Activision Blizzard, Inc. (ATVI) Discounted Future Market Cap - Discounting Cash Flows
ATVI
Activision Blizzard, Inc.
ATVI (NASDAQ)

Estimated Value

USD

Market Price USD

* Values are not guaranteed, please do your own
research before making investment decisions.

Discounted Future Market Cap

This model estimates the intrinsic value of a common share by projecting the Future Market Capitalization using the estimated PE Ratio and then discounting it to the Present using an Annual Required Rate of Return.

Interactive Assumptions

Discount Rate

Discount Rate

Discount Rate = Cost of Equity = Risk Free Rate + Beta * Market Premium

The cost of equity is the theoretical rate of return that an equity investment should generate. It is calculated using the CAPM formula.

Read More

↳ Beta

Beta

Beta is a value that measures the price fluctuations (volatility) of a stock with respect to fluctuations in the overall stock market.

↳ Risk Free Rate

Risk-Free Rate

The risk-free rate represents the interest an investor would expect from an absolutely risk-free investment over a specified period of time. By default, it is equal to the current yield of the U.S. 10 Year Treasury Bond.

↳ Market Premium

Market Premium

Market risk premium represents the excess returns over the risk-free rate that investors expect for taking on the incremental risks connected to the equities market.

Pe Ratio

Price to Earnings (PE) Ratio

Estimated Price to Earnings (PE) Ratio at the end of the projection period.

Future Market Cap = PE Ratio * Projected Net Income

Revenue Growth Rate

Revenue Growth Rate

The annual revenue growth rate is applied to projected revenue starting from the second projection year onward.

Net Income Margin

Net Income Margin

Net Income expressed as a percentage of Revenue.

Historical Years

Historical Years

The number of historical years used to calculate averages for historical data.

Projection Years

Projection Years

The number of years for projecting the analysis into the future.

Results

Present Value 89.88 USD
Estimated net income 2.77 Bil. USD
Estimated market capitalization 94.32 Bil. USD
Market capitalization discounted to present 70.64 Bil. USD
Shares Outstanding 786 Mil.
Earnings Per Share (EPS) 2.77 USD
Market Price 94.42 USD
Price to Earnings (PE) Ratio 48.8

Historical and forecasted data

Monetary values are in USD

Edit Chart Values 2025 2026 2027 2028 2029

amounts of USD except for #

2024 LTM 2025 2026 2027 2028 2029
Revenue
8,706 9,657 10,455 11,318 12,253 13,265
Revenue Growth Rate
8.26% 8.26% 8.26% 8.26%
Net Income
2,165 2,015 2,181 2,361 2,556 2,767

amounts of USD except for #

Average LTM 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
Revenue 7,267 8,706
7,528 8,803 8,086 6,489 7,500 7,017 6,608 4,664
Cost of Revenue 2,274 2,579
2,222 2,317 2,260 2,094 2,517 2,501 2,394 1,585
Gross Profit 4,992 6,127
5,306 6,486 5,826 4,395 4,983 4,516 4,214 3,079
Gross Margin 68.32% 70.38%
70.48% 73.68% 72.05% 67.73% 66.44% 64.36% 63.77% 66.02%
Operating Income 1,970 2,431
1,670 3,259 2,734 1,607 1,988 1,309 1,412 1,319
Operating Margin 26.72% 27.92%
22.18% 37.02% 33.81% 24.76% 26.51% 18.65% 21.37% 28.28%
Net Income 1,558 2,165
1,513 2,699 2,197 1,503 1,813 273 966 892
Net Margin 20.86% 24.87%
20.1% 30.66% 27.17% 23.16% 24.17% 3.89% 14.62% 19.13%

amounts of USD except for #

Average LTM 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
Revenue 7,267 8,706
7,528 8,803 8,086 6,489 7,500 7,017 6,608 4,664
Revenue Growth Rate 8.26%
-14.48% 8.87% 24.61% -13.48% 6.88% 6.19% 41.68% 5.81%
Net Income 1,558 2,165
1,513 2,699 2,197 1,503 1,813 273 966 892
Net Margin 20.86% 24.87%
20.1% 30.66% 27.17% 23.16% 24.17% 3.89% 14.62% 19.13%
Net Income Growth Rate 64.43%
-43.94% 22.85% 46.17% -17.1% 564.1% -71.74% 8.3% 6.83%
Stockholders Equity 13,720 20,793
19,243 17,599 15,037 12,805 11,357 9,462 9,119 8,068
Equity Growth Rate 13.12%
9.34% 17.04% 17.43% 12.75% 20.03% 3.76% 13.03% 11.54%
Return on Invested Capital (ROIC) 13.33% 14.16%
8.64% 22.75% 20.21% 13.28% 17.51% 3% 10.68% 9.71%
After-tax Operating Income 1,618 2,042
1,449 2,780 2,296 1,479 1,920 310.5 1,233 1,050
Income Tax Rate 20.08% 15.99%
13.25% 14.7% 16.02% 7.96% 3.41% 76.28% 12.66% 20.43%
Invested Capital 12,176 14,426
16,768 12,222 11,362 11,136 10,968 10,341 11,551 10,810
discounting cash flows home logo

Discounting Cash Flows

Are you finding our services helpful? Review us on trustpilot logo Trustpilot
Have a question? Contact us