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Activision Blizzard

Nasdaq:ATVI
Snowflake Description

Excellent balance sheet with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ATVI
Nasdaq
$36B
Market Cap
  1. Home
  2. US
  3. Media
Company description

Activision Blizzard, Inc. develops and distributes content and services on video game consoles, personal computers (PC), and mobile devices. The last earnings update was 40 days ago. More info.


Add to Portfolio Compare Print
  • Activision Blizzard has significant price volatility in the past 3 months.
ATVI Share Price and Events
7 Day Returns
-2.3%
NasdaqGS:ATVI
-0%
US Entertainment
-1.5%
US Market
1 Year Returns
-27.5%
NasdaqGS:ATVI
4.7%
US Entertainment
-4.2%
US Market
ATVI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Activision Blizzard (ATVI) -2.3% -7.6% -40.8% -27.5% 20.1% 159.1%
US Entertainment -0% -3.6% -11.8% 4.7% 37.6% 80.3%
US Market -1.5% -5.2% -11.2% -4.2% 27.3% 35.3%
1 Year Return vs Industry and Market
  • ATVI underperformed the Entertainment industry which returned 4.7% over the past year.
  • ATVI underperformed the Market in United States of America which returned -4.2% over the past year.
Price Volatility
ATVI
Industry
5yr Volatility vs Market
Related Companies

ATVI Value

 Is Activision Blizzard undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Activision Blizzard to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Activision Blizzard.

NasdaqGS:ATVI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 28 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 10.6%
Perpetual Growth Rate 10-Year US Government Bond Rate 3%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:ATVI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 3%
Equity Risk Premium S&P Global 7.1%
Entertainment Unlevered Beta Simply Wall St/ S&P Global 1.02
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.021 (1 + (1- 21%) (7.33%))
1.08
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.08
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.95% + (1.08 * 7.05%)
10.56%

Discounted Cash Flow Calculation for NasdaqGS:ATVI using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Activision Blizzard is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGS:ATVI DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (USD, Millions) 2,141.86 2,673.24 3,243.33 2,943.00 3,313.52
Source Analyst x15 Analyst x10 Analyst x3 Analyst x2 Est @ 12.59%
Present Value
Discounted (@ 10.56%)
1,937.23 2,186.83 2,399.71 1,969.46 2,005.56
Present value of next 5 years cash flows $10,498.78
NasdaqGS:ATVI DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= $3,313.52 × (1 + 2.95%) ÷ (10.56% – 2.95%)
$44,806.74
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= $44,806.74 ÷ (1 + 10.56%)5
$27,119.93
NasdaqGS:ATVI Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= $10,498.78 + $27,119.93
$37,618.71
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $37,618.71 / 763.05
$49.3
NasdaqGS:ATVI Discount to Share Price
Calculation Result
Value per share (USD) From above. $49.30
Current discount Discount to share price of $47.08
= -1 x ($47.08 - $49.30) / $49.30
4.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Activision Blizzard is available for.
Intrinsic value
5%
Share price is $47.08 vs Future cash flow value of $49.3
Current Discount Checks
For Activision Blizzard to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Activision Blizzard's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Activision Blizzard's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Activision Blizzard's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Activision Blizzard's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:ATVI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-09-30) in USD $0.76
NasdaqGS:ATVI Share Price ** NasdaqGS (2018-12-17) in USD $47.08
United States of America Entertainment Industry PE Ratio Median Figure of 24 Publicly-Listed Entertainment Companies 22.91x
United States of America Market PE Ratio Median Figure of 3,017 Publicly-Listed Companies 16.77x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Activision Blizzard.

NasdaqGS:ATVI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:ATVI Share Price ÷ EPS (both in USD)

= 47.08 ÷ 0.76

62.01x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Activision Blizzard is overvalued based on earnings compared to the US Entertainment industry average.
  • Activision Blizzard is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Activision Blizzard's expected growth come at a high price?
Raw Data
NasdaqGS:ATVI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 62.01x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 28 Analysts
22.1%per year
United States of America Entertainment Industry PEG Ratio Median Figure of 19 Publicly-Listed Entertainment Companies 2.02x
United States of America Market PEG Ratio Median Figure of 2,105 Publicly-Listed Companies 1.16x

*Line of best fit is calculated by linear regression .

