Electronic Arts (EA) Stock Price, News & Analysis

Company Overview

Electronic Arts Inc. develops, markets, publishes, and distributes games, content, and services for game consoles, PCs, mobile phones, and tablets worldwide. It develops and publishes games and services across various genres, such as sports, racing, first-person shooter, action, role-playing, and simulation primarily under the Battlefield, The Sims, Apex Legends, Need for Speed, and license games from others, including FIFA, Madden NFL, UFC, and Star Wars brands. The company licenses its games to third parties to distribute and host its games. It markets and sells its games and services through digital distribution and retail channels, as well as directly to mass market retailers, specialty stores, and distribution arrangements. Electronic Arts Inc. was incorporated in 1982 and is headquartered in Redwood City, California.

Key Stats

• Today's Range: $162.37 to $164.22
• 50-Day Range: $139.55 to $168.08
• 52-Week Range: $124.92 to $168.50
• Volume: 1.62 million shs
• Average Volume: 2.05 million shs
• Market Capitalization: $42.93 billion
• P/E Ratio: 42.07
• Dividend Yield: 0.46%
• Price Target: $165.37
• Consensus Rating: Moderate Buy

Electronic Arts Stock Analysis - MarketRank™

Electronic Arts scored higher than 90% of companies evaluated by MarketBeat, and ranked 39th out of 284 stocks in the consumer discretionary sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.3 / 5
• Analyst Rating: Moderate Buy

Consensus Rating

Electronic Arts has received a consensus rating of Moderate Buy. The company's average rating score is 2.67, and is based on 12 buy ratings, 8 hold ratings, and no sell ratings.

Amount of Analyst Coverage

Electronic Arts has been the subject of 12 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 8.56%

Earnings Growth

Earnings for Electronic Arts are expected to grow by 8.56% in the coming year, from $5.84 to $6.34 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Electronic Arts is 42.11, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 127.02.

Price to Earnings Ratio vs. Sector

The P/E ratio of Electronic Arts is 42.11, which means that it is trading at a more expensive P/E ratio than the Consumer Discretionary sector average P/E ratio of about 15.38.

Price to Earnings Growth Ratio

Electronic Arts has a PEG Ratio of 2.13. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

Electronic Arts has a P/B Ratio of 5.80. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 3.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

3.02% of the float of Electronic Arts has been sold short.

Short Interest Ratio / Days to Cover

Electronic Arts has a short interest ratio ("days to cover") of 3.8, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Electronic Arts has recently increased by 10.32%, indicating that investor sentiment is decreasing significantly.

Dividend

• Score: 1.7 / 5
• Dividend Strength: Weak

Dividend Yield

Electronic Arts has a dividend yield of 0.47%, which is in the bottom 25% of all stocks that pay dividends.

Dividend Growth

Electronic Arts does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of Electronic Arts is 19.54%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, Electronic Arts will have a dividend payout ratio of 11.99% next year. This indicates that Electronic Arts will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 2.6 / 5
• Environmental Score: -1.18

Percentage of Shares Shorted

3.02% of the float of Electronic Arts has been sold short.

Short Interest Ratio / Days to Cover

Electronic Arts has a short interest ratio ("days to cover") of 3.8, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Electronic Arts has recently increased by 10.32%, indicating that investor sentiment is decreasing significantly.

News and Social Media

• Score: 4.0 / 5
• News Sentiment: 1.23

News Sentiment

Electronic Arts has a news sentiment score of 1.23. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.75 average news sentiment score of Consumer Discretionary companies.

News Coverage This Week

MarketBeat has tracked 21 news articles for Electronic Arts this week, compared to 15 articles on an average week.

Search Interest

18 people have searched for EA on MarketBeat in the last 30 days. This is an increase of 800% compared to the previous 30 days.

MarketBeat Follows

10 people have added Electronic Arts to their MarketBeat watchlist in the last 30 days. This is an increase of 233% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Electronic Arts insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $3,073,520.00 in company stock.

