$1.39 Billion in Sales Expected for Electronic Arts Inc. (NASDAQ:EA) This Quarter


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Analysts forecast that Electronic Arts Inc. (NASDAQ:EA) will announce $1.39 billion in sales for the current quarter, according to Zacks Investment Research. Nine analysts have provided estimates for Electronic Arts’ earnings, with the lowest sales estimate coming in at $1.38 billion and the highest estimate coming in at $1.40 billion. Electronic Arts posted sales of $1.21 billion in the same quarter last year, which would indicate a positive year over year growth rate of 14.9%. The firm is expected to issue its next earnings results on Tuesday, May 4th.

On average, analysts expect that Electronic Arts will report full-year sales of $6.06 billion for the current financial year, with estimates ranging from $5.84 billion to $6.10 billion. For the next financial year, analysts anticipate that the business will post sales of $6.31 billion, with estimates ranging from $5.20 billion to $6.51 billion. Zacks Investment Research’s sales calculations are an average based on a survey of research analysts that that provide coverage for Electronic Arts.

Electronic Arts (NASDAQ:EA) last posted its quarterly earnings data on Monday, February 1st. The game software company reported $3.06 EPS for the quarter, beating analysts’ consensus estimates of $2.96 by $0.10. The company had revenue of $2.40 billion during the quarter, compared to analysts’ expectations of $2.38 billion. Electronic Arts had a return on equity of 17.85% and a net margin of 23.51%. Electronic Arts’s revenue for the quarter was up 18.8% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.52 earnings per share.

A number of analysts have commented on EA shares. Stifel Nicolaus reduced their target price on shares of Electronic Arts from $163.00 to $150.00 and set a “buy” rating for the company in a report on Monday, November 9th. They noted that the move was a valuation call. Barclays upped their price objective on Electronic Arts from $124.00 to $145.00 and gave the stock an “equal weight” rating in a research note on Wednesday, February 3rd. Wells Fargo & Company lifted their target price on Electronic Arts from $145.00 to $165.00 and gave the company an “equal weight” rating in a research report on Wednesday, February 3rd. Piper Sandler upped their price target on Electronic Arts from $133.00 to $156.00 and gave the stock a “neutral” rating in a research report on Wednesday, February 3rd. Finally, BMO Capital Markets lifted their price objective on Electronic Arts from $127.00 to $143.00 and gave the company a “market perform” rating in a research report on Friday, February 5th. Twelve equities research analysts have rated the stock with a hold rating, fourteen have issued a buy rating and one has issued a strong buy rating to the company. Electronic Arts has an average rating of “Buy” and a consensus target price of $152.23.

In related news, insider Vijayanthimala Singh sold 2,000 shares of the business’s stock in a transaction dated Monday, January 25th. The shares were sold at an average price of $150.00, for a total transaction of $300,000.00. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, General Counsel Jacob J. Schatz sold 1,000 shares of the business’s stock in a transaction dated Thursday, December 17th. The stock was sold at an average price of $141.95, for a total transaction of $141,950.00. Following the transaction, the general counsel now owns 17,735 shares in the company, valued at $2,517,483.25. The disclosure for this sale can be found here. In the last 90 days, insiders sold 112,925 shares of company stock worth $16,466,045. Company insiders own 0.92% of the company’s stock.

Several hedge funds have recently bought and sold shares of EA. Public Investment Fund acquired a new position in Electronic Arts during the fourth quarter worth $1,065,538,000. BlackRock Inc. increased its stake in shares of Electronic Arts by 13.6% in the 4th quarter. BlackRock Inc. now owns 22,993,496 shares of the game software company’s stock worth $3,301,866,000 after acquiring an additional 2,747,815 shares during the last quarter. Alliancebernstein L.P. raised its holdings in shares of Electronic Arts by 23.1% during the 4th quarter. Alliancebernstein L.P. now owns 11,314,902 shares of the game software company’s stock worth $1,624,820,000 after acquiring an additional 2,125,286 shares during the period. Caisse DE Depot ET Placement DU Quebec boosted its position in shares of Electronic Arts by 9,575.0% during the 4th quarter. Caisse DE Depot ET Placement DU Quebec now owns 1,774,401 shares of the game software company’s stock valued at $254,804,000 after acquiring an additional 1,756,061 shares during the last quarter. Finally, California Public Employees Retirement System boosted its position in shares of Electronic Arts by 249.8% during the 3rd quarter. California Public Employees Retirement System now owns 2,233,454 shares of the game software company’s stock valued at $291,265,000 after acquiring an additional 1,594,927 shares during the last quarter. Institutional investors and hedge funds own 87.95% of the company’s stock.

Shares of NASDAQ:EA traded down $1.67 during trading on Thursday, hitting $140.59. The company’s stock had a trading volume of 188,981 shares, compared to its average volume of 3,106,951. The company has a debt-to-equity ratio of 0.05, a current ratio of 2.75 and a quick ratio of 2.75. The firm has a market cap of $40.44 billion, a price-to-earnings ratio of 31.68, a P/E/G ratio of 2.83 and a beta of 0.92. The company has a 50-day moving average of $143.31 and a 200-day moving average of $134.29. Electronic Arts has a 12 month low of $85.69 and a 12 month high of $150.30.

The company also recently announced a quarterly dividend, which will be paid on Wednesday, March 24th. Shareholders of record on Wednesday, March 3rd will be issued a dividend of $0.17 per share. The ex-dividend date of this dividend is Tuesday, March 2nd. This represents a $0.68 dividend on an annualized basis and a dividend yield of 0.48%. Electronic Arts’s payout ratio is currently 14.29%.

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, The Sims, Apex Legends, Need for Speed, and Plants v.

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