This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Weak Game Sales Are No Problem For This Stock

Console and video game-makers slumped for all of 2012, but 2013 could be a renewed start. In the immediate term, the sector will need to overcome a chronic decline in overall sales. In December 2012, NPD Group reported a 22% decline in game sales for the month, and a 22% drop in sales for 2012. The overall sector may be dropping, but this only means that the strongest will survive.  [Related: Infographic: Is The Console Dying? ]

In the gaming sector, this will mean few titles capturing the largest sales. Game-makers behind these titles will be the companies to watch.

Activision’s (ATVI) Call of Duty: Black Ops II was the best-selling title in 2012 and in December. Modern Warfare III was also in the top 10. When it was launched, Black Ops II sold $500 million worth in the first 24 hours of availability.

In December 2012, the top 10 titles were:

1.     Call of Duty: Black Ops II (X360, PS3, Wii U, PC) – Activision Blizzard  

2.     Just Dance 4 (X360, Wii, Wii U, PS3) – Ubisoft (UBSFY)

3.     Halo 4 (X360) – Microsoft (MSFT)

4.     Assassin's Creed III (X360, PS3, Wii U, PC) – Ubisoft

5.     Madden NFL 13 (X360, PS3, Wii, PS Vita, Wii U) – Electronic Arts (EA)

6.     Far Cry 3 (X360, PS3, PC) – Ubisoft

7.     NBA 2K13 (X360, PS3, Wii, Wii U, PSP, PC) – Take-Two (TTWO)

8.     Skylanders Giants (X360, Wii, PS3, 3DS, Wii U) – Activision

9.     New Super Mario Bros. 2 (3DS) – Nintendo (NTDOY)

10.   FIFA Soccer 13 (X360, PS3, Wii, PS Vita, 3DS, Wii U, PSP) – Electronic Arts

Selling a winning title does not imply the stock is also a winning investment. Large-budget games also face moderately higher longer-term risks: consumers could grow bored of a title. Inadequate research and development in the right features could contribute to weakening future sales.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
TSLA $234.26 -3.10%
YHOO $36.07 -1.30%
AAPL $93.91 0.29%
FB $117.88 -0.58%
GOOG $696.19 -0.29%


Chart of I:DJI
DOW 17,702.21 -188.95 -1.06%
S&P 500 2,058.19 -23.24 -1.12%
NASDAQ 4,759.58 -58.0140 -1.20%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs