Electronic Arts (NASDAQ:EA) Reaches New 52-Week High – What’s Next?

Electronic Arts Inc. (NASDAQ:EA) shares reached a new 52-week high during trading on Wednesday . The stock traded as high as $206.00 and last traded at $205.3530, with a volume of 3747 shares changing hands. The stock had previously closed at $205.04.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on the company. Weiss Ratings raised Electronic Arts from a “hold (c)” rating to a “hold (c+)” rating in a report on Monday, May 18th. Citigroup lifted their price objective on Electronic Arts from $202.00 to $204.00 and gave the stock a “neutral” rating in a research note on Thursday, May 7th. Wall Street Zen raised Electronic Arts to a “hold” rating in a report on Saturday, June 6th. Finally, Argus lowered shares of Electronic Arts from a “buy” rating to a “hold” rating in a report on Thursday, May 28th. Two research analysts have rated the stock with a Buy rating, seventeen have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $196.64.

Electronic Arts Price Performance

The firm has a market capitalization of $51.46 billion, a P/E ratio of 58.80, a price-to-earnings-growth ratio of 2.31 and a beta of 0.64. The firm has a 50 day moving average price of $202.40 and a 200-day moving average price of $202.46. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.22.

Electronic Arts Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, June 17th. Investors of record on Wednesday, May 27th were given a $0.19 dividend. The ex-dividend date was Wednesday, May 27th. This represents a $0.76 dividend on an annualized basis and a yield of 0.4%. Electronic Arts’s dividend payout ratio (DPR) is currently 21.78%.

Insider Activity

In other news, EVP Jacob J. Schatz sold 5,000 shares of the stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $201.19, for a total value of $1,005,950.00. Following the sale, the executive vice president owned 42,287 shares of the company’s stock, valued at approximately $8,507,721.53. This represents a 10.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Andrew Wilson sold 5,066 shares of the firm’s stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $201.66, for a total transaction of $1,021,609.56. Following the completion of the sale, the chief executive officer owned 85,974 shares of the company’s stock, valued at $17,337,516.84. This trade represents a 5.56% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders have sold 39,906 shares of company stock worth $8,060,033. 0.24% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the business. Ascentis Independent Advisors bought a new stake in shares of Electronic Arts during the 1st quarter worth approximately $27,000. MV Capital Management Inc. bought a new position in Electronic Arts in the 4th quarter valued at $28,000. Ameriflex Group Inc. grew its position in Electronic Arts by 100.0% in the 3rd quarter. Ameriflex Group Inc. now owns 138 shares of the game software company’s stock valued at $28,000 after acquiring an additional 69 shares during the last quarter. Asset Planning Inc purchased a new stake in Electronic Arts in the first quarter worth $32,000. Finally, Whipplewood Advisors LLC purchased a new stake in Electronic Arts in the first quarter worth $32,000. Institutional investors own 90.23% of the company’s stock.

About Electronic Arts

Electronic Arts Inc (NASDAQ: EA) is a global interactive entertainment company headquartered in Redwood City, California. Founded in 1982 by Trip Hawkins, EA develops, publishes and distributes video games and related content for a variety of platforms, including consoles, personal computers and mobile devices. The company combines in-house development, partnerships and studio acquisitions to create and maintain a portfolio of entertainment properties and live-service experiences for players worldwide.

EA’s product lineup spans several well-known franchises and genres.