Activision Blizzard (Nasdaq: ATVI) is expected to report Q1 earnings around May 8. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Activision Blizzard's revenues will increase 20.1% and EPS will increase 83.3%.

The average estimate for revenue is $704.9 million. On the bottom line, the average EPS estimate is $0.11.

Revenue details
Last quarter, Activision Blizzard reported revenue of $1.77 billion. GAAP reported sales were 26% higher than the prior-year quarter's $1.41 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.78. GAAP EPS of $0.31 for Q4 were 288% higher than the prior-year quarter's $0.08 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 60.0%, much better than the prior-year quarter. Operating margin was 27.4%, much better than the prior-year quarter. Net margin was 20.0%, much better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $4.26 billion. The average EPS estimate is $0.86.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 6,902 members out of 7,130 rating the stock outperform, and 228 members rating it underperform. Among 1,497 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,464 give Activision Blizzard a green thumbs-up, and 33 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Activision Blizzard is buy, with an average price target of $15.08.

Software and computerized services are being consumed in radically different ways, on new and increasingly mobile devices. Many old leaders will be left behind. Whether or not Activision Blizzard makes the coming cut, you should check out the company that Motley Fool analysts expect to lead the pack in "The Next Trillion-dollar Revolution." Click here for instant access to this free report.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.