Activision Blizzard, Inc closed at $80.70 in the latest trading session, marking a +1.17% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.69%. Meanwhile, the Dow gained 0.43%, and the Nasdaq, a tech-heavy index, lost 8.94%.
Heading into today, shares of the company had gained 1.84% over the past month, lagging the Consumer Discretionary sector's gain of 3.28% and the S&P 500's gain of 5.41% in that time.
Wall Street will be looking for positivity from Activision Blizzard, Inc as it approaches its next earnings report date. On that day, Activision Blizzard, Inc is projected to report earnings of $0.87 per share, which would represent year-over-year growth of 77.55%. Meanwhile, our latest consensus estimate is calling for revenue of $2.37 billion, up 44.94% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.01 per share and revenue of $9.52 billion, which would represent changes of +17.6% and +11.82%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Activision Blizzard, Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 0.1% lower. Activision Blizzard, Inc is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Activision Blizzard, Inc is currently trading at a Forward P/E ratio of 19.92. This represents a premium compared to its industry's average Forward P/E of 17.6.
Also, we should mention that ATVI has a PEG ratio of 2.1. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Toys - Games - Hobbies was holding an average PEG ratio of 3.15 at yesterday's closing price.
The Toys - Games - Hobbies industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 183, which puts it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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, Inc (ATVI) Outpaces Stock Market Gains: What You Should Know
Activision Blizzard, Inc closed at $80.70 in the latest trading session, marking a +1.17% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.69%. Meanwhile, the Dow gained 0.43%, and the Nasdaq, a tech-heavy index, lost 8.94%.
Heading into today, shares of the company had gained 1.84% over the past month, lagging the Consumer Discretionary sector's gain of 3.28% and the S&P 500's gain of 5.41% in that time.
Wall Street will be looking for positivity from Activision Blizzard, Inc as it approaches its next earnings report date. On that day, Activision Blizzard, Inc is projected to report earnings of $0.87 per share, which would represent year-over-year growth of 77.55%. Meanwhile, our latest consensus estimate is calling for revenue of $2.37 billion, up 44.94% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.01 per share and revenue of $9.52 billion, which would represent changes of +17.6% and +11.82%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Activision Blizzard, Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 0.1% lower. Activision Blizzard, Inc is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Activision Blizzard, Inc is currently trading at a Forward P/E ratio of 19.92. This represents a premium compared to its industry's average Forward P/E of 17.6.
Also, we should mention that ATVI has a PEG ratio of 2.1. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Toys - Games - Hobbies was holding an average PEG ratio of 3.15 at yesterday's closing price.
The Toys - Games - Hobbies industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 183, which puts it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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.