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Can You Buy Epic Games Stock? What You Need To Know

Jenna Gleespen - December 14, 2021

epic games stock

Epic Games stock is on the minds of investors looking to round out their gaming portfolio with a publisher, developer, and distributor. Keep reading to find out everything you need to know about the company and Epic Games stock.

Within the last few years, battle royale games have dominated top spots in the video game market.

And developers like Epic games have been leading the charge with its smash hit Fortnite.

While this game has propelled the company to astonishing heights, it’s important to remember that Epic Games has expanded its reach in other ways, including online distribution.

With its well-rounded portfolio of services and products, many investors want a piece of the action.

But can you buy Epic Games shares on the stock market?

Follow along for a breakdown of the company, whether you can buy Epic Games stocks as well as some competitors to keep a close eye on.

Can you buy Epic Games stock?

Epic Games Stock Intro: A Brief History of Epic Games

Epic Games was founded in 1991 under the name Potomac Computer Systems before becoming Epic MegaGames, Inc.

It then changed its name again from MegaGames, Inc. to Epic Games in 1999.

Epic Games saw massive success in the video game world on PC with its shooter, Unreal.

The company continued to grow and develop its signature Unreal Engine — a game engine with new iterations that many popular games run on today.

The Unreal franchise continued, and with each release, a new version of the engine software was included.

This showcased the company’s strength in the video game industry.

More on Epic Games

Branching out from personal computer gaming, Epic Games started working in the console market by the mid-2000s.

The versatility of its game engine helped create a catalog of successful internally developed video games.

Using Unreal Engine 3, Epic Games released Gears of War on the Xbox 360, which was another commercial success for the company.

The success of the series allowed for even better optimization of the Unreal Engine, which in turn brought more interest to the company in the industry.

By branching out to consoles, Epic Games created new relationships with staples in the gaming industry, such as Microsoft.

Epic Games and Tencent Holdings

In 2012, Tencent Holdings purchased a 40% equity stake in Epic Games.

At this time, the market had begun to shift to the games as a service (GaaS) model.

Epic Games had League of Legends in its arsenal of games, which is a very successful example of the GaaS model.

Working with Tencent also allowed the company to develop Unreal Engine 4.

This version was offered free to developers, as any games created using the engine would then pay royalties to Epic Games.

This was a very lucrative business model.

In 2017, Epic Games released Fortnite Battle Royale amidst the rise in popularity of battle royales.

By 2018, Fortnite had dominated the free-to-play video game market and brought massive success to Epic Games yet again.

Fortnite became a huge hit with the esports community

The addition of cross-platform play was another boon to the company.

This allowed Xbox 360, PC, and Playstation players the ability to play with one another.

It was a monumental moment for the company.

Epic Games Store

Following the financial success of Fortnite, Epic Games was able to diversify its services even further with the launch of the Epic Games Store.

With this online-based application, the company sought to compete with services such as Steam by massively reducing the standard cut of revenue from 30% to 12%.

Epic Games’ revenue cut has drawn in several exclusive big named games, but it hasn’t captured a similarly sized user base as Steam.

Since the release of the Epic Games Store, the company has also launched another publishing division focused solely on multi-platform releases as well as Epic Online Services, which is a free software development kit.

Epic Games, in its relatively short time in the industry compared to other companies, has become a superstar.

Can you buy epic games stock?

Fortnite: Battle Royale

The impact of Fortnite: Battle Royale is palpable in all areas of the gaming industry.

Popularized by online streaming personalities, Fortnite changed the way that games were played.

It was not the first battle royale game but arguably the most popular to watch.

It allowed Epic Games to put its mark on the map for players of all ages rather than just older people who were playing more mature games.

Epic Games knew the impact it made on the market, and the company ran with it.

Other companies soon followed its lead and adopted many of the game’s features, including battle passes.

Its growing popularity led to celebrity status for the most popular Fortnite streamers.

The company also launched an entire toy campaign with action figures and partnerships with companies like Nerf.

Can you buy Epic Games stock

Epic Games’ Unreal Engine

An absolute monument to the gaming industry in itself, the Unreal Engine has allowed for massive games to be built since the first version of it was made in the late 90s.

Seeing the capability of the engine and the opportunities it has fostered has increased Epic Games’ market share.

The genius part of this was the approach Epic Games took to licensing the Unreal Engine.

When a finalized game using the software is published, the publisher would have to pay 5% royalties to Epic Games for each copy sold.

This is a great secondary stream of revenue and funds the continued optimization of the engine.

Even better, Epic Games took it a step further.

With the creation of the Epic Games Store and launcher, the company made a move to bring more people to its own platform.

Developers were encouraged to use its Unreal Engine software to create its games and then publish them using the Epic Games Store platform.

And in exchange, they would not have to pay the royalties associated with using the engine for its game development.

This small but genius tactic created exclusivity on the Epic Games Store and caused more customers to have to use its platform.

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Can You Buy Epic Games Stock: Is Epic a Publicly Traded Company?

Currently, the only way to invest in Epic Games is to invest in companies that own a private share of the company.

For example, you can buy stock in the Chinese company Tencent Holdings, which has a large share of Epic Games stock due to its support of the company since 2012.

So if you want to tap into Epic Games stock value, you could use this type of indirect investing.

This is good news for retail investors who want a piece of the pie.

Epic Games stock: Tenecent

If there is an Epic Games initial public offering (IPO) in the future, it will likely be big news.

However, the likelihood of an IPO happening for this game developer is slim.

The good news is that Tencent investors are technically Epic Games investors.

Tencent also owns Riot Games — a serious competitor to Epic Games.

Who Owns Epic Games?

