Activision Blizzard closed at $43.41 in the latest trading session, marking a -1.25% move from the prior day. This change lagged the S&P 500's daily gain of 0.07%. At the same time, the Dow lost 0.25%, and the tech-heavy Nasdaq gained 0.14%.
Heading into today, shares of the maker of "Call of Duty" and other video games had lost 14.39% over the past month, lagging the Consumer Discretionary sector's gain of 5.52% and the S&P 500's gain of 6.28% in that time.
Wall Street will be looking for positivity from ATVI as it approaches its next earnings report date. This is expected to be February 12, 2019. The company is expected to report EPS of $1.29, up 37.23% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.05 billion, up 15.5% from the year-ago period.
Any recent changes to analyst estimates for ATVI should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 14.94% lower. ATVI is currently a Zacks Rank #4 (Sell).
Digging into valuation, ATVI currently has a Forward P/E ratio of 17.54. This valuation marks a discount compared to its industry's average Forward P/E of 18.91.
Also, we should mention that ATVI has a PEG ratio of 1.41. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Toys - Games - Hobbies stocks are, on average, holding a PEG ratio of 1.46 based on yesterday's closing prices.
The Toys - Games - Hobbies industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 29, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Activision Blizzard (ATVI) Stock Sinks As Market Gains: What You Should Know
Activision Blizzard closed at $43.41 in the latest trading session, marking a -1.25% move from the prior day. This change lagged the S&P 500's daily gain of 0.07%. At the same time, the Dow lost 0.25%, and the tech-heavy Nasdaq gained 0.14%.
Heading into today, shares of the maker of "Call of Duty" and other video games had lost 14.39% over the past month, lagging the Consumer Discretionary sector's gain of 5.52% and the S&P 500's gain of 6.28% in that time.
Wall Street will be looking for positivity from ATVI as it approaches its next earnings report date. This is expected to be February 12, 2019. The company is expected to report EPS of $1.29, up 37.23% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.05 billion, up 15.5% from the year-ago period.
Any recent changes to analyst estimates for ATVI should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 14.94% lower. ATVI is currently a Zacks Rank #4 (Sell).
Digging into valuation, ATVI currently has a Forward P/E ratio of 17.54. This valuation marks a discount compared to its industry's average Forward P/E of 18.91.
Also, we should mention that ATVI has a PEG ratio of 1.41. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Toys - Games - Hobbies stocks are, on average, holding a PEG ratio of 1.46 based on yesterday's closing prices.
The Toys - Games - Hobbies industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 29, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.