Dividends and video games score big

The video gaming business is larger than the movie industry, but it is the movie industry which gains the headlines. The video gaming industry and the commercialization of the activities of gaming or virtual reality can easily push the amount of money projected to go into market place. At present, the industry is worth $25 billion, it could, remember Wall Street loves the word could, it could go to $80 billion and more than double again by 2025. This according to Citibank analyst Kota Ezowa. Those are high numbers and some companies are worth more than others, which ones should you look at.

Recently, Scott Barlow wrote about themes or trends Citibank sees. If you pick the correct one for example Nvidia Corp. a 10,000 dollar investment in 2012 is now worth close to $100,000. If you picked Sony or Nintendo you have almost doubled your money.

Citigroup’s stocks to watch

Video Gaming       3m           YTD      3 yr Avg        P/E Ratio   P/E Ratio

RTN %     RTN      Ann RTN       TTM           Fwd

Nvidia                  27.9            28.5       97.3                  44.9          39.4

Sony ADR            13.4            36.8       30.0                   n/a           17.3

Nintendo ADR    32.7            31.3        36.6                n/a             31.4

Linking to dividend paying stocks, if you are older you have to watch or see what the younger people are buying. If you do not play games, knowing the industry publishes their most popular game sales, find out who makes them. A hot selling video game adds money cash flow into the company.

There are more questions than answers, till the next time – to raising questions.

 

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