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Activision Blizzard, Universal Display, IBM News Today

Activision Blizzard, Universal Display, and IBM stocks are in the news today

May 5, 2017 at 10:28 AM
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U.S. stocks are trading slightly lower following this morning's nonfarm payrolls report. Among specific stocks on the move are "Call of Duty" creator Activision Blizzard, Inc. (NASDAQ:ATVI), Samsung Electronics supplier Universal Display Corporation (NASDAQ:OLED), and Dow component International Business Machines Corp. (NYSE:IBM). Here's a quick look at what's moving shares of ATVI, OLED, and IBM. 

Activision Blizzard Stock Hits a Record High After Earnings

After initially trading lower following a first-quarter earnings release, ATVI stock is 1.6% higher at $53.93, tagging a fresh record high of $54.75 earlier. The video game producer beat top- and bottom-line expectations, thanks to strong demand for its "Overwatch" franchise. Analysts are expecting extended gains for the shares, too, even after their 50% year-to-date advance. Jefferies raised its price target to $68 from $55, and Cowen bumped its target to $59 from $51. What's more, Activision Blizzard, Inc. has reportedly landed on Citigroup's list of potential takeover targets for Apple Inc. (NASDAQ:AAPL). Indeed, Wall Street is mostly bullish on ATVI stock, with 13 of 18 analysts rating it a "buy" or "strong buy." 

OLED Stock Explodes After Huge Earnings Beat

OLED stock jumped to a record high of $108.75 earlier, and was last seen 19.8% higher at $107.60, after Universal Display earnings blew past estimates, and the company raised its full-year outlook. The stock has been unstoppable in 2017, rallying 91%, and analysts are trying to catch up. Canaccord Genuity this morning raised its price target to $90 from $65, and Cowen increased its target to $115 from $105. Universal Display Corporation is still heavily shorted, too, with bears controlling well over a week's worth of buying power, based on average daily volumes. As such, a short-squeeze situation could be in the cards for OLED stock

IBM Stock Takes a Hit After Buffett Trims Position 

IBM stock has suffered its second bear gap in 2017, last seen 3.2% lower at $153.89 -- near a six-month low -- on news Warren Buffett sold one-third of his position during the first and second quarters. The Oracle of Omaha said he has revalued the stock downward, citing strong competition as one reason. Big Blue has now shed more than 15% since topping out at $182.89 back in mid-February, and options traders at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) have increasingly set their sights on puts. IBM stock has a 10-day put/call volume ratio of 1.39 across these exchanges, which ranks in the 80th annual percentile. 
 

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