Nintendo shares hit a record high on Wednesday as the company benefited from a stock rally that led to Japan's Nikkei index closing at its highest level since February 1990.
Nintendo shares reached 7,902 yen ($54), helping the company's market capitalization exceed 10 trillion yen ($69 billion) for the first time since November 2007.
The Nikkei Stock Average rose 2.01% on Wednesday to close at its highest level since February 1990.
Nikki Issa reports Nintendo's record rise was driven by several factors. These include the expected launch of a new console, high expectations for expansion of the company's intellectual property business, and speculation that oil money is set to snap up more Japanese gaming stocks.
Although the company has yet to comment publicly, the successor to the Nintendo Switch is widely expected to launch this year, after VGC reported last summer that development kits were in the hands of major partner studios.
The Super Mario Bros. movie was The second highest-grossing film of last year ($1.36 billion) worldwide behind Barbie ($1.45 billion), Nintendo recently announced that a Legend of Zelda movie is in the works.
It is also currently expanding its theme park presence with a new Donkey Kong Country section in the Super Nintendo World-themed area at Universal Studios Japan.
It was revealed this week that Saudi Arabia's Public Investment Fund (PIF) recently raised its stake in Dynasty Warriors and Ninja Gaiden publisher Koei Tecmo from 5.56% to 6.60%, according to Dr. Serkan TotoCEO of Tokyo-based industry consulting firm Kantan Games.
The sovereign wealth fund, headed by Crown Prince Mohammed bin Salman, also owns 8.58% of Nintendo shares, making it one of the company's largest shareholders. In 2022, it acquired a 5% stake in Capcom, the maker of Resident Evil and Monster Hunter.
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