ATVI Stock Prediction: Why Activision Blizzard Has So Much Potential In Mobile Games

motek 1This article was written by Motek Moyen Research Seeking Alpha’s #1 Writer on Long Ideas and #2 in Technology – Senior Analyst at I Know First.

Summary:

  • The success of Call of Duty: Mobile on Android and iOS convinced me that Activision Blizzard will remain of the biggest beneficiaries of the $152 billion/year video games industry.
  • Tablet and smartphone games now account for more than 44% of the annual sales from video games. The smartphone is now the key growth driver for video games.
  • Activision Blizzard will launch the Switch version of its hit PC game Overwatch on October 15. I expect Overwatch to also launch on Android/iOS by next year.
  • A stronger focus on the mobile platform can significantly boost Activision’s annual revenue and net income.

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Exelixis Stock Forecast: The Future Of Cancer Medicine With Promising Financial Growth

Ori HoltzmanThis article was written by Ori Holtzman, a Financial Analyst at I Know First

Summary:

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Winning Stock Forecast On a Predictive Algorithm: AMC Entertainment (NYSE: AMC ) Brings 40.98% in 3 Months

AMC Entertainment Holdings, Inc. (AMC), through its subsidiaries, operates as a theatrical exhibition company in the United States and internationally. It owns, operates, or has interests in theatres. As of June 30, 2016, the company owned, operated, or had interests in 386 theatres with 5,334 screens primarily in the United States. Now, counts more than 1,000 theatres and 11,000 screens across the globe. The company was founded in 1920 and is headquartered in Leawood, Kansas. AMC Entertainment Holdings, Inc. (AMC) operates as a subsidiary of Wanda America Investment Holding Co. Ltd.

Source: Bloomberg

On July 19th I Know First AI Algorithm issued a bullish 3 months  forecast for  AMC Entertainment stock  with predictability indicator of 0.24 and signal indicator of 9.79. In a good agreement with the forecast   the AMC stock is up 40.98% just in 3 months. Below we provide the I Know First heatmap that was send to our clients July 19th:

The results were quite positive in this year for the Company. On May 3 2018, Board Of Directors announced a dividend for the quarter ended March 31 2018. The amount of the dividend in this second quarter was arounr $25,7 milion. On July 24 2018 Board of Directors announced that its has declared a dividend for the quarter ended June 30, 2018, of $0.20 per share on shares of Class A and Class B common stock, its eighteenth consecutive. In addition, AMC Entertainment Holdings Inc in September 2018 said it bought back 24 million shares from its top investor, the Chinese Dalian Wanda Group and issued $600 million worth of convertible notes to private equity firm Silver Lake. Earlier in September, Reuters reported Wanda was exploring a deal to cut its stake in AMC. After the transaction, Wanda now owns about 38% of AMC shares (its previous majority stake 60%). As part of the deal, Silver Lake will get a seat on AMC’s board. Wanda acquired a majority stake in AMC in 2012 for $2.6 billion, in what was then the largest overseas acquisition by a privately held Chinese company and Wanda’s first foray into the United States. In 2017, Chinese regulators told banks to stop providing funding to companies such as Wanda, HNA Group Co Ltd and Anbang Insurance Group Co Ltd for overseas acquisitions, amid concerns over financial overstretching.

 

Chart shows rising trend.

As Loyalty Program, AMC announced that AMC Stubs A-List, With more than 400,000 members, has achieved 80% of the Company’s one-year membership goal and 40% two-year membership goal in just 14 weeks. Adam Aron, AMC CEO and President, said, “While we do not plan to issue A-List enrollment statistics on a weekly basis, our hitting more than 400,000 enrolled members only three months and a week after launching the program is an enormous milestone”.

Current I Know First subscribers received this bullish forecast on July 19

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Algorithmic traders utilize these daily forecasts by the I Know First market prediction system as a tool to enhance portfolio performance, verify their own analysis and act on market opportunities faster.

How to interpret this diagram

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Yelp’s New Advertising Plan Shows Great Insight For The Company’s Future

 

This article was written by Grant Goldstein, a Financial Analyst at I Know First

 

 

Highlights:

  • Yelp's New Contracts Grow Company
  • Technical Analysis Shows Mixed Signs
  • There is Value in Purchasing Yelp

I Know First.

