Japan Specialist

Mark Chadwick

Over 20 years experience in equities and asset management in Asia and Japan. Qualified CFA with experience analyzing companies as a buy-side analyst. In-depth knowledge of company fundamental analysis, corporate governance and valuations.

Equity Bottom-Up

<ul>
<li>Nintendo’s share price fell ~1/3 in six months due to rising memory costs pressuring Switch 2 hardware margins.</li>
<li>Hardware sets installed-base size, but software drives most profits; lifetime tie ratio likely remains ~10 games per console.</li>
<li>Durable franchises like Mario/Zelda provide long-term resilience; next cycle may not be far more profitable than the last, but hardware headwinds are already priced in.</li>
</ul>


Nintendo’s share price fell ~1/3 in six months due to rising memory costs pressuring Switch 2 hardware margins.
Hardware sets installed-base size, but software drives most profits; lifetime tie ratio likely remains ~10 games per console.
Durable franchises like Mario/Zelda provide long-term resilience; next cycle may not be far more profitable than the last, but hardware headwinds are already priced in.


Nintendo: Hardware Headwinds, Software Lifeline