Market Overview

UPDATE: Barclays Initiates Coverage on Activision Blizzard on Multiple Positive Factors

Share:

In a report published Monday, Barclays Capital analyst Christopher D. Merwin initiated coverage on Activision Blizzard (NASDAQ: ATVI) with an Overweight rating and $22.00 price target.

In the report, Barclays Capital noted, “We are initiating coverage of Activision with an Overweight rating and $22 price target. While the opportunity for casual and social gaming has recently generated a lot of buzz, we believe the demand for console and PC games is largely underappreciated by the market. Furthermore, we believe the upcoming console cycle—historically a time of earnings volatility for video game publishers—is a risk that has been well-telegraphed by management and sets the bar lower for future positive earnings surprises, likely in the form of margin expansion from new monetization formats and digital distribution. Lastly, we believe the recently completed leveraged recapitalization of the business should free up Activision's future free cash flow for incremental capital returns.”

Activision Blizzard closed on Friday at $17.59.

Latest Ratings for ATVI

DateFirmActionFromTo
Oct 2019MaintainsNeutral
Oct 2019MaintainsOverweight
Oct 2019MaintainsBuy

View More Analyst Ratings for ATVI
View the Latest Analyst Ratings

Posted-In: Barclays Capital Christopher D. MerwinAnalyst Color Initiation Analyst Ratings

 

Related Articles (ATVI)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
ELMDDougherty & Co.Initiates Coverage On12.0
MRNSCantor FitzgeraldAssumes7.0
MNRLCapital One FinancialInitiates Coverage On23.0
SONVertical GroupUpgrades
UNPMorgan StanleyMaintains136.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

UPDATE: Macquarie Downgrades Abercrombie & Fitch as Weak Sales Trump Expense Opportunity

UPDATE: HSBC Upgrades Yamana Gold Following Q3 EPS Forecast