Nintendo shares rallied to a record high

Nintendo shares climbed to a new high on growing signs that its latest console is flying off shelves. In the first four days, the console sold over 3.5 million units. The stock rose for a fifth straight session, at one point jumping over 10.15%, marking its strongest two-month rally. Investors were convinced by reports that the Switch 2 sold more than 3.5 million units in its first four days, based on figures through June 11. The console went out of stock in several major stores. Nintendo stock price. Source: Google Finance That launch figures far outstripped the original Switch’s roughly 2.7 million sales in its first month back in 2017. Toyo Securities analyst Hideki Yasuda noted that, with the US and Japan unable to agree on new tariff measures at the recent Group of Seven summit, money has flowed into industries less exposed to duties. “Funds are moving into the game sector, which is less affected by tariffs,” he said. Other gaming stocks also saw gains. Square Enix added up to 4.7% and Bandai Namco rose as much as 3.9%. Investors have been drawn to the relative safety of games, even as worries about tariffs and geopolitical tensions grow. Japan remains a major player in gaming with Sony and Nintendo Sony commands the market with the PlayStation, while Nintendo’s Switch line remains a global hit among fans of handheld consoles. Popular series from these companies include “Elden Ring” and “Super Mario,” which continue to drive strong interest worldwide. The Switch 2’s launch is Nintendo’s first new console in eight years. By selling over 3.5 million units in just four days, it has already outpaced the original model’s first-month performance. Those early numbers, published by Nintendo on Wednesday, point toward its goal of shifting 15 million units by March 2026, and suggest even higher potential if production can keep pace. Industry watchers see the launch as a turning point. With development costs rising and profit margins tightening across gaming, a hit console can reshape strategies for partners and competitors. A strong Switch 2 could help offset the dominance of major live-service titles and breathe new life into hardware sales. But meeting demand poses a big challenge. Nintendo President Shuntaro Furukawa issued an apology after many customers had to return empty-handed from the lotteries. Nintendo has urged its manufacturing partners to boost the production and struck deals with Japanese online marketplaces like Rakuten, Mercari and LY to curb reseller activity. Most Switch 2 units are built in China by firms such as Foxconn Technology Group. Even as shares have swung on tariff worries, the latest sales figures and the rally in gaming stocks shows that investors are confident about Nintendo pushing the Switch 2 console. Cryptopolitan Academy: Coming Soon – A New Way to Earn Passive Income with DeFi in 2025. Learn More

Source: Cryptopolitan