Activision Blizzard Inc is currently valued at approximately 71 billion USD on Nasdaq Stock Exchange.
In January 2022 Microsoft announced the acquisition of Activision Blizzard Inc for 68.7 billion USD to strengthen its electronic gaming franchise.
With a revenue of 7.53 billion USD for the calendar 2022, net profit of 1.51 billion USD and a Price/Earnings ratio of 33.08 Activision Blizzard Inc is undervalued on both the promise of gaming and the Metaverse.
According to Wolfteam Ltd.'s projections Activision Blizzard's intrinsic value is 140 billion USD or more than double the value for which Microsoft Inc is acquiring Activision Blizzard.
And almost double Activision Blizzard's current market capitalization.
The electronic gaming market is very large. Microsoft quotes that 3 billion people on the planet Earth are playing video games. The electronic gaming market is an oligopoly, so high net profit margin are on show.
What is more, the Metaverse holds huge promise, which for now has slowed down a bit.
Both the global gaming market and the Metaverse potential market size make Activision Blizzard undervalued, according to Wolfteam Ltd.'s corporate opinion.
No comments:
Post a Comment