Activision: High-Yield Investment Amid 2023 Downturn And Recession
Summary
- Activision Blizzard is a top global video game company, forecasted to yield 23-25% higher returns in 2023.
- That gives 10-15% higher returns than the S&P 500, even if the S&P 500 potentially reverses.
- ATVI is a potential arbitrage trade for Warren Buffett and a good fundamental play for Berkshire Hathaway which already held nearly 15 million ATVI shares before the acquisition announcement.
- MSFT has agreed to an acquisition price of $95 for ATVI, and its business value remains at $95 based on fundamentals even if the acquisition does not go through.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of ATVI either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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