Crossroads Capital on Nintendo
Thesis
The market is incorrectly focused on near-term memory pricing trends while ignoring the crumbling of the broader bear case. Key concerns around tariffs and sales momentum have not materialized. We believe the market is unfairly discarding Nintendo's long-term prospects due to myopic trend-following.
“On Nintendo, the market remains fixated on near-term memory prices and we continue to believe that investors are missing the forest for the trees. Vistry was a different story... We plan to publish a standalone piece on the memory cycle and the year ahead for the company, whose prospects we believe the market is discarding wholesale amid trend-following taken to its extreme.”