94.42 USD
-0.05 (-0.05%)
94.54 USD
+0.12 (+0.13%)
ATVI gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 80 industry peers in the Entertainment industry. Both the health and profitability get an excellent rating, making ATVI a very profitable company, without any liquidiy or solvency issues. ATVI is not valued too expensively and it also shows a decent growth rate. These ratings could make ATVI a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
ATVI had positive earnings in the past year.
In the past year ATVI had a positive cash flow from operations.
Each year in the past 5 years ATVI has been profitable.
In the past 5 years ATVI always reported a positive cash flow from operatings.
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.
With an excellent Return On Equity value of 10.41%, ATVI belongs to the best of the industry, outperforming 87.01% of the companies in the same industry.
ATVI has a Return On Invested Capital of 7.64%. This is amongst the best in the industry. ATVI outperforms 84.42% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ATVI is in line with the industry average of 8.73%.
| 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's Profit Margin of 24.87% is amongst the best of the industry. ATVI outperforms 98.70% of its industry peers.
ATVI's Profit Margin has improved in the last couple of years.
ATVI has a better Operating Margin (25.71%) than 98.70% of its industry peers.
ATVI's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 70.38%, ATVI belongs to the top of the industry, outperforming 87.01% of the companies in the same industry.
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.
The number of shares outstanding for ATVI has been increased compared to 1 year ago.
The debt/assets ratio for ATVI has been reduced compared to a year ago.
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.
ATVI has a better Altman-Z score (7.56) than 93.51% of its industry peers.
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.
ATVI has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
ATVI has a better Debt to Equity ratio (0.17) 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
ATVI has a Current Ratio of 4.66. This indicates that ATVI is financially healthy and has no problem in meeting its short term obligations.
ATVI's Current ratio of 4.66 is amongst the best of the industry. ATVI outperforms 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.
The Quick ratio of ATVI (4.66) is better than 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.
The Earnings Per Share has been growing by 8.32% on average over the past years. This is quite good.
ATVI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.88%.
Measured over the past years, ATVI shows a small growth in Revenue. The Revenue has been growing by 1.42% on average per year.
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
The Earnings Per Share is expected to grow by 8.90% on average over the next years. This is quite good.
Based on estimates for the next years, ATVI will show a small growth in Revenue. The Revenue will grow by 7.11% on average per year.
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
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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 cheaply inside the industry as 84.42% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.57. ATVI is around the same levels.
With a Price/Forward Earnings ratio of 20.95, ATVI is valued on the expensive side.
ATVI's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ATVI is cheaper than 75.32% of the companies in the same industry.
ATVI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.04, which is the current average of the S&P500 Index.
| 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.
Based on the Price/Free Cash Flow ratio, ATVI is valued cheaply inside the industry as 80.52% of the companies are valued more expensively.
| 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.
The excellent profitability rating of ATVI 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 7.66, ATVI pays a better dividend. On top of this ATVI pays more dividend than 93.51% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.88, ATVI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.05% |
5.2 History
The dividend of ATVI is nicely growing with an annual growth rate of 9.32%!
ATVI has been paying a dividend for at least 10 years, so it has a reliable track record.
ATVI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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.
Can you provide the valuation status for ACTIVISION BLIZZARD INC?
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.
Can you provide the PE and PB ratios for ATVI stock?
The Price/Earnings (PE) ratio for ACTIVISION BLIZZARD INC (ATVI) is 22.32 and the Price/Book (PB) ratio is 3.57.
Can you provide the financial health for ATVI stock?
The financial health rating of ACTIVISION BLIZZARD INC (ATVI) is 8 / 10.