July 26th- Activision November 19th


November 19th, $105 Call, $1.20

Activision shares have been trading in a rectangular range since February, declining down to the 200 moving average, which makes this a great opportunity. 

Activision is a developer and publisher of interactive entertainment content and services, mainly in the gaming space. They develop/distribute content and services across: gaming platforms, video game consoles, PCs, and mobile. 

The prospects are endless within their industry, as gaming has taken a new level of interest and will continue to grow fast. They are set to release Diablo Immortal this year, as well as Warcraft mobile content which are in finishing stages. These developments only add to our strong earnings view of continue EPS expansion and top line growth. From 2019 to 2020 cash balance increased from 5.7B to 8.8B, which gives them more room to acquire or spend on other internal projects. 

Consensus Wall Street estimates are at $115 price target (25% upside).