Nintendo Stock at a 2 Year High

| 23 Jul 2013 04:40

Strong sales of Animal Crossing and the 3DS are to thank for Nintendo's high stock.

Nintendo stock is at 2 year record high, thanks to strong sales of overseas titles such as Animal Crossing: New Leaf, which released in the US last month. Nintendo's 3DS console, which kept its position as the best selling console in Japan, also helped contribute to the high stock, and China's recent decision to lift its blanket ban on videogame consoles can also be thanked.

"The stock is up from mixing all these factors," said Takashi Oba, a senior strategist at Okasan Securities Co. "The stock is in a upward trend. There may be some investors who are forced to buy back the shares." The world's largest video-game console maker jumped 4 percent to 14,050 yen, the highest close since July 2011.

Nintendo also revealed a slam-dunk lineup of upcoming games for its 3DS and Wii U consoles in its more recent Nintendo Direct events, which should hopefully be driving more interest for the devices. Having steady, regular releases of quality Nintendo properties is what we really need to see.

Among the games detailed were The Legend of Zelda: A Link Between Worlds and Yoshi's Island for the 3DS, and Super Mario 3D World and Bayonnetta 2 for the Wii U, along with a new entry into Nintendo's flagship mascot fighter: Super Smash Bros. for both systems.

China ending its 13 year ban on videogame is particularly good news, as the Chinese market is one that Nintendo products should do well in, and is quite geographically close to Japan.

Source: Bloomberg

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