Sterne Agee Comments on Activision Blizzard

Sterne Agee provided color on Activision Blizzard

and the company's recent announcement to partner with Chinese company Tencent to release

online in China in a research report published today. Sterne Agee has a Buy rating and $17 price target on the company. In the report, Sterne Agee stated, "We believe Activision's agreement with leading Chinese Internet Company, Tencent, to release Call of Duty online in China, is a nice positive. We think Call of Duty in China could be as big as CrossFire, a comparable FPS. Although it will clearly take some time, we think the EPS potential for Activision from this agreement could be as high as $0.17 annually." Shares of Activision closed Tuesday at $12.46, up 4.31% from Monday's market close.