Ubisoft Shares Sink Nearly 40% After Restructuring Announcement

Shares of the French video game publisher, Ubisoft, fell nearly 40% over five days following the company’s announcement of a sweeping internal restructuring, erasing a significant portion of its market value. The stock dropped from €6.63 (~$7.87 USD) on Jan 21 to €4.03 (~$4.78) by Jan 26, 2026, with a significant portion of the decline occurring within 24 hours of the announcement.

Ubisoft’s shares slid to €3.99 (~$4.74) by the end of Jan 22, a fall of almost 40% in a single day. Prices have since remained close to that level. The share decline followed confirmation that Ubisoft would cancel six games and delay seven others. It has already shut down studios in Halifax and Stockholm, and implemented job cuts in Abu Dhabi.

According to Reuters, the drop put Ubisoft shares on track for their biggest one-day decline since the company’s 1996 listing and pushed the stock to its lowest level in 14 years.

Ubisoft Restructuring Raises Fresh Investor Concerns

The reorganisation will split Ubisoft into five genre-based ‘Creative Houses,’ each granted full creative and financial ownership as part of the company’s broader portfolio reset. The overhaul comes after several years of delays, cancellations, and weaker-than-expected releases, including Star Wars Outlaws, alongside the delay of Assassin’s Creed Shadows.

The company expects an operating loss of approximately €1 billion (~$1.19B) this financial year, despite net bookings rising 20% year-over-year (YoY) in the first half. 

Founder and CEO, Yves Guillemot, said the reset would weigh on near-term performance but is aimed at long-term stability. “The portfolio refocus will have a significant impact on the group’s short-term financial trajectory,” he said, adding that it is intended to support sustainable growth.

Ubisoft’s shares have fallen about 95% since early 2021, when they traded above €80 (~$95). The publisher is now valued at roughly €616M (~$720M), down from a peak of about €11B (~$13B) in 2018. Analysts have warned that returning to positive cash generation remains uncertain, particularly with a €675M (~$801M) bond maturing in 2027 and ongoing reliance on funding tied to Tencent.