Epic Games stock is on investors’ minds searching for a publisher, developer, and distributor to complete their gaming portfolio; In recent years, Battle Royale games have dominated the top ranks in the video game market.
Epic Games has been at the forefront of this movement with their smash game Fortnite. While this game has launched Epic Games to new heights, it’s worth noting that the firm has increased its reach in other ways, including through online distribution.
Many Epic Games investors want a piece of the action because of the company’s diverse portfolio of services and products.
Five Things to Know about Epic Games Stock
However, there is a great deal of misinformation about the firm, its services, and how to invest in it. Before you proceed any further, be sure you understand these five points.
1. Epic Games Value
Epic Games, the creators of Fortnite, has been on a tear lately. As a result, Epic Games’ market capitalization is expected to exceed $1 billion by the end of 2027.
According to a recent analysis from market intelligence firm Sensor Tower, Fortnite has now topped $500 million in revenue on iOS alone since its launch last December. The game was able to do this by selling over 60 million mobile downloads and generating over $200 million in retail sales.
Today, Fortnite is the most popular game on the planet. It’s a completely free game that you can download to any device, including your phone. In just six months, Fortnite has raked in millions of dollars.
2. Epic Games’ Success Has Come Quickly
Epic Games was formed in 1991 as Potomac Computer Systems. In 1999, it changed its name from MegaGames, Inc. to Epic Games.
Unreal, Epic Games’ first-person shooter, was a huge hit in the video gaming world on PC. The company continued to grow and create its characteristic Unreal Engine – a gaming engine that has seen numerous modifications and is used in many famous games today.
With each successive edition of the Unreal franchise, a new version of the engine software was included. It demonstrated the company’s ability to compete in the video gaming market.
Epic Games established new partnerships with gaming industry heavyweights like Microsoft by venturing out to platforms. Tencent Holdings purchased a 40% equity investment in Epic Games in 2012.
The market had begun to migrate to the games as a service (GaaS) paradigm at this point. Epic Games featured League of Legends in their game library, which is a great example of the GaaS approach in action.
The success of the series enabled even improved optimization of the Unreal Engine, resulting in more industry interest in the firm.
During the growth in popularity of battle royale games, Epic Games released Fortnite Battle Royale in 2017. By 2018, Fortnite had ruled the free-to-play video game market, bringing Epic Games huge success once more. The esports community flocked to Fortnite in droves.
Another plus for the corporation was the integration of cross-platform play. It made it possible for Xbox 360, PC, and PlayStation users to play together.
3. Epic Games Has a Large Community
Epic Games is the most successful developer in the world, according to Forbes, with three billion-dollar hits in the last ten years. So, what distinguishes Epic Games from the competition?
Epic Games is differentiated by its commitment to excellence in game development and user service. They have a culture of openness, collaboration, honesty, and creativity that is unlike any other. But, more significantly, they are committed to providing the best possible experience for their players.
Epic Games has one of the largest gaming communities in the world. They now have over 250 million gamers on their games, with the popular Fortnite game surpassing 200 million.
The Epic Games community is large and has a lot of room for expansion, but what’s even more exciting is that there are a lot of ways to get involved. You can, for example, develop your own material or play with others.
Epic Games just introduced Discord, allowing gamers to speak while playing their favorite games if you like music and want to share your current playlist with the world. It’s a great way to stay in touch with your friends and show off your work.
The Guardian has dubbed Epic Games the “most inventive gaming company” while Wired has dubbed it “the next big thing in gaming.” The company is known for its ground-breaking games and stunning graphics. It has a huge impact on the industry. What is the significance of this? Growth is driven by innovation.
Innovation makes you stand out from the crowd and propels your company forward. It shows you’re taking charge of your ideas and seeking fresh ways to expand your company. Epic Games will continue to flourish as the industry evolves because of its innovative edge.
5. Epic Games and Metaverse
Epic Games said on Monday that Sony and the business that owns Lego have each invested $1 billion in the Fortnite creator. The announcement comes just four days after Epic and Lego announced their partnership to create a family-friendly metaverse.
The money is being put into Epic by Kirkbi, the holding company that owns The Lego Group, so this isn’t a direct investment in the metaverse project. Sony’s investment, on top of the $250 million it placed into Epic Games in 2020 and the $200 million it added a year later, tripled its share in the company.
More gamers are live-streaming their games, turning their computers into windows into their worlds. It’s time to stop thinking of video games as something to do in your leisure time; they’re quickly becoming an integral part of our daily life. There is a lot of innovation on this front, from two distinct headsets to a slew of new games.
The video game industry is becoming more consolidated. Since the game’s regulations have yet to be set, everyone is attempting to seek the “Blue Ocean,” a market strategy that enables no competition. Everyone wants to be the first to develop a metaverse and amass the greatest number of brands. Epic Games isn’t the only company aiming for a piece of the action. Almost everyone is vying for a piece.
Epic Games is not traded on any exchange and does not have a formal stock price like other publicly traded companies.
It is because the company’s shares are not publicly listed. Tom Sweeney, the company’s founder, Venture financiers, and Tencent Holdings, together own Epic Games. Hence, you can indirectly invest in Epic Games by purchasing Tencent Holdings stock.
Epic Games has yet to announce an IPO, and while investors frequently refer to EPIC as the company’s stock ticker, it is not legally listed on any market.
Disclosure: The author is not a licensed or registered investment adviser or broker/dealer. They are not providing you with individual investment advice. Please consult with a licensed investment professional before you invest your money.
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Tim Thomas holds no positions in the stocks, ETFs, mutual funds, forex, or commodities mentioned.
This post was produced and syndicated by Tim Thomas / Timothy Thomas Limited.
Featured credit image: Pexels.