Activision Blizzard Stock Price Falls After Diablo 4, Overwatch Are Delayed

Activi­sion Bliz­zard’s stock price start­ed to fall on today, and it’s down by more than 14% on the New York Stock Exchange fol­low­ing the com­pa­ny’s lat­est earn­ings report. Tues­day, Novem­ber 2nd Activi­sion Bliz­zard announced Over­watch 2 and Dia­blo IV had been indef­i­nite­ly delayed, which star­tled investors.

Activi­sion Bliz­zard post­ed rev­enue of $2.07 bil­lion for the quar­ter end­ing Sep­tem­ber 30th and a prof­it of $639 mil­lion. Both num­bers rep­re­sent year-over-year gains. How­ev­er, the down­turn in the stock price is most like­ly relat­ed to Bliz­zard’s announce­ment of the delays for these two major games, which were expect­ed to launch in 2022.

Anoth­er fac­tor that may have scared investors was Activi­sion Bliz­zard’s acknowl­edge­ment that it is see­ing ” increased com­pe­ti­tion in the mar­ket for our tal­ent and high­er vol­un­tary turnover” in the after­math of the law­suits and inves­ti­ga­tions against the com­pa­ny over sex­u­al harass­ment and dis­crim­i­na­tion against women. CEO Bob­by Kotick added that Activi­sion Bliz­zard will “con­tin­ue to face chal­leng­ing and neg­a­tive media attention.”

While the com­pa­ny’s stock price fell sig­nif­i­cant­ly this week, Activi­sion Bliz­zard’s share val­ue is up by more than 60% over the last five years.

Bliz­zard suf­fered anoth­er blow this week with co-leader Jen Oneal announc­ing she is leav­ing the com­pa­ny three months after tak­ing on this new role.

IvanaHumperlothttp://buttonsmashgamers.com
I am a Platinum lover and an ex- Cod-aholic. I've been playing games since I was 5 years old and I refuse to quit, despite my mother's attempts to get me to. God of War and its successors are my all time favorite games.

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