ReportDrake Star Partners
Global Gaming Report Q3 2025
1 Sept 202520 pages~37 min full read
Investors are heavily favoring platform-centric companies over traditional hardware manufacturers, with high-growth firms like AppLovin and Nvidia commanding EV/EBITDA multiples exceeding 25x, compared to roughly 1x for legacy hardware firms like Dell and HP.
See it on page 15Roblox led equity performance with a 136.9% year-to-date appreciation, driven by successful user engagement and monetization strategies.
See it on page 3Unity recorded a 77% year-to-date gain, underscoring the market's high valuation of cross-platform development tools and real-time 3D content adoption.
See it on page 15AppLovin reached a 42.8x EV/EBITDA multiple, reflecting strong market confidence in the integration of mobile advertising with gaming ecosystems.
See it on page 5Most gaming companies reported double-digit year-over-year revenue growth in Q3 2025, confirming sustained demand across both PC hardware and cloud-based gaming services.
See it on page 16Market valuation is increasingly tied to a company's ability to blend hardware performance with scalable software platforms rather than relying on hardware sales alone.
See it on page 15The third quarter of 2025 underscores the continued premium placed on hardware and platform players within the global gaming ecosystem, as investors assign a wide spectrum of valuation multiples that reflect divergent growth narratives and market positioning. Enterprise‑valued firms such as Dell and HP trade near a 1‑times EV/EBITDA ratio, indicating modest expectations for earnings expansion, while high‑growth entities like Nvidia and AppLovin command multiples exceeding 25‑times, with the latter reaching 42.8‑times, highlighting the market’s appetite for cutting‑edge processing power and mobile advertising integration. Across the board, most companies in the segment posted double‑digit year‑over‑year revenue increases, confirming robust demand for both traditional PC hardware and emerging cloud‑based gaming services.
Equity performance further illustrates the split between established hardware manufacturers and platform‑centric developers. Roblox delivered the strongest year‑to‑date appreciation at 136.9%, driven by expanding user engagement and monetization initiatives, while Unity recorded a 77‑percent gain, reflecting its pivotal role in cross‑platform development tools and the growing adoption of real‑time 3D content. These returns contrast sharply with the more muted trajectories of hardware‑only firms, suggesting that investors are rewarding firms that blend hardware capabilities with scalable software ecosystems.
Overall, the data portray a gaming market in which valuation is increasingly tied to the ability to integrate hardware performance with platform services, and where growth‑oriented companies enjoy markedly higher multiples and stock appreciation. The findings span a global landscape, covering major North American, European, and Asian players, and focus on the quarter ending September 2025, offering a snapshot of valuation dynamics and performance trends that are likely to shape strategic investment decisions throughout the remainder of the year.
