Latest news with #LaleAkoner
Daily Mail
3 days ago
- Business
- Daily Mail
Nintendo Switch 2 launches today - should you invest in the world's leading video game brands?
Gaming fans queued up outside tech stores worldwide on Thursday morning, in a bid to get their hands on the latest big launch in the gaming world. The Nintendo Switch 2 is the successor to the original Switch - the third best selling games console in history, and its launch is the first of a major console since 2020. Nintendo's original Switch console has sold 152million units. The firm is no doubt hoping its new offering can surpass this original figure. The gaming industry is bigger than ever before and is expected to reach $236.9billion in 2025, according to Midia Research. By 2031, the sector could be worth $280.1billion as gaming firms continue to grow. Nintendo has seen its share price rise by 32 per cent in the past year. Over the past five years, the firm is up 151 per cent. This growth is largely reflected across the board, according to figures from Etoro, with gaming stocks far outpacing the US' S&P 500 index. A gaming stocks basket compiled by Etoro show the eight leading gaming firms have grown at four times the rate of the S&P 500, up 46 per cent over the past year compared with 12 per cent for the index. Over the past five years, these gaming stocks have risen 141 per cent, compared to 101 per cent for the S&P 500. Over the same period, the FTSE 100 and Nasdaq increased by five per cent and 13 per cent respectively. Lale Akoner, global market analyst at Etoro, said: 'Gaming stocks' outsized returns in 2025 aren't just a function of cyclical tailwinds from blockbuster launches like GTA VI or the upcoming Switch 2. 'What we're witnessing is a structural revaluation of the sector. The shift to digital distribution and live‑service models has turned what used to be hit‑driven publishers into recurring‑revenue machines.' Akoner added that an increase in recurring revenue models have helped to stabilise growth and is 'enabling publishers to generate predictable cash flows while reducing dependence on hit releases.' On top of this, he says, gaming continues to become more mainstream, 'with smartphone penetration, 5G connectivity, and the rise of online gaming making games more accessible and social.' How have the leading gaming brands performed? Brand Returns 1 year Returns 3 years Returns 5 years Nintendo 32% 97% 151% Sony 42% 59% 171% Capcom 52% 132% 338% Electronic Arts 17% 16% 26% Take-Two 57% 105% 69% Roblox 151% 158% 17% Ubisoft -52% -78% -85% Konami 69% 116% 438% Source: Etoro Etoro's basket is made up of Nintendo, Sony, Capcom, Electronic Arts, Take-Two Interactive, Roblox, Ubisoft and Konami. While Call of Duty maker Ubisoft has fallen some 85 per cent over the past five years, and 52 per cent in the past year, this downturn is massively outweighed by the gains seen by other firms. Japanese firm Konami, which produces the Metal Gear titles alongside Pro Evolution Soccer, has surged some 438 per cent over the past five years, including growth of 69 per cent in the past year. Meanwhile, fellow Japanese producer Capcom, know for Street Fighter and Resident Evil, has risen 338 per cent in the past five years and 52 per cent in the past 12 months. Akoner said: 'The standout performers, such as Capcom and Konami, have surged by pairing monetisation maturity with strategic global expansion and operational discipline. 'Capcom, for example, now derives 70 per cent of its revenue from legacy titles, a reflection of how back-catalogue monetization and digital distribution (78% digital share) have buffered the company from new-release volatility. 'Unlike some US counterparts, these firms avoided over-hiring and aggressive cost expansion, instead optimizing for long-term, scalable growth that aligns with gaming's shift toward predictable, tech-like revenue models.' Playstation producer Sony has risen 171 per cent since 2020, while Roblox has grown 151 per cent over 12 months. The latter has more than 85million daily active users, equivalent to Germany's entire population playing the game each day. Gaming firms are also increasingly expanding beyond just video games themselves, most recently with the Minecraft movie and the second season of HBO's The Last of Us. Akoner said: 'These franchises are breaking out of the console box – from cinematic releases and mobile spin‑offs to entire theme‑park attractions – creating multiple monetisation lanes that cushion earnings volatility. 'Japanese publishers in particular have paired this monetisation maturity with cost discipline and steady hiring, avoiding the over‑expansion that is now forcing many US peers to retrench. 'As a result, investors are beginning to view gaming less as a speculative bet on the next big hit and more as a durable, long‑term growth story.'
Business Recorder
20-05-2025
- Business
- Business Recorder
European stocks subdued as corporate news outweighs US credit downgrade
FRANKFURT: European stocks closed flat on Monday, following a five-week winning streak, as declines from a surprise US credit rating downgrade were offset by upbeat corporate updates. The pan-European STOXX 600 index pared earlier declines to close 0.1% higher, hovering around the seven-week intraday high it touched on Friday. Credit rating agency Moody's cut its ratings on US debt on Friday, citing concerns about the nation's growing $36 trillion debt pile, which sent jitters across global markets earlier in the day. 'The downgrade reflects what markets already know: we're in a new fiscal regime defined by austerity via tariffs and caps... Don't overreact to the downgrade itself as history shows these calls often lag the fundamentals,' said Lale Akoner, global market analyst at eToro. Wall Street's main indexes were lower, and longer-dated US Treasury yields rose, though were off their session peaks. Meanwhile, US President Donald Trump's sweeping tax-cut bill, which had been stalled for days, won approval from a key congressional committee on Sunday, while Treasury Secretary Scott Bessent said in television interviews that President Donald Trump will carry out tariff threats if trading partners do not negotiate in 'good faith' on deals. 'There's some issues around the tariffs coming back and reminding everyone that while we've seen some de-escalation, it's not kind of all over and done with,' said Richard Flax, chief investment officer at Moneyfarm. De-escalation in US-China tariff war and hopes of interest rate cuts from the European Central Bank have helped regional markets recover from the early April slump when Trump announced 'reciprocal' tariffs, with Germany's DAX touching a record high on Monday.
