The stocks of gaming companies, including pure-play games, video games, mobile games, and competitive games, are called gaming stocks. The gaming industry has evolved by leaps and bounds over the last decade. The evolution of gaming companies and gaming stocks has been supported by advancements in technology and high-speed internet.
The use of technology is growing every day, and gaming is no different. According to reports, the gaming industry was at about $138 billion in 2018 and holds the potential to grow to $180 billion by 2021. Therefore, gaming stocks form an attractive part of the investment portfolios of modern-day investors. The performance of gaming stocks is measured against the sector-specific MVIS Global Video Gaming & eSports Index.
Ticker | Company Name | Last Price | 1-Year Return | Market Cap |
|---|---|---|---|---|
| ATVI | Activision Blizzard, Inc. | #N/A | #N/A | #N/A |
| AVID | Avid Technology, Inc. | #N/A | #N/A | #N/A |
| BHAT | Fujian Blue Hat Interactive Entertainment Technology Ltd. | $0.08 | -92.16% | 4.7M |
| EA | Electronic Arts Inc. | $144.54 | 4.95% | 37.9B |
| GIGM | GigaMedia Limited | $1.69 | 21.58% | 18.6M |
| GLUU | Glu Mobile Inc. | #N/A | #N/A | #N/A |
| GRVY | Gravity Co., Ltd. | $60.47 | -14.85% | 420.2M |
| NCTY | The9 Limited | $15.88 | 120.25% | 1.5B |
| RNWK | RealNetworks, Inc. | #N/A | #N/A | #N/A |
| SCPL | SciPlay Corporation | $335.00 | -3.86% | 3.5B |
| SE | Sea Limited | $108.36 | 184.11% | 62.0B |
| SLGG | Super League Gaming, Inc. | #N/A | #N/A | #N/A |
| TTWO | Take-Two Interactive Software, Inc. | $181.14 | 13.77% | 31.9B |
| ZDGE | Zedge, Inc. | #N/A | #N/A | #N/A |
| ZNGA | Zynga Inc. | #N/A | #N/A | #N/A |
| HUYA | Huya, Inc. | $3.00 | -7.69% | 676.4M |
| SNE | Sony Corp. | #N/A | #N/A | #N/A |
| GME | GameStop Corp. | $32.86 | 116.75% | 14.7B |
| MSFT | Microsoft Corp. | $423.65 | 12.74% | 3152.3B |
| NVDA | Nvidia Corp. | $142.22 | 167.63% | 3478.3B |
| NTDOY | Nintendo ADR | $14.37 | 10.03% | 11562.2B |
| TCEHY | Tencent Holdings | $48.11 | 32.68% | 3405.8B |
| TAPM | Tapinator, Inc. | $0.37 | #N/A | 1.0M |
Examples of Gaming Stocks
Gaming stocks have been on the rise in recent years, as the gaming industry continues to grow and evolve. The industry is projected to reach $196 billion in revenue by 2022, making it a lucrative market for investors to consider.
Below are some examples of Gaming stocks and brief overviews of how the companies operate.
- NVIDIA Corporation (NVDA) – NVIDIA is a leading manufacturer of graphics processing units (GPUs) and is a key player in the gaming industry. The company’s GPUs are used in many of the most popular gaming laptops and PCs, making it a top pick for gaming investors. In addition, NVIDIA has expanded into other areas such as AI, self-driving cars and data centers, which make the stock more diversified and less dependent on the gaming industry.
- Electronic Arts Inc. (EA) – Electronic Arts is one of the largest video game publishers in the world, known for popular franchises such as FIFA, Madden NFL, and Battlefield. The company also owns several mobile game studios, giving it a strong presence in both the console and mobile gaming markets.
- Microsoft Corporation (MSFT) – Microsoft’s Xbox gaming console is one of the most popular in the world, and the company has been investing heavily in the gaming industry. In addition to Xbox, Microsoft has also been investing in gaming-related services such as its Xbox Game Pass subscription service and the acquisition of several game studios.
- Activision Blizzard, Inc. (ATVI) – Activision Blizzard is a leading game developer and publisher, known for popular franchises such as Call of Duty and World of Warcraft. The company’s focus on creating highly engaging and immersive games has made it a favorite among gamers, and its strong financials make it a solid investment for gaming investors.
- Tencent Holdings Ltd. (TCEHY) – Tencent is a Chinese multinational conglomerate holding company founded in 1998, whose subsidiaries specialize in various Internet-related services and products, entertainment, artificial intelligence and technology both in China and globally. It is one of the world’s largest gaming companies, with a portfolio that includes popular titles such as League of Legends and PUBG. In addition to gaming, Tencent also has a strong presence in other areas such as social media and online payments.
