Analyst Note| Neil Macker, CFA |
Activision Blizzard reported a strong third quarter with top and bottom-line non-GAAP results beating FactSet consensus as the firm continued to benefit from gamers staying at home. As a result, player engagement and time spent in the firm’s games rose across the board versus last year. Call of Duty continues to benefit from expanding into battle royale (Warzone) and mobile with monthly active users up three times versus a year ago and hours played up seven times. We maintain our narrow moat and our $73 fair value estimate.