Microsoft Activision, Blizzard dropped to its lowest price since the deal was announced

On Wednesday, shares of game publisher Activision Blizzard fell to their lowest level since Microsoft announced it would buy the company for nearly $59 billion in January, days after Activision Blizzard reported lower-than-expected first-quarter earnings.

Meanwhile, Microsoft had its best day two months after beating expectations with its quarterly results. Shares of Activision Blizzard closed at $76.10 per share, down 1.3%. That's nearly 20% lower than Microsoft's $95 per share offer.

It will be the big tech deal in the United States, but the growing delta suggests some investors are more afraid of the value.

Activision Blizzard said Monday that the Activision arm, which supports the Call of Duty game, continued to lose monthly active users in the first quarter. Activision released Call of Duty: Vanguard in November and the game did not receive generally positive reviews. In addition, the company's net orders fell nearly 29 percent during the quarter, partly due to lower premium sales for the new Call of Duty game.

Activision Blizzard has received voluntary disclosure requests from the SEC and subpoenas from a Department of Justice jury, both of which appear to be related to their respective investigations into trading with third parties - including individuals known to the Activision Blizzard CEO. "with securities before the announcement of the proposed deal," the company said in an April 15 regulatory filing.

"There's always a non-zero chance of being blocked," Griffin said. "The recent Activision trades have shown people's concern about what happens in an adverse impact scenario."

Griffin said weaker-than-expected numbers in Call of Duty would be wrong for the underlying story behind Activision if the deal fell through. Instead, he predicted the value would work but said the stock would likely have appreciated sometime in the mid-1960s when Activision was forced to go alone.

It will be swapped if the deal blows up," he said. Of the 21 Activision Blizzard Target analysts listed on FactSet, 17 are at $95.