Netease.Com Suspends Registration Of ATVI WoW In China
Analysts at Hudson Square Research maintain their "buy" rating on Activision Blizzard Inc (NASDAQ: ATVI).
NetEase.com (NASDAQ: NTES) announced today that it has suspended new user registration for Activision Blizzard’s World of Warcraft in China, and will reapply for a license to operate the game. According to a posting on the WoW China website, new user registrations would be halted for a week beginning Monday, the analysts say.
“We estimate the lost revenue potential in 2010 would be $75.8M; assuming 90% gross margin and a 33% tax rate, we estimate the total impact from the loss of China WoW at $0.04 in EPS,” the analysts add.
(c) 2011 Benzinga.com. All rights reserved. This material may not be published in its entirety or redistributed without the approval of Benzinga.
We're Loving
