Nintendo shares soar on higher Switch target

Nintendo shares surged more than 10 percent on Wednesday after the Japanese gaming giant hiked forecasts for its Switch 2 console and annual profits.

The company said Tuesday it aims to sell 19 million Switch 2 consoles this financial year, up from its previous target of 15 million units.

In a statement after markets closed, Nintendo raised its annual net profit forecast to 350 billion yen ($2.3 billion) from 300 billion yen.

The company's president Shuntaro Furukawa told analysts that the latest device has not yet surpassed the Nintendo DS, its best-selling platform, although it is expected to do so "if current sales momentum continues", the Nikkei business daily reported.

Nintendo shares were up 8.18 percent at 14,005 yen in morning trade, having briefly been more than 10 percent higher at 14,265 yen.