NasdaqGS:ATVI PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 62.01x ÷ 22.1%

2.8x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Activision Blizzard is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Activision Blizzard's assets?
Raw Data
NasdaqGS:ATVI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-09-30) in USD $13.97
NasdaqGS:ATVI Share Price * NasdaqGS (2018-12-17) in USD $47.08
United States of America Entertainment Industry PB Ratio Median Figure of 55 Publicly-Listed Entertainment Companies 3.21x
United States of America Market PB Ratio Median Figure of 5,082 Publicly-Listed Companies 1.7x
NasdaqGS:ATVI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:ATVI Share Price ÷ Book Value per Share (both in USD)

= 47.08 ÷ 13.97

3.37x

* Primary Listing of Activision Blizzard.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Activision Blizzard is overvalued based on assets compared to the US Entertainment industry average.
X
Value checks
We assess Activision Blizzard's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Entertainment industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Entertainment industry average (and greater than 0)? (1 check)
  5. Activision Blizzard has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

ATVI Future Performance

 How is Activision Blizzard expected to perform in the next 1 to 3 years based on estimates from 28 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
22.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Activision Blizzard expected to grow at an attractive rate?
  • Activision Blizzard's earnings growth is expected to exceed the low risk savings rate of 3%.
Growth vs Market Checks
  • Activision Blizzard's earnings growth is expected to exceed the United States of America market average.
  • Activision Blizzard's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:ATVI Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:ATVI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 28 Analysts 22.1%
NasdaqGS:ATVI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 28 Analysts 7.6%
United States of America Entertainment Industry Earnings Growth Rate Market Cap Weighted Average 16.4%
United States of America Entertainment Industry Revenue Growth Rate Market Cap Weighted Average 10.7%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.1%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:ATVI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 28 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:ATVI Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 10,395 5,022 3
2021-12-31 9,597 4,036 2,971 4
2020-12-31 8,408 2,858 2,264 17
2019-12-31 7,725 2,412 1,777 28
2018-12-31 7,463 2,347 1,607 28
NasdaqGS:ATVI Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-09-30 7,162 1,949 577
2018-06-30 7,268 2,075 506
2018-03-31 7,256 2,331 347
2017-12-31 7,017 2,213 273
2017-09-30 6,988 1,914 1,111
2017-06-30 6,939 1,991 1,120
2017-03-31 6,879 2,229 1,028
2016-12-31 6,608 2,155 962
2016-09-30 5,946 2,359 867
2016-06-30 5,367 1,755 795
2016-03-31 4,841 1,387 854
2015-12-31 4,664 1,259 881

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Activision Blizzard's earnings are expected to grow significantly at over 20% yearly.
  • Activision Blizzard's revenue is expected to grow by 7.6% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:ATVI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 28 Analyst Estimates (S&P Global) See Below

All data from Activision Blizzard Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:ATVI Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31
2021-12-31
2020-12-31 2.71 2.79 2.67 4.00
2019-12-31 2.16 3.00 1.59 10.00
2018-12-31 2.05 2.22 1.93 9.00
NasdaqGS:ATVI Past Financials Data
Date (Data in USD Millions) EPS *
2018-09-30 0.76
2018-06-30 0.67
2018-03-31 0.46
2017-12-31 0.36
2017-09-30 1.48
2017-06-30 1.50
2017-03-31 1.38
2016-12-31 1.30
2016-09-30 1.18
2016-06-30 1.08
2016-03-31 1.17
2015-12-31 1.21

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Activision Blizzard is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Activision Blizzard's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Activision Blizzard has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

