In today's edition of "1 Dividend to Buy and 1 Dividend to Sell," the Fool's Austin Smith recommends Activision Blizzard (Nasdaq: ATVI) and shuns GameStop (NYSE: GME).
While GameStop is significantly cheaper today, the company doesn't have as promising a future as Activision Blizzard. If you fast-forward a few years, you'll see that the market for GameStop's high-margin used games is likely to dry up, while Activision's high-margin recurring revenue memberships will keep on ticking.
Austin Smith has no positions in the stocks mentioned above. The Motley Fool owns shares of Activision Blizzard, GameStop, and Microsoft. Motley Fool newsletter services recommend Activision Blizzard, Electronic Arts, GameStop, and Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.