Group 1: Carnival - Carnival is experiencing strong demand and financial performance, with fiscal Q2 revenue reaching $6.3 billion, leading to a trailing-12-month revenue of $25.4 billion, surpassing pre-pandemic levels of $20.8 billion in fiscal 2019 [3][5] - The stock price has more than doubled in the past three years, and the current forward price-to-earnings multiple is 12.5, indicating potential for further shareholder returns through improved margins [4] - Adjusted net income for Carnival exceeded guidance at $470 million, with expectations to reach $2.7 billion for the full year, up from $1.9 billion last year [5] - The launch of Celebration Key as a new cruise destination is expected to drive profitable growth, with attractions designed to enhance guest experience and increase ticket prices and margins [6][7] - Wall Street is underestimating Carnival's transformation into a brand that offers exclusive destinations, which could lead to attractive returns for shareholders [8] Group 2: Nintendo - Nintendo's stock has seen significant appreciation, with a 338% increase since late 2016, outperforming the S&P 500's 172% return [9] - The video game industry is valued at $180 billion, with Nintendo owning valuable intellectual properties like Mario Bros and Zelda, and the Switch console achieving record sales of 152 million units [10] - The recent launch of Switch 2 has been successful, selling over 3.5 million units in the first four days, indicating strong market demand [10] - While hardware sales are low-margin, Nintendo expects to sell more games for Switch 2 than the original Switch sold in its first 10 months, setting the stage for strong earnings growth [11] - Analysts have a price target of $34.90 for Nintendo, suggesting a 52% upside from the current share price of $23, with sales expected to double this year [13]

Core Viewpoint - Nintendo's newly launched Switch 2 console has generated significant consumer interest and excitement, leading to a record high in the company's stock price and a substantial increase in market capitalization [1][2]. Sales Performance - Nintendo sold 3.5 million units of the Switch 2 within the first four days of its launch, indicating strong demand [3]. - The company has forecasted sales of 15 million units for the fiscal year ending March 2026, although analysts believe this estimate may be conservative [3]. Stock Market Impact - Nintendo's shares have increased by 46% this year, adding approximately $39 billion to the company's market value [2]. - Since the launch of the original Switch in March 2017, Nintendo's stock has surged nearly 470%, resulting in an increase of over $81 billion in market capitalization [6]. Historical Context - The original Switch console, launched in 2017, has sold over 152 million units, making it Nintendo's second-most successful console [4]. - The hybrid nature of the Switch, allowing for both TV and portable play, has contributed to its popularity [4]. Strategic Advantages - Nintendo has leveraged its strong franchises, including Super Mario, Zelda, and Pokemon, to enhance the success of its consoles [5]. - The company has also expanded its intellectual property into movies and theme parks, further boosting its core video game products [5].