CD Projekt "was" the biggest video game company in Europe as of May 2020. Now, a little over two years later, the Polish video game company has lost 75% of its value.
A Business Insider Poland report paints an ugly picture as to how much CDP has suffered in a span of two years.
fter reaching a $8.1 billion (or 40 billion Polish złoty) valuation, CDP is now just worth shy of $2.1 billion (zł10 billion). This represents a massive drop in the value of the company and much can be attributed to Cyberpunk 2077. As the same report reveals, CDP shares traded as high as zł443 before Cyberpunk 2077 launched. However, in early 2021, CDP shares and its market cap halved in value and nearly halved again earlier this year.
TLDR; trying to save Cyberpunk 2077 nearly killed CD Projekt RED.
Then again, "nearly killed" is an exaggeration, and its current valuation is still pretty high. If anything, CDP just went back to its 2017 valuation, which was after the release of The Witcher 3: Wild Hunt. It brings us zero delight seeing a company take a huge loss in just two years, but the share market has been incredibly volatile in the last several years. We also have to give credit to CDP for sticking to its guns.