UPDATE: Sterne Agee Upgrades Activision-Blizzard to Buy Following Strong Q4

Sterne Agee upgraded Activision-Blizzard ATVI from Neutral to Buy and announced a $17.00 price target. Sterne Agee commented, "We are raising our rating on ATVI from Neutral to Buy. As previewed, 2013 EPS guidance was considerably (~18 %) below "published" estimates, though within "whisper" expectations. We think ATVI's portfolio of proven brands, history of under-promising/over-delivering and its strong balance sheet/cash flows position it well for the next-gen cycle. We expect a significant buyback to boost EPS in the near to intermediate term. We are establishing our 12-month target price of $17." Activision-Blizzard closed at $12.06 on Thursday.