By Nintendo's normal standards, yes. Compared to other consoles on a whole, no. It's doing okay, but not great, from what I can tell. It's selling, but not like hotcakes like Nintendo is used to.
It seems to be enough to have Nintendo worried, though. They're looking to branch-out to smart-phone games, from what I've read.
Smart phone games? Ohh god trainwreck, trainwreck.. They should be trying to get more games like bayonetta 2. I heard in the UK it's sales is less than 1% of what the ps4 sold.
Financial failure? Probably. Unless something drastic happens, it's a flop.
Failure as a system? Absolutely not. It's a real fun system. The gamepad is a cool feature that could be put to good use. I love mine. It gets way more playtime than my 360 or PS3.
Looked at the game lineup for this year. All i've seen as far as I know Super smash bros, and mario kart. Doesn't look like that's going to cut it. They're not even throwing punches back. Saturn put more games out than that.
It's no doubt that they're lacking games. I really think Nintendo dropped the ball. They have a solid system, but nothing to play on it. They do have a few games coming up that I'm interested in.
I still haven't picked up Donkey Kong: Tropic Freeze, but I will. I'll buy Smash Bros, and I can't wait for Mario Kart.
Child of Light: I'm not an RPG guy, but they claim this was inspired by FF6 and Chrono Trigger. I might be in.
Hyrule Warriors: Dynasty Warriors in the Zelda Universe? Sign me up
X (Monolith Soft game) : I'm out on this one, but folks are excited about it.
They do need more games, and nothing is a system seller; but I still like the console. Maybe these will keep me busy.