Nintendo Stock Takes a Hit

gamerant.com:

Following the reported delay of an expected announcement regarding the Switch 2, Nintendo stock prices dropped 8.8% in Japan's stock market, though analysts expect the gaming giant's market value to recover quickly. Traders were influenced by rumors of the Switch 2 release getting delayed from late 2024 to Q1 2025, resulting in an abrupt sale of shares. However, market analysts expect upcoming releases and official confirmations to reassure shareholders and recover the loss in trade value.

One of the biggest names in the video game industry, Nintendo is considered by many to be in a league of its own when it comes to the console market and first-party IPs. Nintendo has seen massive spikes in its brand profitability since the release of the Switch, as well as with major promotions like The Super Mario Bros. Movie and Super Nintendo World at Universal Studios theme parks. In spite of this continued success, recent industry rumors influenced the abrupt drop-off of stock prices in the Japanese market.

While Nintendo stocks hit a new high in 2023, recent rumors of the Switch 2 getting a delayed release have pressured some Nintendo shareholders to quickly sell their stocks, leading to a major drop in market value. First reported by Bloomberg, Japanese markets saw a drop of 8.8% on Nintendo stocks following reports of the company's next console release being delayed. The company's shares hit another all-time high just last week, following rumors of an official release date reveal for the Switch 2. With no word from Nintendo to reassure shareholders, some remain skeptical, though analysts have been working to reassure stock traders that Nintendo's value will recover.

In spite of the recent loss in stock value, financial analysts are confident that Nintendo prices will recover. Some have speculated that the delay of the Switch 2 will result in a weak software year, though others have pointed to rising fan excitement for multiple 2024 releases. The upcoming new game Princess