Activision Blizzard's Winning Strategy

Activision Blizzard CEO tells Jim Cramer his company beats the competition by focusing first on its customers.
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Some 425 million people play Activision Blizzard's  (ATVI) - Get Report games in 190 countries around the world, CEO Bobby Kotick told Jim Cramer on Mad Money Tuesday night.

The video game maker shares are up 37% over the past year, and Kotick attributed Activision's success to its continual focus on customers. 

Over on Real Money, Cramer says that he keeps hearing from complainers that the meme stocks are wildly overvalued. But, he says, "How the heck do we know?" Profit from his insights on Wendy's  (WEN) - Get Report, GameStop  (GME) - Get Report, BlackBerry  (BB) - Get Report and more.

Kotick also commented on his recent pay cut, saying that Activision is a performance-based company and salaries aren't a performance metric. He was happy to align his salary to the 25th percentile of the industry and instead, rely on stock-based compensation that only rewards him when the company exceeds its goals.

Finally, Kotick spoke about their Call of Duty Endowment, which provides assistance to veterans. He said veterans are three times less likely to find work after that return from service and the endowment hopes to help rectify that statistic.

Read more from Cramer on Real Money

Stocks ended mostly higher Tuesday, with the S&P 500 near a record close, as traders looked for clues on how rising price pressures might affect the Federal Reserve's support for a U.S. economy recovering from the COVID-19 pandemic.

The Dow Jones Industrial Average ended down 30 points, or 0.09%, to 34,599, while the S&P 500 gained 0.02% and the Nasdaq rose 0.31%.

Equities recovered from what looked like a sharply lower stock market open after reports of widespread outages at government and global news websites such as The New York Times and Bloomberg. TheStreet's websites also were knocked offline by the outage. 

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At the time of publication, Cramer's Action Alerts PLUS had no position in the stocks mentioned.