Evaluating the Ups and Downs of Electronic Arts, Inc’s (EA) Stock

The stock of Electronic Arts, Inc (EA) has seen a -3.61% decrease in the past week, with a -10.48% drop in the past month, and a 5.46% flourish in the past quarter. The volatility ratio for the week is 2.01%, and the volatility levels for the past 30 days are at 1.76% for EA.. The simple moving average for the past 20 days is -6.58% for EA’s stock, with a 4.43% simple moving average for the past 200 days.

Is It Worth Investing in Electronic Arts, Inc (NASDAQ: EA) Right Now?

The price-to-earnings ratio for Electronic Arts, Inc (NASDAQ: EA) is above average at 38.31x, Company’s 36-month beta value is 0.80.Analysts have differing opinions on the stock, with 8 analysts rating it as a “buy,” 3 as “overweight,” 15 as “hold,” and 0 as “sell.”

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The public float for EA is 236.90M, and currently, short sellers hold a 3.03% ratio of that floaft. The average trading volume of EA on December 26, 2024 was 1.92M shares.

EA) stock’s latest price update

The stock price of Electronic Arts, Inc (NASDAQ: EA) has jumped by 1.28 compared to previous close of 147.30. Despite this, the company has seen a fall of -3.61% in its stock price over the last five trading days. seekingalpha.com reported 2024-12-21 that The methodology uses earnings yield, dividend yield, and 5-year dividend CAGR to score and rank 55 stocks across all 11 sectors. Stocks with no dividends are excluded, ensuring a focus on dividend growth, momentum, and value. The top stocks by sector are evaluated and then backtested in an equal weight format.

Analysts’ Opinion of EA

Many brokerage firms have already submitted their reports for EA stocks, with Stifel repeating the rating for EA by listing it as a “Hold.” The predicted price for EA in the upcoming period, according to Stifel is $167 based on the research report published on December 18, 2024 of the current year 2024.

DZ Bank, on the other hand, stated in their research note that they expect to see EA reach a price target of $177, previously predicting the price at $135. The rating they have provided for EA stocks is “Buy” according to the report published on October 31st, 2024.

Goldman gave a rating of “Neutral” to EA, setting the target price at $150 in the report published on July 31st of the current year.

EA Trading at -4.76% from the 50-Day Moving Average

After a stumble in the market that brought EA to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -11.47% of loss for the given period.

Volatility was left at 1.76%, however, over the last 30 days, the volatility rate increased by 2.01%, as shares sank -9.11% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +3.48% upper at present.

During the last 5 trading sessions, EA fell by -3.62%, which changed the moving average for the period of 200-days by +9.11% in comparison to the 20-day moving average, which settled at $159.69. In addition, Electronic Arts, Inc saw 9.06% in overturn over a single year, with a tendency to cut further gains.

Insider Trading

Reports are indicating that there were more than several insider trading activities at EA starting from Wilson Andrew, who sale 5,000 shares at the price of $148.00 back on Dec 20 ’24. After this action, Wilson Andrew now owns 47,615 shares of Electronic Arts, Inc, valued at $739,986 using the latest closing price.

Schatz Jacob J., the EVP, Global Affairs and CLO of Electronic Arts, Inc, sale 1,500 shares at $156.27 during a trade that took place back on Dec 16 ’24, which means that Schatz Jacob J. is holding 24,886 shares at $234,409 based on the most recent closing price.

Stock Fundamentals for EA

Current profitability levels for the company are sitting at:

  • 0.19 for the present operating margin
  • 0.78 for the gross margin

The net margin for Electronic Arts, Inc stands at 0.14. The total capital return value is set at 0.14. Equity return is now at value 13.96, with 7.96 for asset returns.

Based on Electronic Arts, Inc (EA), the company’s capital structure generated 0.2 points at debt to capital in total, while cash flow to debt ratio is standing at 1.17. The debt to equity ratio resting at 0.25. The interest coverage ratio of the stock is 16.55.

Currently, EBITDA for the company is 1.99 billion with net debt to EBITDA at -0.13. When we switch over and look at the enterprise to sales, we see a ratio of 5.25. The receivables turnover for the company is 7.31for trailing twelve months and the total asset turnover is 0.56. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.43.

Conclusion

In a nutshell, Electronic Arts, Inc (EA) has experienced a mixed performance in recent times. The stock has received mixed “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.

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