With Nintendo Co. stock approaching an all-time high, there are some who see the creator of the Super Mario franchise as approaching a pivotal moment that could turn its flagship Switch console into a perpetual gaming platform and break free of the industry’s traditional boom-bust cycle.
While many longtime Nintendo watchers wonder if the high watermark is near, others say strap in: like Tesla Inc., they say, Nintendo’s stock is poised to head to the moon, with some expecting the stock to double, triple or even rise five times. Shares are up 30 percent this year, with Switch sales up 95 percent in the first half.
Some Nintendo bulls believe the company can transform into one that’s able to roll out incremental new platforms while retaining its user base. Hit products such as the Wii were often followed by much less successful ones, such as the disastrous Wii U. With each new console, the Kyoto-based gaming company rolled the dice on making the new machine a success, and while it got things right this generation with the Switch, a successor console would have no guarantee of similar sales.
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