeah, I've never done that, that's why I am asking. I hope you feel better about yourself now. :whistle2:|
 
Even if this game sells by a few million copies, I honestly can't see the sticks selling a significant amount...
 
[quote name='Knoxximus']Okay....deep breath....not trying to turn this into a flamelake or anything, ok?

I went hands on with the sticks and pads, and I feel they are worth the money, in much the same way you feel that $500 video card was worth your money.

I wasn't saying nor did I say you couldn't afford it...I was trying to say that the intended audience will feel it's worth the money, and we will eat it up, is all.[/QUOTE]

See, the video card serves me more than one purpose and works with many games while the joystick is only good for fighting games and there aren't many of those like I said. I will be buying SF4 but I won't be buying any of these peripherals. That's why I don't agree when you say the intended audience will feel it's worth the money. If you say SF fanatics or collector's then yeah but I highly doubt it will be a 1-to-1 ratio to the game.

If you think I'm clearly wrong then maybe you should make a poll on here to see if your tie in ratio is true or not. I would definitely want to see how many people plan on buying the joysticks/gamepads and for 360 or PS3.

BTW is the 3,000 really limited or is it a test run to see how well it would sell?
 
[quote name='gokou36']
BTW is the 3,000 really limited or is it a test run to see how well it would sell?[/QUOTE]

That's the initial shipment of the $150 stick. I'm guessing they're going to see how well it sells to produce more. I'm sure the first 3,000 will sell quick, after that, who knows.
 
[quote name='Knoxximus']
I wasn't saying nor did I say you couldn't afford it...I was trying to say that the intended audience will feel it's worth the money, and we will eat it up, is all.[/QUOTE]

Problem is Capcom apparently estimates to sell 2.3 million copies of Street Figher IV. And you just predicted a 1:1 sales ratio. That's not going to happen.

The intended audience for a $150 stick is hardcore fighting fans. That will be only a fraction of the people that buy Street Fighter IV.
 
[quote name='zewone']Yeah, I've never done that, that's why I am asking. I hope you feel better about yourself now. :whistle2:|[/QUOTE]

Just go on Ameritrade, etrade or one of the other sites (not sure what ones are still around) open an account, find the Mad Catz stock and buy however many shares you want.
 
MadCatz has such a high failure rate. I can't trust them for anything. I used to support them back in the early ps1 era. But I learned my lesson and they haven't gotten any better.
 
[quote name='dmaul1114']Problem is Capcom apparently estimates to sell 2.3 million copies of Street Figher IV. And you just predicted a 1:1 sales ratio. That's not going to happen.

The intended audience for a $150 stick is hardcore fighting fans. That will be only a fraction of the people that buy Street Fighter IV.[/quote]

By 1-to-1 I meant the Mad Catz controllers in general. Obviously the sticks can't go 1-to-1 because there will be only 3,000 at launch. I still don't know if this means 3000 each for 360/PS3, or 1500 split.

This also counts for the pads. The 360 has the largest user base of the platforms for SF4, and who really wants to play any fighting game with the standard 360 controller (2-D fighting for clarification)?

I also think the pad would be awesome for a great many other games and XBLA titles as well. Word of mouth will give these products legs.

And maybe even then it won't be 1-to-1, especially for PS3 owners who already have a decent, wireless D-pad. For 360 owners though, a better d-pad/stick is a MUST to be competitive.

Bottom line, I think the share price will go up by a decent amount. For what it's trading for now, depending how much is invested, even a .10 cent increase could be huge.
 
[quote name='MarkMan']Thanks for the compliments about the products.

And yes, someone in the office mentioned you making a preorder via phone!

lol, that is awesome.

Hope you're right!

I want promotions :)[/quote]

Haha yeah, I keep a couple bucks on my store credit for emergencies such as these.;):lol:
 
If Mad Catz developed and put out a Wii Remote and/or Nunchuck alternative, I would consider this idea. However, fighting games, in general, are niche. I wouldn't sleep easy putting a lot of money into something niche. That said, sometimes risks are necessary for profit. Good luck, Knoxximus.
 
SF4 is never going to sell in the way that makes a stock really move. The kind of game that DOES is going to have to sell a ridiculous amount, like Guitar Hero or Warcraft titles. There is a large base of SF fans, but the arcade phenomenon was an entirely different thing than playing the game at home, and it just will never elicit the same kind of fervor when you're sitting at home.

Besides, a total investment of over $200 to play a fighting game? PUHLEEZE get real. NO WAY is SF4 worth *THAT* much in order to play. At most, I can see maybe 5% of the buyers of SF4 purchasing a Mad Catz controller, especially because of their reputation for taking actual shit and shaping it into a controller. If you want to invest, buy more Nintendo stock while it's artificially depressed on account of the global economy.
 
