Nintendo shares plunge 10% on weak Switch 2 forecast
Updated
Updated · Bloomberg · May 11
Nintendo shares plunge 10% on weak Switch 2 forecast
9 articles · Updated · Bloomberg · May 11
The Tokyo-listed stock hit its lowest since August 2024 after Nintendo projected 16.5 million Switch 2 sales and 60 million software copies this fiscal year.
The Kyoto-based company also said soaring memory chip costs were squeezing margins, deepening investor concern after earlier worries over price hikes and the console's game lineup.
Previous reports said Nintendo expects net profit to fall 27% to 310 billion yen and revenue to drop 11%, while Switch 2 prices are set to rise in Japan and the US.
With sales falling, Nintendo is raising the Switch 2's price. Is this a bold recovery plan or a fatal misstep?
Is the Switch 2's weak game lineup and high price setting it up to be Nintendo's next major console failure?
Nintendo's price hike is blamed on soaring costs. Does this signal the end of affordable new gaming consoles for the entire industry?