ATVI Past Performance

  How has Activision Blizzard performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Activision Blizzard's growth in the last year to its industry (Entertainment).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Activision Blizzard's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Activision Blizzard's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Activision Blizzard's 1-year earnings growth is negative, it can't be compared to the US Entertainment industry average.
Earnings and Revenue History
Activision Blizzard's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Activision Blizzard Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:ATVI Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-09-30 7,162.00 577.00 2,034.00 1,095.00
2018-06-30 7,268.00 506.00 2,099.00 1,104.00
2018-03-31 7,256.00 347.00 2,134.00 1,103.00
2017-12-31 7,017.00 273.00 2,108.00 1,069.00
2017-09-30 6,988.00 1,111.00 1,957.00 1,035.00
2017-06-30 6,939.00 1,120.00 1,917.00 1,012.00
2017-03-31 6,879.00 1,028.00 1,926.00 1,008.00
2016-12-31 6,608.00 962.00 1,797.00 958.00
2016-09-30 5,946.00 867.00 1,645.00 866.00
2016-06-30 5,367.00 795.00 1,446.00 776.00
2016-03-31 4,841.00 854.00 1,225.00 676.00
2015-12-31 4,664.00 881.00 1,109.00 646.00
2015-09-30 4,887.00 1,078.00 1,051.00 637.00
2015-06-30 4,649.00 930.00 1,113.00 610.00
2015-03-31 4,575.00 919.00 1,095.00 573.00
2014-12-31 4,408.00 817.00 1,116.00 571.00
2014-09-30 4,351.00 630.00 1,189.00 584.00
2014-06-30 4,289.00 707.00 1,134.00 592.00
2014-03-31 4,370.00 826.00 1,099.00 602.00
2013-12-31 4,583.00 987.00 1,017.00 584.00
2013-09-30 4,833.00 1,165.00 1,094.00 607.00
2013-06-30 4,984.00 1,331.00 1,041.00 592.00
2013-03-31 5,008.00 1,194.00 1,154.00 615.00
2012-12-31 4,856.00 1,125.00 1,139.00 604.00
2012-09-30 4,495.00 876.00 1,150.00 623.00
2012-06-30 4,407.00 801.00 1,117.00 630.00
2012-03-31 4,478.00 950.00 1,007.00 601.00
2011-12-31 4,755.00 1,069.00 988.00 629.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Activision Blizzard has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Activision Blizzard used its assets less efficiently than the US Entertainment industry average last year based on Return on Assets.
  • Activision Blizzard's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Activision Blizzard's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Entertainment industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Activision Blizzard has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

ATVI Health

 How is Activision Blizzard's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Activision Blizzard's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Activision Blizzard is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Activision Blizzard's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Activision Blizzard's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Activision Blizzard Company Filings, last reported 2 months ago.

NasdaqGS:ATVI Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-09-30 10,659.00 2,670.00 3,424.00
2018-06-30 10,346.00 4,394.00 4,972.00
2018-03-31 9,819.00 4,392.00 5,292.00
2017-12-31 9,462.00 4,390.00 4,768.00
2017-09-30 9,967.00 4,388.00 3,656.00
2017-06-30 9,715.00 4,387.00 3,278.00
2017-03-31 9,436.00 4,393.00 3,248.00
2016-12-31 9,119.00 4,887.00 3,245.00
2016-09-30 8,818.00 6,362.00 4,029.00
2016-06-30 8,554.00 5,033.00 2,271.00
2016-03-31 8,348.00 5,841.00 2,872.00
2015-12-31 8,068.00 4,074.00 1,823.00
2015-09-30 7,989.00 4,078.00 4,519.00
2015-06-30 7,801.00 4,077.00 4,521.00
2015-03-31 7,238.00 4,075.00 4,470.00
2014-12-31 7,233.00 4,324.00 4,858.00
2014-09-30 6,992.00 4,322.00 3,828.00
2014-06-30 7,171.00 4,321.00 4,204.00
2014-03-31 6,924.00 4,320.00 4,287.00
2013-12-31 6,622.00 4,693.00 4,443.00
2013-09-30 12,139.00 2,211.00 4,539.00
2013-06-30 11,935.00 0.00 4,546.00
2013-03-31 11,535.00 0.00 4,618.00
2012-12-31 11,317.00 0.00 4,375.00
2012-09-30 10,883.00 0.00 3,364.00
2012-06-30 10,564.00 0.00 3,192.00
2012-03-31 10,486.00 0.00 3,476.00
2011-12-31 10,492.00 0.00 3,525.00
  • Activision Blizzard's level of debt (25%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (18.5% vs 25% today).
  • Debt is well covered by operating cash flow (73%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 14.9x coverage).
X
Financial health checks
We assess Activision Blizzard's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Activision Blizzard has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

