Despite Nintendo's strong hardware sales in the run-up to this year's holiday period, many analysts believe that the Japanese company will not reach its goal of shipping 38 million units of equipment. Here march 2019.
According to the average of eight analysts' estimates compiled by Bloomberg, the switch is about to ship 35 million units by next March. It's not as devastating as it sounds, it's only three million behind Nintendo's predictions.
The same Bloomberg article continues by sharing the ideas of analysts. Despite a second year for Nintendo that has apparently not met expectations, according to Cornelio Ash, an analyst at William O'Neil & Co. in Los Angeles, the majority of analysts monitored by Bloomberg still recommend buying shares.
Analysts have called Nintendo Labo The biggest disappointment for the company this year, even though Nintendo's president, Shuntaro Furukawa, said that it would take time to see if the product was delivered.
Michael Pachter, an analyst at Wedbush Securities Inc., said this year was a "reality check" for the Kyoto-based company, explaining how the system was still primarily considered an expensive handheld device.
The price cuts were Pachter's solution, with a reference to the return of 3DS sales when prices on the system had been reduced by 40%, just five months after launch. It should be noted that the 15% price reduction on the Wii U was not enough to save her.
Another suggestion was to introduce different models, addressing several age groups. Credit Suisse Group AG believes that a revision of the equipment could be commercialized as early as next year, with an announcement likely to occur before mid-2019. Not surprisingly, strong game sales have also been recognized as a way to regain sales momentum in the New Year.