Looks like THQ (NASDAQ:THQI) is rather pleased with its performance in November. So pleased, in fact, that it put out a press release promoting a nice little achievement.
The statistics are impressive. Sales for the publisher increased 26% over November 2003. Driving the sales were three key titles from THQ's portfolio of licensed products. Games based on Disney's (NYSE:DIS) and Pixar's (NASDAQ:PIXR) The Incredibles movie, World Wrestling Entertainment's (NYSE:WWE) television product, and Viacom's (NYSE:VIA) SpongeBob SquarePants film came in at Nos. 5, 6, and 7, respectively, on November's top 10 list, according to data released by the NPD Group.
We're in the holiday shopping season, so now certainly is the time for publishers like THQ and competitors such as Activision (NASDAQ:ATVI) and Electronic Arts (NASDAQ:ERTS) to shine (Electronic Arts is really shining due to a killer deal it just closed). So I applaud THQ for doing well. In fact, THQ should benefit immensely from its Disney/Pixar and Nickelodeon games that are on the Nintendo Game Boy Advance platform, as many consumers looking to get gifts for young ones who own this system oftentimes turn to a title based on a character they know kids are bound to like. I'm certainly not the first to point this out, but those brands serve as a useful tool of differentiation.
We must keep in mind, however, that this a promotional press release; although it is accurate, the individual investor must always decide whether the information presented should be used to make any sort of investing decisions. Truth be told, although occupying three spots in the top 10 is commendable, another fact presented in the release is that THQ is the "#3 ranked independent videogame software publisher for the month." No. 3 is not No. 1.
My point here is to get the individual investor to be as critical as possible when reading these releases. Personally, I liked what I read; sales seem to be up in the double digits, and the company's investments in licensed properties seem to be working for the holidays. But I wouldn't buy based solely on these results; more research and due diligence would be needed.
If you have a Foolish opinion on THQ's holiday performance so far and what it might mean for the stock, head on over to the THQ discussion board and let your opinion be heard.
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Fool contributor Steven Mallas owns shares of Disney.
