Blizzard Stocks take ANOTHER dip!

Games & Technology
01/10/2019 10:13 PMPosted by MFPF
01/10/2019 09:08 PMPosted by neo
You disgust me.


It's so sad that someone "hates" another person just because he sees it too much...

These things make you lose faith in humanity.



And ... that explains why others hate me in the LA forum...


I know you... you are the troll from latin forum right? What you write there is mostly nonsense. You tend to praise to blizzard and underestimate what others say.
Just been seeing this everywhere, bad for Activision but I think they did the right thing. No meaning at squeezing a rock for oil; "We'll add more microtransactions because we can't keep our fans due to microtransactions".

Destiny franchise fans would be rejoicing right now. Don't get me wrong I love Activision and Bungie both, I played their games for years but there are times to let go sometimes.
01/10/2019 09:30 PMPosted by Imperius
01/10/2019 09:23 PMPosted by MarioDragon
suddenly it's become "let's wait and see tomorrow"


It's funny you say that, because the article you just shared also states that we'll need to wait for tomorrow to see what's going to happen.

ATVI has been on the rise for 30 days and a few spooked shareholders is most likely just a minor bump in the road. Stocks go up and down, only long-term gains/loses matter


Once again your tone suddenly changed. Weird
01/11/2019 12:18 AMPosted by MarioDragon
01/10/2019 09:30 PMPosted by Imperius
...

It's funny you say that, because the article you just shared also states that we'll need to wait for tomorrow to see what's going to happen.

ATVI has been on the rise for 30 days and a few spooked shareholders is most likely just a minor bump in the road. Stocks go up and down, only long-term gains/loses matter


Once again your tone suddenly changed. Weird


I argue the point... The market ended today with AVTI in the green, which has been the case for the last 30 days. The after-hours 3$ drop following that news is inconsequential and the stocks will bounce back up. The Bungie/Activision split was scheduled to happen once Destiny 2 and its DLC were released and thus the contract was fulfilled.

Not to mention the fact that Bungie was underperforming despite several substantial investments on the part of Activision to turn that trend around.

The truth is you want this to be bad for Activision, but it's just not as important as you might think. Both companies will be better off that way.
Let's add some facts to this thread.

Bungie signed a 10-year exclusive publishing deal with Activision in 2010 which covered their next franchise after Halo, which turned out to be Destiny. As part of this deal Bungie kept ownership of their intellectual property. (#1)

Typically a publishing deal means the publisher funds the development of a game, generates the revenue from the game, and in exchange pays royalties to the developer.

Activision spent $500 million to help make Destiny (#2). The large cost of games development is the main reason independent game developers often work with a publisher.

Activision have been disappointed with Destiny. On their latest earnings call they said Destiny 2 did not achieve their commercial expectations, and there was work to do to fully reengage the core Destiny fan base.

The publishing deal was set to expire in 2020, so it looks like Activision was happy for it to end a couple years earlier. It's hard to know why that is, but it's possible they didn't want to fund further development given it hasn't been a financial success.

The Bungie announcement also mentions Activision will focus more on its own IP.

One unanswered question is what happens to High Moon Studios and Vicarious Visions - two Activision-owned studios that worked on Destiny. I think there's a reasonable chance Activision Blizzard will use the development money saved from funding the next Destiny game to fund new IP at those two studios (or at Blizzard).

The other is how Bungie funds their next game. They raised $100m from NetEase in 2018 so chances are they'll try to raise more money and go it alone rather than appointing another publisher.

Most analysts think not having Destiny will have a negative 2-3% impact on earnings this year (as there's no expansion for them to count anymore).

I was re-reading the chapter on Destiny in Jason Schreier's "Blood, Sweat, and Pixels" book today in light of this and it's interesting that the first paragraph is this:

One day in late 2007, across the street from their offices in Kirkland, Washington, Bungie's employees sat in a rented theater, applauding raucously. They'd just won back their independence. After seven years under Microsoft's umbrella, they were free.

Apparently there were cheers when Bungie announced they were leaving Activision, so seems like history is repeating. (#3)

--
(#1) https://www.gamesindustry.biz/articles/bungie-signs-10-year-activision-deal
(#2) https://www.theverge.com/2014/5/6/5687160/destiny-will-cost-500-million
(#3) https://twitter.com/jasonschreier/status/1083474033033777152
Let's add some facts to this thread.

Bungie signed a 10-year exclusive publishing deal with Activision in 2010 which covered their next franchise after Halo, which turned out to be Destiny. As part of this deal Bungie kept ownership of their intellectual property. (#1)

Typically a publishing deal means the publisher funds the development of a game, generates the revenue from the game, and in exchange pays royalties to the developer.

Activision spent $500 million to help make Destiny (#2). The large cost of games development is the main reason independent game developers often work with a publisher.

Activision have been disappointed with Destiny. On their latest earnings call they said Destiny 2 did not achieve their commercial expectations, and there was work to do to fully reengage the core Destiny fan base.

The publishing deal was set to expire in 2020, so it looks like Activision was happy for it to end a couple years earlier. It's hard to know why that is, but it's possible they didn't want to fund further development given it hasn't been a financial success.

The Bungie announcement also mentions Activision will focus more on its own IP.

One unanswered question is what happens to High Moon Studios and Vicarious Visions - two Activision-owned studios that worked on Destiny. I think there's a reasonable chance Activision Blizzard will use the development money saved from funding the next Destiny game to fund new IP at those two studios (or at Blizzard).

The other is how Bungie funds their next game. They raised $100m from NetEase in 2018 so chances are they'll try to raise more money and go it alone rather than appointing another publisher.

Most analysts think not having Destiny will have a negative 2-3% impact on earnings this year (as there's no expansion for them to count anymore).

I was re-reading the chapter on Destiny in Jason Schreir's "Blood, Sweat, and Pixels" book today in light of this and it's interesting that the first paragraph is this:

One day in late 2007, across the street from their offices in Kirkland, Washington, Bungie's employees sat in a rented theater, applauding raucously. They'd just won back their independence. After seven years under Microsoft's umbrella, they were free.

Apparently there were cheers when Bungie announced they were leaving Activision, so seems like history is repeating. (#3)

--
(#1) https://www.gamesindustry.biz/articles/bungie-signs-10-year-activision-deal
(#2) https://www.theverge.com/2014/5/6/5687160/destiny-will-cost-500-million
(#3) https://twitter.com/jasonschreier/status/1083474033033777152


Bungie States the 10 year mark was not set in stone to begin with. If Destiny 2 doesn't get another DLC (which it likely won't) then they would start Destiny 3 and it wouldn't be finished by 2020 anyway. They needed 8 years to finish two installments of the series.

Since Bungie was underperforming there's no incentive for Activision to refuse to let Bungie go.

Bungie got richer and bigger, but was generally dissatisfied with the deal... Activision invested a lot and was generally dissatisfied with the deal. Win-win.
01/11/2019 12:46 AMPosted by Imperius
Bungie States the 10 year mark was not set in stone to begin with.


You're right, I stand corrected.

Turns out the contract was leaked in 2012. The contract states a release plan for Destiny games with 4 major releases in 2013, 2015, 2017, and 2019, and 4 expansions in 2014, 2016, 2018, and 2020. People would have said 10 years from the original release plan despite "10 years" not being mentioned.

http://documents.latimes.com/bungie-activision-contract/
01/11/2019 12:34 AMPosted by Imperius
01/11/2019 12:18 AMPosted by MarioDragon
...

Once again your tone suddenly changed. Weird


I argue the point... The market ended today with AVTI in the green, which has been the case for the last 30 days. The after-hours 3$ drop following that news is inconsequential and the stocks will bounce back up. The Bungie/Activision split was scheduled to happen once Destiny 2 and its DLC were released and thus the contract was fulfilled.

Not to mention the fact that Bungie was underperforming despite several substantial investments on the part of Activision to turn that trend around.

The truth is you want this to be bad for Activision, but it's just not as important as you might think. Both companies will be better off that way.


As I have shown you already in another thread, you have ZERO clue what you are talking about. You probably don't even know what technical analysis means.

According to EMA, RSI, MACD, I told you 2 days ago that the stocks were about to drop.

Now it's at 46, with momentum for more downside.

The support line is 44$, if it breaks that price, the next support line is 38$.

I hope you were not dumb enough to buy at 51$ when every indicator screamed to sell? But according to your post history you are probably one of those who buy high and sell low. :)
01/10/2019 08:58 PMPosted by Imperius
Hm?
ATVI started the day at 50.40$ and ended the day at 51.30$....


BRROOOO
01/11/2019 07:28 AMPosted by YUKI
01/11/2019 12:34 AMPosted by Imperius
...

I argue the point... The market ended today with AVTI in the green, which has been the case for the last 30 days. The after-hours 3$ drop following that news is inconsequential and the stocks will bounce back up. The Bungie/Activision split was scheduled to happen once Destiny 2 and its DLC were released and thus the contract was fulfilled.

