|Bid||112.71 x 800|
|Ask||113.11 x 900|
|Day's Range||111.55 - 112.99|
|52 Week Range||78.00 - 112.99|
|Beta (5Y Monthly)||0.93|
|PE Ratio (TTM)||12.33|
|Earnings Date||Jan 29, 2020|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||111.48|
The video game industry is involved in the development, marketing and sale of hardware and software, fueled by advances in technology, high-speed connectivity, and customized gadgets. Some of the top companies in the industry today include Sony Corp.
In a look at the gaming landscape in the new year, analyst Jeff Cohen said he particularly likes "Assassin's Creed" publisher Ubisoft Entertainment SA (EPA:UBI), which is traded on the Euronext exchange in France, and which Cohen upgraded on Tuesday, and Electronic Arts Inc. (NASDAQ: EA).
Activision Blizzard (ATVI) is benefiting from franchise strength. The upcoming launch of Galakrond's Awakening for Hearthstone expands its gaming portfolio.
(Bloomberg) -- The electronic sports industry is likely to grow significantly in coming years and stocks in the sector are poised to benefit, according to DBS Group Holdings Ltd.E-sports, or multiplayer video games played competitively by professional gamers, is a key investment theme in the Singapore-based bank’s quarterly CIO outlook as the phenomenon gains traction among increasingly wealthy millennials and their Generation Z counterparts. Live streaming will help lead to “exponential growth,” with companies such as Activision Blizzard Inc., Nintendo Co. and Tencent Holdings Ltd. set to benefit, according to Thursday’s report.“E-sports is expected to undergo phenomenal growth in the coming years - from both a viewership and monetization standpoint,” the report said. “Game developers are predominantly the biggest beneficiaries given that they are involved in almost every facet of e-Sports – from games publishing to the creation of leagues and the hosting of tournaments.”Streaming platforms and hardware manufacturers will also benefit, it said.Read: Even Small Esports Names Gain as Industry Matures, Stephens SaysExposure to the field has already been paying off for investors. The MVIS Global Video Gaming and eSports Index is up 47% since the end of 2018, compared with the S&P 500’s 31% advance. The gauge of 25 companies which includes NetEase Inc., Zynga Inc., Take-Two Interactive Software Inc. and Electronic Arts Inc., has risen 3.4% this year versus a 1.4% gain in the broader benchmark.(Adds story link after fourth paragraph.)To contact the reporter on this story: Joanna Ossinger in Singapore at firstname.lastname@example.orgTo contact the editors responsible for this story: Christopher Anstey at email@example.com, Cormac Mullen, Naoto HosodaFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Electronic Arts Inc. (NASDAQ: EA) will release its financial results for the third fiscal quarter, which ended December 31, 2019, after the close of market on Thursday, January 30, 2020. In conjunction with this release, EA will host a conference call to review its financial results for the third fiscal quarter, discuss its outlook for the future and may disclose other material developments affecting its business and/or financial performance. Listeners may access the conference call live via a dial-in number or audio webcast.
InvestorsObserver issues critical PriceWatch Alerts for EA, TSLA, UNH, VRTX, and WDAY.
Videogame companies are already looking ahead to the next holiday season, with a new generation of gaming consoles on the way later this year. In 2013, the year the PlayStation 4 and Xbox One both launched in November, (ATVI) (ticker: ATVI) stock gained 69%, while Electronic Arts stock (EA) rose 58%. This year, (6758)’s PlayStation 5 and (MSFT)’s Xbox Series X will be out in time for holiday shoppers.
