We recently put together a list of the 10 best gaming shares to invest according to billionaires. In this article we will see where Netease, Inc. (Nasdaq: NTEs) stands against the other gaming stocks.
The gaming industry has experienced considerable changes in recent years. During the COVID-19 Pandemie, the sector saw remarkable growth as more people spent time indoors. However, this momentum did not take place after limitations had been relaxed, which led to lower consumer expenditure on games and consoles. Economic uncertainties and challenges such as inflation also influenced the industry, which resulted in dismissal, studio closures and project cancellations in the industry in 2024. Despite these setbacks, analysts are optimistic about a recovery supported by upcoming important releases.
Also read: 8 fastest growing AI shares to buy now And 20 best fintech shares to buy according to billionaires.
According to research agency Newzoo, it is expected that videoo consoles are the largest growth motor in the market until 2027. The expected GTA VI launches in the fall of 2025 and the new Switch Console in the summer of 2025 are seen as key factors that feed a rebound. GTA V, the predecessor of GTA VI, is one of the most profitable games ever and sold more than 210 million in December 2024. Analysts believe that new releases will encourage players to spend more on consoles and games. This may possibly reverse the recent delay in the industry.
According to the Newzoo report, the income from the console software is expected to increase by 7% from 2024 to 2027 and the turnover growth of PC software of 2.6% will perform. By 2027, the income from the console is expected to be good for more than 56% of the total turnover of PC and console software of $ 92.7 billion. The total playing time rose by 6% in 2024 and Q4 saw the highest quarterly playing time thanks to Blockbuster releases such as the new Call of Duty title.
Emmanuel Rosier, Director of Market Analysis at Newzoo, said Reuters that great consolet titles, such as Spider-Man and God of War, stimulate involvement in consoles. He also pointed out that these AAA or AAAA releases have less impact on PC gamers, which prefer older titles.
To put together our list of the 10 best gaming stocks to invest according to billionaires, we have searched for the largest gaming companies. We have assessed our own rankings, financial media reports, ETFs and various online sources to put together a list of the best gaming shares. We then focused on the top 10 gaming stocks that prefer billionaires. Data for the number of billionaire investors for each shares come from the Q4 2024 database of Insider Monkey. Finally, the 10 best gaming shares for investing were arranged in rising order arranged based on the number of billionaires that held in strikes from the first quarter of 2024.
Moreover, we mentioned the sentiment of the hedge fund around each stock, which was derived from the Q4 2024 database of Insider Monkey with more than 1,000 elite hedge funds.
Why do we care what hedge funds do? The reason is simple: our research has shown that we can surpass the market by imitating the best share choices of the best hedge funds. The strategy of our quarterly newsletter selects 14 CAP and Large-CAP shares every quarter and has returned 373.4% since May 2014 and has reported its benchmark with 218 percentage points (See more details here).
Is Netease, Inc. (NTEs) The best gaming shares to invest according to billionaires?
Two gamers enjoy a compelling experience that plays online through their gameconsole.
Number of billionaire -investors: 11
Number of holders of hedge funds: 38
Netease, Inc. (Nasdaq: Ntes) is a Chinese internet technology company that is mainly focused on gaming, education, music and e-commerce. The company develops and has a diverse portfolio of popular mobile and PC games for the Chinese market and international markets. According to billionaires, Netease, Inc. (Nasdaq: Ntes) One of the best gaming stocks to buy.
On February 21, Benchmark -analysts raised the target price of the company on Netease, Inc. (Nasdaq: Ntes) from $ 105 to $ 115 and maintained a “buy” rating. This change followed on the Q4 2024 -Financial report of the company, which showed mixed results. While the income did not come to expectations due to weaker mobile gaming performance, Netease, Inc. succeeded (Nasdaq: NTEs) In order to surpass the profitability forecasts. The Income Miss because of the Mobile Games segment was partially compensated by a strong PC game growth, driven by the return of popular Blizzard games such as “World of Warcraft” and “Hearthstone”, continuous success of existing games and new releases. Benchmark analysts are optimistic about the future of Netease, Inc. (Nasdaq: Ntes), in particular in PC gaming, with the launch of high-profile games such as “Marvel-Rivalen” that are expected to stimulate growth in the tax year 2025. Although mobile games under performance in Q4 2024, there were early signs of Stabilization in Defered Innenters. Benchmark analysts now predict an increase of 6.5% on an annual basis for Netease, Inc.’s (Nasdaq: NTEs) Games segment in FY25, an increase in the previous estimate of the 5% company.
Generally is in 6th place On our list of the best gaming stocks to invest according to billionaires. Although we recognize the potential of NTEs as an investment, our conviction is convinced that some AI shares have a greater promise for supplying a higher efficiency within a shorter time frame. If you are looking for an AI share that is promising than NTE Cheapest AI stock.
Read next: 20 best AI shares to buy now And 30 best shares to buy now according to billionaires.
Publication: none. This article was originally published on Insider monkey.
