Why did Activision get sued?
Nov 03, 2021 · The news drove several analysts to slash their price targets for Activision Blizzard's shares. For one, Morgan Stanley analyst Brian Nowak cut his price forecast from $120 to $65 after reducing ...
Did Activision ruin Blizzard?
Find the latest Activision Blizzard, Inc. (ATVI) stock discussion in Yahoo Finance's forum. Share your opinion and gain insight from other stock traders and investors.
Why did ATVI stock drop?
Sep 26, 2020 · Why did Activision Blizzard stock drop? Shares have fallen in recent weeks after the California Department of Fair Employment and Housing filed a lawsuit after a two-year investigation that alleged Activision Blizzard discriminated against female employees and said its workplace culture has led to harassment targeting women at the company.
When did Activision buy Blizzard?
Nov 03, 2021 · However, following the earnings release, shares of the company declined 10.9% to close at $69.20 in the extended trading session. Activision Blizzard reported quarterly net revenues of $2.07 billion, up 5.9% year-over-year. The figure also surpassed the consensus estimate of $1.88 billion. Revenues from In-game, subscriptions and other segments ...
Why are Activision stocks dropping?
Stocks fell to start the week following last week's decline as bank profits slipped. Microsoft agreed to buy troubled videogame giant Activision Blizzard, marking its largest deal ever. The World Bank is slashing its forecast for global economic growth.Jan 18, 2022
Is Activision a good stock to invest?
The shares currently trade at just 14 times 2023 earnings estimates. At this price level, investors have a good chance of earning an above-average return over the next 10 years if they have the patience to hold an underperforming stock in the near term.Jan 12, 2022
Is Activision stock undervalued?
Further, the stock's PE also compares favorably with the industry's trailing twelve months PE ratio, which stands at 21.01. At the very least, this indicates that the stock is relatively undervalued right now, compared to its peers.Dec 14, 2021
What is happening at Activision?
On July 20, 2021, the California Department of Fair Employment and Housing filed a lawsuit against Activision Blizzard after a lengthy two-year investigation. According to Bloomberg Law, the agency accused the company of promoting a “'frat boy' culture” that put female employees in the crosshairs.Jan 20, 2022
Is Microsoft buying Activision?
Microsoft shocked the tech and gaming world on January 18th when it announced it would acquire Activision Blizzard in a $68.7 billion deal, by far the biggest ever in gaming.Feb 18, 2022
Is Activision stock gonna go up?
Stock Price Forecast The 23 analysts offering 12-month price forecasts for Activision Blizzard Inc have a median target of 95.00, with a high estimate of 100.00 and a low estimate of 82.00. The median estimate represents a +20.36% increase from the last price of 78.93.
Is Activision Blizzard a good stock?
Activision is by far the worst performer among the top video game stocks. Its shares have fallen 28% in 2021 – competitors Take-Two Interactive and Electronic Arts are also lower for the year, but at just a fraction of Activision's losses.Nov 4, 2021
What large cap stocks are undervalued?
Undervalued Large CapsSymbolNameMarket CapAPAAPA Corporation14.965BGILDGilead Sciences, Inc.78.154BHPEHewlett Packard Enterprise Company20.965BPBR-APetróleo Brasileiro S.A. - Petrobras81.341B21 more rows
What is going to happen to Activision Blizzard?
Microsoft to acquire Activision Blizzard for nearly $70B — Jan. 18, 2022. First reported in The Wall Street Journal and later confirmed by the company, Microsoft announced a deal to acquire Activision Blizzard.Mar 4, 2022
Why did Microsoft buy Activision?
Microsoft has preached its vision of a device-agnostic future as a way of breaking down barriers. Phil Spencer, Microsoft's chief executive of gaming, said in an interview Tuesday that the company's goal was to allow the new Activision titles “to reach as many players as possible.”Jan 19, 2022
Is the Activision lawsuit over?
(Reuters) - Activision Blizzard Inc has won the dismissal of a lawsuit in California accusing the video game maker of misleading investors by downplaying the severity of alleged sexual harassment and discrimination against female employees.3 days ago
Is Activision owned by Blizzard?
Activision Blizzard itself became one of the largest video game companies in 2008, when Activision merged with Blizzard in a US$18.9 billion dollar deal.Jan 23, 2022
What happened
So what
Shares of Activision Blizzard ( ATVI 0.10% ) fell 14% on Wednesday after the digital-entertainment company postponed two major game launches.
Now what
Revenue in the video game maker's Blizzard segment jumped 20% to $493 million, fueled by strong sales of Diablo II: Resurrected. Meanwhile, revenue in the company's King mobile gaming division leaped 22% to $652 million, driven by in-app purchases and advertising sales in popular games like Candy Crush.
Premium Investing Services
The news drove several analysts to slash their price targets for Activision Blizzard's shares. For one, Morgan Stanley analyst Brian Nowak cut his price forecast from $120 to $65 after reducing his earnings-per-share estimates by 30% in fiscal 2022 and 23% in 2023.
The video game giant is making the news for all the wrong reasons again
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How bad was Activision Blizzard's guidance?
Leo is a tech and consumer goods specialist who has covered the crossroads of Wall Street and Silicon Valley since 2012. His wheelhouse includes cloud, IoT, analytics, telecom, and gaming related businesses. Follow him on Twitter for more updates!
But the real bad news was about 2022
Activision Blizzard, like many other video game publishers, is facing tough comparisons to the pandemic-induced surge in gaming last year.
Activision Blizzard faces an uphill battle
Activision Blizzard's fourth-quarter guidance was weak, but the real shock came when the company announced that two of Blizzard's most eagerly anticipated sequels -- Overwatch 2 and Diablo 4 -- would be delayed.
Key Points
The abrupt departure of Jen Oneal, who joined Mike Ybarra to replace J. Allen Brack as the new co-leaders of Blizzard in early August, indicates the storm hasn't passed.
Relative value
Activision Blizzard's price-to-earnings ratio is the lowest compared to leading peers in the industry.
Consistent player engagement with Call of Duty
The sell-off has brought the stock down to a price-to-earnings (P/E) ratio of 21, based on the consensus earnings estimate for 2021. This valuation compares favorably against top video game stocks like Electronic Arts and Take-Two Interactive.
Growth potential
Most importantly, Activision is releasing Vanguard into a bigger installed base than before the pandemic. Call of Duty: Mobile launched in October 2019 and has been downloaded over 450 million times, and the free-to-play Call of Duty: Warzone reeled in millions of new players, too.
