3 Stocks Moving On The Microsoft-Activision Blizzard Deal

Microsoft MSFT  has agreed to purchase "Call of Duty" producer Activision Blizzard ATVI for $68.7 billion, making the purchase Redmond's largest acquisition to date.

The all-cash transaction at $95 per share marks a big bet on the metaverse, and includes Microsoft in the race to claim ownership of the booming gaming industry against other giants such as Tencent and Sony. 

“Gaming is the most dynamic and exciting category in entertainment across all platforms today and will play a key role in the development of metaverse platforms,” said Satya Nadella, chairman and CEO of Microsoft, in a Tuesday statement.

“We’re investing deeply in world-class content, community and the cloud to usher in a new era of gaming that puts players and creators first and makes gaming safe, inclusive, and accessible to all.” 

On the heels of this news, other gaming stocks spiked, while Microsoft had a turbulent start to the trading week, down 1.9% at the $304 level Tuesday afternoon. Here are three tickers that moved in a positive direction after the acquisition report:

Take-Two Interactive Software Inc. TTWO is up 2.5% to $156.40. The "Grand Theft Auto" incubator recently acquired mobile game developer Zynga for $12.7 billion.

Electronic Arts Inc. EA, viewed as a top competitor in the video game publishing space, is up 4.57% at $136.40 and opened with a traded volume of 217,000 shares Tuesday, pushing the stock to $141.87 before settling intraday to $137.18. 

Activision Blizzard roared to highs of $86.55 at market open, with 1.2 million shares traded in the first minute of trading. The stock is up 25% on the news of acquisition.

Alternatively, other metaverse competitors such as Sony, Roblox, Meta, and Tencent are all down Tuesday, perhaps a reflection of the recent developments in the space.