ATVI Dividends

 What is Activision Blizzard's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.72%
Current annual income from Activision Blizzard dividends. Estimated to be 0.78% next year.
If you bought $2,000 of Activision Blizzard shares you are expected to receive $14 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Activision Blizzard's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.52%).
  • Activision Blizzard's dividend is below the markets top 25% of dividend payers in United States of America (3.77%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:ATVI Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 28 Analyst Estimates (S&P Global) See Below
United States of America Entertainment Industry Average Dividend Yield Market Cap Weighted Average of 11 Stocks 1.3%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1983 Stocks 2.6%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.9%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:ATVI Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2022-12-31
2021-12-31
2020-12-31 0.40 3.00
2019-12-31 0.37 6.00
2018-12-31 0.34 6.00
NasdaqGS:ATVI Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2018-02-27 0.340 0.493
2018-02-08 0.340 0.486
2017-02-09 0.300 0.513
2016-02-29 0.260 0.676
2016-02-11 0.260 0.853
2015-02-26 0.230 0.809
2015-02-05 0.230 1.003
2014-02-06 0.200 0.961
2013-02-07 0.190 1.197
2012-08-02 0.180 1.583
2012-02-09 0.180 1.480
2011-02-09 0.165 1.407
2010-02-10 0.150 1.323

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Activision Blizzard is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.
  • Activision Blizzard is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Activision Blizzard's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Activision Blizzard's dividends as it is not paying a notable one for United States of America.
Future Payout to shareholders
  • No need to calculate the sustainability of Activision Blizzard's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Activision Blizzard's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Activision Blizzard afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Activision Blizzard has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

ATVI Management

 What is the CEO of Activision Blizzard's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Bobby Kotick
COMPENSATION $28,698,375
AGE 55
TENURE AS CEO 27.8 years
CEO Bio

Mr. Robert A. Kotick, also known as Bobby, has been the Chief Executive Officer at Activision Blizzard, Inc. since February 1991 and served as its President from July 2008 to June 26, 2017. Mr. Kotick is the Founder of the Call of Duty Endowment. He served as the Chief Executive Officer of Activision Inc. since February 1991. He served as the Chief Executive Officer of Four Kids Entertainment, Inc. He served as Presiding Director of Yahoo! Inc. (Now known as Altaba Inc.) until August 1, 2008. He served as the Chairman of Activision Inc. from February 1991 to October 1998 and also since October 1998. He served as the Chairman of Four Kids Entertainment, Inc. He serves as a Co-Chairman of The Call of Duty Endowment at Activision Publishing, Inc. He has been a Director of The Coca-Cola Company since February 16, 2012. He has been a Director of Activision Blizzard, Inc. since February 1991. He is a Member of the Board of Overseers of the Milken Institute. He is a Member of the Board of Trustees at The Center for Early Education and The Harvard Westlake School. He is a Member of the Board of Directors at the Tony Hawk Foundation. He is member of board of trustees at Harvard-Westlake School. He served as a Director of Yahoo! Inc. from March 11, 2003 to August 1, 2008; Adobe Macromedia Software LLC from April 25, 2002 to January 19, 2004 and Activision, Inc. since February 1991. Mr. Kotick is the Chairman of the Committee of Trustees at the Los Angeles County Museum of Art.

CEO Compensation
  • Bobby's compensation has been consistent with company performance over the past year.
  • Bobby's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Activision Blizzard management team in years:

1.6
Average Tenure
51
Average Age
  • The average tenure for the Activision Blizzard management team is less than 2 years, this suggests a new team.
Management Team

Bobby Kotick

TITLE
CEO & Director
COMPENSATION
$29M
AGE
55
TENURE
27.8 yrs

Coddy Johnson

TITLE
President & COO
COMPENSATION
$12M
AGE
41
TENURE
1.5 yrs

Spencer Neumann

TITLE
Chief Financial Officer
COMPENSATION
$10M
AGE
48
TENURE
1.6 yrs

Dennis Durkin

TITLE
Chief Corporate Officer
COMPENSATION
$6M
AGE
47
TENURE
1.6 yrs

Riccardo Zacconi

TITLE
Executive Officer & CEO of King Digital Entertainment Limited
COMPENSATION
$15M
AGE
51

Stephen Wereb

TITLE
Deputy CFO
AGE
53
TENURE
8.2 yrs

Chris Hickey

TITLE
Senior Vice President of Investor Relations

Chris Walther

TITLE
Chief Legal Officer
COMPENSATION
$5M
AGE
51
TENURE
9.1 yrs

Jeffrey Brown

TITLE
Chief Compliance Officer and Corporate Secretary

Kristin Binns

TITLE
Senior VP & Chief Communications Officer
TENURE
0.4 yrs
Board of Directors Tenure