Business Times
19-05-2025
- Business
- Business Times
Europe: Stocks subdued as corporate news outweighs US credit downgrade
EUROPEAN stocks closed flat on Monday, following a five-week winning streak, as declines from a surprise US credit rating downgrade were offset by upbeat corporate updates. The pan-European Stoxx 600 index pared earlier declines to close 0.13 per cent higher at 549.98, hovering around the seven-week intraday high it touched on Friday. Credit rating agency Moody's cut its ratings on US debt on Friday, citing concerns about the nation's growing US$36 trillion debt pile, which sent jitters across global markets earlier in the day. 'The downgrade reflects what markets already know: we're in a new fiscal regime defined by austerity via tariffs and caps... Don't overreact to the downgrade itself as history shows these calls often lag the fundamentals,' said Lale Akoner, global market analyst at eToro. Wall Street's main indexes were lower, and longer-dated US Treasury yields rose, though were off their session peaks. Meanwhile, US President Donald Trump's sweeping tax-cut bill, which had been stalled for days, won approval from a key congressional committee on Sunday, while Treasury Secretary Scott Bessent said in television interviews that President Donald Trump will carry out tariff threats if trading partners do not negotiate in 'good faith' on deals. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'There's some issues around the tariffs coming back and reminding everyone that while we've seen some de-escalation, it's not kind of all over and done with,' said Richard Flax, chief investment officer at Moneyfarm. De-escalation in US-China tariff war and hopes of interest rate cuts from the European Central Bank have helped regional markets recover from the early April slump when Trump announced 'reciprocal' tariffs, with Germany's DAX touching a record high on Monday. Travel and leisure stocks were the biggest gainers on the index. Ryanair rose 4.8 per cent after the Irish low-cost carrier reported strong demand across Europe and projected that fares would rebound and recover much of the decline that dented profit last year. Peers Lufthansa and EasyJet rose 2.6 per cent and 3.2 per cent, respectively. BNP Paribas rose 3.4 per cent, one of the biggest boosts, after the French bank announced a share buyback plan worth 1.08 billion euros (S$1.6 billion). Meanwhile, Britain agreed the most significant reset of defence and trade ties with the European Union since Brexit by reaching a deal that includes a security and defence pact, fewer restrictions on British food exporters and visitors, and a contentious new fishing agreement. Some luxury stocks declined after China's retail sales data for April missed expectations. Moncler dropped 2.2 per cent, LVMH fell 1.1 per cent, while the broader index was down 1 per cent. Volkswagen fell 5.2 per cent to the bottom of the Stoxx 600 as it traded ex-dividend. REUTERS
Tahawul Tech
14-05-2025
- Business
- Tahawul Tech
April CPI highlights inflation risks
Lale Akoner, Global Market Analyst at eToro, shares a timely comment on the U.S. CPI report. April's CPI report came in softer than expected, but we're not ready to call it a turning point. Yes, the headline number cooled thanks largely to cheaper oil and the biggest grocery price drop since 2020 but the details are less comforting. Housing costs remained stubbornly high, and super-core services (excluding shelter) climbed. These are the sticky components that the Fed watches closely, and they're not giving up ground easily. Retail investors are likely to view the recent data as a short-term positive which may support risk assets – especially equities and rate-sensitive sectors such as real estate and tech. In our view though, it is still too early to judge the inflationary impact of new tariffs. The modest pass-through in April likely reflects pre-tariff inventory being cleared, not a lack of pricing power. That buffer may not last. Over the next few months, we'll get a clearer picture of whether tariffs feed into consumer prices or trigger substitution effects and whether trade tensions end up hitting growth harder than inflation. For now, this mixed bag validates the Fed's cautious stance. There's no urgency to cut, but no clear case for tightening either. Markets may cheer the softer print, but we still think that the inflation outlook remains uncertain. Image Credit: eToro
CNBC
13-05-2025
- Business
- CNBC
Stock futures are flat on Tuesday with Nasdaq riding five-day winning streak: Live updates
Traders work on the floor at the New York Stock Exchange on May 7, 2025. Brendan McDermid | Reuters Stock futures were little changed on Tuesday evening as Wall Street looks to extend a strong start to the week. Futures tied to the S&P 500 dipped less than 0.1%. Nasdaq 100 futures ticked down about 0.1%, while Dow Jones Industrial Average futures added 27 points, or less than 0.1%. The move in futures comes after a broadly positive day on Wall Street. The S&P 500 rose 0.72%, while the Nasdaq Composite climbed 1.61% for its fifth straight positive session. The Dow fell 0.64%, weighed down by UnitedHealth , but is still up on the week. The S&P 500 has now turned positive for the year, as Wall Street breathes a sigh of relief after the U.S. and China on Monday announced a 90-day reduction on tariffs. "It's a big risk-on sentiment at the moment. … While the structural issues between [the U.S. and China] remain unresolved, I think the signal is quite clear that neither side wants to push trade tensions further," said Lale Akoner, global market analyst at eToro. Tech names were among the big winners in Tuesday's regular session, with the sector rising more than 2%. Nvidia jumped more than 5% on news the semiconductor giant would send more than 18,000 of its artificial intelligence chips to Saudi Arabia. The latest leg of the market rebound has seen blue-chip stocks build solid winning streaks. Apple has risen in four back-to-back sessions, while Amazon has notched five straight positive days. Outside of technology, Goldman Sachs has also climbed in five consecutive sessions, while Disney 's winning streak has hit six days. The futures market was calm when trading resumed at 6 p.m. in New York. Futures for the S&P 500, Dow and Nasdaq 100 were all within 0.1% of the flatline. — Jesse Pound
