Out Fox The $treet

King Digital continues to struggle to repeat the success of mega-hit Candy Crush Saga. Though the stock offers an attractive value, it isn't likely to traded positively until the negative trends reverse. Investors should patiently watch the stock for a better entry point and ignore the market that value doesn't exist in the mobile-game sector. The mobile game industry continues to get a bad rap. The latest quarterly results from King Digital Entertainment (NYSE: KING ) only seem to enhance that negative perception. What the market really misses is that stocks like King Digital and Zynga (NASDAQ: ZNGA ) went public after a hit game or two spurred incredibly high valuations and revenues that weren't sustainable in the short run. Read the full article on Seeking Alpha. Disclosure: Long ZNGA. Please review the disclaimer page for more details. 

Mobile game developers are struggling now, but investors shouldn't overlook the valuation prospects when the stocks turn around. Electronic Arts and Activision Blizzard don't offer any growth, yet the market is rewarding these stocks higher valuations. Investors should review how the console game developers turned around weak prospects to huge stock gains before dismissing the stocks focused on mobile games. Everybody knows that videogame players are shifting to mobile, but ironically the console game developers continue to reign supreme. Typically, the small growth companies garner the highest valuation multiples, but that isn't the case in the videogame developer sector. Read the full article on Seeking Alpha. Disclosure: Long GLUU and ZNGA. Please review the disclaimer page for more details.