Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!

Analyst Likes Google After More Details From Stadia

Courtesy of Benzinga.

Analyst Likes Google After More Details From Stadia

Bank of America remained bullish on Alphabet Inc. (NASDAQ: GOOGL) following the release of more details on Google’s new Stadia game streaming service, including prices and a November launch date.

The more detailed information about Stadia shows it initially will function more like an online game store than a game rental or streaming service, said Bank of America Merrill Lynch analyst Justin Post, and will have lots of competition soon, but is an ambitious platform.

Post reiterated a Buy position on Alphabet stock with a target price of $1,350.

What Is Stadia?

When Google announced Stadia in March, it promised a cloud game streaming platform that will allow users to play console or PC games by streaming them directly to any device with a Chrome browser, removing the need to buy an expensive PC or console.

What’s New?

Google this week revealed more details on how it will work, what it will cost, what players will be able to play and when it will be available. Google said Stadia will launch in November in 14 countries and will include at least 31 different games from 21 publishers. Among the games are “Ghost Recon Breakout,” “The Division 2” and they teased “Baldur’s Gate 3” is being worked on for the platform.

Stadia Pro will start at $10 a month, which allows access to the platform and a few free games.

But Google also said that users will still have to buy most titles, most at similar retail prices to what they’d cost on PlayStation, Xbox or other platforms.

“We will sell these games like any other digital storefront,” Google’s director of games Jack Buser said in a report in The Verge.

“We think the potential to buy games at full price on the Stadia storefront, and play them to the Stadia platform is an interesting twist (no console cost), but may be difficult to get core gamers to transition off of Sony and Microsoft platforms which have their content libraries,” BOA’s Post cautioned in a Friday note to investors.

Competition Coming

Post also expects Google to soon have “robust competition” in the cloud gaming space and mentioned Microsoft Corporation (NASDAQ: MSFT), Amazon.com Inc. (NASDAQ: AMZN) and Apple Inc. (NASDAQ: AAPL) as likely to soon have their own services.

Tailwind For Publishers

Post also said the new type of gaming platform should be a tailwind for game publishers of games, including Electronic Arts Inc. (NASDAQ: EA), Activision Blizzard Inc. (NASDAQ: ATVI) and Take-Two Interactive Software Inc. (NASDAQ: TTWO).

Price Action

GOOGL traded up 1.9 percent Friday to close at $1,068.37.

Related Links

Google’s Stadia Video Game Platform Announces Pricing, Games Structure

How Google’s Stadia Video Game Streamer Will Be ‘Highly Disruptive’

Latest Ratings for GOOG

Date Firm Action From To
May 2019 Maintains Buy
Feb 2019 Maintains Overweight Overweight
Feb 2019 Maintains Buy Buy

View More Analyst Ratings for GOOG


View the Latest Analyst Ratings

Posted-In: Bank of America Merrill Lynch Cloud Gaming gaming Google StadiaAnalyst Color Reiteration Analyst Ratings Tech Best of Benzinga


Do you know someone who would benefit from this information? We can send your friend a strictly confidential, one-time email telling them about this information. Your privacy and your friend's privacy is your business... no spam! Click here and tell a friend!





You must be logged in to make a comment.
You can sign up for a membership or get a FREE Daily News membership or log in

Sign up today for an exclusive discount along with our 30-day GUARANTEE — Love us or leave, with your money back! Click here to become a part of our growing community and learn how to stop gambling with your investments. We will teach you to BE THE HOUSE — Not the Gambler!

Click here to see some testimonials from our members!