Not to mention the fact that Bungie was underperforming despite several substantial investments on the part of Activision to turn that trend around.

The truth is you want this to be bad for Activision, but it's just not as important as you might think. Both companies will be better off that way.


As I have shown you already in another thread, you have ZERO clue what you are talking about. You probably don't even know what technical analysis means.

According to EMA, RSI, MACD, I told you 2 days ago that the stocks were about to drop.

Now it's at 46, with momentum for more downside.

The support line is 44$, if it breaks that price, the next support line is 38$.

I hope you were not dumb enough to buy at 51$ when every indicator screamed to sell? But according to your post history you are probably one of those who buy high and sell low. :)


This should be sticky. It should be pasted every time that troll write something as he seems to have short memory.
RIP Blizzard. Dead company.
ATVI now down 10%+ and is by far the biggest loser so far today in the markets. Here is the reason why the stock dropped:

A disappointing run for video game publisher Activision Blizzard (NASDAQ:ATVI) continues. Activision stock traded down 6% in after-hours trading Thursday after disclosing it was ending a partnership with Destiny developer Bungie. The decline interrupts a brief bounce in ATVI stock, which had gained 18% from December lows.

Of course, those December lows represented a 45%-plus drop from early October levels. Valuation drove the decline. Investors shifted from pricing in years of impressive growth to pricing in only minimal profit increases.

At the after-hours price, ATVI now trades at just 17x 2019 earnings-per-share estimates. Considering Thursday’s news, those estimates may have to come down, however. So should the ATVI stock price.

I wrote in November that Activision stock, at $50, was trading where it belonged all along. Thursday’s news seems to further prove that thesis — and perhaps argues for more downside. The fact is that investors were wrong to price ATVI above $80 in October. This company simply can’t drive the growth needed to support that type of valuation.
This happens when you don't end eras in time.
Hopefully Bungie will be able to release a Destiny game that is *good* on launch from now on, or release some better IPs.
Looks like the stock is down right at 10.00% 9.96 as of this exact moment.

Pretty big hit. How many of these is the company going to take in the span of a year? You can't even remotely blame this on anything but the destiny news. It's reminiscent of the D:I announcement.

Everyone who said that didn't effect the market? Curious how it happened again with the Destiny announcement. "These things don't affect the market that much"

Yeah, okay.
01/11/2019 07:56 AMPosted by Evoportals
RIP Blizzard. Dead company.


To be honest, this sentiment has me perplexed. Like many, I would love to see them do more to please the fans of their games, I think we all would. I'm also very displeased with the announcements at BlizCon last year, it was a true letdown for the fans.

That said, I have enjoyed their games in the past going way back to the release of the Diablo franchise way back in the day. Personally, I would like to see them rebound and go back to making games that most of us are really craving. Despite the criticism that D3 gets on a regular basis, I still enjoy the game, flaws and all, and feel I got my monies worth. I also enjoy WoW, even though it could use some more love as well.

Hoping that a company goes out of business because it failed to meet one's expectations leaves the question "Who would take their place?". That's a serious thought to ponder. Large companies tend to keep their IP's even when they dissolve. When SoE dropped Vanguard, a game that appealed to many, but not enough apparently, they shuttered the game and refused to sell off the rights to interested parties.
ATVI's stock is already going back up after the drop... it dropped to 44$ and now it's close to 47$. As I said, a minor bump in the road.
Yeah, stock may go up a little because Bungie had to pay out haha.

However, in the long run I am sure that stock will begin dipping again, now that they don't have Destiny under their board it seems.

Good, Activision is cancer incarnate.
01/11/2019 12:34 AMPosted by Imperius
I argue the point... The market ended today with AVTI in the green, which has been the case for the last 30 days. The after-hours 3$ drop following that news is inconsequential and the stocks will bounce back up. The Bungie/Activision split was scheduled to happen once Destiny 2 and its DLC were released and thus the contract was fulfilled.

Not to mention the fact that Bungie was underperforming despite several substantial investments on the part of Activision to turn that trend around.

The truth is you want this to be bad for Activision, but it's just not as important as you might think. Both companies will be better off that way.


So your couple of dollars rise is huge.. but that 50% value of a company isn't anything bad?

The hypocritical backwards points you have. Typical white knight, doesn't look at the real issues and the real happenings and tries comes up with some logical excuse to play it off.

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