Hedge Funds Were Fans of Gaming Stocks Last Quarter

#3 Take-Two Interactive Software, Inc. (NASDAQ:TTWO)

– Number of Hedge Fund Shareholders (as of June 30): 47
– Total Value of Hedge Funds’ Holdings (as of June 30): $989.66 million
– Hedge Funds’ Holdings as Percent of Float (as of June 30): 30.80%

Hedge funds were pretty bullish on Take-Two Interactive Software, Inc. (NASDAQ:TTWO) in the second quarter. According to our database of 749 active 13F-filing funds, 47 owned shares of Take-Two Interactive Software, Inc. (NASDAQ:TTWO) at the end of June, up by five from the end of March. Given that the company, which develops and publishes well-known franchises including Grand Theft Auto and NBA 2K, has several new product launches in the coming quarters, perhaps it isn’t surprising that the smart money likes Take-Two. In addition to Grand Theft Auto, Take-Two will release a long-awaited sequel to Red Dead Redemption next year.

#2 Electronic Arts Inc. (NASDAQ:EA)

– Number of Hedge Fund Shareholders (as of June 30): 58
– Total Value of Hedge Funds’ Holdings (as of June 30): $2.27 billion
– Hedge Funds’ Holdings as Percent of Float (as of June 30): 9.90%

Football is the meaning of life to millions of Americans across the country and Electronic Arts Inc. (NASDAQ:EA)’s Madden NFL franchise is literally something that they cannot do without. Ever since the first version of the annual electronic football game made its debut in 1990, millions of Americans have been hooked, and Electronic Arts’ revenue growth has been impressive. With the trend to virtual reality and augmented reality, Electronic Arts now has an opportunity to realize even more revenue and profits from its hit franchise by developing a more real-life and addictive form of the game. 58 funds in our system owned shares of Electronic Arts Inc. (NASDAQ:EA) at the end of the second quarter, up by two funds from the close of the previous quarter.

#1 Activision Blizzard, Inc. (NASDAQ:ATVI)

– Number of Hedge Fund Shareholders (as of June 30): 68
– Total Value of Hedge Funds’ Holdings (as of June 30): $4.1 billion
– Hedge Funds’ Holdings as Percent of Float (as of June 30): 14.00%

Activision Blizzard, Inc. (NASDAQ:ATVI)’s Warcraft franchise is so popular that the movie based on it has made $433.5 million at the box office so far. Although that isn’t exactly Avatar numbers, the movie did surprisingly well for a gaming-based movie, which typically deliver mediocre returns. The strength of World of Warcraft shows the game’s pull among millions of gamers around the world, and particularly among gamers in the growth market of China. The smart money is also a fan of Activision Blizzard. 68 top funds in our database were long Activision Blizzard, Inc. (NASDAQ:ATVI) at the end of June, up by 16 funds from the end of the previous quarter, as it took over the top spot on this list from EA.

Disclosure: None