Better Buy: Activision Blizzard vs. Take Two
The growth of interactive entertainment is an attractive area to look for long-term investments. The millions of new players who started gaming during the pandemic, along with the console launches from Sony and Microsoft, are catalysts for the big game companies to sell more content into a wider installed base.
Activision Blizzard (NASDAQ: ATVI) and Take-Two Interactive (NASDAQ: TTWO) are two market leaders that operate some of the best-selling game franchises in the industry. Activision is known for Call of Duty and World of Warcraft and generates over $8 billion a year in bookings (a non-GAAP measure of revenue). Take-Two's Grand Theft Auto V has sold a staggering 145 million copies, which has pushed the company's bookings to over $3 billion.
I'll say up front that I believe Take-Two is well-positioned to deliver much better returns than Activision Blizzard over the next five years. Here's why.
Source Fool.com