(Bloomberg) -- Frank Gibeau had only just become Zynga Inc.’s CEO, but he had to deliver some bad news.The once-high-flying company, which shot to fame with Facebook games such as FarmVille, was now in trouble. At an all-hands meeting in Zynga’s cafeteria in March 2016, Gibeau put up a slide showing its return on equity compared with video-game peers. The room was very quiet.“I showed them that we are the worst of the worst,” he recalled in an interview. “We are generating less return than everybody else in the industry.”Fast-forward three years, and the mood is very different. The company increased its guidance three times last year. Profit margins have rebounded, and sales are growing at their fastest pace since the game developer went public in 2011. Zynga is “on track to be one of the fastest-growing -- if not the fastest-growing -- gaming company at scale,” Gibeau said.Zynga shares have nearly tripled to $6.15 since Gibeau, now 51, took over as chief executive officer. That includes a 56% gain in 2019, eclipsing the S&P 500’s 29% increase.The stock is still far below its post-IPO high set in 2012, when the exuberance around social media propelled Zynga to almost $16. But shareholders and Wall Street analysts are embracing the company again.“Investors like a good turnaround story,” said Colin Sebastian, an analyst at Robert W. Baird & Co.Along the way, Gibeau reinvented what Zynga is about. It now makes only a sliver of its money from Facebook-based games, which gave the company a reputation for delivering endless requests and notifications to social-media users.Instead, Zynga focuses on stand-alone titles that consumers play on their phones. They include Words With Friends, Zynga Poker, and Merge Dragons!, which lets players combine dragon eggs and treasures to produce skills and objects.Zynga also has used acquisitions to dial up growth. In 2018, it agreed to buy controlling stakes in Small Giant Games for about $560 million and Gram Games for $250 million. And it has a war chest of cash and short-term investments that’s approaching $1.5 billion, which could be used for additional deals. To raise money, Zynga has sold bonds and made more than $300 million from unloading its San Francisco headquarters in a leaseback deal last year.Spending SpreeThe idea is to create a mini-empire of game studios and franchises, said Gibeau, a veteran of Electronic Arts Inc.“We see a lot of opportunities to acquire assets that would grow value for shareholders,” he said. “We want to put those dollars to use.”Zynga is preparing to reinvent itself again by embracing new platforms and devices -- no matter what they may end up being.“Ten years from now, I know for a fact that the platforms will be different,” he said. “There could be other platforms -- like streaming platforms, cloud-based gaming.”The video-game consoles that dominated the industry for so long may not exist in a decade, opening the door to other options, Gibeau said. “I want our games to be playable on anything, even if it’s a toaster or refrigerator.”Zynga has already jumped onto Snapchat. And while it hasn’t provided details on what else is in the works, the company is developing a new multiplatform strategy.“We have a saying, ‘Make platform transition your friend,’” Gibeau said. “You can turn yourself out of position, which frankly Zynga did by being so focused on Facebook.”When Zynga struggled to pull out of its slump, co-founder Mark Pincus recruited Gibeau out of retirement. Though Gibeau was only in his 40s, he’d already spent 25 years at Electronic Arts and helped turn that company around.“I really wasn’t looking for a job,” Gibeau said. “I was getting in shape. I was flying airplanes. I was looking to apply for a master’s program in history. I was spending time with my kids, traveling.”But Bing Gordon, a fellow Electronic Arts veteran who served on Zynga’s board, approached Gibeau for help on behalf of Pincus. A 30-minute chat over coffee with Pincus turned into a three-hour meeting, and Gibeau soon joined Zynga’s board. He found himself visiting the company once a week, then everyday, and he was asked to become CEO.“I just fell in love with the place -- I love turnarounds,” Gibeau said. “I learned a lot from the failures at EA. I looked at it and thought, ‘Man, this is perfect.’ I knew exactly what to do here.”The biggest task was focusing. Under Gibeau’s new management team, Zynga went from working on about 140 projects to a dozen games.The company concentrated on so-called live services -- basically, providing new content for existing games on an ongoing basis -- and tried to make its games more complex and engaging. It also invested in titles tied to movie franchises, such as Harry Potter and Star Wars. And Zynga expanded into Asia and other markets.‘Firm Footing’“The company has significant live-services expertise and has a strong advertising platform, so it can help rapidly scale promising games as they come to market,” said Matthew Kanterman, an analyst at Bloomberg Intelligence. “All in, Zynga is on firm footing for the next few years.”Zynga’s comeback is far from complete. Its profit margins still trail those of peers, and its ability to catch up will depend on the games it releases in 2020 and beyond.But the company has a happier workforce -- and takeover targets actually want to be acquired by Zynga. That wasn’t the case a few years ago, said Mike Hickey, an analyst at Benchmark Co.“Frank and his management just reset the culture and what the market perceives Zynga to be,” he said. “You stop worrying about losing your job and start getting excited about the bonus you make because you’ve hit your goals. That’s the biggest step in a turnaround.”To contact the reporter on this story: Olga Kharif in Portland at firstname.lastname@example.orgTo contact the editors responsible for this story: Nick Turner at email@example.com, Rob Golum, John J. Edwards IIIFor more articles like this, please visit us at bloomberg.com©2020 Bloomberg L.P.
