For the present quarter, Activision Blizzard Inc.’s target was less than the Wall Street's forecasts. As a result, the shares of the video game publisher in after-hours trading plummeted 6%. Also, there were apprehensions regarding its new release "StarCraft II".
Since novel titles "Singularity" and "Blur" were unsuccessful in luring the masses, less-than-anticipated earnings were posted by the Company for the quarter that ended June.
According to the September estimate, the Company showed punier demand for its "StarCraft II” title that hit the market last week, said analysts. Meanwhile, investors believe that the title will be able to set a record, following league with earlier titles like "Call of Duty" and "World of Warcraft", which had managed to draw in profits even in times of economic recession.
The Company is also pinning high hopes on "StarCraft II", and expects it to make a good start. Janco Partners Analyst, Mike Hickey feels that expectations associated with "StarCraft", are too high.
During an interview, Thomas Tippl, Activision's Chief Operating and Financial Officer said, "We feel pretty good with where we are, especially with the strength of our slate is still ahead of us".
Activision is the globe's biggest video game publisher according to market value, and has an edge over its strong opponent Electronic Arts.
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