Tim Sweeney, the founder and CEO of Epic Games, is the company’s majority shareholder at this time.

He owns more than 50% of the company.

Sweeney has held this majority ownership since the founding of the company.

This is most likely the reason that there has not been an Epic Games IPO, as Sweeney would then lose majority control over the company that he founded.

Who Owns Epic Games Stock?

Currently, Tim Sweeney owns the majority of shares of Epic Games stock, and Tencent purchased a 40% equity stake.

Other venture capitalists own shares of the company, including:

  • Lightspeed Venture Partners
  • Smash Ventures
  • Kohlberg Kravis Roberts & Company

Does Epic Games Have a Stock Symbol?

Epic Games does not have a stock symbol because it is not publicly traded; there is a stock often confused for Epic Games, Epic Corp (EPOR), but this is for an entirely different company.

While we could see an Epic Games ticker one day, it’s not going to be trading on a stock exchange anytime soon.

How Much Is Epic Games Worth?

In April 2021, the company announced that after a round of funding that raised $1 billion, Epic Games’ valuation is $27.8 billion.

The funding, per the announcement, will be used to further the vision and growth of the video game company.

Who is a key investor in the funding?

Sony Entertainment is the key investor, and it intends to collaborate further with Epic Games.

Epic Games Stock: Competitors You Can Invest In

Until Epic Games goes public, there are a handful of competitors that you can invest in.

These companies are good benchmarks for what we could expect if there is an Epic Games IPO in the near future.

Epic Games stock alternatives

Activision Blizzard, Inc. (NASDAQ: ATVI)

Even if you’ve never heard of Activision Blizzard, Inc. before reading this article, chances are you’ve at least heard of the video games that it’s created.

A major competitor of Epic Games on the battle royale front, Activision Blizzard is the video game company behind titles like Call of Duty: Warzone, Overwatch, and World of Warcraft, which are all major players in the online gaming industry.

Notably, World of Warcraft has had one of the largest online player bases of all time.

This game follows a monthly subscription model on top of the initial purchase price for the game.

Though membership has fallen, it remains a heavily played game across the world.

Activision Blizzard, Inc. has a company value estimated at roughly $72 billion.

The jump in worth is likely due to the pandemic prompting people to spend more time inside.

This is a good indicator as to what the Epic Games stock could look like if the company goes public.

Epic Games stock: Roblox

Roblox Corp (NYSE: RBLX)

When you think of Roblox, you probably think about the characters that look like they’re made of, well, blocks.

In the last year, Roblox has gained a lot of momentum, even though the company has been around since 2004.

The unique part about Roblox is that it has been incorrectly labeled as a game, but it is far more than that.

In fact, it isn’t a game at all!

It’s a platform that allows its users to create video games that are playable by other users.

Due to its unique nature, Roblox stock is an excellent alternative to Epic Games stock, since it fills a niche that other competitors don’t.

Epic Games stock alternatives

Electronic Arts Inc. (NASDAQ: EA)

EA is yet another Epic Games competitor involved in the battle royale genre.

Following Epic Games’ lead, EA released its own battle royale game in 2019 called Apex Legends.

The game follows the same in-game purchase model that Fortnite does, even though the game is free to play.

Apart from Apex Legends, EA has been a long-time publisher of the incredibly popular game series The Sims.

As well, its game Need for Speed actually had a movie made based on the series.

In another effort to compete with Epic Games, EA branched out with a subscription-based service called EA Play, which allowed subscribers to play any game from the EA library for a monthly fee.

Electronic Arts is currently worth roughly $24 billion.

Over the last year, the price per share of the company’s stock has had a positive trend.

With a plethora of series under its belt, and the most highly rated battle royale game on the market, it isn’t surprising that EA’s future looks promising in a financial sense.

If you want to learn more about investing in EA stock, take a look at the best video game stocks to buy right now!

Epic Games Stock: Final Thoughts

Currently Epic Games stock is not available.

All indicators point to Tim Sweeney, Tencent Holdings, and other private investors being comfortable where the company is at.

Epic Games, operating entirely privately, has proven time and time again that it’s more than capable of raising the necessary funds to maintain growth over time.

So don’t expect to see an Epic games stock IPO anytime soon.

This is a shame because few video game stocks have comparable potential, given Epic’s moves towards cornering every aspect of the videogame marketplace.

Unlike other game developers, the company offers a variety of services, not just games.

Also, Epic Games launched Fortnite, one of the most successful battle royales to ever hit the market.

In the case it does go public, buying Epic games stock could prove quite profitable if the company can continue its upward momentum.

Epic Games Stock FAQ

Check out these answers to the most commonly asked questions about Epic Games stock.

What Company Owns Epic Games?

Epic Games is not owned by another company. 

Tim Sweeney owns Epic Games, and the company Tencent has a 40% equity stake.

Will Epic Games Go Public?

It’s very unlikely that Epic Games will go public anytime soon.

Tim Sweeney shows absolutely no signs of wanting to take the company public, as it has already seen substantial success as a private company.

Does Fortnite Have a Stock?

Fortnite does not have a stock traded on the stock market.

What Is Epic Games Stock Price?

Because there has yet to be an Epic Games IPO, there isn’t a stock price for the video game giant.

However, the competitor stocks listed have been traded for around $100–$200 in 2021. 

Any News on an Epic Game IPO Date?

There’s no news on an Epic Game IPO date; however, the company announced in April 2021 that it received a round of private funding for $1 billion.

Sony Group was one of the top investors and gave over $200 million to Epic Games.

This recent round of funding makes an IPO in the near future even less likely.

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Jenna Gleespen is a copywriter specializing in finance and investment finance. Originally from the United States, she now calls London, England home.