Nintendo's stock value has dropped 7% after their E3 conference, which heavily promoted two games and left many fans doubtful over the release schedule of the Switch's second year.
Daniel Ahmad has reported on Twitter on the drop in stock value, with analysts reporting that the Switch is unlikely to reach its hardware sales goals. This can be attributed to the weak release schedule, as well as the anemic reaction to the Nintendo Labo line and the lack of features for the upcoming online service.
The Nintendo E3 conference was seen as either a huge letdown or the best thing they have ever done, depending on whether you are a fan of the Super Smash Bros. series or not. Super Smash Bros. Ultimate took up the bulk of Nintendo's E3 conference, which was disappointing to a lot of fans who were hoping to see some new titles, or for announced games to receive trailers and release dates, such as the highly anticipated Bayonetta 3 and Metroid Prime 4.
The Nintendo Switch's second year has been a letdown compared to the first. The Switch's first year was stacked with amazing releases, such as The Legend of Zelda: Breath of the Wild, Arms, Splatoon 2, and Super Mario Odyssey, which helped the system sell a ton of units across the globe.
The Switch's second year has mostly been underwhelming, as it has been filled with ports of Wii U games and mobile titles. A lot of these game have been high-quality releases, but they can be found on other systems.
Nintendo seems to be banking the Switch's second year on two different games; Super Smash Bros. Ultimate and Pokémon Let's Go Pikachu & Pokémon Let's Go Eevee, both of which aren't released until the end of the year.
Super Smash Bros. Ultimate will undoubtedly be a huge hit for Nintendo, but the Smash Bros. audience is made up of diehard Nintendo fans who have likely already invested in the Switch. Super Smash Bros. Ultimate isn't likely to bring in a significant new audience to the Switch.
The Pokémon Let's Go games will likely be a huge success for the Nintendo Switch, due to their connection to the massively popular Pokémon Go and the nostalgia value of having the game's set in the Kanto region. These are a single set of Pokémon spin-offs, and Nintendo can't rely on them to be the only huge draw for the Switch over the holiday season.
This drop in stock value is linked to Nintendo not fully respecting the media pull off the E3 conference. Their showing came off as weak to the fans who don't like Super Smash Bros. and left many gamers wanting more.
Nintendo still has their regular Directs in which to promote new games, but with Summer fast approaching, it seems like they are running out of time to promote new titles for 2018, which suggests that we may not be seeing too many new first-party games this year.