Video game stocks have become some of the most exciting opportunities.
In fact, games could help usher in a $257 billion opportunity by 2025.
“Gaming is one of the largest and fastest-growing forms of entertainment in the world. We expect there to be more than $200 billion of revenue in this industry in 2021,” Kyle Vikstrom, Microsoft’s director of investor relations said, as quoted by CNN.
The sector, which is has thrived during the pandemic, is seeing further, exceptional demand from the 2020 holiday season, from the release of new gaming consoles, and from further pandemic lockdowns.
“Surging demand indicates the United States could have the world’s largest video industry by revenue for the second half of 2020,” reports The Burn-In. “If that happens, the U.S. gaming market value will have topped China’s for two quarters in a row. That could mean America could hold onto the top gaming region crown for Q1 2021.”
With video game growth showing no signs of slowing, here are some of the top stocks to own.
Activision Blizzard (ATVI)
Since bottoming out at $74 in November, the stock exploded to $85.21 and could test $88, near-term. Helping quite a bit, its “World of Warcraft: Shadowlands” has just become the fastest selling PC game of all time. In fact, it just sold 3.7 million copies in its first 24 hours around the world, breaking a record set by “Diablo III” in 2012.
Electronic Arts (EA)
Electronic Arts is another hot gaming stock to own. Since the start of December 2020, the stock has run from about $120 to $137.56 and could see higher highs. Helping here, EA just bought game developer Codemasters for $1.2 billion, outbidding Take-Two Interactive.
Global X Video Games & eSports ETF (HERO)
Another great way to trade the video game boom is with an ETF, such as HERO.
One of the best ways to diversify your EV portfolio is with an ETF, such as this one. Not only does this ETF give investors exposure to gaming stocks like Nintendo, NVIDIA, Activision Blizzard, and Take-Two Interactive, it does so at less cost.