What App Stocks to Invest In?

Mobile games are the big earners in the app world, and the companies that make successful mobile gaming apps also tend to make top dollar.
But which companies are sitting at the top of the mobile gaming space? Here, the Investing News Network profiles the major companies in the mobile gaming sector in order to help investors determine what app stocks to invest in.

Tencent Holdings (HKEX:0700)

With 215 apps available in the iOS App Store, Tencent Holdings had the highest revenue in the iOS App Store this past in August. According to App Annie, Tencent’s number-one spot is particularly notable as it is only the second time in the past 19 months that a company other than Supercell has taken the top spot. Privately owned Supercell, which has only three apps on the market, is the long-time leader of this competitive market.
Tencent achieved its top spot with the help of two new games: The Legend of Mir 2 and The King of Fighters ’98 Ultimate Match. Both of these games capitalize upon existing fanbases, with The Legend of Mir 2 drawing from a popular MMORPG from the early aughts, and The King of Fighters ’98 Ultimate Match emerging from a popular arcade and console game from two decades ago. The company’s success in the mobile app sector suggests that it may be one of the stronger app stocks to invest in.

NetEase (NASDAQ:NTES)

NetEase is a holding company that operates an interactive online community in China, providing Chinese language content and services through online games, email, ecommerce and other businesses.
The company jumped two places on App Annie’s revenue list in August, taking over the third-place spot. Like Tencent, NetEase has a robust number of apps available for download. As of August, it had 152 games available in the iOS App Store.

King Digital Entertainment (NYSE:KING)

King Digital Entertainment is another major name in the app investing market, and as a result is one of the top app stocks to invest in. With 17 apps on the market, it is perhaps best known for Candy Crush Saga, released in November 2012.
Candy Crush Saga was the second-most-popular game for active iPhone users in the US in August, ranking only below Supercell’s Clash of Clans. Candy Crush Soda Saga also took the seventh-place spot on App Annie’s list of most popular gaming apps worldwide in August. The enormous popularity of Candy Crush Saga and its spinoffs has solidified King as one of the top players in the app industry. Despite releasing its blockbuster app almost three years ago, the company has endured to become one of the top players in this exciting market.

Investor takeaway

Together, these companies represent some of the top app stocks to invest in. Of course, the app market is diverse and ever changing, meaning that investors have to keep a close eye on the top stocks in this sector.