Electronic Arts (NASDAQ:EA) Updates FY 2025 Earnings Guidance

Electronic Arts (NASDAQ:EA) issued an update on its FY 2025 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 7.040-7.650 for the period, compared to the consensus earnings per share estimate of 7.580. The company issued revenue guidance of $7.4 billion-$7.7 billion. Electronic Arts also updated its FY25 guidance to $3.83-4.33 EPS.

Electronic Arts Stock Performance

EA traded up $1.71 during midday trading on Thursday, hitting $150.85. 2,645,647 shares of the company were exchanged, compared to its average volume of 2,059,914. The company’s 50 day simple moving average is $144.89 and its 200 day simple moving average is $140.02. The firm has a market capitalization of $40.09 billion, a price-to-earnings ratio of 32.23, a price-to-earnings-growth ratio of 1.97 and a beta of 0.79. Electronic Arts has a 1-year low of $121.63 and a 1-year high of $153.51. The company has a current ratio of 1.45, a quick ratio of 1.45 and a debt-to-equity ratio of 0.25.

Electronic Arts (NASDAQ:EA) last released its quarterly earnings data on Tuesday, July 30th. The game software company reported $0.09 EPS for the quarter, topping the consensus estimate of $0.03 by $0.06. The business had revenue of $1.26 billion for the quarter, compared to analyst estimates of $1.21 billion. Electronic Arts had a return on equity of 16.34% and a net margin of 15.77%. As a group, sell-side analysts predict that Electronic Arts will post 5.93 earnings per share for the current year.

Electronic Arts Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, December 18th. Stockholders of record on Wednesday, November 27th will be paid a dividend of $0.19 per share. This represents a $0.76 annualized dividend and a dividend yield of 0.50%. The ex-dividend date of this dividend is Wednesday, November 27th. Electronic Arts’s payout ratio is currently 16.24%.

Analyst Upgrades and Downgrades

A number of research firms recently issued reports on EA. The Goldman Sachs Group lifted their price target on shares of Electronic Arts from $139.00 to $150.00 and gave the company a “neutral” rating in a research note on Wednesday, July 31st. Oppenheimer lifted their target price on shares of Electronic Arts from $150.00 to $170.00 and gave the company an “outperform” rating in a research report on Tuesday, July 16th. Deutsche Bank Aktiengesellschaft restated a “hold” rating and set a $160.00 price target on shares of Electronic Arts in a research report on Wednesday, September 18th. Wedbush reiterated an “outperform” rating and issued a $170.00 price objective on shares of Electronic Arts in a report on Friday, October 25th. Finally, BMO Capital Markets reiterated an “outperform” rating and set a $160.00 price objective (up from $154.00) on shares of Electronic Arts in a research note on Wednesday. Eight analysts have rated the stock with a hold rating, eleven have given a buy rating and two have issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $164.39.

Insider Buying and Selling

In other news, insider Vijayanthimala Singh sold 7,384 shares of Electronic Arts stock in a transaction on Wednesday, August 28th. The stock was sold at an average price of $149.91, for a total value of $1,106,935.44. Following the completion of the sale, the insider now directly owns 31,190 shares of the company’s stock, valued at approximately $4,675,692.90. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. In other Electronic Arts news, CEO Andrew Wilson sold 2,500 shares of the business’s stock in a transaction on Monday, August 26th. The shares were sold at an average price of $148.88, for a total value of $372,200.00. Following the completion of the transaction, the chief executive officer now owns 56,747 shares in the company, valued at $8,448,493.36. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider Vijayanthimala Singh sold 7,384 shares of the company’s stock in a transaction on Wednesday, August 28th. The stock was sold at an average price of $149.91, for a total value of $1,106,935.44. Following the sale, the insider now directly owns 31,190 shares in the company, valued at $4,675,692.90. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 24,770 shares of company stock valued at $3,652,410. Company insiders own 0.22% of the company’s stock.

Electronic Arts Company Profile

Electronic Arts Inc develops, markets, publishes, and distributes games, content, and services for game consoles, PCs, mobile phones, and tablets worldwide. It develops and publishes games and services across various genres, such as sports, racing, first-person shooter, action, role-playing, and simulation primarily under the Battlefield, The Sims, Apex Legends, Need for Speed, and license games from others, including FIFA, Madden NFL, UFC, and Star Wars brands.