Video game hardware and software company Nintendo (NTDOY) saw its Switch handheld/home console hybrid become the top-selling home console in the U.S. with 46.6 million units sold. That’s a major milestone for the gaming company as Sony’s (SONY) PlayStation 2 previously held that title. Now the only console above the Switch is Nintendo’s DS, which is the best-selling console in the country with about 53.8 million units sold.
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It seems unlikely that the Nintendo Switch will surpass the U.S. sales of the DS before its time is over. The Switch 2 is on the horizon with an announcement expected before the end of Nintendo’s current Fiscal Year in March 2025. However, it might still see a significant sales boost over the holiday season.
Another milestone the Switch is closing in on is the best-selling console of all time, which the PlayStation 2 currently holds with more than 160 million units sold. Switch sales are currently 146.04 million, meaning it’s unlikely to surpass the Sony console for that title. It also comes in behind the DS’ 154.02 million units sold.
Will the Switch 2 Surpass the PS2 and DS?
With Nintendo preparing the successor to the Switch, many wonder if it can become the best-selling console of all time. There’s an argument that it might based on early estimates. Video game research and advisory firm DFC Intelligence believes the Switch 2 will surpass the Switch in sales during its first year and first three years on the market.
Considering how close the Nintendo Switch is to beating out the DS and PS2, those estimates mean it could overtake the other two. The hype around the console has been huge with rumors and supposed leaks being posted frequently in the months leading up to its announcement.
One concern that investors may have is Nitnendo’s branding for the Switch 2. The company has run into trouble before when branding new devices. For example, the Wii U performed poorly with 13.56 million lifetime sales, as compared to its predecessor, the Wii, at 101.63 million. Some believe the unclear name and marketing confused consumers, hurting the console’s sales potential. It would dissapoint investors if an event like this was repeated with the Switch successor.
Is NTDOY Stock a Buy, Sell, or Hold?
Turning to Wall Street, only one analyst has covered Nintendo in the last three months and they have a Buy rating for the shares. With that comes a $17.20 price target, representing a potential 14.59% upside for NTDOY shares.
