10 Best Esports Stocks to Buy Now

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1. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 279

Microsoft Corporation (NASDAQ:MSFT) is an American technology company that ranks among the best esports stocks to buy now. Thanks to its Xbox consoles and gaming services, the company is a major player in the global esports market. In October 2023, Microsoft Corporation (NASDAQ:MSFT) acquired Activision Blizzard for approximately $69 billion. This move significantly enhanced the company’s standing in the esports industry and brought popular franchises like Call of Duty, Warcraft, and Diablo under its umbrella.

The company is strategically focused on improving the profitability of its gaming business through higher-margin content and platform services. In October 2024, Microsoft Corporation (NASDAQ:MSFT) launched Black Ops 6, which became the top-selling game on Xbox and PlayStation for the quarter that ended December 31, 2024. Satya Nadella, Chairman and CEO of Microsoft Corporation (NASDAQ:MSFT) said that this was the “biggest Call of Duty release ever.”

The company has reported positive results from its focus on content and cloud gaming. Released in December 2024, Indiana Jones and the Great Circle has also been well-received and it has already been played by over 4 million people. In Q2 of its fiscal year 2025, which ended December 31, 2024, Microsoft Corporation (NASDAQ:MSFT) reported that Xbox Cloud Gaming reached a record 140 million hours streamed. Additionally, the company is looking to drive the number of fully paid subscribers across all platforms. Game Pass achieved a new quarterly record for revenue and managed to grow its PC subscriber base by more than 30%.

Overall, MSFT ranks first among the 10 best esports stocks to buy now. While we acknowledge the potential of esports companies, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MSFT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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