Activision Blizzard, Inc. [ATVI] is following downward trend in the market concluded with the last trading session. The shares of the Technology sector company has a current value of $59.37 after ATVI shares went down by -0.24% during the last trading session. One of the reasons why Technology stocks may go bearish is decreased momentum in the press.
Activision Blizzard, Inc. [NASDAQ:ATVI]: Analyst Rating and Earnings
Its stock price has been found in the range of 40.89 to 64.53. This is compared to its latest closing price of $59.51.
Stay on the lookout for the next publication of this organization’s financial results for the quarter, which will be made public on 04/30/2020.
Fundamental Analysis of Activision Blizzard, Inc. [ATVI]
Now let’s turn to look at profitability: with a current Operating Margin for Activision Blizzard, Inc. [ATVI] sitting at +26.80 and its Gross Margin at +67.73, this company’s Net Margin is now 30.90%. These measurements indicate that Activision Blizzard, Inc. [ATVI] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 11.79, and its Return on Invested Capital has reached 13.60%. Its Return on Equity is 12.44, and its Return on Assets is 7.98. These metrics all suggest that Activision Blizzard, Inc. is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Activision Blizzard, Inc. [ATVI] has generated a Total Debt to Total Equity ratio of 20.89. Similarly, its Total Debt to Total Capital is 17.28, while its Total Debt to Total Assets stands at 13.48.
What about valuation? This company’s Enterprise Value to EBITDA is 19.26 and its Total Debt to EBITDA Value is 1.17. The Enterprise Value to Sales for this firm is now 6.80, and its Total Debt to Enterprise Value stands at 0.06.
Similarly, this company’s Receivables Turnover is 6.89 and its Total Asset Turnover is 0.34. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 2.49 and its Current Ratio is 2.50. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Activision Blizzard, Inc. [ATVI] has 775.84M shares outstanding, amounting to a total market cap of $46.06B. Its stock price has been found in the range of 40.89 to 64.53. At its current price, it has moved down by -8.00% from its 52-week high, and it has moved up 45.19% from its 52-week low.
This stock’s Beta value is currently 0.85, which indicates that it is 2.94% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 41.68. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Activision Blizzard, Inc. [ATVI] a Reliable Buy?
Shares of Activision Blizzard, Inc. [ATVI], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.