Electronic Arts (NASDAQ:EA) Updates FY25 Earnings Guidance

Electronic Arts (NASDAQ:EA) issued an update on its FY25 earnings guidance on Tuesday. The company provided earnings per share guidance of $3.34-4.00 for the period, compared to the consensus earnings per share estimate of $3.99. The company issued revenue guidance of $7.3-7.7 billion, compared to the consensus revenue estimate of $7.52 billion. Electronic Arts also updated its FY 2025 guidance to 6.890-7.700 EPS.

Electronic Arts Stock Down 0.3 %

Electronic Arts stock traded down $0.44 during mid-day trading on Friday, hitting $147.96. The company had a trading volume of 635,520 shares, compared to its average volume of 2,172,058. Electronic Arts has a 12 month low of $117.47 and a 12 month high of $153.51. The company has a current ratio of 1.37, a quick ratio of 1.37 and a debt-to-equity ratio of 0.25. The stock’s 50 day moving average price is $139.89 and its two-hundred day moving average price is $135.90. The company has a market capitalization of $39.32 billion, a PE ratio of 31.71, a price-to-earnings-growth ratio of 2.36 and a beta of 0.79.

Electronic Arts (NASDAQ:EA) last announced its quarterly earnings results on Tuesday, May 7th. The game software company reported $0.92 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.09 by ($0.17). The firm had revenue of $1.67 billion during the quarter, compared to the consensus estimate of $1.78 billion. Electronic Arts had a return on equity of 16.26% and a net margin of 15.77%. As a group, sell-side analysts anticipate that Electronic Arts will post 5.76 earnings per share for the current fiscal year.

Electronic Arts Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, September 18th. Investors of record on Wednesday, August 28th will be given a dividend of $0.19 per share. This represents a $0.76 annualized dividend and a dividend yield of 0.51%. The ex-dividend date of this dividend is Wednesday, August 28th. Electronic Arts’s dividend payout ratio (DPR) is currently 16.24%.

Analyst Ratings Changes

Several brokerages have commented on EA. TD Cowen increased their target price on Electronic Arts from $163.00 to $183.00 and gave the company a buy rating in a research note on Wednesday. BMO Capital Markets reaffirmed an outperform rating and set a $154.00 price target on shares of Electronic Arts in a report on Tuesday. Bank of America lifted their price objective on Electronic Arts from $150.00 to $170.00 and gave the stock a buy rating in a report on Wednesday. Wedbush upped their target price on shares of Electronic Arts from $162.00 to $170.00 and gave the company an outperform rating in a research note on Wednesday. Finally, StockNews.com upgraded shares of Electronic Arts from a hold rating to a buy rating in a research note on Wednesday, June 26th. Ten investment analysts have rated the stock with a hold rating and thirteen have given a buy rating to the stock. According to data from MarketBeat.com, Electronic Arts presently has an average rating of Moderate Buy and an average price target of $158.95.

Insider Transactions at Electronic Arts

In other news, EVP Jacob J. Schatz sold 1,000 shares of the business’s stock in a transaction dated Wednesday, May 15th. The shares were sold at an average price of $127.15, for a total value of $127,150.00. Following the sale, the executive vice president now directly owns 17,426 shares in the company, valued at approximately $2,215,715.90. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. In other news, CEO Andrew Wilson sold 4,639 shares of the stock in a transaction that occurred on Wednesday, May 22nd. The stock was sold at an average price of $134.15, for a total value of $622,321.85. Following the sale, the chief executive officer now directly owns 66,747 shares in the company, valued at $8,954,110.05. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, EVP Jacob J. Schatz sold 1,000 shares of the business’s stock in a transaction on Wednesday, May 15th. The shares were sold at an average price of $127.15, for a total value of $127,150.00. Following the transaction, the executive vice president now owns 17,426 shares of the company’s stock, valued at approximately $2,215,715.90. The disclosure for this sale can be found here. Over the last three months, insiders have sold 23,239 shares of company stock valued at $3,197,469. 0.22% of the stock is currently owned by insiders.

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.