Top 5 Stocks to Watch for Nintendo Switch 2 Success in 2025

The Nintendo Switch 2, launched on June 5, 2025, has sparked significant excitement in the gaming world with its upgraded features, including a larger 1080p screen, 4K docked mode, and backwards compatibility with original Switch games. With Nintendo forecasting 15 million units sold by March 2026 and strong pre-order demand, the console is poised to drive growth for Nintendo and its supply chain partners. Below, we explore the top five stocks likely to benefit from the Switch 2’s success, based on their roles in console production, software development, and market performance.

1. Nintendo Co., Ltd. (OTC: NTDOY, NTDOF)

Nintendo, the developer and manufacturer of the Switch 2, is the primary beneficiary of the console’s success. The company’s stock has surged 30% in the past six months, reaching a 52-week high of $15.77 per share in January 2025, driven by anticipation for the Switch 2. With 146 million original Switch units sold and a robust library of exclusive titles like Mario Kart World, Nintendo is expected to see operating income exceed its previous peak of $6 billion, fueled by hardware sales, software, and its online subscription service. U.S. investors can buy Nintendo through American Depositary Receipts (ADRs) under NTDOY (one ADR equals one-fourth of a Japanese share) or NTDOF (one-to-one with Japanese shares). Goldman Sachs has a “Buy” rating with a 20% upside potential, citing Nintendo’s debt-free balance sheet and ventures into movies and theme parks.

2. NVIDIA Corporation (NASDAQ: NVDA)

NVIDIA supplies the Tegra X1-based system-on-a-chip CPU for the original Switch and has reportedly developed a dedicated AI processor for the Switch 2, enhancing performance for next-gen gaming. The upgraded console’s demand for advanced chips positions NVIDIA to benefit significantly. NVIDIA’s stock has been a market leader, with its chips powering not only gaming but also AI and data center applications. While the Switch 2’s contribution to NVIDIA’s revenue may be modest compared to its broader portfolio, the console’s success reinforces NVIDIA’s dominance in gaming hardware. Analysts expect NVIDIA’s revenue to grow 15% in 2025, driven by diversified applications, making it a strong pick for investors eyeing the Switch 2 ecosystem.

3. Broadcom Inc. (NASDAQ: AVGO)

Broadcom provides wireless chipsets for the Switch 2, including Bluetooth connectivity components inherited from its acquisition of Cypress Semiconductor’s IoT business. Additionally, Broadcom announced new data center switches in June 2025 designed to optimize NVIDIA processor performance, which could indirectly support the Switch 2’s AI capabilities. With the Switch 2’s high demand (pre-orders sold out across major U.S. retailers), Broadcom’s semiconductor division is well-positioned for growth. The company’s stock has risen 20% in 2025, and analysts forecast 12% revenue growth in 2026, driven by its role in gaming and data center infrastructure.

4. Texas Instruments Incorporated (NASDAQ: TXN)

Texas Instruments supplies critical components for the Switch 2, including battery chargers for the console and Joy-Con controllers, as well as DC-to-DC converters for the charging station. While gaming is a small part of its consumer market (18% of revenue), the Switch 2’s projected 15 million units sold by March 2026 will drive incremental demand for these components. Texas Instruments’ stock has gained 10% in 2025, supported by its diversified portfolio in automotive and industrial sectors. Its stable dividend yield of 3% and consistent cash flow make it a reliable investment for those seeking exposure to the Switch 2 supply chain.

5. Infineon Technologies AG (OTC: IFNNY)

Infineon, which acquired Cypress Semiconductor’s microcontroller and connectivity division, provides essential chipsets for the Switch 2’s wireless capabilities. Although the Switch 2 represents a small fraction of Infineon’s $9 billion annual revenue, the console’s strong sales outlook supports steady demand for its components. Infineon’s stock is up 8% year-to-date in 2025, with analysts projecting 7% revenue growth in 2026, driven by its presence in gaming, automotive, and IoT markets. Its role in the Switch 2 supply chain makes it a sleeper pick for investors looking to diversify beyond Nintendo itself.

Why Invest in Switch 2 Related Stocks?

The Nintendo Switch 2’s launch comes at a pivotal time, with strong consumer demand evidenced by sold-out pre-orders in the U.S., UK, and Japan. The console’s backwards compatibility, enhanced visuals, and exclusive titles like Mario Kart World and Donkey Kong Bananza position it to capture both existing Switch owners and new gamers. However, risks include potential tariff increases, which could raise the console’s $450 price, and supply chain constraints, as seen with out-of-stock signs at retailers. Investors should also consider currency fluctuations, as Nintendo’s Japanese-listed shares are sensitive to yen-dollar exchange rates.

Conclusion

The Nintendo Switch 2’s launch is a catalyst for growth across Nintendo and its supply chain partners. Nintendo (NTDOY) offers the most direct exposure, while NVIDIA, Broadcom, Texas Instruments, and Infineon provide diversified ways to capitalize on the console’s success. With Nintendo projecting 15 million units sold and analysts optimistic about earnings growth, these stocks are well-positioned for 2025. Investors should conduct thorough research and consult a financial advisor, as tariff concerns and market volatility could impact returns.