Welcome to Video Games Insider for 16th December 2021 – FREE version.
We use Moneyball tactics to discover undervalued, mispriced, and hidden gems in Fractional Investing.
Video Games in 2021
Have video games found their bottom, or is it just a dead cat bounce? It’s been a bloody couple of months, particularly for lower-tier games, after allegations of fraud and collusion took hold this summer. There’s value to sealed and graded video games for sure, but the industry is certainly spooked.
Last week’s performance
Fractional secondary markets
A positive week! A couple of XBox games led the way, but the real heavyweight – NES – is what matters. A slightly positive week for the iconic console cancelled out a horrific week from SNES and a subpar outing by N64 Games.
At Auction
Heritage wrapped up their 8 to 64 bit auction last week with some fairly disappointing results. Blue chip games held up better than the rest, but there really were no good results. This runs counter to the slight optimism we saw in the fractional secondary market last week, so we’ll need to wait to see which way the market’s going to go.
In a testament to his popularity, games featuring Mario took the top three spots and claimed nine of the top 15 positions.
FWIW, I think video games have more room to fall, and we’ve exited all but four of our video game positions in the Alts Index.
I’ve updated inferred values of games trading in secondary markets.
This Week
New IPOs
Two new drops bravely wade into the fractional marketplaces this week. One legendary game each from Super Nintendo and Xbox.
Super Mario World 1991 SNES WATA 9.4 A
- Market Cap: $165k
- Inferred Value: $135k
- Platform: Rally
- Date: 12/16/2021
- Recommendation: [INSIDERS ONLY]
Halo: Combat Evolved (NFR) XBox Wata 9.8 A
- Market Cap: $88,400
- Inferred Value: $85,000
- Platform: Otis
- Date: 12/16/2021
- Recommendation: [INSIDERS ONLY]
Secondary markets
There’s a lot going on now that both Rally and Otis have real time trading across quite a few games and consoles. I’ve updated our inferred values of all trading games, and you can find them in our video games database. Always do your own research here, though. This market is moving quickly.
At Auction
There’s a fairly low-key no-reserve auction right now at ComicConnect featuring a wide variety of mostly garbage. I read through every lot for you (you’re welcome), and here are a few potential gems for the right price:
