Investors Urge Nintendo to Raise Switch 2 Price

Investors urged Nintendo to raise the $450 price of the Switch 2 ahead of the company’s earnings briefing on Friday, saying component shortages and higher logistics costs risk leaving the console unprofitable. They want higher retail pricing to protect margins as input costs climb.

Shareholders have raised concerns after Nintendo’s stock fell for five straight months. Investors point to strong global demand for memory chips and other parts and to large technology companies buying substantial volumes, which has reduced available supply and pushed component prices higher.

Trade disruptions tied to the war in the Middle East have increased shipping expenses and raised costs for materials such as plastics, investors note. Those added expenses affect manufacturing and distribution and reduce the profit margin available at a $450 retail price.

Some investors compare Nintendo’s position with other console makers that raised prices. Sony increased the price of the PlayStation 5 and PlayStation 5 Pro, a pricing change investors reference when discussing options for Nintendo.

Other Japanese game companies, including Capcom and Koei Tecmo, are also facing supply and cost pressures, market participants report.

Ahead of Friday’s briefing, investors expect Nintendo’s management to address pricing strategy, cost controls, revised sales forecasts and updates on component procurement and production schedules that could affect margins and profitability.

Nintendo has historically balanced hardware pricing with recurring revenue from games and digital services. With component markets tighter and logistics and material costs higher, hardware margins have become a point of focus for investors monitoring the company’s financial outlook.