The consensus earnings estimate was $1.15 per share on revenue of $1.7 billion. The current consensus earnings estimate is $3.20 per share on revenue of $2.68… Shift and player tastes – As with most consumer products, tastes are constantly changing and evolving around the types of games that players want. While we think the demand for simulated sports titles will remain strong for years, EA stock price other types of games (especially in the first-person shooter genre) are particularly vulnerable to disruption. We saw this in 2018 with Fortnite causing significant competition for EA and ATVI. Under our base case scenario, EA hits its guidance this year. We assume the company benefits over the next couple of years from market growth, new game releases, and fixing Battlefield 2042.
- Electronic Arts, Inc. develops, markets, publishes, and distributes games, content, and services for game consoles, PCs, mobile phones, and tablets worldwide.
- There are positive developments for the company that we believe bodes well for its financial performance going forward.
- Development Delays – We’ve already seen this with how the stock has reacted to the company’s weak release of Battlefield 2042.
- Banking on cheap stocks to drub shares of growth companies is not a recipe for success, but it’s a sound strategy in the current environment.
- These companies should benefit as more and more of the world moves to digital platforms.
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The leadership at EA has been an important driver of the company’s success since Andrew Wilson took over as CEO in September 2013. EA’s stock price under his leadership has generated 19.6% annualized https://dotbig.com/ returns, in line with peer company Activision Blizzard (which we also consider a high-quality Compounder). Both have performed well above the S&P 500 Communications Services Sector and S&P 500.
Marketwatch
The Company’s PC games and additional content can be downloaded directly through its Origin online platform, as well as through third-party online download stores, such as Steam. Its mobile, tablet and PC free-to-download games and additional content are available through third-party application storefronts, such as the Apple Application Store and Google Play. Electronic Arts Inc. is a digital interactive entertainment company. As discussed above, Microsoft agreed to acquire Activision for $95 a share back in January or ~26x this year’s earnings and ~21.5x next year’s earnings. We believe this transaction has created a baseline value for what established video game companies are worth in the market. We’d note that Activision has been navigating a giant corporate scandal around internal culture, which may have resulted in a discount for the shares.
TipRanks is a comprehensive investing tool that allows private investors and day traders to see the measured performance of anyone who provides financial advice. Electronic Arts reported an EPS of $3.17 in its last earnings report, missing expectations DotBig of $3.214. Following the earnings report the stock price went up 5.564%. Buying a low-cost index fund will get you the average market return. But in any diversified portfolio of stocks, you’ll see some that fall short of the average.
Electronic Arts Overview
In the latest trading session, Electronic Arts closed at https://www.insiderintelligence.com/insights/largest-banks-us-list/ $123.74, marking a +0.35% move from the previous day.
Click Use New Research and get the same data you use today, plus new tools and insights. Electronic Arts stock is dipping as it beefs up its mobile game with the $1.4 billion acquisition of developer Playdemic from AT&T . The Style Scores are a complementary set of indicators to use alongside the Zacks Rank. It allows the user to better focus on the stocks that are the best fit for his or her personal trading style. Build the strongest argument relying on authoritative content, attorney-editor expertise, and industry defining technology. EA’s charts have been shaping up nicely this year, so go long at current levels. Unity can pitch itself as both as a gaming play and a high-growth software play.
Company Summary
These two stocks have disappointed investors over the past year, but are set up for long-term success. See how a stock measures up by instantly comparing it to the industry average and its top four competitors. Read live tweets from the financial and investing community about the stock you’re interested in. Click the portfolio icon to get information about stocks you own without leaving https://dotbig.com/markets/stocks/EA/ the research page. Has historical data on financials with interactive charts, technical indicators, and five-year peer comparison trend charts. Is an accuracy-weighted sentiment derived from the ratings of independent research providers on Fidelity.com. It uses the past relative accuracy of the providers in determining the emphasis placed on any individual opinion.Learn More….
Research Reports For Ea
However, analysts commonly use some key metrics to help gauge the value of a stock. Robinhood gives you the tools you need to put your money in motion. Highlights important summary options statistics to provide a forward looking indication https://dotbig.com/markets/stocks/EA/ of investors’ sentiment. Live educational sessions using site features to explore today’s markets. I/we have a beneficial long position in the shares of EA, MSFT, GOOG either through stock ownership, options, or other derivatives.