Video games are still all the rage. In a sector that increases with time, consumer trends serve as an underlying base for whether investors should buy into the market.
Here are three things to consider. First, a company that can take advantage of a growing trend of mobile and online gaming is king. Second, a strong pipeline is very important. Finally, consistent profits through digital subscriptions help companies attain better revenue.
In the video-game space, Zynga (NASDAQ:ZNGA)doesn't fare so well. But companies such as the Chinese game maker Changyou.com, (NASDAQ:CYOU)which makes popular online games, and the more traditional gaming company Electronic Arts, remain champions.
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