Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, video game giant Activision Blizzard (NASDAQ:ATVI) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Activision's business and see what CAPS investors are saying about the stock right now.

Activision facts


Santa Monica, Calif.

Market Cap

$15.18 billion


Home entertainment software

Trailing-12-Month Revenue

$4.37 billion


CEO Robert Kotick (since 1991)

CFO Thomas Tippl (since 2008)

Major Franchises

Guitar Hero, Call of Duty, X-Men, StarCraft, Warcraft, World of Warcraft

Cash / Debt

$2.83 billion / $0


Electronic Arts (NASDAQ:ERTS)

Take-Two Interactive (NASDAQ:TTWO)

CAPS Members Bullish on ATVI Also Bullish on

General Electric (NYSE:GE)

Johnson & Johnson (NYSE:JNJ)

CAPS Members Bearish on ATVI Also Bearish on


Citigroup (NYSE:C)

Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.

On CAPS, 98% of the 4,540 members who have rated Activision believe the stock will outperform the S&P 500 going forward. These bulls include All-Star jamespeer, who is ranked in the top 15% of our community, and Sweetsonic.

Late last month, jamespeer peered into Activision's near term:

Rock solid financials. Number 1 games producer in the world. I am expecting a huge Q4 for Activision with Modern Warfare 2 coming out, [PlayStation 3] price cut, and of course sales will naturally soar over the xmas period.

In a reply pitch from last week, Sweetsonic dives deeper into the pipeline:

I'm actually really surprised that [Activision] is not trading way above its current value. It's true that the WOW and Guitar Hero series' will not last much longer, but look at their other prospects. COD: Modern Warfare 2 will be out this holiday season -- speculated to be the biggest selling video game ever. If that news doesn't bring them up in Q4, I don't know what will.

My biggest disappointment in the company is actually on the Blizzard side of things. The production delays on Starcraft 2 and Diablo 3 are puttin' a hurt on the image of the company. However, I think if they can pull it together by Q2 2010, we should see some real growth. [Activision] really has the potential to fly ahead of every company in this industry.

What do you think about Activision, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Activision, Electronic Arts, and Amazon are Motley Fool Stock Advisor picks. Take-Two is a Rule Breakers recommendation, and Johnson & Johnson is an Income Investor choice. The Fool's disclosure policy always gets a perfect score.