Outside of the fighting game gear (a very, very niche marker), Mad Catz has the exclusive rights to be the official accessory maker for Rock Band. I think that should count for something.
 
[quote name='Monsta Mack']Well those Street Fighter controllers I bought years ago for the PS2 didn't exactly fly off the shelf.[/QUOTE]

I bought that for collection and to use it with my Dreamcast, and boy did it suck! Just curious but has anyone had a hands on with the new gamepads and how is it? I never used those Saturn pads so I don't know what it's like when people say it's like those.
 
I don't know about all this 3000 initial stuff is... but I know the real deal with the sales. And this thing is limited. It is going to be sold out for sure X_X
 
[quote name='Ziv']MadCatz has such a high failure rate. I can't trust them for anything. I used to support them back in the early ps1 era. But I learned my lesson and they haven't gotten any better.[/quote]

Care to support your numbers with facts?

Also, I feel a lot of people living in the past are sleeping on these products.

Oh well. If they can't find them later on, that's their fault.

I don't blame anyone though who holds ill will towards the company.

I understand how it is to be burned.

Just know I put a lot of heart/time/effort into the Street Fighter IV line of products... If you can't tell already by the previews/impressions. I wasn't fuckin around.
 
I seriously recommend anyone looking at this stock to do their homework before jumping in. The terrible historical returns and high P/E ratio mean this is a really risky, potentially "speculative" stock. Meaning, this is not a stock for just anyone. I have to think that anyone visiting a site called cheapassgamer would want to think twice before plunking the kind of cash needed to make the ROI worthwhile.

I appreciate Mad Catz's commitment to the legendary Street Fighter franchise with it's upcoming high quality sticks and pads for SFIV, and have pre-ordered these items myself, however, I'd never make the assumption that either the SFIV home console game or these awesome sticks are going to make Mad Catz the next Google. IMO, they'll be lucky to reach the level of Logitech, at least stock-wise. :p
 
[quote name='MarkMan']Care to support your numbers with facts?

Also, I feel a lot of people living in the past are sleeping on these products.

Oh well. If they can't find them later on, that's their fault.

I don't blame anyone though who holds ill will towards the company.

I understand how it is to be burned.

Just know I put a lot of heart/time/effort into the Street Fighter IV line of products... If you can't tell already by the previews/impressions. I wasn't fuckin around.[/QUOTE]


For people who listened to you, this is probably their first time being excited about a mad catz product. I know its mine. Word of mouth is getting around like crazy too.

It's like the Pelican PS2/PS3 adapters, people wrote them off as another shitty Pelican product, but now they've sold out and go for way too fucking much on ebay. :)
 
[quote name='dmaul1114']Me either. I loved SFII back in the day, but I'm just not into fighers anymore. They just don't hold my attention and I have no time/patience for games that require practice these days.[/QUOTE]

It's that there's too many people like dmaul who have too many important things to do like play oblivion/gears/whatever shallow SP game to learn a character and get into street fighter.

It's really not as difficult as it seems. Online competition should bring on a Renaissance of fighting games, but I think most people are too ignorant to their potential value/depth to care. It's a real shame.

I thought the same thing after being burned on Soul Calibur 4, but Super Turbo has been my most played game of the year so far. Not bad for a little $15 title. I buy a lot of games too, but people making the complaint that they can't spend time on a game like Street Fighter are probably not realizing the time they're spending on a string of very shallow, very "fast food" like single player games. Buying Fable 2 is akin to going to taco bell drive through. Street Fighter is more like owning an oven.
 
Exactly.

MarkMan is right 10 times for every 1 time there is a time at which he could either be right or wrong.
 
[quote name='Treehouse Gamer']Outside of the fighting game gear (a very, very niche marker), Mad Catz has the exclusive rights to be the official accessory maker for Rock Band. I think that should count for something.[/quote]

Mark Man, what is the full list of licenses Mad Catz had secured exclusivity to for accessories? I know it's a lot more than just SF4 and RB from an article I read, but I can't remember the full list.
 
Anyone seriously contemplating this should realize that this will have to be one of the most popular third party console peripherals of all time to make the stock leap to any great extent. Considering how often I've seen custom controllers tied to major games get marked down to a small fraction of their original price, I don't think this is going to be the big event in MadCatz life gives them their fifteen minutes on Wall St.

At best you might clear a few hundred dollars if you don't hold on to the stock too long.
 
[quote name='epobirs']Anyone seriously contemplating this should realize that this will have to be one of the most popular third party console peripherals of all time to make the stock leap to any great extent. Considering how often I've seen custom controllers tied to major games get marked down to a small fraction of their original price, I don't think this is going to be the big event in MadCatz life gives them their fifteen minutes on Wall St.

At best you might clear a few hundred dollars if you don't hold on to the stock too long.[/quote]

With the stock price what it is, it doesn't have to go Nintendo huge to clear. If it hits a buck or two, you've almost pentupled your initial investment.

