3 Analysts Weigh In On Court Ruling Favoring Microsoft's Activision Blizzard Deal: 'A Major Black Eye For The FTC'
Portfolio Pulse from Franca Quarneti
A federal judge ruled in favor of Microsoft's acquisition of Activision Blizzard, causing Activision's shares to rally by 10%. Analysts from Wedbush Securities, Benchmark Company, and Stifel Financial Corporation weighed in on the ruling. Wedbush maintained an Outperform rating on Microsoft, predicting the deal will close by next Tuesday. Benchmark downgraded Activision from Buy to Hold as the share price exceeded their target. Stifel also downgraded Activision from Buy to Hold, but raised the price target. The analysts believe this ruling could open the door for more M&A in the tech industry.
July 12, 2023 | 8:13 pm
News sentiment analysis
Sort by:
Ascending
NEUTRAL IMPACT
Activision Blizzard's shares rallied by 10% following the approval of its acquisition by Microsoft. However, analysts from Benchmark and Stifel downgraded the company from Buy to Hold.
While the approval of the acquisition is a positive development for Activision Blizzard, the downgrades from analysts could potentially limit the upside for the company's stock in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
POSITIVE IMPACT
Analysts believe the approval of Microsoft's acquisition of Activision Blizzard could potentially benefit other video game developers like Electronic Arts.
The approval of the acquisition could potentially lead to more M&A activity in the video game industry, which could benefit companies like Electronic Arts.
CONFIDENCE 70
IMPORTANCE 60
RELEVANCE 50
POSITIVE IMPACT
Microsoft's acquisition of Activision Blizzard was approved by a federal judge, which is seen as a major victory for the company. Analysts predict the deal will close by next Tuesday.
The approval of the acquisition by a federal judge is a significant positive development for Microsoft. This could potentially boost the company's stock in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100
POSITIVE IMPACT
Analysts believe the approval of Microsoft's acquisition of Activision Blizzard could potentially benefit other video game developers like Take-Two Interactive.
The approval of the acquisition could potentially lead to more M&A activity in the video game industry, which could benefit companies like Take-Two Interactive.
CONFIDENCE 70
IMPORTANCE 60
RELEVANCE 50