The gaming industry is a rapidly growing market with plenty of opportunities for investors. These five companies are among the best in the gaming industry and are worth considering for investors looking to add gaming stocks to their portfolio.
About the Gaming Industry
The gaming industry is a rapidly growing market that includes the development, publishing, and distribution of video games. The industry encompasses a wide range of platforms, including consoles, personal computers, and mobile devices. The global gaming market is expected to reach $196 billion in revenue by 2022, driven by the increasing popularity of mobile and online gaming, as well as the development of new technologies such as virtual reality and augmented reality.
There are several key players in the gaming industry, including major game developers and publishers such as Electronic Arts, Activision Blizzard, and Tencent Holdings. These companies create and publish popular video game franchises, and often have a presence across multiple platforms. Other key players in the industry include hardware manufacturers such as NVIDIA and Microsoft, who produce the hardware and technology used in gaming devices.
The gaming industry is constantly evolving, with new technologies and trends emerging regularly. One current trend is the increasing popularity of mobile gaming, which has seen a surge in recent years thanks to the widespread adoption of smartphones and tablets. Another trend is the rise of esports, which refers to competitive video gaming, and has become a major industry in its own right.
The gaming industry is not limited to console and PC gaming, as it has also been expanding into other areas such as streaming, digital distribution, and gaming-related merchandise. Platforms like Twitch, YouTube and Facebook have been enabling gamers to broadcast themselves playing games, which has created an entirely new industry around it. Additionally, the development of virtual and augmented reality technology is expected to open up new opportunities in the gaming industry in the future.
The gaming industry is a rapidly growing and evolving market that offers a wide range of opportunities for investors and businesses. With new technologies and trends emerging regularly, the industry is expected to continue to grow in the coming years. It is a market worth watching for anyone interested in technology and entertainment.
State of the Gaming Industry
The video game industry is a multi-billion dollar industry. The industry is thriving and continuing to grow.
Video games have exploded in popularity and accessibility in recent years. For those who play video games, it’s a blast. For investors who are trying to capitalize on the industry, there are some challenges. The video game industry is a multi-billion dollar industry that continues to grow with no end in sight. As more people buy into the video game craze, the pressure mounts to meet production demands while also maintaining quality standards for the end product. Heavy reliance on third-party developers creates another concern: the uncertainty of whether or not they will be able to keep up with demand will continue to plague the industry until it can find a way to solve these issues.
As the industry grows, it will be up to the producers and developers to maintain quality standards and provide a consistent product to consumers. It’s not feasible for the video game industry to expand indefinitely without providing investors with some degree of certainty that they will be able to meet output demands while maintaining quality standards as well. The gaming industry stands to grow exponentially over the next several years, but in order for it to actually do that, developers and gaming companies must provide some measure of clarity regarding their ability to keep up with demand.
While video games and video game consoles are highly profitable, they are also very expensive to produce.
Video games are expensive and time-intensive to produce. The average cost for an individual game is $5 million dollars. There are many costs associated with making a video game, including development costs (which can be upwards of $100 million dollars), marketing budgets, distribution fees, and more. As the gaming industry continues to grow at an exponential rate, these challenges will become even more pronounced until they find some way to improve their ability to meet demand while maintaining quality standards simultaneously. To do this, gaming companies and developers need to find a way to reduce costs without sacrificing quality or quantity.
Factors to Consider Before Investing in Gaming Stocks
It is significant for investors to consider that technological development largely impacts gaming stocks. With new advancements, including virtual reality and augmented reality, the gaming companies and stocks that keep pace with technological growth are positioned well to generate high returns.
Additionally, investors must also consider the fundamental strengths of gaming stocks. That includes digital revenue and revenue growth, P/E ratio, price-to-earnings-to-growth ratio, the pace of innovation, and diversity of games.
However, gaming stocks are quite volatile and unpredictable. They rise and fall with the success or failure of new game releases. Investors must assess the internal development process of gaming companies to look for potential winners or losers. The gaming companies and stocks that stay ahead of the innovation curve are the potential winners.
Which Gaming Stocks Should I Buy?
Despite the high volatility and unpredictability, the right gaming stocks chosen at the opportune times can generate high returns for investors. We have compiled a list of the best gaming stocks for you to select from.
Gaming stocks form a part of the consumer discretionary sector. They get affected by economic changes and are cyclical in nature; however, many of the gaming stocks are undervalued presently and offer strong upside prospects.
