The value of Nintendo shares fell amid rumors about the postponement of the launch of the Nintendo Switch 2
Nintendo is another major gaming company whose shares have fallen in price. As Reuters noted, on the morning of February 19, their value fell by 6%. The reason was the news that Nintendo allegedly began to warn partners about the delay in the launch of the Nintendo Switch 2 until the first quarter of 2025.
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Bloomberg journalists added that at first the drop was more — 8.8%. The last time the company's shares fell so much was in October 2021.
Bloomberg does not rule out that Nintendo shares may sink again. The fact is that they have been rapidly rising in price recently in anticipation of the possible announcement of the Nintendo Switch 2. As a result, on February 15, their cost reached a record high of $14.84 per piece. Now investors may want to get rid of some of the securities they bought.
Dynamics of changes in the value of Nintendo shares from January 1 to February 19, 2024
Previously, it was assumed that Nintendo would release a new console at the end of 2024. But over the weekend, sources from a number of publications, including Bloomberg, Eurogamer and Video Games Chronicle, found out that the company had decided to postpone the launch to early 2025. She needed more time to prepare a powerful starting lineup of games.
Nintendo has not commented on the rumors about the new console. In early February, during a conversation with investors, company president Shuntaro Furukawa said that the Nintendo Switch would remain the company's "main product" in 2024. At the same time, he admitted that it would be difficult to increase sales of the Nintendo Switch, since the console had already sold out in large quantities. Since its launch in 2017, it has been bought 139.36 million times.
Right now, the Nintendo Switch is the third best—selling console of all time. It is second in sales only to the Nintendo DS (154 million devices) and PlayStation 2 (155 million devices).
