Nintendo's eight-year new release Switch 2 sold out immediately upon launch! Best Buy and GameStop's first-day inventory is in urgent shortage

According to Zhitong Finance APP, Best Buy Co., Inc. (BBY.US) expects that its pre-ordered supply of the Nintendo Switch 2 gaming console will be sold out shortly after it goes on sale. On Wednesday, just hours before the console's release, fans were already lining up outside the stores. Some were there to pick up their pre-ordered devices, while others were hoping to grab any remaining stock available on the day of release.

Jason Bonfig, Senior Executive Vice President of Customer Business at Best Buy, stated in an interview, "All of our products will be sold out tonight."

Bonfig mentioned that the stock of Switch 2 consoles prepared for customers who did not pre-order is "very limited." He declined to disclose the number of devices allocated to each store. He also added that it may take days or weeks before Nintendo supplies more of these devices. Bonfig indicated that this release will "drive growth in Best Buy's gaming business."

A spokesperson for GameStop (GME.US), the largest independent video game retailer, stated that the company expects its Switch 2 products to sell out on the first day of launch. The company anticipates restocking on a weekly basis.

According to market research firm Newzoo, total sales of console games fell by 15% last year, dropping to $42.8 billion. The interactive features of the Switch 2, which allow players to converse and share screens, are expected to boost retailers. This is Nintendo's first new gaming console in eight years.

Meanwhile, Best Buy is struggling with import tariffs on goods from China, its primary source of products. Previously, the electronics retailer lowered its sales and profit expectations. Best Buy expects fiscal year revenue to be between $41.1 billion and $41.9 billion (with a median of $41.5 billion), while the market expectation is $41.4 billion. The company stated that if tariffs remain at current levels, same-store sales this year will grow by a maximum of about 1%, down from a previous maximum estimate of 2%. Additionally, the company has lowered its earnings per share guidance from $6.20-$6.60 to $6.15-$6.30 (with a median of $6.225), while the market expectation is $6.13.

Another challenge facing this retailer is the lack of popular tech products to attract customers. However, with Nintendo launching the Switch 2 next week, this situation may change. According to research from Piper Sandler, Best Buy's same-store sales are expected to grow by 1% in the four quarters following the launch of this gaming device