And who couldn't use a coupla extra hundred bucks right now?

I'm not saying the stock is gonna jump to $10. Even if it hits it's 52-week high amount of $1.03, you've effectively tripled your money.
 
[quote name='Treehouse Gamer']Outside of the fighting game gear (a very, very niche marker), Mad Catz has the exclusive rights to be the official accessory maker for Rock Band. I think that should count for something.[/quote]

This. I think people are ignoring Madcatz's other releases. Street Fighter is their way of introducing the fact that "we don't make shit anymore." I'm sure there's more to come.

If Madcatz continues down the path that they are, and successfully change their reputation, then I can see a line of legitimate third party accessory alternatives as opposed to the regular crap out there. That's a whole different market. In most people's minds, third party = shit. We'll see how far Madcatz can take it.

I just find it interesting that Madcatz has been able to 180 its reputation in less than a years time with the help of internet buzz. What's more, they've chosen to appeal to perhaps the pickiest group of gamers when it comes to controllers. As long as they use the marketing tools and continue to build thir reputation, I imagine they'll get more licenses to do more products and perform pretty well in the coming year.
 
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The thread creator's "Ken" avatar just makes be believe the thread creator has SFIV as their most anticipated game and thus miscalculates the critical success it will receive, just like those with Sackboy avatars awaiting LittleBigPlanet. I think I'm the target audience that Capcom want (aside from the fighter fanbase), the last 2D fighter I played was SFII, but I won't pay over ~$30 for a fighter and no way am I owning a tournament stick, I'm content with the controller.

But yeah, someone said their stock is $0.40 a share right now? I'm sure it'll get a bump once SFIV releases so you guys can do that.
 
[quote name='jer7583']It's that there's too many people like dmaul who have too many important things to do like play oblivion/gears/whatever shallow SP game to learn a character and get into street fighter.
[/QUOTE]

No need to be an ass, though of course that's the norm for you. I just don't play games comptetively and don't have fun with fighting games any more. You do, so good for you.

Competitve games are hard to get good at (even if you find them fun) when you don't have a lot of time to play. So yes, I stick mainly to single player games like Oblivion as I can play whenever and don't get behind the curve if I get swamped and don't game for a month (haven't touched a game in a week and a half currently due to being busy and having limited free time going to watching football and 24).

Anyway, games are just silly little time wasters and anyone taking them more seriously than that should get their priorities in order IMO--especially if they're beyond high school age. And especially the people who have to be insulting to people who don't like the types of games they do.

It's a hobby, not something to take so damn seriously.
 
I personally see a variety of flaws in the theory behind this potential trade but lets put all that aside and just talk simply about penny stocks in general.

Penny stocks are a fools game. Yes, 1 out of every 100 will result in some huge gain, and even that gain is often extremely short lived and the result of rumors and attempted manipulation.....but the ratio of winners to losers in the penny stock category is tilted drastically toward the losing side. These companies didn't get to such levels by accident. Wall Street isn't missing anything with this stock at .38 a share. It has been beaten to such levels because it has a poor balance sheet, horrible track record and basically just a broken business model.

When you are playing in penny stocks, you are playing against other people just like yourself. There are no big mutual funds or hedge funds in these things. Just a bunch of little guys all trying to make huge gains in a very short time spans. Well the problem with that is that it isn't the little guy who really moves a stock, it is the funds, it is the big money players and there are simply no big money players in MCZ. The vast majority of funds are restricited from owning anything that trades for under $5 a share.

What you are basically doing is playing a game of hot potato. With average daily volume so incredibly low and no institutional support in the shares, if there is any kind of pop, make sure you take it quick because once a seller comes in this thing will plummet fast. This is one of those cases where the last one to sell will be left holding an empty bag in a very short time frame.

If you want to gamble and fully understand that your risk of losing 100% of your invested funds is about as likely as you getting a gain of 100% then go for it, just make sure you aren't putting money into this thing that you can't afford to lose.

Good luck guys, I hope those of you that jump into this see a nice return.
 
[quote name='dmaul1114']Anyway, games are just silly little time wasters and anyone taking them more seriously than that should get their priorities in order IMO--especially if they're beyond high school age. [/quote]

1st of all, this is a gaming forum, so of course gaming is a hobby taken quite seriously in here.

Secondly, in my book, TV is the silly little time waster. At least when you're playing a game, your mind is always actively engaged, be it hand/eye coordination based or logical/logistical/strategical based.

Gaming is interactive. TV is passive. That makes a huge difference in ways to waste ones silly little time.

Priorities in order? I'm working on my 2nd Bachelors degree, am a 10-year Army veteran, know how to and have a reasonable amount of success investing in the stock market (not saying that you don't know how, ok?), and have zero consumer/credit card debt. I think my priorities are QUITE in order.
 
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