Deutsche Bank Times Nintendo Upgrade...Perfectly

Wall Street’s reputation for bending the rules always leads to raised eyebrows in the trading community when a firm times a call on a stock a little too well.

Apparently, Deutsche Bank had one of these spectacularly well-timed calls on Nintendo Co. Ltd. (ADR) NTDOY on Wednesday when it upgraded the stock from Hold to Buy. Hours later, the stock spiked 28 percent to nearly a new all-time high when the company announced it's bringing several new games to Apple Inc. AAPL’s mobile platforms in coming months, including “Super Mario Run."

Related Link: How Pikachu And Super Mario Doubled Nintendo's Stock

Nintendo stole the show from Apple at its own iPhone 7 media event as investors cheered the news buy piling into Nintendo stock.

Analyst Han Joon Kim gave his own reasons why he believes Nintendo’s 2Q17 earnings have room for upside:

• 1. He expected news on the company’s new NX console by the end of the year.
• 2. He anticipated a November release of smartphone games “Animal Crossing” and “Fire Emblem.”
• 3. He expected positive earnings contributions from Pokemon GO, existing 3DS hardware and Nintendo’s sale of its Seattle Mariners stake.

Deutsche Bank’s upgrade certainly looks like a genius move following the Apple news. Prior to the Apple event, there had been no other analyst action on Nintendo’s stock since July.

Shares of Nintendo's ADRs traded recently at $34.11, down 6 percent.