Ultra Nerd VARCHILD's Analysis of ATVI's Big Loss in China
What happens when you have tens of millions of Video Gamers unable to play World of Warcraft for the forseeable future?
1) Sit and sulk for awhile and eventually dump playing video games in place of other things like Hopscotch, Fooseball, and paper triangle football???
2) Eventually come face to face with the fact that they are powerless to change their COMMUNIST, DICTATORSHIP's regulatory actions and find some other video game to occupy their allotted minutes per day with?
If you guessed #2 then you know why VARCHILD2008 *SCREAMED* for Video Game Investors to Double Down on CHINA.
I'll do it again.....
DOUBLE DOWN ON CHINA!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! Buy (GAME) and buy (SNDA) and buy (CYOU) and buy (SOHU)..... Pick 2 out of those four that you like/prefer and throw your cash at it.
Don't have any cash? Sell off some of your ATVI shares starting tomorrow if you didn't already today and put THAT CASH into 2 out of the 4 video game stocks.
*Woaw* Why should I do this? What's going on?? "says clueless investor to Varchild"
Didn't you hear the news??? As of right now in possible retaliation against Pres. Obama's Tire Tarrifs against Chinese Tires, the Chinese Government has completely shutdown all online video games from Foreign Video Game Publisher Joint Ventures. That's about 46 video games totally dead in the water in CHINA right now.
The smart money would panic and pull some if not all of their money out of ATVI in search for a better investment.
Varchild2008 is not asking for people to PANIC and pull out of ATVI like stupidly.. ATVI remains a good investment for a large amount of reasons still.....What they lose in CHINA they can try and gain a little back elsewhere. Or open WOW into markets/countries where it is currently inaccessible.
There is still a GROWTH story for WOW without CHINA.... It is just not a very AS-Good one. Not at all...
So....Instead of being a Panic Attack away from a Heart Attack...hearing that there is now WOW in CHINA.... No BLIZZARD Revenue from CHINA for the forseeable, indefinite future...
INVEST in CHINESE online VIDEO GAME company's that will begin to see dividends by the boat load from video gamers who start to believe they will never ever get to play WOW ever again and be forced to find "something else."
When they go out and try to "find something else" who knows what they will turn to. I haven't a clue. I don't know.... I can't say (GAME) is a better buy versus (CYOU).... I can't.... That's why you DOUBLE DOWN on the 2 major available video game company's in CHINA.... One if not Both should come out a big winner.
So... Stop Whining about ATVI being dead in CHINA.. And Start diversifying your Portfolio to protect yourself from crap like this. It's why I have 2 Chinese Videogame Stocks in my portfolio more than a week ago.. I knew something bad could happen in China for ATVI since China has plenty of reason to be UPSET at America right now.