CNBC’s Jim Cramer on Tuesday said Activision Blizzard is best positioned within the short term than rival Take-Two Interactive.
Each video game firms reported earnings this week.
Activision Blizzard
Shares of Activision Blizzard rose about 5.6% Tuesday after the corporate reported a revenue beat in its most up-to-date quarter. Cramer said that while all eyes are on the Federal Trade Commission’s antitrust case against Microsoft‘s attempt to accumulate the video game publisher, he believes that Activision Blizzard doesn’t need the acquisition to maintain performing well.
“I feel Activision Blizzard is on fire right here. I almost hope the Microsoft merger falls apart as soon as possible, so that you’re going to get a greater buying opportunity,” he said.
Take-Two
Shares of Take-Two Interactive rose about 7.9% Tuesday, making a comeback after falling Monday on a quarterly revenue miss. Cramer noted that the corporate’s warning of shifting consumer behavior on account of tough macroeconomic conditions was worrisome.
But he predicted that the corporate, which produces the Grand Theft Auto and Red Dead Redemption series, will eventually release one other smash hit that may result in a comeback.
“You might have to consider in a turnaround to own this one. It could be a bit early after this big run,” he said.
Disclaimer: Cramer’s Charitable Trust owns shares of Microsoft.
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