In addition to being a form of entertainment and leisure, online gaming is gaining a lot of followers who are joining as professionals. A growing number of people are becoming more familiar with niche investment opportunities as investing becomes more accessible. As estimated by Mordor Intelligence, the gaming market accounted for $198.4 billion by 2021 and would reach $339.95 billion by 2027, growing at an annualized rate of 8.94%. As investors seek a sense of nostalgia or excitement in familiar brands, they are increasingly interested in those brands and are investing in best games stocks.
It is possible to diversify your portfolio by investing in the gaming industry. Gaming stocks vary depending on your portfolio and investment goals – day traders will probably prefer stocks with a higher level of volatility, whereas long-term investors will prefer stocks that have steady gains over time. The best companies will deliver great returns for shareholders by continuing to adapt to players’ demands and preferences in interactive electronic entertainment.
The video game industry is a huge and fast-growing market that seems to have a lot of potential to grow. The new video game devices, combined with the progress of the existing ones, are paving the way for the gaming industry to new heights in terms of market value in the coming years. That is why this industry is attracting serious interest from a large number of investors and they are eager to invest in games stocks.
Games stocks have been gaining traction among investors in the stock market over the past few years. Whether we like it or not, the gaming industry is one of the fastest-growing sectors within the entertainment industry. Without question, demand for games increased dramatically during the coronavirus pandemic as most people were forced to stay indoors. As a result, even non-gamers were exposed to gaming. Moreover, China recently approved a significant number of video game titles, injecting a sense of optimism into its tech sector.
Activision Blizzard Inc. (ATVI)
Activision Blizzard Inc. (ATVI) stock closed last session at $80.91, increasing 0.40% or $0.32. Shares of the company fluctuated between $80.49 and $81.22 throughout the day. The number of shares exchanged was 5.31 million, greater than the company’s 50-day daily volume of 4.74 million and lower than its Year-to-date volume of 8.22 million. In the past 12 months, the company’s stock has advanced -2.51%, and in the last one week, the stock has moved up 0.40%. For the last six months, the stock has gained a total of 0.85%, and over the last three months, the stock has increased by 5.19%. The stock has returned 21.61% so far this year. Additionally, the stock is trading at a price to earnings ratio of 33.81.
MoffettNathanson rated the Activision Blizzard Inc. (NASDAQ: ATVI) stock “a Buy”. Several other experts on Wall Street have posted such reports regarding the ATVI shares. According to MKM Partners, the stock is “a Neutral,”$95. MKM Partners published their figures in a research note released to investors on Tuesday, January 18, 2022.
Activision Blizzard, Inc., together with its subsidiaries, develops and publishes interactive entertainment content and services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company operates through three segments: Activision, Blizzard, and King. It develops and distributes content and services on video game consoles, personal computers, and mobile devices, including subscription, full-game, and in-game sales, as well as by licensing software to third-party or related-party companies that distribute Activision and Blizzard products.
Electronic Arts Inc. (EA)
Electronic Arts Inc. (EA) stock gained 1.45% to close Wednesday’s session at $131.16. The stock volume remained 1.64 million shares, which was lower than the average daily volume of 2.08 million shares within the past 50 days. EA shares have fallen by -4.28% over the last 12 months, and they have moved down by -1.59% in the past week. Over the past three months, the stock has gained 17.53%, while over the past six months, it has shed -2.39%. Further, the company has a current market of $36.82 billion and its outstanding shares stood at 284.00 million.
If we take a glance at the Ownership summary of Electronic Arts Inc.’s stock, Institutional holders make up 92.50% of its total stock ownership. All together, they are the legal holders of 284.00 million shares. Whilst focusing on the top 3 stockholders for this publicly traded organization, The Vanguard Group, Inc. owns 20.7 million shares, with BlackRock Fund Advisors in 2nd place owning 15.25 million shares and Public Investment Fund (Private Equity) in third place with total ownership of 14.21 million shares.
Electronic Arts Inc. develops, markets, publishes, and distributes games, content, and services for game consoles, PCs, mobile phones, and tablets worldwide. It develops and publishes games and services across various genres, such as sports, racing, first-person shooter, action, role-playing, and simulation primarily under the Battlefield, The Sims, Apex Legends, Need for Speed, and license games from others, including FIFA, Madden NFL, UFC, and Star Wars brands. The company licenses its games to third parties to distribute and host its games.
SciPlay Corporation (SCPL)
SciPlay Corporation (SCPL) stock added 0.16% to finish last trading session at $12.45. The stock recorded a trading volume of 0.37 million shares, which is below the average daily trading volume published for the last 50 days of 0.22 million shares. The shares of SciPlay Corporation have advanced -3.11% in the last five days; however, they have lost -5.54% over the last one month. The stock price has surged 6.32% over the last three months and has lost -26.51 percent so far this year. Further, the stock is being traded at a price to earnings ratio of 16.80. Additionally, it has a price to cash flow ratio of 9.28 and its price to sales ratio stands at 2.60.
