Sony shares drop to lowest in 32 years

It’s no secret that Sony’s been struggling, with a year’s worth of horrible numbers and a new CEO who openly discusses the very tough road ahead for the company. Now just yesterday the company has posted an annual loss, a new record, of 3.6 billion pounds, half of which came from the Playstation division.

The poor numbers resulted in a drastic seven percent drop in shares as investors lost faith – the lowest they’ve been in 32 years.

Sony remains optimistic, reportedly expecting to see an annual profit in the year ending March 31, 2013, but the rest of the world is unconvinced that the company can both turn around it’s terrible losses in the TV market and have a hope of competing in the smartphone market against giants Apple and Samsung.

“I didn’t see anything positive in there (Sony’s results),” said a trader at a US bank. “There’s really nothing in there that can justify buying the stock. You see the loss narrowing in the TV business. That’s fine, but I don’t see any future in the TV business, so it doesn’t matter what they do.”

Goldman Sachs analysts wrote: “In our view, guidance for profit improvement in digital cameras, games, li-ion batteries and smartphones looks optimistic and we see downside risk. We think TV losses may be smaller than the company forecasts … but we see significant downside risk to overall guidance.”