Everyone knows the Nintendo Brand. Home to the Super Mario Brothers franchise and the Switch among their other popular titles and products. For investors who want to diversify their portfolios with video game producing companies, NTDOY is a good choice. The company has been around for a long time and weathered some seriously bad times admirably. However, they aren't the only 'game' in town when it comes to videogaming stocks. We collected a list of ten stocks to consider if you like Nintendo.
10. Zynga Inc: ZNGA
Starting on the low end of the scale according to current stock value, we like a lot of what Zynga produces. Their mission statement, "Connecting the world through games," is a lovely sentiment, and to some extent successful. Zynga isn't the largest company out there, and we don't think it will be a millionaire maker. However, the long term pattern shows that this stock has been on the rise since February of 2016. Minor dips aside, the stock has gained value fairly steadily, and we think it's about time to buy in while the prices are still low.
9. Capcom Co Ltd/ADR: CCOEY
Capcom is, if anything, a long term buy and hold stock. CCOEY saw some lows during 2018 and 2019, but it's on the rise again, which is part of a larger pattern of value gain that's evident over time. Capcom has numerous multimillion-dollar franchises under its wing. For example, the Devil May Cry series, Resident Evil, and the classic (and modern) Street Fighter titles. Simply put, they know good games, and their stock has gained in value over time. Add a ).83% dividend yield, and we think it's a solid buy for the long term, large scale investors.
8. Ubisoft Entertainment S/ADR: UBSFY
If you or your children spend any time on video games, then you'll know this company and its work. Ubisoft is a French game company that's best known for the wildly popular, visually stunning Assassins Creed games. They also own the popular Just Dance games that get kids, and adults, up and moving. The current price is down a little, but we expect it to gain over time like the rest of these titles. Gaming is more popular than ever, and that's not likely to change anytime soon.
7. Konami Holdings Corp: KNMCY
Konami is probably the most diverse gaming company on our list. KNMCY owns plenty of hot titles for the video game shelf, and the current stock value is nearing Nintendo. However, it also owns casinos, fitness clubs, and more in Japan. Casinos are big business and likely to increase the company value rapidly. Moreover, with a reasonable dividend of 2.34%, it pays to get in before the next big uptrend in KNMCY's stock value.
6. Logitech International SA: LOGI
This Swiss headquartered company had it's first big peak around 2000, and then things went downhill for a while. The game maker focuses on computer peripherals and software and makes educational toys and gaming devices. Over the last couple of years, LOGI has been making headway, and the price of its stock has been slowly climbing again and has gained about 500% in five years. With an overall value hovering right around where Nintendo is sitting today, you can pick up stock in this brilliant company before the value rises any further, and cash in on that 1.57% dividend.
5. Square Enix Holdings Co Ltd: SQNXF
Known best for its fantasy RPG titles, SQNXF is currently just under its all-time high stock value. The first company on our list that's worth more than Nintendo, Square Enix, is the creator of Kingdom Hearts and the long-running Final Fantasy series. With the remake of FF7 due to drop in about two months, we expect to see an upswing, at that time. Regardless, the overall trend is for greater valuation anyhow. We suggest buying now before the cost goes up again.
4. Tencent Holding/ADR: TCEHY
Tencent is one of the world's largest gaming companies. If you'd bought in December of 2017, then your stock would be double the initial investment today, and 2020 is likely going to be a big year for them. Though the US/China trade agreements affect TCEHY's overall picture, the thing most people aren't looking at is the biggest property of Tencent. WeChat has over a billion users and growing. If that doesn't spell earning potential to you, then we're not sure what would. One out of every eight people on earth is using a Tencent product in their smart devices.
3. Activision Blizzard Inc: ATVI
Although ATVI saw a substantial dip in stock value last year, it's been recovering since then, and we expect to see the upward stock value trend continue. Ian Cooper of Investorplace.com has hailed ATVI as one of the stocks to buy before the new consoles drop this year, and we agree with his assessment. It's almost a foregone conclusion that this gaming powerhouse stands to gain when people start grabbing up the latest models because they'll need games to play on them. Moreover, some of ATVI's titles are hotly anticipated this year.
2. Electronic Arts Inc: EA
EA is the second-largest gaming company in Europe and the Americas by revenue. Their fan base is massive, to say the least. Like our previous entry ATVI, EA stands to make a fortune when consoles drop later this year. Yahoo Finance's Dave Royse is predicting good things for most gaming companies this year. As one of the largest in the business, EA seems likely to increase its overall value more than most.
1. Take-Two Interactive Software, Inc: TTWO
Take-Two might not be a household name, but both 2K and Rockstar games are, and they're part of TTWO. Grand Theft Auto is probably their best-known game franchise, and it sells like beer on the Fourth of July. With roughly one and a half-billion dollars in revenue and a stock history that shows substantial gains over time and the ability to bounce back, we're looking at TTWO as a serious longe term buy and hold as they grow. If you'd bought in at four dollars in 1997, and sold today, you'd have made $125.99 per share in profit.
First, there was the theater, then radio, and television. Now we have gaming as a dominating source of entertainment in the modern era. Those consoles and apps that are so ubiquitous aren't going anywhere. Investing in gaming companies like Nintendo, or Take-Two (which is worth almost three times NTDOY) is a smart move for any investor. Whether you want to buy in the long term or find a quick turnaround as the console systems drop this year and stocks are driven upward, you'll find plenty of outstanding stock options on this list.
Written by Bill Vix
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