Wall Street brokerages predict that Electronic Arts Inc. (NASDAQ:EA) will post $1.95 earnings per share (EPS) for the current fiscal quarter, according to Zacks Investment Research. Nine analysts have provided estimates for Electronic Arts’ earnings, with the lowest EPS estimate coming in at $1.88 and the highest estimate coming in at $2.02. Electronic Arts reported earnings of $2.22 per share in the same quarter last year, which would indicate a negative year over year growth rate of 12.2%. The company is expected to announce its next earnings results on Tuesday, January 29th.
According to Zacks, analysts expect that Electronic Arts will report full year earnings of $4.59 per share for the current financial year, with EPS estimates ranging from $4.50 to $4.69. For the next year, analysts expect that the company will report earnings of $5.24 per share, with EPS estimates ranging from $4.98 to $5.57. Zacks’ earnings per share averages are a mean average based on a survey of sell-side analysts that that provide coverage for Electronic Arts.
Electronic Arts (NASDAQ:EA) last released its earnings results on Tuesday, October 30th. The game software company reported $0.83 earnings per share for the quarter, beating the Zacks’ consensus estimate of $0.37 by $0.46. The firm had revenue of $1.22 billion for the quarter, compared to analysts’ expectations of $1.18 billion. Electronic Arts had a net margin of 18.76% and a return on equity of 26.01%. The company’s quarterly revenue was up 3.6% on a year-over-year basis. During the same period in the previous year, the company earned $0.62 earnings per share.
A number of analysts recently commented on the stock. BidaskClub upgraded shares of Electronic Arts from a “sell” rating to a “hold” rating in a research note on Friday, September 28th. Zacks Investment Research cut shares of Electronic Arts from a “hold” rating to a “sell” rating in a research note on Wednesday, September 26th. Buckingham Research assumed coverage on shares of Electronic Arts in a research note on Thursday, October 4th. They set a “buy” rating and a $143.00 price target on the stock. KeyCorp dropped their price target on shares of Electronic Arts from $168.00 to $137.00 and set an “overweight” rating on the stock in a research note on Friday, August 31st. Finally, Wedbush set a $158.00 price target on shares of Electronic Arts and gave the company a “buy” rating in a research note on Friday, August 31st. One analyst has rated the stock with a sell rating, seven have issued a hold rating, twenty-two have given a buy rating and one has assigned a strong buy rating to the stock. Electronic Arts currently has a consensus rating of “Buy” and a consensus price target of $134.68.
EA opened at $82.52 on Friday. The company has a debt-to-equity ratio of 0.19, a quick ratio of 3.52 and a current ratio of 3.52. The stock has a market capitalization of $24.53 billion, a price-to-earnings ratio of 23.99, a P/E/G ratio of 1.40 and a beta of 1.02. Electronic Arts has a twelve month low of $79.50 and a twelve month high of $151.26.
In other Electronic Arts news, insider Chris Bruzzo sold 3,000 shares of the stock in a transaction on Monday, October 1st. The shares were sold at an average price of $117.56, for a total transaction of $352,680.00. Following the completion of the sale, the insider now owns 54,676 shares of the company’s stock, valued at approximately $6,427,710.56. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, General Counsel Jacob J. Schatz sold 1,000 shares of the stock in a transaction on Thursday, September 20th. The shares were sold at an average price of $113.42, for a total transaction of $113,420.00. Following the sale, the general counsel now directly owns 18,029 shares of the company’s stock, valued at approximately $2,044,849.18. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 74,450 shares of company stock worth $7,925,690. 2.24% of the stock is owned by insiders.
A number of institutional investors and hedge funds have recently made changes to their positions in EA. Motley Fool Asset Management LLC lifted its position in shares of Electronic Arts by 13.8% in the 2nd quarter. Motley Fool Asset Management LLC now owns 3,286 shares of the game software company’s stock worth $463,000 after purchasing an additional 399 shares during the period. State Treasurer State of Michigan increased its stake in shares of Electronic Arts by 0.6% in the 2nd quarter. State Treasurer State of Michigan now owns 90,806 shares of the game software company’s stock worth $12,805,000 after acquiring an additional 500 shares in the last quarter. Redpoint Investment Management Pty Ltd increased its stake in shares of Electronic Arts by 2.0% in the 2nd quarter. Redpoint Investment Management Pty Ltd now owns 26,640 shares of the game software company’s stock worth $3,757,000 after acquiring an additional 514 shares in the last quarter. Metropolitan Life Insurance Co. NY increased its stake in shares of Electronic Arts by 0.9% in the 2nd quarter. Metropolitan Life Insurance Co. NY now owns 61,038 shares of the game software company’s stock worth $8,608,000 after acquiring an additional 551 shares in the last quarter. Finally, Wetherby Asset Management Inc. increased its stake in shares of Electronic Arts by 11.1% in the 3rd quarter. Wetherby Asset Management Inc. now owns 5,916 shares of the game software company’s stock worth $713,000 after acquiring an additional 593 shares in the last quarter. 94.99% of the stock is owned by institutional investors and hedge funds.
About Electronic Arts
Electronic Arts Inc develops, markets, publishes, and distributes games, content, and services for game consoles, PCs, mobile phones, and tablets worldwide. The company develops and publishes games and services across various genres, such as sports, first-person shooter, action, role-playing, and simulation primarily under the Battlefield, Mass Effect, Need for Speed, The Sims, and Plants v.
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