Percentage Held by Insiders

Only 0.22% of the stock of Electronic Arts is held by insiders.

Percentage Held by Institutions

90.23% of the stock of Electronic Arts is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

EA Stock Analysis - Frequently Asked Questions

How have EA shares performed this year?

Electronic Arts' stock was trading at $136.81 at the beginning of the year. Since then, EA shares have increased by 19.7% and is now trading at $163.81.
View the best growth stocks for 2024 here.

How were Electronic Arts' earnings last quarter?

Electronic Arts Inc. (NASDAQ:EA) released its earnings results on Tuesday, January, 30th. The game software company reported $1.07 EPS for the quarter, missing the consensus estimate of $2.45 by $1.38. The business's quarterly revenue was up 1.0% on a year-over-year basis.
Read the conference call transcript.

Does Electronic Arts have any subsidiaries?

Electronic Arts subsidiaries include Industrial Toys, Respawn Entertainment, ESN Social Software, KlickNation, PopCap Games, Firemint, Chillingo, and more.

Who are Electronic Arts' major shareholders?

Top institutional shareholders of Electronic Arts include State Street Corp (5.75%), Geode Capital Management LLC (2.54%), Massachusetts Financial Services Co. MA (1.59%) and UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC (0.97%). Insiders that own company stock include Kenneth A Moss, Jeff Huber, Richard A Simonson, Andrew Wilson, Laura Miele, Vijayanthimala Singh, Jacob J Schatz, Chris Bruzzo, Stuart Canfield, Eric Charles Kelly, Luis A Ubinas and Blake J Jorgensen.
View institutional ownership trends.

How do I buy shares of Electronic Arts?

Shares of EA stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Electronic Arts own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Electronic Arts investors own include Cuisine Solutions (CUSI), InnerScope Hearing Technologies (INND), UnitedHealth Group (UNH), Johnson & Johnson (JNJ), Gilead Sciences (GILD), Corning (GLW) and NVIDIA (NVDA).

Company Calendar

• Last Earnings: 1/30/2024
• Ex-Dividend for 9/18 Dividend: 8/28/2024
• Dividend Payable: 9/18/2024
• Ex-Dividend for 12/18 Dividend: 11/27/2024
• Today: 11/29/2024
• Dividend Payable: 12/18/2024
• Next Earnings (Estimated): 2/04/2025
• Fiscal Year End: 3/31/2025

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Consumer Discretionary
• Industry: Prepackaged software
• Sub-Industry: Computer Software
• Current Symbol: NASDAQ:EA
• CUSIP: 28551210
• CIK: 712515
• Web: www.ea.com
• Phone: (650) 628-1500
• Fax: 650-628-1422
• Employees: 13,700
• Year Founded: 1982

Price Target and Rating

• Average Stock Price Target: $165.37
• High Stock Price Target: $183.00
• Low Stock Price Target: $150.00
• Potential Upside/Downside: +1.4%
• Consensus Rating: Moderate Buy
• Rating Score (0-4): 2.67
• Research Coverage: 21 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $3.89
• Trailing P/E Ratio: 41.93
• Forward P/E Ratio: 27.93
• P/E Growth: 2.14
• Net Income: $1.27 billion
• Net Margins: 14.12%
• Pretax Margin: 19.37%
• Return on Equity: 18.56%
• Return on Assets: 10.48%

Debt

• Debt-to-Equity Ratio: 0.25
• Current Ratio: 1.43
• Quick Ratio: 1.43

Sales & Book Value

• Annual Sales: $7.56 billion
• Price / Sales: 5.66
• Cash Flow: $6.74 per share
• Price / Cash Flow: 24.21
• Book Value: $28.25 per share
• Price / Book: 5.77

Miscellaneous

• Outstanding Shares: 262,270,000
• Free Float: 261,696,000
• Market Cap: $42.78 billion
• Optionable: Optionable
• Beta: 0.78