There is survivorship bias in the following statement but finding companies with a great IP that are undervalued can be a wonderful investment.
Like Marvel, once a dreg of the public markets before revival and then, acquisition by Disney, CD Projekt Red has had an enormous run. Recently it’s been fueled by not only it’s prime franchise The Witcher’s success on Netflix, but hopes for Cyberpunk 2077. The lift off several years ago came from The Witcher 3’s release…Emphasis on the 3. This wasn’t something out of the blue.
Bloomberg reports CD Projekt Red as the best European stock of the last decade, and now with a larger market capitalization than Ubisoft.
Not included in Bloomberg’s graph is perhaps the closest analog: Take Two, which has historically been dominated by Grand Theft Auto. Take Two (TTWO) has had an escape velocity beyond the GTA franchise mainstay into sports as well as other open worlds. It is the more interesting proxy for investors considering putting some loot into CD Projekt.
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