Game Makers’ Profit Quest Smashes S&P 500 Gains Five-Fold

Industry's biggest names are posting legendary returns

Video-game stocks have crushed the S&P 500 Index over the past five years, with the biggest names rising more than five times the benchmark. Strong group earnings fueled optimism in the latest quarter. “The shift to higher-margin digital distribution and the rise of mobile gaming continue to boost revenue, profitability and the predictability of results of game makers while reducing their reliance on large hits,” Bloomberg Intelligence analyst Matthew Kanterman noted.

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