[ QUOTE ]
Is ATVI (Activision) ready to
break out after the brutal beatings the past 3 weeks?
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First, you should use the WIDE chart size to see more info on stockcharts.
Technical Analysis...
Breakout of what?... its downtrending channel?
ATVI broke down thru key support at 14 last week.
The November price highs were hit with divergences on both MACD and RSI (higher highs on price, but lower highs on MACD and RSI), signaling the potential downturn, that then occured.
If there was a bounce, I would look at the 200day MA and the key support (now resistance) area at 14 as targets, before more downside continuation! Possible downside targets of 12 and then 10.
Recent Analyst comments...
11/30 - NEW YORK (MarketWatch) -- Banc of America analyst Gary Cooper believe November video game industry sales data, due out after Friday's close, will be "surprisingly bad." Cooper expects sales to be down at least 30% from year-earlier levels, following declines of more than 24% in both September and October. He thinks Activision's "True Crime" and PlayStation Portable (PSP) hardware sales will be a major disappointments. Other disappointments might include the supply of Xbox 360 hardware, Electronic Arts' "Need for Speed: Most Wanted," Activision's "Tony Hawk: America Wasteland" and "Call of Duty: Big Red One" and Take Two Interactive's sports games. Meanwhile, Cooper recommended investors buy THQ Inc. , on the belief the games maker's main titles have met expectations, and games retailer GameStop on weakness.
What does S&P have to say...
S&P has a fair value calc of 11.50 on the stock, but still has the 12 month target at $20... likely see a downgrade if the conf call isn't good (which may now be the expectation). The stock was already been downgraded by 3 analysts in November.
Insider transactions
In the last 6 months, there have been no insider purchases, and there have been 13 insider sales for a total of 3 million shares.
Activision is also presenting at a conference this week (look for this to affect trading)...
Activision, Inc. (Nasdaq: ATVI) today announced that Robert Kotick, Chairman and CEO, will be presenting at the UBS 33rd Annual Media Week Conference on Tuesday, December 6th at 9:00 a.m. (EST) at The Grand Hyatt in New York.
Mr. Kotick's remarks will be broadcast over the Internet. To access the webcast, please log on to
www.activision.com or:
http://event.streamx.us/event/20051205 Please note that the presentation time is subject to change. Please contact the financial institution hosting the conference for additional details.
During the course of the presentation, Activision may make forward-looking statements regarding future events or the future financial performance of the company. We wish to caution you that these statements are only predictions and actual events or results may differ materially. We refer you to the company's last Form 10-K and Form 10-Q for a discussion of important risk factors that could cause the actual results to differ materially from those discussed during the course of the presentation.
Headquartered in Santa Monica, California, Activision, Inc. is a leading worldwide developer, publisher and distributor of interactive entertainment and leisure products. Founded in 1979, Activision posted net revenues of $1.4 billion for the fiscal year ended March 31, 2005.