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Sept. 10, 2021, 4:18 p.m. EDT

Videogame stocks rally after App-Store ruling

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By Wallace Witkowski

Videogame stocks rose on Friday after a federal judge ruled that Apple Inc. can no longer force app developers to use its payment system, allowing app developers to sidestep the large commissions that the tech giant collects.

The case was brought by Epic Games Inc., known for its “Fortnite” battle royale videogame, against Apple /zigman2/quotes/202934861/composite AAPL +0.75% a little over a year ago . While the Friday ruling allows app developers to collect revenue from in-app purchases directly, it did not declare Apple an antitrust monopolist.

That App Store sidestepping gave investors in videogame-related stocks reason to celebrate, although shares pared gains slightly by the close.

App-monetization company AppLovin Inc. /zigman2/quotes/226004863/composite APP +1.16% led the charge in Friday’s rally, with shares closing 8.9% higher at $77.38. In August, the company said Apple’s crackdown on ad data had a “muted” effect on its business and opted not to raise its outlook following a strong quarter.

Playtika Holding Corp. /zigman2/quotes/208028170/composite PLTK +0.64% shares rose 6.1% to close at $28.26. Recently, Playtika said it was acquiring design entertainment company Reworks Oy in a deal valued up to $600 million .

Shares of Unity Software Inc. /zigman2/quotes/221035391/composite U -0.25% , another player in the app-monetization business and also in the game-engine space, finished up 0.7% at $135.10. In August, analysts had praised Unity’s ability to work around Apple’s attempts to deny user data to app developers. Meanwhile, shares of Roblox Holding Corp. /zigman2/quotes/223883423/composite RBLX +3.00% rose 1.8% to close at $87.88.

Read: People are still playing a lot of videogames, but how much?

Electronic Arts Inc. /zigman2/quotes/206954087/composite EA -0.71% and Activision Blizzard Inc. /zigman2/quotes/200717283/composite ATVI +0.38% both finished around 2% higher, while Zynga Inc. /zigman2/quotes/209662259/composite ZNGA -2.26% shares surged 6.3%.

More on the change: Apple loosens App Store payment rules for ‘reader’ apps in another concession to developers

Trading at a 2% loss Friday was Take-Two Interactive Inc. /zigman2/quotes/204008930/composite TTWO +0.70% , which late Thursday announced a four-month delay of new versions of its Grand Theft Auto franchise.

In the broader market, the S&P 500 index /zigman2/quotes/210599714/realtime SPX +0.75% declined 0.8% and the tech-heavy Nasdaq Composite Index /zigman2/quotes/210598365/realtime COMP +0.50% finished down 0.9%, while the iShares Expanded Tech-Software Sector ETF /zigman2/quotes/201870252/composite IGV +0.26% shed 0.7%.

/zigman2/quotes/202934861/composite
US : U.S.: Nasdaq
$ 144.84
+1.08 +0.75%
Volume: 67.94M
Oct. 15, 2021 4:00p
P/E Ratio
28.37
Dividend Yield
0.61%
Market Cap
$2376.38 billion
Rev. per Employee
$1.86M
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/zigman2/quotes/226004863/composite
US : U.S.: Nasdaq
$ 91.84
+1.05 +1.16%
Volume: 1.51M
Oct. 15, 2021 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$33.81 billion
Rev. per Employee
$1.61M
loading...
/zigman2/quotes/208028170/composite
US : U.S.: Nasdaq
$ 28.47
+0.18 +0.64%
Volume: 666,008
Oct. 15, 2021 4:00p
P/E Ratio
35.93
Dividend Yield
N/A
Market Cap
$11.59 billion
Rev. per Employee
$624,079
loading...
/zigman2/quotes/221035391/composite
US : U.S.: NYSE
$ 141.00
-0.35 -0.25%
Volume: 1.95M
Oct. 15, 2021 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$39.93 billion
Rev. per Employee
$193,063
loading...
/zigman2/quotes/223883423/composite
US : U.S.: NYSE
$ 76.58
+2.23 +3.00%
Volume: 5.09M
Oct. 15, 2021 4:01p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$42.76 billion
Rev. per Employee
N/A
loading...
/zigman2/quotes/206954087/composite
US : U.S.: Nasdaq
$ 134.75
-0.96 -0.71%
Volume: 3.30M
Oct. 15, 2021 4:00p
P/E Ratio
58.03
Dividend Yield
0.50%
Market Cap
$38.62 billion
Rev. per Employee
$514,455
loading...
/zigman2/quotes/200717283/composite
US : U.S.: Nasdaq
$ 76.40
+0.29 +0.38%
Volume: 6.47M
Oct. 15, 2021 4:00p
P/E Ratio
22.90
Dividend Yield
0.62%
Market Cap
$59.19 billion
Rev. per Employee
$851,474
loading...
/zigman2/quotes/209662259/composite
US : U.S.: Nasdaq
$ 7.36
-0.17 -2.26%
Volume: 10.64M
Oct. 15, 2021 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$8.22 billion
Rev. per Employee
$879,644
loading...
/zigman2/quotes/204008930/composite
US : U.S.: Nasdaq
$ 170.56
+1.18 +0.70%
Volume: 1.06M
Oct. 15, 2021 4:00p
P/E Ratio
30.40
Dividend Yield
N/A
Market Cap
$19.74 billion
Rev. per Employee
$519,287
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
4,471.37
+33.11 +0.75%
Volume: 2.05B
Oct. 15, 2021 4:46p
loading...
/zigman2/quotes/210598365/realtime
US : Nasdaq
14,897.34
+73.91 +0.50%
Volume: 4.09M
Oct. 15, 2021 5:16p
loading...
/zigman2/quotes/201870252/composite
US : U.S.: Cboe BZX
$ 423.72
+1.08 +0.26%
Volume: 587,415
Oct. 15, 2021 4:00p
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