From gaming to startups, these are the five executives to watch who will influence the local tech scene in 2020.
Many investors are still learning about the various metrics that can be useful when analysing a stock. This article is...
The esports industry is projected to generate $1.1 billion in revenue globally in 2019, up from $865 million in 2018.
Global e-sports industry is expected to witness a boom in 2020 on growing revenues from advertising, sponsorships, media rights, ticket sales to live events and merchandising. Here are few stocks to watch.
The bigger idea is that EA will anchor a cluster of tech firms there, ramping up downtown's ability to attract even more businesses.
Out of thousands of stocks that are currently traded on the market, it is difficult to identify those that will really generate strong returns. Hedge funds and institutional investors spend millions of dollars on analysts with MBAs and PhDs, who are industry experts and well connected to other industries and media insiders on top of […]
Turner Sports' ELeague will televise highlights from a mobile esports competition for the first time, airing top moments from the 2019 "Clash Royale League World Finals," the network announced as part of a content partnership between the broadcasting company and Finnish game developer Supercell. Eleague will run highlights from the recent "Clash Royale" finals on Friday, Dec. 27 as part of the agreement, which also allows ELeague to produce future content from the league. The best of the 2019 @ClashRoyale League World Finals is coming to @TBSNetwork, in addition to more CRL in 2020!
The video game stocks have been very volatile over the past 15 months. Of the group, Activision Blizzard (NASDAQ:ATVI) has certainly seen its share of ups and downs. Despite a steady economy and strong consumer, Activision Blizzard stock has been under tremendous pressure.Source: Piotr Swat / Shutterstock.com Instead of rallying to new highs like many other stocks this year, ATVI stock is simply trying to recover from its massive losses. From peak to trough -- from October 2018 to February 2019 -- shares lost more than 52%.Now though, the stock is in breakout mode. Activision Blizzard stock just hit new 2019 highs and is pushing through some notable levels on the charts. Can it keep up the run or is it just a holiday squeeze?InvestorPlace - Stock Market News, Stock Advice & Trading TipsLet's look at the charts. Trading ATVI Stock Click to Enlarge Source: Chart courtesy of StockCharts.comThe first is the daily chart, followed by weekly action for Activision Blizzard stock below.On the daily chart, ATVI stock is above all of its major moving averages and is making new highs. From here, it looks like it can continue higher, as it's not too overbought (blue circle) and shares are consolidating.A look at the weekly chart unveils a few different notes -- some good, some bad. Starting with the former, we can see that Activision Blizzard stock is also clearing its 200-week moving average. It has been a year since ATVI stock has been above this metric. Further, the breakout on the weekly chart looks very clean from a technical perspective. This is a textbook ascending triangle. Click to Enlarge Source: Chart courtesy of StockCharts.com On the downside, Activision Blizzard stock is nowhere near making new highs. While shares may be hitting their highest levels of 2019, they're well off the 2018 highs up at $84. In fact, ATVI stock would need to rally another 42% just to hit those highs.That's a lot to ask of a stock, even if the chart does look bullish. So what now?I would love to see a rally up to $65, which has been a notable level over the past several years. While atypical to study the three-year chart in regards to Fibonacci levels, the 61.8% retracement does come into play at $65.07 in this case.That would represent a rally of about 10% from current levels. Over