The Net Income for the most recent full fiscal year, which ended in 2021, was $606.1 billion. This is compared to the prior year, where Net Income was $582.2 billion. Meanwhile, this company’s Operating Cash Flow was $163.8 million for the year, compared to $193.4 million in 12-2020. Capital Expenditures for the year were reportedly -$9.1 million, compared to -$7.1 million, and Free Cash flow was $154.7 million compared to the prior year’s $186.3 million.
SciPlay Corporation develops, markets, and operates a portfolio of social games for mobile and web platforms in North America and internationally. It offers social casino games, such as Jackpot Party Casino, Gold Fish Casino, Quick Hit Slots, 88 Fortunes Slots, MONOPOLY Slots, and Hot Shot Casino, as well as casual games comprising Bingo Showdown, Solitaire Pets Adventure, and Backgammon Live.
The company’s social casino games include slots-style game play, as well as table games-style game play; and casual games blend slots-style or bingo game play with adventure game features. It also offers titles and content from third-party licensed brands. The company was formerly known as SG Social Games Corporation and changed its name to SciPlay Corporation in March 2019. SciPly Corporation was founded in 1997 and is based in Las Vegas, Nevada. SciPlay Corporation is a subsidiary of Scientific Games Corporation.
HUYA Inc. (HUYA)
The stock of HUYA Inc. (HUYA) gained 1.90% to complete the last trading session at $3.21. The price range of the company’s shares was between $3.10 and $3.25. It traded 0.72 million shares, which was below its daily average of 1.69 million shares over 100 days. HUYA’s shares have dropped by -4.18% in the last five days, while they have subtracted -9.58% in the last month. Further, it is currently trading at a price-to-earnings ratio of 13.38 and a price-to-book ratio of 0.49.
Taking a closer look at the price potential of the HUYA stock, the company needs to record a growth of -740.19% before it can be able to drop past its median price target of $26.97. To determine the directional movement of the stock, its 50-day moving average is $3.82 while its 200-day moving average is $5.49. With liquidity very critical in the stock market, HUYA has around 238.26M shares outstanding that normally trades 87.18 million of its floats. The price of HUYA recently witnessed a 5-day loss of -4.18% with a 0.19 average true range (ATR). The stock now has a beta of 0.60 while its RSI stands at 39.31.
HUYA Inc., through its subsidiaries, operates game live streaming platforms in the People’s Republic of China. Its platforms enable broadcasters and viewers to interact during live streaming. The company’s live streaming content also covers other entertainment content, such as talent shows, anime, outdoor activities, live chats, online theatre, and other genres.
In addition, it operates Nimo TV, a game live streaming platform in international markets. Further, the company provides online advertising, software development, internet value-added, and cultural and creative services. The company was founded in 2014 and is headquartered in Guangzhou, China. HUYA Inc. is a subsidiary of Tencent Holdings Limited.
Take-Two Interactive Software Inc. (TTWO)
On Wednesday, shares in Take-Two Interactive Software Inc. (TTWO) rise 2.51% to close the day at $123.79. The volume of shares traded was 3.17 million, which is higher than the average volume over the last three months of 2.91 million. During the trading session, the stock oscillated between $122.04 and $124.91. The company had an earnings per share ratio of 3.58. TTWO’s stock has lost -4.64% of its value in the previous five sessions and 1.48% over the past month but has lost -30.35% on a year-to-date basis. The stock’s 50-day moving average of $126.95 is above the 200-day moving average of $148.96. Moreover, the stock is currently trading at RSI of 44.37.
Now let’s turn our focus to how large-scale investors are behaving with this stock. Take-Two Interactive Software Inc.’s current insider ownership accounts for 0.40%, in contrast to 73.40% institutional ownership. According to the most recent latest insider trade that took place on Jun 15 this organization’s Chief Legal Officer sold 3,381 at the rate of 124.23, making the entire transaction hit $420,028 in total value, affecting insider ownership by 92,191. Preceding that transaction, on Jun 06 Company’s Chief Legal Officer sold 3,125 at a price of 127.78, making the whole transaction’s value amount to $0.4 million. This insider is now the holder of 95,572 in total.
Take-Two Interactive Software, Inc. develops, publishes, and markets interactive entertainment solutions for consumers worldwide. The company offers its products under the Rockstar Games, 2K, Private Division, and T2 Mobile Games names. It develops and publishes action/adventure products under the Grand Theft Auto, Max Payne, Midnight Club, and Red Dead Redemption names; and offers episodes and content, as well as develops brands in other genres.