Nintendo Co Stock (NTDOF) Plummets on Switch 2 Production Cut

FomoAnxiety · 2026-03-24T16:36:49+00:00

Nintendo's stock fell 9.27% after reports of reduced Switch 2 production from 6 million to 4 million units due to poor holiday sales and gamer interest. The company's price hikes for games also contributed to concerns about user base growth.

FomoAnxiety

2026-03-24 16:36:49

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Nintendo Co NTDOF -9.27% ▼ stock plummeted on Tuesday following reports that the video game company had reduced its production output for the Switch 2. According to these reports, Nintendo dropped Switch 2 output to 4 million units this quarter, compared to its prior plan to produce 6 million units. The same sources also claim that this reduced output will continue into the next quarter.

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Nintendo’s decision to reportedly reduce its Switch 2 production is related to the console’s poor holiday performance and a lack of interest from gamers in the U.S. This is despite what was a strong launch for the console, which became the fastest-selling game console. Now, there’s real concern that Nintendo will have trouble growing its Switch 2 user base in the console’s second year.

Why Are Switch 2 Sales In Trouble?

Nintendo has faced several issues with the Switch 2 since its release, and not all of them are the company’s fault. The ongoing trade war has caused price and supply issues. The AI boom has only made that worse with memory prices on the rise.

Additionally, gamers weren’t receptive to the company’s price increase for games. Nintendo now has an MSRP of $70 for Switch 2 games and has boosted that to $80 for select titles, such as Mario Kart World. For comparison, Switch games were priced at $60, with a couple of games that had $70 price tags.

Nintendo Stock Dives Today

Nintendo stock was down 9.3% on Tuesday, extending a 15.73% year-to-date fall. The shares have also decreased 12.69% over the past 12 months.

Is Nintendo Stock a Buy, Sell, or Hold?

Turning to Wall Street, the analysts’ consensus rating for Nintendo is Moderate Buy, based on six Buy, one Hold, and a single Sell rating over the past three months. With that comes an average NTDOF stock price target of $82.82, representing a potential 45.43% upside for the shares.

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