Star Wars Outlaws Sales Slump: Ubisoft Shares Hit Near 10-Year Low

Ubi Soft Entertainment ADR UBSFY recent release of Star Wars Outlaws, developed by Massive Entertainment, has failed to deliver the financial boost the company had hoped for.

What Happened: Launched on Aug. 27, the game is the first open-world entry in the Star Wars franchise. The poor sales coincided with Ubisoft’s share price falling 12.6% on Tuesday to a near 10-year low.

According to IGN, J.P. Morgan analyst Daniel Kerven commented: "Star Wars Outlaws has struggled to meet our sales expectations despite positive critical reviews."

Kerven has since lowered the sales forecast for the game by two million units. He now predicts 5.5 million units will be sold by the end of Ubisoft's current fiscal year in March 2025.

The game's development budget was reportedly at least 30% higher than that of Assassin’s Creed Mirage, Ubisoft's other major release in 2023. However, early indicators, such as Twitch viewership data, suggest that Outlaws is underperforming compared to Mirage by about 15%.

See Also: Star Wars Outlaws Gameplay — Over 13 Minutes — Leaks Online

Why It Matters: The disappointing performance of Star Wars Outlaws is not an isolated issue for Ubisoft.

Xdefiant, the company's free-to-play competitor to Call of Duty, also is also struggling.

Initially, Xdefiant launched with a strong reception in May, but interest has waned, according to Midcap Partners analyst Charles-Louis Planade.

What’s Next: With Star Wars Outlaws and Xdefiant not performing as expected, Ubisoft's hopes now rest on the upcoming release of Assassin's Creed Shadows, slated for November.

The success of this title is critical for Ubisoft's financial health, as it could help stabilize the company’s share price and restore investor confidence.

Ubisoft's second-quarter earnings report, expected in October, will likely reveal more about how these games are affecting the company's bottom line.

Price Action: At last check Wednesday, Ubisoft’s share price hovered at around $3.46, up 2.82%.

Read Next:

• Ubisoft Cuts 45 More Jobs In Latest Round Of US Studio Layoffs

Image courtesy: Ubisoft.