The comments from the analysts came on the back of Nintendo posting better-than-expected quarterly profits of 158.6 billion yen ($1.46 billion), beating analysts' expectations of 149 billion yen, according to Reuters. The company did, however, cut its full-year forecast for the fiscal year ending Mar. 2019, and slashed the expected number of Switch units sold from 20 million to 17 million.
"We think this looks a touch cautious based on January sales of Switch consoles via retail store channels," Nomura analyst Junko Yamamura said in a note.
Nomura's price target for Nintendo is 60,000 Japanese yen per share. The Japanese game-maker's share price closed at 30,720.0 yen per share, after plunging more than 9 percent following Thursday's announcement.
Ibbotson's Ito concurred with this view. Nintendo's revised estimate is too conservative in light of the robust sales of new titles such as "Super Smash Bros. Ultimate," he said in a note. That game alone has sold more than 10 million copies to date, despite only launching in December 2018.
According to a report by Japan's Nikkei, a new version of Switch could be released as early as 2019 — and it may be smaller and have fewer features in order to keep prices low.
"That may happen because Nintendo's next target is to let ... users buy more than one Switch console per household," Ito said, in reference to the Nikkei report. "I think if Nintendo launches the new version of Switch, that may be the new catalyst of driving the Switch console sales."
"2019 will be a really important year" for Nintendo, Ito said.
— CNBC's Ryan Browne contributed to this report.