Gaming stocks –it's not just about Nintendo

Nintendo’s stock has rocketed since the Japanese games maker released  Pokemon GO. Investors have been swept up in the craze as much as gamers – the share prices doubled in a matter of days.


Since hitting a multi-year peak, the stock has come off a little but remains at levels not seen since the Wii’s heyday in 2011. Augmented reality looks like the future for gaming and Nintendo has broken new ground.

But the focus on Nintendo is a little misleading – there are many other games makers out there and their performance is worthy of more attention. As the chart above highlights, Nintendo's gains are not so impressive over the last five years when you look at the percentage gains in the stock price versus games manufacturers.

Nintendo shares have exploded but they remain short of all-time highs – there are others in the sector where the growth is steadier.

Activision Blizzard, which is behind the Call of Duty series, has seen its stock quadruple in value in under four years. With long-term favourites like Diablo and World of Warcraft in its stable, there are dependable revenues. And having acquired Candy Crush creator King Digital, it looks like it too has got its fingers on the mobile gaming pulse.

Electronic Arts has seen an even more impressive rise – increasing five-fold in under four years to trade at $76, a little above its pre-crisis peaks.

Take-Two Interactive stock has also increased four-fold since 2012, when gaming stocks were on their knees. It posted a 31% rise in revenues in the year to March and is also looking to mobile growth.