Why is activision stock so low?

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#2 Posted by Romination (2831 posts) -

There's a lot of it.

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#3 Posted by KarlPilkington (2803 posts) -

I've never taken any notice in the stock market.

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#4 Posted by Karkarov (3387 posts) -

Stock prices have to be matched against the company as well.  Like Romination said there is alot of Activision stock out there.  Most companies will actually go through lots of hoops to make sure their stock always stays at a reasonable price because when a stock gets the really high levels like 100 bucks a share people tend to be slower to buy.  That and it is considerably easier to maintain control of a cheap stock.

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#5 Posted by Brendan (8908 posts) -

Stock Price also depends on how many shares are put on the market by the company.  A company worth a paltry $500,000 that is only split into 10 shares will have a stock price of $50,000, for instance.  

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#7 Posted by slantedwindows (282 posts) -

share price: price per piece

shares: total number of pieces
market cap: total number of pieces multiplied by price per piece

ERTS - $6.7 B

but the guy IS on to something though. for example, Citibank is doing a reverse split 1 for 10 to boost its stock price higher to around $45 a piece. the "fair value" of anything has a lot to do with psychology...
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#10 Posted by scarace360 (4813 posts) -

Cause call of duty hasent come out in 2011 yet!

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#11 Posted by KaosAngel (14251 posts) -

Do you understand how stocks work?  The more stock, the cheaper it is.  Also the money Activision makes in revenue/profit is NOTHING compared to what the average corporation makes in.

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#13 Posted by DystopiaX (5511 posts) -

Videogames are relatively small money, and are a risky investment because the market is kind of volatile. Think of past great publishers/devs that faded away really quickly. On top of that, those in the know realize that the only major franchises they have left are Blizzard ones, which come out too infrequently to support a large publisher, and CoD, which has been doing well but is like putting all your eggs in one basket.

Also, as others have said, there's a shitload of stock and Activision loses money every quarter there isn't a Call of Duty.
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#14 Posted by Geno (6768 posts) -

Stock prices are not an indicator of company wealth. Many other factors go into that. They're only relevant in comparison to where they've been in the past, not to other companies. 

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