94.42 USD
-0.05 (-0.05%)
94.54 USD
+0.12 (+0.13%)
Overall ATVI gets a fundamental rating of 7 out of 10. We evaluated ATVI against 80 industry peers in the Entertainment industry. ATVI gets an excellent profitability rating and is at the same time showing great financial health properties. ATVI has a decent growth rate and is not valued too expensively. With these ratings, ATVI could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
In the past year ATVI was profitable.
In the past year ATVI had a positive cash flow from operations.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.59%, ATVI belongs to the top of the industry, outperforming 88.31% of the companies in the same industry.
ATVI's Return On Equity of 10.41% is amongst the best of the industry. ATVI outperforms 87.01% of its industry peers.
With an excellent Return On Invested Capital value of 7.64%, ATVI belongs to the best of the industry, outperforming 84.42% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ATVI is in line with the industry average of 8.70%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.59% | ||
| ROE | 10.41% | ||
| ROIC | 7.64% |
ROA(3y)8.6%
ROA(5y)8.74%
ROE(3y)12.6%
ROE(5y)13.15%
ROIC(3y)10.28%
ROIC(5y)10.19%
1.3 Margins
ATVI has a better Profit Margin (24.87%) than 98.70% of its industry peers.
ATVI's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 25.71%, ATVI belongs to the best of the industry, outperforming 98.70% of the companies in the same industry.
In the last couple of years the Operating Margin of ATVI has grown nicely.
ATVI has a Gross Margin of 70.38%. This is amongst the best in the industry. ATVI outperforms 87.01% of its industry peers.
ATVI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.71% | ||
| PM (TTM) | 24.87% | ||
| GM | 70.38% |
OM growth 3Y-6.16%
OM growth 5Y3.49%
PM growth 3Y-4.62%
PM growth 5Y38.88%
GM growth 3Y1.34%
GM growth 5Y1.83%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ATVI is creating some value.
Compared to 1 year ago, ATVI has more shares outstanding
Compared to 1 year ago, ATVI has an improved debt to assets ratio.
2.2 Solvency
ATVI has an Altman-Z score of 7.56. This indicates that ATVI is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 7.56, ATVI belongs to the top of the industry, outperforming 93.51% of the companies in the same industry.
ATVI has a debt to FCF ratio of 1.48. This is a very positive value and a sign of high solvency as it would only need 1.48 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.48, ATVI belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
A Debt/Equity ratio of 0.17 indicates that ATVI is not too dependend on debt financing.
The Debt to Equity ratio of ATVI (0.17) is better than 64.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 1.48 | ||
| Altman-Z | 7.56 |
ROIC/WACC0.81
WACC9.47%
2.3 Liquidity
A Current Ratio of 4.66 indicates that ATVI has no problem at all paying its short term obligations.
ATVI has a better Current ratio (4.66) than 88.31% of its industry peers.
ATVI has a Quick Ratio of 4.66. This indicates that ATVI is financially healthy and has no problem in meeting its short term obligations.
ATVI has a Quick ratio of 4.66. This is amongst the best in the industry. ATVI outperforms 88.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.66 | ||
| Quick Ratio | 4.66 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 50.00% over the past year.
Measured over the past years, ATVI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.32% on average per year.
ATVI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.88%.
The Revenue has been growing slightly by 1.42% on average over the past years.
EPS 1Y (TTM)50%
EPS 3Y14.92%
EPS 5Y8.32%
EPS Q2Q%129.79%
Revenue 1Y (TTM)13.88%
Revenue growth 3Y5.08%
Revenue growth 5Y1.42%
Sales Q2Q%34.25%
3.2 Future
ATVI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.90% yearly.
The Revenue is expected to grow by 7.11% on average over the next years.
EPS Next Y26.69%
EPS Next 2Y15.13%
EPS Next 3Y12.41%
EPS Next 5Y8.9%
Revenue Next Year19.41%
Revenue Next 2Y10.08%
Revenue Next 3Y7.86%
Revenue Next 5Y7.11%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22.32 indicates a rather expensive valuation of ATVI.
Based on the Price/Earnings ratio, ATVI is valued cheaper than 84.42% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.51, ATVI is valued at the same level.
Based on the Price/Forward Earnings ratio of 20.95, the valuation of ATVI can be described as rather expensive.
Based on the Price/Forward Earnings ratio, ATVI is valued a bit cheaper than the industry average as 75.32% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ATVI to the average of the S&P500 Index (23.13), we can say ATVI is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.32 | ||
| Fwd PE | 20.95 |
4.2 Price Multiples
ATVI's Enterprise Value to EBITDA is on the same level as the industry average.
80.52% of the companies in the same industry are more expensive than ATVI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.35 | ||
| EV/EBITDA | 23.76 |
4.3 Compensation for Growth
ATVI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ATVI has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ATVI's earnings are expected to grow with 12.41% in the coming years.
PEG (NY)0.84
PEG (5Y)2.68
EPS Next 2Y15.13%
EPS Next 3Y12.41%
5. Dividend
5.1 Amount
ATVI has a Yearly Dividend Yield of 1.05%.
Compared to an average industry Dividend Yield of 8.00, ATVI pays a better dividend. On top of this ATVI pays more dividend than 93.51% of the companies listed in the same industry.
With a Dividend Yield of 1.05, ATVI pays less dividend than the S&P500 average, which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.05% |
5.2 History
On average, the dividend of ATVI grows each year by 9.32%, which is quite nice.
ATVI has paid a dividend for at least 10 years, which is a reliable track record.