that mark and a rally to $70-plus is possible. It won't be a straight line and I'm certainly not sure that Activision Blizzard stock can make new all-time highs in 2020. But rallying to $65 and eventually clearing this mark is the first step.On a pullback, see that $56 to $57 -- the breakout level -- acts as support. If ATVI rallies further before pulling back, see if the 200-week moving average buoys the name. Valuing Activision Blizzard StockLike the charts, there is good and bad in the fundamentals for Activision Blizzard stock. Again, let's start with the good, then the bad.After a tough 2019, where earnings and revenue are expected to sink 15% and 12.2%, respectively, 2020 is forecast to be a better year. Analysts expect revenue to jump 8.3% to $6.9 billion. Further, they expect double-digit earnings growth of 13.1% to $2.50 per share.Some will certainly argue that 24 times earnings is too expensive for ATVI, even if it does have high single-digit revenue growth and double-digit earnings growth. My issue isn't so much the valuation, but rather, the recovery.Let's say the company comes right in line with estimates. That is, earnings of $2.50 per share on sales of $6.9 billion. That's still below 2018's results of $2.60 per share on revenue of $7.26 billion.From a technical perspective, Nvidia (NASDAQ:NVDA) is in a similar boat. It's making new 2019 highs, but at $235, it's still well off the 2018 highs north of $290. Also like Activision Blizzard stock, NVDA saw a big decline in sales and earnings this year. However, its bounce back is vicious, with sales and earnings forecast to rebound ~20% and ~30%, respectively, and make new highs. The Bottom LineObviously chips and video games are two different businesses, but from a fundamental perspective, Nvidia's rebound is what we want to see in Activision Blizzard.The question is, will the market overlook ATVI's modest rebound and accept a return to growth as good enough? Unfortunately, we won't find out until we're slogging through 2020.With all that said though, the company has put the worst behind it and the technicals favor the bulls. Further, the earnings and revenue growth outlook for Activision Blizzard stock is better than both of its two main peers, Electronic Arts (NASDAQ:EA) and Take-Two Interactive Software (NASDAQ:TTWO).Let's see if Activision Blizzard stock can maintain momentum after the holidays.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long NVDA. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 2019 Losers That Will Be 2020 Winners * 7 Safe Dividend Stocks for Investors to Buy Right Now * 5 Artificial Intelligence Stocks to Consider The post Activision Blizzard Is Breaking Out. Can It Get Back to New Highs? appeared first on InvestorPlace.
NCAA President Mark Emmert would be open to a possible return of Electronic Arts Inc.'s (NASDAQ: EA) popular college sports video games, but laid out several conditions recently that effectively mean you won’t see it too soon. EA used to sell NCAA Basketball and NCAA football games, but the games were discontinued in 2014 amid an ongoing legal dispute over the use of player likenesses in the NCAA Basketball game. The games featured representations of college players, but the NCAA didn't allow the players to be compensated for the use of their likeness.
Electronic Arts (EA) is expected to benefit from portfolio strength with the release of Apex Legends Global Series for PC despite intensifying competition.
The 12 months before a console hits shelves brought market-beating gains for game publishers in 2000, 2005, and 2013. After all, when everyone’s buying a shiny new console, they will need new games to play.
Once again, ‘Fortnite’ holds the title for the top grossing online video games of 2019. According to Nielsen’s Video Game Arm Superdata, Epic Games' 'Fortnite' earned $1.8 billion in sales. Yahoo Finance's On The Move panel discuss.