Investors grew increasingly bearish on Japanese firms. Nintendo (NTDOY) fell by nearly 15% for the week that it posted results.
In the full year, Nintendo posted net sales of 2.31 trillion yen (+98.6% Y/Y). The firm also announced that it would hike prices for its Switch 2 console by $50, to $500. NTDOY stock is in free-fall for a reason: gamers are not buying Nintendo products. They are too expensive and require an arduous authentication process.
Stock markets are pricing in a downturn in sales of games like Super Mario, Pokémon, and Zelda.
Sezzle (SEZL) saw its stock price nearly double from a 52-week low. In the first quarter report (posted on May 7), Sezzle posted revenue rising by 29.2% Y/Y to $135.5 million. For FY 2026, Sezzle raised its growth rate guidance. It expects revenue to grow to 30% to 35%, up from the 25-30% range.
AppLovin (APP) posted Q1 GAAP EPS of $3.56. Revenue increased by 58.6% Y/Y to $1.84 billion. AXON 2.0 has been growing quickly since its launch 12 quarters ago. New product releases and a deeper entrenchment in gaming are tailwinds for its growth.
The GenAI creative tool will help customers develop creative ads quickly. In effect, APP stock is an indirect play on the AI boom.
