Why HERO, TTWO, AND RBLX are Must-Buy Stocks Today

Gaming stocks are exploding.

And most still offer a good deal of further upside, fueled by the upcoming release of Grand Theft Auto VI, the latest Nintendo Switch 2, and exploding growth at Roblox.

For an idea of just how explosive gaming has become, the Global X Video Games and eSports ETF (NASDAQ: HERO) soared about 44% from its April 2025 low to now, as compared to the S&P 500’s 34% growth over the same time frame.

Let’s start with Take Two Interactive 

Since bottoming out at around $190 in April, Take-Two Interactive (NASDAQ: TTWO) is now up to $232.40.

From here, we‘d like to see it closer to $250 as we near the launch of its latest 800-pound gorilla, Grand Theft Auto VI.  If you’re familiar with the franchise, you know it’s wildly popular and sells millions of copies. We expect no less this time.

Grand Theft Auto V sold 210 million copies, the third best-selling game of all time. Grand Theft Auto VI could sell 250 million moving forward, according to analysts.

Recent earnings haven’t been too shabby either.

An EPS loss of seven cents beat by 65 cents. Revenue of $1.5 billion, up about 12% year over year, beat by $190 million.

“For the fiscal year 2026, the GTA and NBA2K franchise owner raised its net bookings guidance to $6.05B to $6.15B (mid. $6.10B), from $5.90B to $6B, which is ahead of the consensus estimate of $6.04B. Adjusted EBITDA was guided between $827M and $886M, up from $793M to $847M previously provided (mid. $856.5, est. $833.6M),” said Seeking Alpha.

Roblox Corp. 

Roblox Corp. (NYSE: RBLX) has been just as explosive.

From an April 2025 low of about $50, it raced to a high of $150.59. Now back to $125.89, it’s offering us another opportunity, as RBLX catches strong support.

The company recently posted 21% year-over-year revenue growth to $1.1 billion. It also saw bookings of $1.4 billion, up 51% year over year. The company also raised its fiscal year 2025 revenue and bookings guidance. Revenue guidance was raised to 22% to 25% year over year. Bookings guidance calls for growth of 34% to 37%.

Helping, analysts at Wedbush just called RBLX one of “the most compelling growth opportunities in the video game sector,” as quoted by TipRanks.com.

The firm reiterated an outperform rating with a price target of $165 a share. And, “the research firm highlighted Roblox’s swift response to child safety concerns, which it believes should ease investor worries,” as also noted by TipRanks.com.

Global X Video Games & eSports ETF 

Or, if you want greater exposure to video game stocks at a lower price, there’s the Global X Video Games & eSports ETF.

With an expense ratio of 0.5%, the HERO ETF “invests in companies that develop or publish video games, facilitate the streaming and distribution of video gaming or esports content, own and operate within competitive esports leagues, or produce hardware used in video games and esports, including augmented and virtual reality,” as noted by GlobalXETFs.com.

Some of its 45 holdings include Electronic Arts, Nintendo, Take-Two Interactive, Roblox, Unity Software, and Capcom Co., to name just a few.

Since bottoming out at around $23 in April, the HERO ETF is now up to $33.14. From here, with all of the excitement being generated with gaming, we’d like to see it closer to $50 a share. It also pays out a dividend twice a year. Its last one for just over 14 cents was paid on July 7.

Some other hot gaming ETFs to consider include:

VanEck Video Gaming and eSports ETF

With an expense ratio of 0.56%, VanEck Video Gaming and eSports ETF (NASDAQ: ESPO) tracks the price and yield performance of the MVIS Global Video Gaming and eSports index. 

It has 29 holdings, including Nintendo, Roblox, Tencent Holdings, Applovin Corp., Electronic Arts, and Take-Two Interactive, to name a few. Since bottoming out at around $77.50 in April, the ESPO ETF rallied to $115.06. We’d like to see it test $125 shortly. 

The ESPO pays out an annual dividend in December. Its last payment of about 37 cents was paid on December 24. 

Roundhill BITKRAFT eSports & Digital Entertainment ETF

With an expense ratio of 0.5%, the Roundhill BITKRAFT eSports & Digital Entertainment ETF (NASDAQ: NERD) tracks to performance of the Nasdaq CTA Global Video Games Software Index.

Some of its 34 holdings include AppLovin, Nintendo, Roblox, Electronic Arts, Take-Two Interactive, Unity Software, and Konami Group, to name a few. Since bottoming out at around $18 in April, the NERD ETF rallied to a high of $27.64.

Now back to $27.01, we’d like to see the ETF rally to at least $35 a share. The ETF also pays an annual dividend. Its last one for just over 34 cents was paid on December 31. 

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