GameStop’s shares took a hit Wednesday after an announcement from Wal-Mart that the retailer is offering big savings on not only many of this season’s popular game titles, but also on Nintendo Wii consoles. Wal-Mart Stores lowered the price on many games up to twenty percent, including Halo 3: ODST and Left 4 Dead 2, until Christmas Eve. The company is also giving shoppers who buy the $199 Wii console a $50 gift card through December 12.

After the stock slip, GameStop’s Web site listed Left 4 Dead 2 and Halo 3: ODST for $39, but other games, such as Mario & Sonic at the Olympic Winter Games, are cheaper at Wal-Mart, and GameStop has no console purchase incentives. The company was quick to state, however, that “the cuts are not in response to Wal-Mart’s announcement but are part of regular deals GameStop offers.”

GameStop makes a big chunk of its annual revenue during the holiday season. Wal-Mart’s decision to focus on video games with its holiday price cuts takes advantage of the sector’s popularity as gifts.

Source: MSNBC