Nintendo Stock Soars on Switch 2 Backwards Compatibility News

Nintendo's share price has rebounded by 5.8% following the confirmation that the upcoming Switch 2 will be backwards compatible with existing Switch software. This announcement alleviated investor concerns after a previous drop due to lower-than-expected Switch sales and revised financial forecasts. The confirmation suggests a continuation rather than a risky innovation, aligning with leaked images of the Switch 2 that indicate a larger form factor and enhanced features. The official announcement of the Switch 2 is expected before April 2025.