Where Electronic Arts Stands With Analysts

During the last three months, 22 analysts shared their evaluations of Electronic Arts EA, revealing diverse outlooks from bullish to bearish.

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 9 6 7 0 0
Last 30D 1 0 2 0 0
1M Ago 0 0 0 0 0
2M Ago 4 4 3 0 0
3M Ago 4 2 2 0 0

Insights from analysts' 12-month price targets are revealed, presenting an average target of $161.77, a high estimate of $183.00, and a low estimate of $150.00. This current average reflects an increase of 5.77% from the previous average price target of $152.95.

price target chart

Breaking Down Analyst Ratings: A Detailed Examination

A clear picture of Electronic Arts's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below 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
Brian Nowak Morgan Stanley Maintains Equal-Weight $150.00 $150.00
Benjamin Soff Deutsche Bank Maintains Hold $160.00 $160.00
Mike Hickey Benchmark Maintains Buy $163.00 $163.00
Doug Creutz TD Cowen Raises Buy $183.00 $163.00
Omar Dessouky B of A Securities Raises Buy $170.00 $150.00
Mike Hickey Benchmark Raises Buy $163.00 $153.00
Andrew Marok Raymond James Raises Outperform $170.00 $155.00
Nick McKay Wedbush Raises Outperform $170.00 $162.00
Drew Crum Stifel Raises Buy $167.00 $165.00
Eric Sheridan UBS Raises Neutral $155.00 $143.00
Colin Sebastian Baird Raises Outperform $170.00 $150.00
Brian Pitz BMO Capital Maintains Outperform $154.00 $154.00
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

Key Insights:

  • Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Electronic Arts. This information offers a snapshot of how analysts perceive the current state of the company.
  • Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Electronic Arts compared to the broader market.
  • Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Electronic Arts's stock. This comparison reveals trends in analysts' expectations over time.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Electronic Arts's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Electronic Arts analyst ratings.

Get to Know Electronic Arts Better

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.

A Deep Dive into Electronic Arts's Financials

Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.

Revenue Growth: Electronic Arts's revenue growth over a period of 3 months has faced challenges. As of 30 June, 2024, the company experienced a revenue decline of approximately -13.72%. This indicates a decrease in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Communication Services sector.

Net Margin: Electronic Arts's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 16.87%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Electronic Arts's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 3.76% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Electronic Arts's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 2.14%, the company may face hurdles in achieving optimal financial returns.

Debt Management: Electronic Arts's debt-to-equity ratio is below the industry average. With a ratio of 0.26, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Analyst Ratings: Simplified

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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