Do you want to invest in Epic Games stock right now?
Epic Games has become a household name due to its incredible success in the online gaming industry. With hit titles like Fortnite, Unreal Engine, and Rocket League, the company has seen remarkable growth over the last decade. As a publicly traded company with a market capitalization of more than $30 billion, it’s no wonder that many investors are eager to take advantage of the potential upside in Epic Games’ stock price.
If you’re considering investing in Epic Games stock, it’s important to know both the risks and opportunities associated with this particular asset. In this article, we’ll explore Epic Games’ historical performance, as well as its current financial outlook so that you can better understand what you may be getting into before making any final decisions about your portfolio.
Is Epic Games stock available for Purchase? Things to Learn
Investing in the stock market can be a great way to make money, but not all companies are available for investors to buy shares. Epic Game is one such company that has chosen to remain private and not offer its stock on the open market. This means that investors cannot purchase Epic Game stock directly from the company or through an exchange.
However, there are still ways for investors to gain exposure to Epic Games’ success. For example, some venture capital firms have invested in the company, and these investments can be tracked by looking at their portfolios. A
Additionally, some mutual funds may include Epic Games as part of their holdings, so it’s worth researching which funds have exposure to the company. Finally, investors can also look into investing in other companies that are related to Epic Games or benefit from its success. By doing this, they can indirectly gain exposure to Epic Games without having direct access to its stock.
A History of Epic Games
Epic Games is a video game and software development company that has been in the industry since 1991. Founded by Tim Sweeney and later joined by partner Mark Rein, Epic Game has become one of the most successful companies in the gaming industry.
They have designed several popular games, such as Unreal Tournament, Gears of War, and Infinity Blade. In addition to their own titles, they also developed the Unreal Engine software framework which allowed other game developers to use their engine in exchange for a percentage of their sales.
The company’s biggest success came with the launch of “Fortnite” in 2011. This online battle royale platform quickly became a global phenomenon with more than 350 million players worldwide as of 2021. It was estimated that Fortnite was generating more than $5 billion a year from in-game purchases alone by 2020.
Along with its success, Epic Game has acquired several smaller companies such as Sketchfab and Bandcamp over the years to further expand its reach and influence within the gaming industry.
Financing and Ownership of Epic Games
Epic Games is a private company that has had no trouble attracting financial support. It has secured financing from major hedge funds, corporations and money-management firms such as Sony, Appaloosa, Baillie Gifford, BlackRock, Fidelity and T. Rowe Price.
This means that Epic Game can continually develop and expand its business ventures with the capital it receives from these investors.
The investments made by these companies have allowed Epic Games to become one of the most successful video game developers in the world. With their help, Epic Game has been able to create some of the most popular games in history such as Fortnite and Unreal Tournament.
These investments have also enabled Epic Games to acquire other companies such as Psyonix and Houseparty, further expanding their portfolio of products and services.
Arguments Against Public Trading
Public trading can be a tempting prospect for many companies, especially those that have seen success and are looking to capitalize on it. However, there are several drawbacks to going public that should not be overlooked. Firstly, the company would be subject to a raft of legal and financial requirements that could prove costly and time consuming.
Secondly, the private company would become very public with its financials reported each quarter as well as regular investor meetings, conference calls with analysts and constant press scrutiny. This level of transparency can be daunting for some companies who may prefer to remain in the background.
Epic Games is one such example of a successful private company that has been considering an IPO in 2022 or later. While this would certainly reward the venture capital firms that have financed and supported Epic, it may not necessarily be the best move for them in terms of long-term growth.
As one of the planet’s biggest game developers, Epic Game is a bellwether for an important media and entertainment sector; however, going public could bring with it more attention than they may want or need at this stage in their development.