The Switch 2 handhelds may have made some gamers very happy, but no one is happier than Nintendo. With a successful launch under its belt, Nintendo has made some impressive stock gains and sales since the release of its latest handheld. According to CNBC, Thanks to the Switch 2, Nintendo saw gains of approximately $39 billion in its stock values, with its shares hitting a record high, featuring a 46% increase in 2025. 

The Switch 2 is leading a boom in handheld gaming all by itself, and while it’s set to see some competition from the upcoming ROG Xbox Ally, it’s unclear if the console will be able to dethrone the Switch 2 in the handheld gaming market. The demand for the Nintendo console is such that analysts are sticking a “buy” tag on the company shares, with expectations of continued profits and sales in the coming months.

Switch 2 stock rally

Nintendo Stock Gains Revive the Market’s Confidence in the Company

Nintendo’s share hit a record high with its 46% increase in 2025, adding around $39 billion to the company’s stock value. Despite a minor drop in stocks just before and after the launch went live, things have now picked up quite nicely. The Nintendo stock rally was fueled by the Switch 2 and the hype around it ever since it went on sale on June 5, 2025. The console sold out almost immediately across the stores that managed to grab stock for its customers, and there have been repeated concerns surrounding a prolonged shortage of these handhelds.

The jump in Nintendo’s 2025 share price was inevitable after the company managed to sell a record-breaking 3.5 million units worldwide in just four days. Nintendo celebrated the news with an update on the website, describing the console and the excitement around its release. 

“Fans around the world are showing their enthusiasm for Nintendo Switch 2 as an upgraded way to play at home and on the go,” Doug Bowser, Nintendo of America President and Chief Operating Officer, said in a statement in the post. “We are thankful for their response and happy to see the fun they are already having with Nintendo Switch 2 as they explore new features and games that bring friends and family together in new ways.”

Despite pre-launch criticism that the Switch 2 and its new games were far too expensive—$449.99 and $79.99, respectively—it appears that this issue hasn’t been enough to erase the appeal of making a purchase.

After the End of a Difficult Fiscal Year, Nintendo Has Re-Emerged with Positive Prospects

According to the Motley Fool, Nintendo’s last fiscal year, which ended on March 31, was a tough one for the company, with hardware sales dropping by more than 31% and profits similarly falling by 43% to 279 billion yen or $1.9 billion. A primary reason for the drop in demand for Nintendo’s hardware in the preceding fiscal year was the anticipation around the upcoming console, with gamers waiting to see what the company had achieved with the Switch 2. 

Nintendo’s original Switch was initially released in 2017, and although an OLED variant was made available in 2021, the console didn’t bring any major improvements to the handheld. Over the years, the Switch continued to grow more outdated, however, due to a lack of decent competition in the handheld market, the gadget continued to remain popular, despite its relevance declining with each passing year. 

The release of the Switch 2 occurred at just the right time to revive investor faith in the company and its consoles. Nintendo’s stock gains are expected to climb steadily upwards as the company hopes to sell 15 million units by March 2026. If Nintendo’s Switch 2 production can keep up with the demand, it is very likely that the Japanese company will be able to cross the finish line far sooner than expected. 

With the looming threat of tariffs and growing conflicts on where its productions should proceed, there could be some hiccups on the way. Thankfully, Nintendo appears to have figured its strategy out.

Will the Demand for the Nintendo Console Stay High?

It has been less than a month since the Switch 2 was officially released, and so far, it appears that people are still waiting to get their hands on the gadget. There have been some early reviews of the Nintendo handheld that state it doesn’t do anything special and has become boring already, but for the most part, customers appear satisfied with their purchase.

The craze around the Switch 2 is such that a recent robbery resulted in $1.4 million worth of stolen consoles from a truck transporting them. There are no updates on who the criminals were, but we’re certain they’ll find a willing customer base to sell to when the attention to the story dies down. We don’t recommend buying the new handheld from anyone other than a trusted retailer right now, because you might just end up with a highly inflated purchase or a stolen good. 

The original Switch is believed to be the second-best-selling console in history, with over 152 million units having been sold since its launch. We’re certain that investors are hoping to see the Switch 2 surpass this success and ensure Nintendo’s share price climbs higher in 2025 and beyond. Nintendo’s next financial year will start on a high, but we’ll have to keep watching to see if the company is able to sustain its success.

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