Move over Apple (AAPL). The breakthrough winner from the iPhone maker's big reveal Wednesday was video-game maker Nintendo (NTDOY).
Shares of Nintendo's U.S. listed shares jumped 29% to $36.32 apiece Wednesday after the gaming pioneer said during the Apple conference it would bring several titles to Apple's various mobile platforms. Nintendo plans to release a version of its co-owned Pokemon Go augmented reality game to the Apple Watch and an "endless runner" style game using Mario Bros. characters to the iPhone called "Super Mario Run." Contrast Nintendo stock's big jump with the barely noticeable 68 cent, or 0.6%, rise in Apple's own shares to $108.38 after the meeting.
Nintendo shares have gained nearly 50% in value along with the rise of Pokemon Go. Nintendo shares started skyrocketing almost the moment following the July 6, 2016 release of the game, which was an immediate gaming hit, being downloaded more than 100 million times. The game allows players to walk their neighborhoods looking for "pocket monsters," or digital characters, superimposed on a map on their phones of the area. The game was developed by Niantic, which is partially owned by Nintendo and Google parent company Alphabet (GOOGL).
The massive rise in Nintendo's shares stands out especially given Apple's own stock is stagnant, even after its announcement. Shares of Apple are up roughly 2% this year while the Standard & Poor's 500 has risen nearly 9%. Apple's stock did get a better first-day reception than in recent history, the best since the 1.4% gain in 2012 when the iPhone 5 was announced. That was an improvement from the no change on the day the downsized iPhone SE was announced earlier this year and the 2% decline in 2015 with the announcement of the iPhone 6S in 2015. But today's Apple stock reaction pales compared to the 8.3% one-day pop the original iPhone was announced nearly a decade ago.
It's not like investors were expecting much from Apple. Shares fell 0.6% in the 30 days prior to the iPhone 7 announcement, well below the 3.8% average gain in the month ahead of previous iPhone announcements. Most analysts were braced for a ho-hum conference with more incremental changes to the watch and phone.
Another Apple partner, Nike (NKE), also rose 31 cents, or 0.5%, to $57.72 after the athletic shoe and apparel maker said it plans to release its own branded version of Apple's watch. But the best news was for Nintendo, which was the surprise that stole the show, at least for investors.