The Vanguard Group, Inc. recently announced the acquisition of new stake in Activision Blizzard Inc. (NASDAQ:ATVI). The institutional investor has increased its shareholding in the Communication Services company by 3.88% to 57.1 million shares with purchase of 2.13 million shares. This fresh investment now brings its stake to 7.26% valued currently at $5.25 billion. In addition, BlackRock Fund Advisors raised its holdings by 0.6 million to 38.57 million shares. And SSgA Funds Management, Inc. has lifted its position by 6.92% or 2.1 million shares – to 32.39 million shares.
With over 4.56 million Activision Blizzard Inc. (ATVI) shares trading Monday and a closing price of $91.91 on the day, the dollar volume was approximately $419.01 million. The shares have shown a positive half year performance of 16.36% and its price on 09/18/23 gained nearly 0.10%. Currently, there are 786.00M common shares owned by the public and among those 780.27M shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 21 analysts who have offered their price forecasts for ATVI have a consensus price objective of $94.53. The analysts have set the share’s price value over the next 12 months at a high of $96.00 and a low of $90.00. The average price target is 3.06% above its recent price level and a downside to the estimated low will see the stock lose -2.12% over that period. But an upside of 4.26% will see the stock hit the forecast high price target while median target price for the stock is $95.00.
Insiders at the company have transacted a total of 70 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 22 of these insider trades were purchases, accounting for 170,446 shares. Insider sales of the common stock occurred on 48 occasions, with total insider shares sold totaling 211,576 shares.
The top 3 mutual fund holders in Activision Blizzard Inc. are Vanguard Total Stock Market ETF, Vanguard 500 Index Fund, and Government Pension Fund – Global. Vanguard Total Stock Market ETF owns 23.26 million shares of the company’s stock, all valued at over $2.14 billion. The company sold 1905.0 shares recently to bring their total holdings to about 2.96% of the shares outstanding. Vanguard 500 Index Fund bought 95310.0 shares to see its total holdings expand to 17.23 million shares valued at over $1.59 billion and representing 2.19% of the shares outstanding. Government Pension Fund – Global bought 2.59 million shares to bring its total holdings to over 10.09 million shares at a value of $928.34 million. Government Pension Fund – Global now owns shares totaling to 1.28% of the shares outstanding.
Shares of Activision Blizzard Inc. (NASDAQ: ATVI) opened at $92.04, up $0.22 from a prior closing price of $91.82. However, the script later moved the day high at 92.05, up 0.10%. The company’s stock has a 5-day price change of -0.29% and 12.13% over the past three months. ATVI shares are trading 20.07% year to date (YTD), with the 12-month market performance up to 19.63% higher. It has a 12-month low price of $70.94 and touched a high of $93.67 over the same period. ATVI has an average intraday trading volume of 10.73 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 0.11%, 0.63%, and 12.12% respectively.
Institutional ownership of Activision Blizzard Inc. (NASDAQ: ATVI) shares accounts for 83.10% of the company’s 786.00M shares outstanding. Mutual fund holders own 43.95%, while other institutional holders and individual stakeholders account for 88.85% and 34.79% respectively.
It has a market capitalization of $72.63B and a beta (3y monthly) value of 0.45. The stock’s trailing 12-month PE ratio is 33.62, while the earnings-per-share (ttm) stands at $2.73. The company has a PEG of 2.63 and a Quick Ratio of 4.70 with the debt-to-equity ratio at 0.17. Price movements for the stock have been influenced by the stock’s volatility, which stands at 0.38% over the week and 0.38% over the month.
Analysts forecast that Activision Blizzard Inc. (ATVI) will achieve an EPS of $0.9 for the current quarter, $1.65 for the next quarter and $4.42 for 2024. The lowest estimate earnings-per-share for the quarter is $0.72 while analysts give the company a high EPS estimate of $1.05. Comparatively, EPS for the current quarter was $0.68 a year ago. Earnings per share for the fiscal year are expected to decrease by -44.30%, and 4.62% over the next financial year. EPS should grow at an annualized rate of 12.80% over the next five years, compared to 10.10% over the past 5-year period.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 21 brokerage firm advisors rate Activision Blizzard Inc. (ATVI) as a “Moderate Buy” at a consensus score of 2.80. Specifically, 3 Wall Street analysts polled rate the stock as a buy, while 18 of the 21 advise that investors “hold,” and 0 rated it as a “Sell.”
Looking at the support for the ATVI, a number of firms have released research notes about the stock. ROTH MKM stated their Neutral rating for the stock in a research note on July 21, 2023, with the firm’s price target at $88-$95.