It seems like investors are growing more confident in Nintendo as of late — while Nintendo suffered a fairly substantial stock drop in the Fall, that trend has turned around quite rapidly following their investment in Niantic. As you can see from the chart below, the investment which occurred only two days ago has led to a 4% jump in the stock price — the current peak under new Nintendo President Tatsumi Kimishima.
Speaking to Bloomberg news, Tokyo financial analyst Tomoaki Kawasaki said:
The shares are going up because of the announcement of the investment. It shows that Nintendo is making a strong effort to develop smartphone games.
Of course, Niantic is not the first mobile investment for Nintendo — they also have their partnership with Japanese mobile developer DeNA which should come to fruition soon. Since their first announcement of exploring the mobile market, Nintendo’s stock has more than doubled.