Activision Blizzard, Inc closed at $78.61 in the latest trading session, marking a +0.31% move from the prior day. The stock lagged the S&P 500's daily gain of 1.5%. Elsewhere, the Dow gained 1.12%, while the tech-heavy Nasdaq added 0.32%.
Prior to today's trading, shares of the company had gained 0.95% over the past month. This has outpaced the Consumer Discretionary sector's loss of 10.05% and the S&P 500's loss of 6.54% in that time.
Activision Blizzard, Inc will be looking to display strength as it nears its next earnings release. In that report, analysts expect Activision Blizzard, Inc to post earnings of $0.45 per share. This would mark a year-over-year decline of 50.55%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.52 billion, down 20.76% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.82 per share and revenue of $7.77 billion, which would represent changes of -24.19% and -7.05%, respectively, from the prior year.
Any recent changes to analyst estimates for Activision Blizzard, Inc should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. The Zacks Consensus EPS estimate has moved 0.36% lower within the past month. Activision Blizzard, Inc is holding a Zacks Rank of #5 (Strong Sell) right now.
Looking at its valuation, Activision Blizzard, Inc is holding a Forward P/E ratio of 27.77. This represents a premium compared to its industry's average Forward P/E of 15.74.
Investors should also note that ATVI has a PEG ratio of 1.92 right now. 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. Toys - Games - Hobbies stocks are, on average, holding a PEG ratio of 1.54 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 199, which puts it in the bottom 22% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Activision Blizzard, Inc (ATVI) Gains But Lags Market: What You Should Know
Activision Blizzard, Inc closed at $78.61 in the latest trading session, marking a +0.31% move from the prior day. The stock lagged the S&P 500's daily gain of 1.5%. Elsewhere, the Dow gained 1.12%, while the tech-heavy Nasdaq added 0.32%.
Prior to today's trading, shares of the company had gained 0.95% over the past month. This has outpaced the Consumer Discretionary sector's loss of 10.05% and the S&P 500's loss of 6.54% in that time.
Activision Blizzard, Inc will be looking to display strength as it nears its next earnings release. In that report, analysts expect Activision Blizzard, Inc to post earnings of $0.45 per share. This would mark a year-over-year decline of 50.55%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.52 billion, down 20.76% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.82 per share and revenue of $7.77 billion, which would represent changes of -24.19% and -7.05%, respectively, from the prior year.
Any recent changes to analyst estimates for Activision Blizzard, Inc should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. The Zacks Consensus EPS estimate has moved 0.36% lower within the past month. Activision Blizzard, Inc is holding a Zacks Rank of #5 (Strong Sell) right now.
Looking at its valuation, Activision Blizzard, Inc is holding a Forward P/E ratio of 27.77. This represents a premium compared to its industry's average Forward P/E of 15.74.
Investors should also note that ATVI has a PEG ratio of 1.92 right now. 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. Toys - Games - Hobbies stocks are, on average, holding a PEG ratio of 1.54 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 199, which puts it in the bottom 22% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.