NES -> Powerhouse for its time.
SNES -> Powerhouse for its time.
N64 -> By far the most powerful for its time, big mistake was no CD.
Gamecube -> Again powerful for its time. More powerful than the PS2, not as powerful as Xbox.
Wii -> More powerful than Gamecube, but not as much of a jump as the Xbox 360 and PS3.
The Wii is the only time Nintendo hasn't released a formidable console. I'd say if Nintendo's next console is coming soon, Skyrim would be a very real possibility.
And yes, Nintendo WAS smart. Not many people had HDTVs when the Wii launched, and the price tag of the PS3 is unprecedented (no console has launched at that price and not flopped. In my opinion the PS3 wasn't worth that price, I'm glad I waited for it).
By the time their next console launches, they can have a formidable machine for a more reasonable price. It doesn't need to be top of the line. Consoles launching at $400+ is just stupid in my opinion.