Average tenure and age of the Activision Blizzard board of directors in years:

5.2
Average Tenure
63.5
Average Age
  • The tenure for the Activision Blizzard board of directors is about average.
Board of Directors

Brian Kelly

TITLE
Chairman of the Board
COMPENSATION
$490K
AGE
55
TENURE
5.2 yrs

Bobby Kotick

TITLE
CEO & Director
COMPENSATION
$29M
AGE
55
TENURE
27.8 yrs

Robert Corti

TITLE
Independent Director
COMPENSATION
$380K
AGE
68
TENURE
15 yrs

Robert Morgado

TITLE
Lead Independent Director
COMPENSATION
$920K
AGE
75

Peter Nolan

TITLE
Independent Director
COMPENSATION
$345K
AGE
59
TENURE
5.2 yrs

Elaine Wynn

TITLE
Independent Director
COMPENSATION
$345K
AGE
75
TENURE
5.2 yrs

Barry Meyer

TITLE
Independent Director
COMPENSATION
$345K
AGE
74
TENURE
4.9 yrs

Henk Hartong

TITLE
Independent Director
COMPENSATION
$351K
AGE
51
TENURE
3.4 yrs

Casey Wasserman

TITLE
Independent Director
COMPENSATION
$345K
AGE
43
TENURE
3.4 yrs

Reveta Bowers

TITLE
Director
AGE
69
TENURE
0.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
20. Aug 18 Sell Riccardo Zacconi Individual 20. Aug 18 20. Aug 18 -3,729 $68.71 $-256,203
18. May 18 Sell Riccardo Zacconi Individual 17. May 18 17. May 18 -3,729 $70.45 $-262,708
14. Mar 18 Sell Dennis Durkin Individual 12. Mar 18 12. Mar 18 -21,488 $77.18 $-1,658,414
06. Mar 18 Sell Stephen Wereb Individual 01. Mar 18 01. Mar 18 -6,203 $72.99 $-452,758
24. Feb 18 Sell Brian Kelly Individual 21. Feb 18 23. Feb 18 -1,700,000 $71.02 $-120,104,002
22. Feb 18 Sell Riccardo Zacconi Individual 20. Feb 18 20. Feb 18 -3,729 $71.04 $-264,916
X
Management checks
We assess Activision Blizzard's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Activision Blizzard has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

ATVI News

External News
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Simply Wall St News

Need To Know: Activision Blizzard, Inc. (NASDAQ:ATVI) Insiders Have Been Selling Shares

Activision Blizzard Insider Transactions Over The Last Year. … Over the last year, we note insiders sold 1.74m shares worth US$123m. … In total, Activision Blizzard insiders sold more than they bought over the last year

Simply Wall St -

Don't Sell Activision Blizzard Inc (NASDAQ:ATVI) Before You Read This

Based on the last twelve months, Activision Blizzard's P/E ratio is 65.7. … How Do You Calculate Activision Blizzard's P/E Ratio … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Estimating The Intrinsic Value Of Activision Blizzard Inc (NASDAQ:ATVI)

In this article I am going to calculate the intrinsic value of Activision Blizzard Inc (NASDAQ:ATVI). … by projecting its future cash flows and then discounting them to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

Activision Blizzard Inc (NASDAQ:ATVI): The Return Story

and want a simplistic look at the return on Activision Blizzard Inc (NASDAQ:ATVI) stock. … To understand Activision Blizzard’s capital returns we will look at a useful metric called return on capital employed. … This will tell us if the company is growing your capital and placing you in good stead to sell your shares at a profit

Simply Wall St -

Is Activision Blizzard Inc's (NASDAQ:ATVI) CEO Salary Justified?

This report will, first, examine the CEO compensation levels in comparison to CEO compensation at other big companies. … How Does Bobby Kotick's Compensation Compare With Similar Sized Companies. … Our data indicates that Activision Blizzard Inc is worth US$59.7b, and total annual CEO compensation is US$29m.

