Nintendo stocks plummet as reports suggest delayed launch of switch successor

Nintendo shares plummeted by 6 per cent on Monday following reports from gaming media outlets and Bloomberg indicating a potential delay in the release of its next-generation console.

According to media reports, the Kyoto-based company informed its game publishing partners that the expected launch of the next-generation video game would be pushed from the final quarter of this year to the early months of 2025.

Some of Nintendo’s partners were cautioned not to anticipate the introduction of the yet-to-be-announced console until March 2025 at the earliest.

Given the recent surge in stock value, reaching an all-time high last week, investors might opt to sell off Nintendo shares further.

This surge was driven by expectations that the company would unveil a new gaming device in 2024 to succeed the seven-year-old Switch.

While Nintendo has refrained from offering official statements regarding the successor to its popular Switch console, speculations about the company's plans to introduce a new gaming device remain.

Market analysts anticipate that Nintendo is poised to launch an updated console to succeed the aging Switch, which has enjoyed sustained popularity among consumers.

"We want to maintain the momentum of the Switch business," Reuters quoted Nintendo President Shuntaro Furukawa as saying during an earnings briefing.

Despite nearing its eighth year on the market, the Switch continues to captivate audiences with its hybrid home-portable design, prompting Nintendo to revise its full-year sales forecast earlier in the month.

(With inputs from agencies)