In this video, I will talk about five reasons Nintendo (NTDOY 3.03%) stock might explode soon. The stock is down 22% YTD, but I believe the company has a lot of positive things coming its way. And its recent $652 million share buyback suggests that it's confident the stock is worth more. You can find the video below.
Potential tailwinds
Here are a couple of confirmed tailwinds for the company:
- The new Nintendo Switch OLED is due for release soon.
- Lots of new games are coming out toward the end of the year and in the beginning of 2022, such as the revamped Pokémon Diamond Version and Pokémon Pearl Version, Pokémon Arceus, Metroid Dread, and more.
- Pokémon Unite was recently released on mobile.
- Sega Genesis and Nintendo 64 games are being offered as part of Switch Online.
And that's not all: As I wrote a couple of months ago, Nintendo is building theme parks, there's a Mario movie coming out next year, and the company is finally monetizing its huge library of IPs correctly.
Rumor has it that old Game Boy and Game Boy Color games might become playable on the Switch soon. That could be huge even if the price of the games isn't that high. Nintendo has also been spending more and more on R&D, and I highly doubt it was just for an OLED console refresh. The company might be working on a secret new console for next year. Maybe a new and refreshed GameCube?
For the full insights, do watch the video below.
*Stock prices used were the closing prices of Sept. 22, 2021. The video was published on Sept. 23, 2021.
