This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
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
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

How to Profit From the Mobile-Game Craze

Stocks in this article: GLUUZNGAGOOGAAPLEBAY

NEW YORK (TheStreet) -- The success of Flappy Bird -- a game app that was pulled from mobile phones last week by its developer -- is a sign of the craze for mobile games, a trend investors can try to profit from.

Vietnamese software developer Dong Nguyen, who created mobile game Flappy Bird last May, told Forbes that the game is addictive and has become a problem. Phones that have the game downloaded are being hawked on eBay (EBAY) for up to $5,000.

Several companies are ready to capitalize on the game's removal. One is Mass Threat, a small privately held videogame maker. The company, with help from popular band Fall Out Boy, released Fall Out Bird for Google (GOOG) Android phones on Wednesday. An iOS version for Apple (AAPL) is also in the works. The game plays out similar to Flappy Bird, but features the floating heads of band members rather than a bird.

Flappy Bird may receive interest from larger gaming companies, which could buy the game from Nguyen and re-release it.

Mobile games such as Flappy Bird are free to download. The money is in the advertising. A hit can bring in a lot of dough and boost shares of companies that develop the games.

Zynga (ZNGA) -- the maker of Farmville and Words With Friends -- has seen its shares fall 50% since its IPO in 2011, but could offer upside if it can turn out some new hits.

Shares of Glu Mobile (GLUU) -- another developer -- are up 24% year to date, and with its games such as Deer Hunter creeping up the top downloads list, its stock could see further gains this year.

Also keep an eye on King.com -- the company behind the popular Candy Crush game. The developer may have an IPO. On Google Play, it is has three of the top 25 free games with Candy Crush, Farm Heroes Saga and Pet Rescue Saga

At the time of publication, the author had no position in any of the stocks mentioned.

Chris Katje is a freelance writer who follows the stock market and whose work appears on several well-known Web sites.

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,828.24 +0.49 0.00%
S&P 500 2,067.56 -5.27 -0.25%
NASDAQ 4,791.63 +4.3130 0.09%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs