Microsoft Corporation (MSFT), Sony Corporation (ADR) (SNE): Into The Living Room

The Best Option

Microsoft, meanwhile, has been trying to break into the mobile space. The Xbox business is a cash cow helping to fund that effort. So getting Xbox right is very important. However, the company’s sales appear to be back in growth mode and despite some recent margin compression, it makes plenty of money. Even if the new Xbox is a rough launch, it has the money to fix any mistakes it makes.

The shares yield around 2.7% and the dividend has been increased annually for more than a decade. Despite the recent share price run up, this is probably the best video game console maker option right now. And if it can get into the living room before the TV gets into the game space, the Xbox could grab another generation of players and broaden its appeal. That would be a huge win.

Reuben Brewer has no position in any stocks mentioned. The Motley Fool recommends Nintendo. The Motley Fool owns shares of Microsoft.

The article Into The Living Room originally appeared on Fool.com and is written by Reuben Brewer.

Reuben is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.