Barclays sees Call of Duty upside, upgrades Activision to Overweight
Barclays analyst Ryan Gee upgraded Activision Blizzard to Overweight and raised his price target for the shares to $86 from $79. The analyst says his positive view is based on upside potential for Call of Duty digital revenue in 2019 from battle royale, as well as optimism for incremental product announcements at BlizzCon "fueling positive revisions" to consensus 2019 earnings estimates. Activision is one of the premier content creators across the entire media landscape and is well positioned to capitalize on secular themes in console/mobile online gaming, Gee tells investors in a research note. He also believes the company is best positioned to capture a "disproportionate share" of the significant player total addressable market in Asia.