Oh yes, they can. Nintendo has the strongest 1st party games in history and the most system selling power than any company. The Switch is a huge success and 80% of its software sales belong to Nintendo. Nintendo is totally responsible for that success. When Nintendo makes games that can sell no one can really compete with them.
Thing is that Nintendo won't just make a PC-power box like the other 2 console manufacturers. Thing is that Nintendo does not have the capital to lose billions of dollars like the other two. They rather just do something different and beat Sony and Microsoft. This is also much more profitable. One of the reasons why we don't see real gaming companies making consoles anymore is due to the big media companies willing to lose billions. Sega's constant losses during the Dreamcast and Saturn days were chump change compared to what Sony and Microsoft will do.
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