16 analysts have shared their evaluations of Electronic Arts EA during the recent three months, expressing a mix of bullish and bearish perspectives.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 4 | 6 | 6 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 3 | 1 | 3 | 0 | 0 |
| 2M Ago | 1 | 1 | 0 | 0 | 0 |
| 3M Ago | 0 | 4 | 2 | 0 | 0 |
Insights from analysts' 12-month price targets are revealed, presenting an average target of $156.06, a high estimate of $170.00, and a low estimate of $135.00. Surpassing the previous average price target of $152.12, the current average has increased by 2.59%.
Decoding Analyst Ratings: A Detailed Look
An in-depth analysis of recent analyst actions unveils how financial experts perceive Electronic Arts. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Eric Handler | Roth MKM | Raises | Neutral | $152.00 | $135.00 |
| Brian Nowak | Morgan Stanley | Raises | Equal-Weight | $150.00 | $140.00 |
| Mike Hickey | Benchmark | Maintains | Buy | $153.00 | $153.00 |
| Drew Crum | Stifel | Raises | Buy | $165.00 | $163.00 |
| Martin Yang | Oppenheimer | Raises | Outperform | $170.00 | $150.00 |
| David Karnovsky | JP Morgan | Raises | Neutral | $155.00 | $148.00 |
| Jason Bazinet | Citigroup | Raises | Neutral | $161.00 | $148.00 |
| Timothy O'Shea | Jefferies | Raises | Buy | $165.00 | $160.00 |
| Drew Crum | Stifel | Raises | Buy | $163.00 | $150.00 |
| Martin Yang | Oppenheimer | Maintains | Outperform | $150.00 | $150.00 |
| Benjamin Soff | Deutsche Bank | Lowers | Hold | $150.00 | $153.00 |
| Brian Pitz | BMO Capital | Lowers | Outperform | $154.00 | $160.00 |
| Nick McKay | Wedbush | Maintains | Outperform | $162.00 | $162.00 |
| Colin Sebastian | Baird | Lowers | Outperform | $150.00 | $160.00 |
| Nick McKay | Wedbush | Maintains | Outperform | $162.00 | $162.00 |
| Eric Handler | Roth MKM | Lowers | Neutral | $135.00 | $140.00 |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Electronic Arts. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Electronic Arts compared to the broader market.
- Price Targets: Gaining insights, analysts provide estimates for the future value of Electronic Arts's stock. This comparison reveals trends in analysts' expectations over time.
For valuable insights into Electronic Arts's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on Electronic Arts analyst ratings.
About Electronic Arts
EA is one of the world's largest third-party video game publishers and has transitioned from a console-based video game publisher to the one of the largest publishers on consoles, PC, and mobile. The firm owns number of large franchises, including Madden, EA Sports FC (formerly FIFA), Battlefield, Apex Legends, Mass Effect, Dragon's Age, and Need for Speed.
Electronic Arts's Financial Performance
Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.
Decline in Revenue: Over the 3 months period, Electronic Arts faced challenges, resulting in a decline of approximately -5.07% in revenue growth as of 31 March, 2024. This signifies a reduction in the company's top-line earnings. When compared to others in the Communication Services sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: Electronic Arts's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 10.23%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Electronic Arts's ROE excels beyond industry benchmarks, reaching 2.42%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.35%, the company showcases effective utilization of assets.
Debt Management: Electronic Arts's debt-to-equity ratio is below the industry average at 0.26, reflecting a lower dependency on debt financing and a more conservative financial approach.
Understanding the Relevance of Analyst Ratings
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
|---|
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