 

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MSFT Stock Forecast: Cloud Computing Keeps Microsoft Afloat In Race With Amazon

 

This article was written by Julia Masch, a Financial Analyst at I Know First.

 

“Our investments and business model are fundamentally aligned with our customers' long-term interests and success. This opportunity and responsibility grounds us in our mission to empower every person in every organization on the planet to achieve more”

- Satya Nadella, chief executive officer of Microsoft.

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Disney and Comcast’s Expensive, Never Ending Battle Over 21st Century Fox

 

This article was written by Grant Goldstein, a Financial Analyst at I Know First

 

 

Highlights:

  • Disney and Comcast Bid for FOXA
  • Why FOXA is so Desiarable
  • Bullish Forecast for FOXA

I Know First.

 

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AMD Stock Forecast: 3 Driving Forces of AMD’s Long-Term Bullish Outlook

 

 

This article was written by Kwon Sok Oh, a Financial Analyst at I Know First.

 

 

Summary

  • Strong sales of Ryzen APU’s contributed to high earnings in Q1 2018
  • Radeon GPU’s showed strong mining revenue
  • AMD EPYC’s have doubled in sales
  • I Know First’s algorithm is bullish for AMD in the long run

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Tiffany & Co. Shining to the Top

“Simplicity is the keynote of all true elegance” – Coco Chanel

 

Summary:

  • Tiffany & Co New and Shining
  • Q1 Results Above All Expectations
  • Current I Know First Algorithm Bullish Forecast For TIF

Tiffany & Co., through its subsidiaries, designs, manufactures, and retails jewelry and other items in the Americas, the Asia-Pacific, Japan, Europe, and internationally. The company offers jewelry collections, engagement rings, and wedding bands. It also sells timepieces, leather goods, sterling silver goods, china, crystal, stationery, eyewear, fragrances, and other accessories; and wholesales diamonds and earnings. The company sells its products through retail, Internet and catalog, business-to-business, and wholesale distribution channels. As of January 31, 2018, it operated 315 stores, including 124 stores in the Americas, 87 stores in the Asia-Pacific, 54 stores in Japan, 46 stores in Europe, and 4 stores in the United Arab Emirates. Tiffany & Co. was founded in 1837 and is headquartered in New York, New York.

 New and Shining- Strategic Priorities

Earlier this year, Tiffany’s CEO Alessandro Bogliolo outlined six strategic priorities for the company. Among these strategic priorities are- Amplifying an evolved brand message, Renewing its product offerings and enhancing in-store presentations, Delivering an “exciting” omnichannel customer experience, Strengthening its competitive position and leading key markets, Cultivating a more efficient operating model and Inspiring an “aligned and agile” organization to win.

Tiffany started achieving those goals and is still in progress.  Tiffany launched on March, 2018 a new “Believe in Love” marketing campaign which highlights racial and sexual diversity in order to renovate its brand message for younger shoppers.            I believe that the campaign contributed to Tiffany’s 11% growth in engagement Jewelry sales during Q1.

[Image Source: Tiffany.com]

In line with the priority of renewing product offerings, Tiffany unveiled “PAPER FLOWERS”, a major collection in platinum and diamonds. This collection combines everyday jewelry together with one-of-a-kind pieces for the first time ever at Tiffany. The collection’s concept is creating a fine jewelry/high jewelry collection that anyone can buy or feel that it fits into their life. This strategic move is a very important launch for the company since it has high jewelry and fine jewelry at different and lower price ranges.

[Image Source: Tiffany.com]

In addition, Tiffany invested in improving its website and started selling a curated selection of jewelry on fashion e-tailer Farfetch in over 40 countries in attempt to deliver an “exciting” omnichannel experience. The new strategic selling action complements Tiffany’s e-commerce partnership with Net-A-Porter and helps Tiffany sell products beyond the 13 countries where it operates its own e-commerce sites.

Tiffany recently opened a new jewelry, design, and innovation workshop near its corporate office in New York City in order to improve its operating efficiency. This new workshop allows the company’s model makers, designers, and engineers to all work under the same roof and develops a more efficient operating model.