Simply Wall St -

Why Did These Investors Just Divested From Activision Blizzard Inc (NASDAQ:ATVI)?

some insider selling over the past three months, with insiders divesting from. … A well-known argument is that insiders divesting from their own companies’ shares sends a pessimistic signal. … The MIT Press (1998) published an article showing that stocks following insider selling underperformed the market by 2.7%

Simply Wall St -

Have Investors Priced In Activision Blizzard Inc's (NASDAQ:ATVI) Growth?

Let's talk about the popular Activision Blizzard Inc (NASDAQ:ATVI). … As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Let’s examine Activision Blizzard’s valuation and outlook in more detail to determine if there’s still a bargain opportunity.

Simply Wall St -

Understanding Your Return On Investment In Activision Blizzard Inc (NASDAQ:ATVI)

This share represents a portion of capital used by the company to operate the business, and it is important the company is able to use the capital base efficiently to create adequate cash flows for you as an investor. … You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … Therefore, looking at how efficiently Activision Blizzard is able to use capital to create earnings will help us understand your potential return.

Simply Wall St -

Is Activision Blizzard Inc's (NASDAQ:ATVI) Balance Sheet A Threat To Its Future?

There are a number of reasons that attract investors towards large-cap companies such as Activision Blizzard Inc (NASDAQ:ATVI), with a market cap of US$57.30b. … the key to their continued success lies in its financial health. … This article will examine Activision Blizzard’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth

Simply Wall St -

Is Activision Blizzard Inc (NASDAQ:ATVI) Worth US$077.87 Based On Intrinsic Value?

How far off is Activision Blizzard Inc (NASDAQ:ATVI) from its intrinsic value? … by estimating the company's future cash flows and discounting them to their present value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

ATVI Company Info

Map
Description

Activision Blizzard, Inc. develops and distributes content and services on video game consoles, personal computers (PC), and mobile devices. The company operates through three segments: Activision Publishing, Inc.; Blizzard Entertainment, Inc.; and King Digital Entertainment. The company develops, publishes, and sells interactive software products and entertainment content for the console and PC platforms through retail and digital channels, including subscription, full-game, and in-game sales, as well as by licensing software to third-party or related-party companies; and offers downloadable content. It also maintains a proprietary online gaming service, Battle.net that facilitates the creation of user generated content, digital distribution, and online social connectivity in its games; and develops and publishes interactive entertainment content and services primarily on mobile platforms, such as Android and iOS, as well as distributes its content and services on the PC platform primarily through Facebook. In addition, the company engages in creating original film and television content; and provides warehousing, logistics, and sales distribution services to third-party publishers of interactive entertainment software, as well as manufacturers of interactive entertainment hardware products. Its products include various genres, including first-person shooter, action/adventure, role-playing, strategy, and others. The company serves retailers and distributors, including mass-market retailers, first party digital storefronts, consumer electronics stores, discount warehouses, and game specialty stores through third-party distribution and licensing arrangements in the United States, Australia, Brazil, Canada, China, France, Germany, Ireland, Italy, Japan, Malta, Mexico, the Netherlands, Romania, Singapore, South Korea, Spain, Sweden, Taiwan, and the United Kingdom. Activision Blizzard, Inc. was incorporated in 1979 and is headquartered in Santa Monica, California.

Details
Name: Activision Blizzard, Inc.
ATVI
Exchange: NasdaqGS
Founded: 1979
$36,435,671,784
763,050,718
Website: http://www.activisionblizzard.com
Address: Activision Blizzard, Inc.
3100 Ocean Park Boulevard,
Santa Monica,
California, 90405,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS ATVI Common Stock Nasdaq Global Select US USD 09. Jun 1983
DB AIY Common Stock Deutsche Boerse AG DE EUR 09. Jun 1983
LSE 0H8X Common Stock London Stock Exchange GB USD 09. Jun 1983
SWX AIY Common Stock SIX Swiss Exchange CH CHF 09. Jun 1983
WBAG ATVI Common Stock Wiener Boerse AG AT EUR 09. Jun 1983
BMV ATVI * Common Stock Bolsa Mexicana de Valores MX MXN 09. Jun 1983
Number of employees
Current staff
Staff numbers
9,625
Activision Blizzard employees.
Industry
Interactive Home Entertainment
Media
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2018/12/18 00:06
End of day share price update: 2018/12/17 00:00
Last estimates confirmation: 2018/12/15
Last earnings filing: 2018/11/08
Last earnings reported: 2018/09/30
Last annual earnings reported: 2017/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.