Another analyst echoes sentiments regarding positive THQ future

Just because a company is down doesn’t necessarily mean that a company is out. As analysts Michael Pachter and Colin Sebastian have pointed out, THQ‘s underperformance in 2007 is “a painful step” to a more successful showing in the future. Fellow analyst Arvin Bhatia concurs, and he has his own words of encouragement for THQ.

You can read more about them in the full article after the jump.

Last October, analysts Michael Pachter and Colin Sebastian expressed an optimistic outlook regarding THQ, in spite of the game development studio’s underperformance during the last quarter of last year. This year, analyst Arvind Bhatia of Stern Agee has echoed his colleague’s sentiments.

Bhatia acknowledged that developments have proven to be “tough” for THQ, but he also admitted that these were also “a positive for the company’s future.” Furthermore, Bhatia said:

The good news is THQ’s FY09 appears to be essentially intact. All of the key potential multi-million unit sellers for FY09 appear to be on schedule.

We feel that management is positioning the company for long term success as it focuses on successful titles. The amortization charges, title cancellations, and studio closings, while expected to affect the company in the near term, are in-line with management’s strategy of more rigorous product review procedures, personnel and product changes, and its review of existing titles to maintain long term product quality.

The encouraging remarks from analysts such as Bhatia, Pachter and Sebastian couldn’t have come at a better time, as recent circumstances, such as the sharp fall in the company’s stock and the cancellation of its projects, have proven anything but encouraging. Nevertheless, the fight isn’t quite over yet, and sometimes a reassuring nudge in the right direction is exactly what someone needs to bounce back from a setback.