Electronic Arts (NASDAQ:EA) Releases 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 Price Performance

Electronic Arts stock traded up $0.67 during trading hours on Friday, hitting $151.52. 853,672 shares of the stock were exchanged, compared to its average volume of 2,054,230. Electronic Arts has a 12 month low of $124.92 and a 12 month high of $153.51. The business’s 50-day moving average is $144.89 and its two-hundred day moving average is $140.02. The company has a debt-to-equity ratio of 0.25, a quick ratio of 1.45 and a current ratio of 1.43. The stock has a market capitalization of $40.03 billion, a P/E ratio of 38.78, a P/E/G ratio of 2.04 and a beta of 0.79.

Electronic Arts (NASDAQ:EA) last released its quarterly earnings results on Tuesday, July 30th. The game software company reported $0.09 earnings per share for the quarter, beating analysts’ consensus estimates of $0.03 by $0.06. The firm had revenue of $1.26 billion during the quarter, compared to analysts’ expectations of $1.21 billion. Electronic Arts had a return on equity of 18.56% and a net margin of 14.12%. Equities research analysts expect that Electronic Arts will post 5.93 EPS for the current fiscal year.

Electronic Arts Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, December 18th. Investors of record on Wednesday, November 27th will be issued a $0.19 dividend. The ex-dividend date is Wednesday, November 27th. This represents a $0.76 dividend on an annualized basis and a dividend yield of 0.50%. Electronic Arts’s dividend payout ratio is 19.54%.

Analyst Upgrades and Downgrades

Several research firms have weighed in on EA. UBS Group raised their price objective on shares of Electronic Arts from $155.00 to $160.00 and gave the company a “neutral” rating in a research report on Wednesday. Wedbush reaffirmed an “outperform” rating and set a $170.00 price objective on shares of Electronic Arts in a report on Friday, October 25th. Robert W. Baird boosted their price objective on Electronic Arts from $170.00 to $175.00 and gave the stock an “outperform” rating in a report on Wednesday. DZ Bank raised shares of Electronic Arts from a “hold” rating to a “buy” rating and lifted their target price for the stock from $135.00 to $177.00 in a report on Thursday. Finally, Oppenheimer increased their price target on Electronic Arts from $150.00 to $170.00 and gave the company an “outperform” rating in a research note on Tuesday, July 16th. Eight analysts have rated the stock with a hold rating, eleven have assigned a buy rating and two have issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $164.39.

Insider Activity

In related news, CEO Andrew Wilson sold 2,500 shares of Electronic Arts stock in a transaction that occurred on Monday, August 26th. The stock was sold at an average price of $148.88, for a total transaction of $372,200.00. Following the completion of the sale, the chief executive officer now directly owns 56,747 shares of the company’s stock, valued at approximately $8,448,493.36. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. In other Electronic Arts news, insider Vijayanthimala Singh sold 1,000 shares of Electronic Arts stock in a transaction on Tuesday, September 3rd. The stock was sold at an average price of $151.70, for a total value of $151,700.00. Following the completion of the transaction, the insider now directly owns 30,190 shares of the company’s stock, valued at $4,579,823. The trade was a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Andrew Wilson sold 2,500 shares of the stock in a transaction on Monday, August 26th. The stock was sold at an average price of $148.88, for a total value of $372,200.00. Following the sale, the chief executive officer now directly owns 56,747 shares in the company, valued at approximately $8,448,493.36. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 22,644 shares of company stock valued at $3,340,377 over the last ninety days. 0.22% of the stock is currently owned by company 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.