Analysts are coming out one after another that the time has come to buy ‘Acvision Blizzard’ stocks, which are getting worse on the Nasdaq.
John Ballard, a researcher at Motley Fool, an American investment analysis firm, announced on the 27th, “As Blizzard’s recently launched ‘Diablo 2 Resurrection’ is getting a good response, now is the time to buy low.” did.
‘Diablo 2 Resurrection’ is an action RPG that was officially released globally on the 23rd, and is a remastered version of ‘Diablo 2’ released in 2000. Researcher John Ballard added, “The day after its release, ‘Diablo 2’ attracted a total of 164,000 viewers on Twitch and showed great box office potential.”
After Blizzard was sued by the California Department of Fair Labor and Housing (DFEH) on July 20 for sexual harassment and discrimination, the parent company Activision Blizzard’s Nasdaq share price jumped from $91.51 on July 20 to $72.81 on the 22nd of this month, more than 20%. crashed
Researcher John said, “Acvision Blizzard’s P/E is 20, which is very undervalued compared to Electronic Arts (EA)’s 30 and Take Two’s 28.” “As a game company with a long history, From a long-term perspective, it is a stock that can surely make a profit.”
BK Tan, a researcher at Seeking Alpha, a US investment information platform, also said, “After watching Activision Blizzard since the beginning of this year, we have concluded that the recent controversy, boycott, and manpower outflow will not have a significant impact on profitability.” He explained, “The loyal fan base and solid fundamentals are still Activision Blizzard’s strengths.”
It seems that expectations for the momentum of new titles such as ‘Overwatch 2’ also influenced the success of ‘Blizzard’ in the stock market. Spanish game media ‘Dexerto’ reported on the 31st of last month, “According to industry officials, ‘Overwatch 2’ is highly likely to be released in the second quarter of next year.”
A game industry official said, “Amidst many existing RPG competitors, new games such as ‘New World’ are about to be released one after another, so it’s unclear whether ‘Diablo 2’ will continue to be successful in the long term. We need to watch,” he said.
Reporter Won-yong Lee, Global Economics, [email protected]