ATVI has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)9.32%
Div Incr Years1
Div Non Decr Years13
5.3 Sustainability
ATVI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP0%
EPS Next 2Y15.13%
EPS Next 3Y12.41%
94.42
-0.05 (-0.05%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change0%
Ins Owners20.1%
Ins Owner Change0%
Market Cap74.29B
Revenue(TTM)8.71B
Net Income(TTM)2.17B
Analysts68.46
Price Target96.68 (2.39%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.05% |
Yearly Dividend0.47
Dividend Growth(5Y)9.32%
DP0%
Div Incr Years1
Div Non Decr Years13
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.86%
Min EPS beat(2)14.06%
Max EPS beat(2)19.67%
EPS beat(4)4
Avg EPS beat(4)22.22%
Min EPS beat(4)14.06%
Max EPS beat(4)33.83%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)11.02%
Min Revenue beat(2)-8.61%
Max Revenue beat(2)30.65%
Revenue beat(4)2
Avg Revenue beat(4)-0.61%
Min Revenue beat(4)-27.58%
Max Revenue beat(4)30.65%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.03%
PT rev (3m)4.22%
EPS NQ rev (1m)2.28%
EPS NQ rev (3m)-0.37%
EPS NY rev (1m)0%
EPS NY rev (3m)10.04%
Revenue NQ rev (1m)99900%
Revenue NQ rev (3m)-2.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.32 | ||
| Fwd PE | 20.95 | ||
| P/S | 8.53 | ||
| P/FCF | 30.35 | ||
| P/OCF | 29.17 | ||
| P/B | 3.57 | ||
| P/tB | 7.62 | ||
| EV/EBITDA | 23.76 |
EPS(TTM)4.23
EY4.48%
EPS(NY)4.51
Fwd EY4.77%
FCF(TTM)3.11
FCFY3.3%
OCF(TTM)3.24
OCFY3.43%
SpS11.07
BVpS26.43
TBVpS12.38
PEG (NY)0.84
PEG (5Y)2.68
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.59% | ||
| ROE | 10.41% | ||
| ROCE | 8.88% | ||
| ROIC | 7.64% | ||
| ROICexc | 15.98% | ||
| ROICexgc | 192.53% | ||
| OM | 25.71% | ||
| PM (TTM) | 24.87% | ||
| GM | 70.38% | ||
| FCFM | 28.12% |
ROA(3y)8.6%
ROA(5y)8.74%
ROE(3y)12.6%
ROE(5y)13.15%
ROIC(3y)10.28%
ROIC(5y)10.19%
ROICexc(3y)19.25%
ROICexc(5y)17.42%
ROICexgc(3y)231.4%
ROICexgc(5y)290.82%
ROCE(3y)11.95%
ROCE(5y)11.85%
ROICexgc growth 3Y2.43%
ROICexgc growth 5YN/A
ROICexc growth 3Y-3.08%
ROICexc growth 5Y2.37%
OM growth 3Y-6.16%
OM growth 5Y3.49%
PM growth 3Y-4.62%
PM growth 5Y38.88%
GM growth 3Y1.34%
GM growth 5Y1.83%
F-Score5
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 1.48 | ||
| Debt/EBITDA | 1.38 | ||
| Cap/Depr | 25.58% | ||
| Cap/Sales | 1.14% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 97.03% | ||
| Profit Quality | 113.07% | ||
| Current Ratio | 4.66 | ||
| Quick Ratio | 4.66 | ||
| Altman-Z | 7.56 |
F-Score5
WACC9.47%
ROIC/WACC0.81
Cap/Depr(3y)21.4%
Cap/Depr(5y)19.66%
Cap/Sales(3y)1.03%
Cap/Sales(5y)1.32%
Profit Quality(3y)108.71%
Profit Quality(5y)106%
High Growth Momentum
Growth
EPS 1Y (TTM)50%
EPS 3Y14.92%
EPS 5Y8.32%
EPS Q2Q%129.79%
EPS Next Y26.69%
EPS Next 2Y15.13%
EPS Next 3Y12.41%
EPS Next 5Y8.9%
Revenue 1Y (TTM)13.88%
Revenue growth 3Y5.08%
Revenue growth 5Y1.42%
Sales Q2Q%34.25%
Revenue Next Year19.41%
Revenue Next 2Y10.08%
Revenue Next 3Y7.86%
Revenue Next 5Y7.11%
EBIT growth 1Y-4.81%
EBIT growth 3Y-1.4%
EBIT growth 5Y4.95%
EBIT Next Year27.57%
EBIT Next 3Y13.63%
EBIT Next 5Y12.47%
FCF growth 1Y-1.53%
FCF growth 3Y7.47%
FCF growth 5Y0.68%
OCF growth 1Y-0.82%
OCF growth 3Y6.63%
OCF growth 5Y0.06%
ACTIVISION BLIZZARD INC / ATVI FAQ
Can you provide the ChartMill fundamental rating for ACTIVISION BLIZZARD INC?
ChartMill assigns a fundamental rating of 7 / 10 to ATVI.
What is the valuation status of ACTIVISION BLIZZARD INC (ATVI) stock?
ChartMill assigns a valuation rating of 6 / 10 to ACTIVISION BLIZZARD INC (ATVI). This can be considered as Fairly Valued.
Can you provide the profitability details for ACTIVISION BLIZZARD INC?
ACTIVISION BLIZZARD INC (ATVI) has a profitability rating of 9 / 10.
What is the valuation of ACTIVISION BLIZZARD INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ACTIVISION BLIZZARD INC (ATVI) is 22.32 and the Price/Book (PB) ratio is 3.57.
How sustainable is the dividend of ACTIVISION BLIZZARD INC (ATVI) stock?
The dividend rating of ACTIVISION BLIZZARD INC (ATVI) is 5 / 10 and the dividend payout ratio is 0%.