Tiffany Q1 Results of 2018

On May 23, Tiffany & Co. released its financial Q1 results of 2018 that rose above all analysts’ expectations. Starting the day trading at $119.32, Tiffany & Co. reached an intraday of $126.64. Shares gained $23.81 by the day ended. In Q1 of 2018, we can specifically see that worldwide net sales rose 15% to $1.0 billion, resulting from broad-based sales growth which, combined with a higher operating margin and a lower effective tax rate, resulted in a 53% increase in net earnings. Net earnings increased to $142 million, or $1.14 per diluted share, from last year’s $93 million, or $0.74 per diluted share. These extraordinary financial Q1 results should draw investors’ attention in a positive direction to see that the company is on a significant growing path.

[Image Source: Tiffany & Co.]

On can see that although, Tiffany had a GAAP reported decrease of 21% in net sales and 7% decrease in comparable sales in some other region that are not stated, it didn’t have much effect on the company’s worldwide total net sales increase of 15% and worldwide total comparable sales increase of 10%. In addition, the company also had a decrease in Constant-Exchange-Rate Basis in both net sales and comparable sales in the other region that are not stated. These decreases did not affect the company’s worldwide total increase in either of the sales.

As shown below, Tiffany topped the market and all the analysts’ expectations with its sales growth across all of its global regions accelerated dramatically.

Region

Constant Currency Sales Growth

Comps Growth
U.S.A8%9%
Asia23%9%
Japan12%9%
Europe1%-9%
Total11%7%

My estimation is that Tiffany’s surging sales growth indicates that its improving strategy efforts are paying off. Global sales growth was stronger than anticipated and mainly benefited from strong sales to tourists from China and from a weak dollar. In Europe most of the growth came from new store openings. As of today, Tiffany is still thriving across most markets except for Europe, where it’s still struggling with lower tourist spending and newer stores in older locations.

RegionQ2 2017Q3 2017Q4 2017Q4 2018
U.S.A1%1%5%9%
Asia2%15%13%28%
Japan1%-8%2%17%
Europe3%5%13%13%

 

Fiscal 2018 Outlook

Following the better-than-expected results, Tiffany raised its guidance for fiscal 2018. Tiffany now envisions worldwide net sales increasing by a high-single-digit percentage over the prior year and net earnings increasing to $4.50 – $4.70 per share, compared with the previous guidance of $4.25-$4.45 per share.

Conclusion

Following the above, TIF stock increased by 27.74% since the Q1 results of 2018 were announced. Tiffany’s efforts to improve its strategic priorities are paying off and led to a stronger sales growth than anticipated.

My conclusion is that TIF stock will continue to grow in the long term given the fact that it is a solid company that keeps improving, renewing and adjusting its strategy according to market trends.

 

[Image Source: Yahoo Finance]

In a 1 year look back one can see that TIF stock had a few ups and downs but in the long-term outlook the stock keeps going up.

Tiffany’s strategic priorities are also paying off in comparison to the industry of Retail – Jewelry. As of this year Tiffany is the industry leader in Growth Rates and Financials.

Growth Rates
Tiffany & Co.

Per Share

Industry

Per Share

2018$23.81         $7
Last 5 Years     $3.2

$11.1

As one can see above, Tiffany’s growth rates per share rose by about 10% from the last 5 years thanks to its improving strategic and new priority and is expected to continue with this growing path for the long-term. This Shows how Tiffany & Co is currently is ranked the highest in the industry of Retail – Jewelry.

According to analyst recommendations from Yahoo Finance, the current consensus is a “Buy” in Tiffany & Co. Stock, with 6 advising a “Strong Buy” and 7 advising a “Buy”.

[Image Source: Yahoo Finance]

Current bullish I Know First Algorithm forecast for TIF

Tiffany & Co. is a successful solid company and investors should buy and hold on to TIF’s stock because the company is raising and shining its way up. I Know First Algorithm is currently bullish for TIF stock which appears to be bullish for 1, 3 and 12 months investment horizons.

How to read the I Know First Forecast 

Please note-for

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