How to Invest in Esports Stocks

Professional athletes like Mike Tyson, Michael Jordan, and Steve Young made investments in various eSports organizations. By 2020, this one-time niche market had attracted millions of spectators and became a significant player in the media and entertainment industry. It has received sport recognition status among universities, the Asian Games, and an increasing number of countries around the world. Mobile gaming attracts more users than console and PC gaming—with an estimated user base of over 160 million people—and it’s expected to grow in the coming years while console and PC gaming lose users.

While “gaming tech stocks” or “tech stocks for eSports” may be a previous search term used, eSports stocks are beginning to stand alone as their own market sector. Ironically, some of the top eSports stocks today could also be considered tech stocks or communications stocks as well. For those of you who trade within the stock market, you will be very familiar with the stresses that come with it. Our latest guide on the best esports stocks to buy aims to remove one of those stresses for you. There are a growing number of esports ETFs targeting millennial investors. These feature some riskier esports only stocks combined with more general gaming.

Investing in esports ETFs

Even though NVDA shares are nearly fully-priced, I don’t think that their upward trajectory is likely to stop anytime soon. Nvidia has caught on fire again, this time because of the strong emergence of AI. Nvidia has been identified as one of the leading AI firms, especially https://investmentsanalysis.info/ in the enterprise realm. That has caused an influx of investor capital, leading to a re-pricing that simply disregards traditional valuation metrics. It’s no wonder then that investors are highly interested in identifying the best publicly-traded companies in the space.

• Take-Two Interactive’s (TTWO -1.07%) esports business is less developed than some other companies, but its NBA 2K basketball series is successfully spearheading a push into esports.
• EA’s Madden and FIFA stand out as two of the biggest franchises in gaming.
• The five gaming stocks mentioned above are excellent for diversifying portfolios and bolstering a long-term strategic plan.
• It is one of the leading developers of interactive entertainment software, and since 2015, it has been one of the 500 stocks of the S&P 500 index.

Instead of maintaining the traditional divide between professional leagues and spectators, it’s often made tournaments accessible to all players. EA is also focusing on mobile esports as evidenced by its acquisition of Glu Mobile in 2021, which is responsible for titles such as Design Home and Diner Dash. Take-Two’s growth trajectory suffered a bit in 2021 as it lapped strong results from the previous year (during the early days of the pandemic). Nevertheless, this is a proven long-term winner in the video game industry with lots of potential.

Which are the best gaming stocks?

Such investors are well-versed in the industry’s professional gamers. Because most individuals like a video games, researching esports companies or a game publisher is significantly easier than Esports stocks researching other, less glamorous businesses like utilities. By heading to one of these sites you should be able to buy shares from any esports or gaming company listed on a stock exchange.

Each stock is backed by the fundamentals of the underlying business. Believe it or not, an online broker is a financial institution designed to help customers purchase different securities such as stocks from one of the best trading platforms. Overall, EA is a formidable force within the video game industry, as well as an apparent undervaluation, which emerged due to the fund’s poor record in 2021, paving the way for considerable growth potential. Indeed, there are a few clear approaches to investing in esports overall.

Latest eSports Stocks Dividends

We Are Nations is a specialist esports consumer products and retail company with locations based in the United States, United Kingdom and Australia with additional distribution partners around the world. The company provides merchandise design, sales, manufacturing and distribution services for esports teams, leagues and other endemic and non-endemic brands operating in the esports space. GEEIQ provides a detailed analysis of esports teams, streamers, and events to educate and inform gaming sponsorship and advertising decisions. The company offers content distribution, content production, digital marketing, and campaign management.

The content on Dumblittleman is for informational and educational purposes only and should not be construed as professional financial advice. Should you need such advice, consult a licensed financial or tax advisor. References to products, offers, and rates from third party sites often change.

Allied Gaming & Entertainment

With many professional sports teams and leagues collaborating with esports companies and organisations, this upward trend continues to grow. Keep up to date with esport industry news with our news and insights section, which contains fundamental analysis stock reports from Morningstar and news updates from Reuters. Explore more of our platform features through our library of platform video guides. Founded in 1998, Tencent Holdings Ltd is a Chinese multinational technology company. It surpassed a market value of $500bn in 2018 as the first Asian tech company to achieve such a feat, and it is recognised by many as one of the world’s most innovative companies. When Tencent turned its attention to the online gaming market, it founded Tencent Games in 2003 and released its first game in 2004 called QQ Tang.