1025 GMT - Nintendo's recent share-price weakness looks excessive and presents a good buying opportunity, Goldman Sachs says in a note. Analysts Minami Munakata and Haruki Kubota reckon investor concerns about the Japanese videogame maker's hardware business becoming unprofitable are overdone. "Our view is unchanged that the Nintendo Switch 2 will penetrate strongly over the medium to long term as the lineup of exclusive titles expands," they say. They think the current valuation levels aren't fully accounting for future earnings growth, noting that the next Super Mario movie--"a good example of IP utilization"--is set for release in April. Goldman Sachs reiterates its buy rating on Nintendo, though it cuts the target price to Y14,200 from Y16,000 to reflect lower operating profit forecasts. Shares end 1.55% lower at Y9,899. (farah.elias@wsj.com)

(END) Dow Jones Newswires

February 02, 2026 05:25 ET (10:25 GMT)

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