Zacks Investment Research upgraded shares of Electronic Arts (NASDAQ:EA) from a sell rating to a hold rating in a research report sent to investors on Monday morning.
According to Zacks, “Electronic Arts' reported a solid fourth-quarter fiscal 2018 results wherein both earnings and revenues beat estimates and improved year over year. Strength in digital business backed by live services and mobile games remain a key growth driver. EA has been the primary beneficiary of the ongoing shift from physical to digital versions of video games. The company expects the digital business to continue to remain a tailwind. Shares have outperformed the industry in the past year. However, the hit driven and competitive nature of video game industry begets caution. Rise in operating expense, mainly due to higher investments in games and live services, is an overhang on the bottom line.”
A number of other brokerages have also commented on EA. Wedbush restated a buy rating and issued a $138.00 price target on shares of Electronic Arts in a report on Wednesday, January 31st. Stifel Nicolaus restated a buy rating and issued a $129.00 price target (up from $128.00) on shares of Electronic Arts in a report on Friday, January 26th. Vetr upgraded Electronic Arts from a sell rating to a buy rating and set a $142.00 price target on the stock in a report on Monday, March 12th. BidaskClub upgraded Electronic Arts from a hold rating to a buy rating in a report on Saturday. Finally, Oppenheimer restated a buy rating and issued a $130.00 price target on shares of Electronic Arts in a report on Wednesday, January 17th. Four research analysts have rated the stock with a hold rating, twenty-three have given a buy rating and one has assigned a strong buy rating to the company. The company has an average rating of Buy and an average target price of $139.71.
Electronic Arts opened at $132.53 on Monday, Marketbeat reports. The stock has a market capitalization of $40.74 billion, a price-to-earnings ratio of 32.79, a price-to-earnings-growth ratio of 2.06 and a beta of 0.82. Electronic Arts has a 1 year low of $130.96 and a 1 year high of $133.97. The company has a quick ratio of 1.92, a current ratio of 2.41 and a debt-to-equity ratio of 0.22.
In other Electronic Arts news, SVP Jacob J. Schatz sold 1,000 shares of the business’s stock in a transaction that occurred on Tuesday, February 20th. The stock was sold at an average price of $125.37, for a total transaction of $125,370.00. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Leonard S. Coleman, Jr. sold 7,125 shares of the business’s stock in a transaction that occurred on Friday, February 16th. The stock was sold at an average price of $126.21, for a total value of $899,246.25. The disclosure for this sale can be found here. In the last three months, insiders have sold 86,879 shares of company stock worth $10,653,234. Company insiders own 2.55% of the company’s stock.
Hedge funds and other institutional investors have recently made changes to their positions in the business. BlackRock Inc. grew its position in shares of Electronic Arts by 6.7% in the first quarter. BlackRock Inc. now owns 22,724,888 shares of the game software company’s stock valued at $2,755,165,000 after purchasing an additional 1,427,595 shares during the last quarter. American Century Companies Inc. grew its position in shares of Electronic Arts by 16.4% in the first quarter. American Century Companies Inc. now owns 3,354,732 shares of the game software company’s stock valued at $406,728,000 after purchasing an additional 471,449 shares during the last quarter. Geode Capital Management LLC grew its position in shares of Electronic Arts by 3.3% in the fourth quarter. Geode Capital Management LLC now owns 3,249,844 shares of the game software company’s stock valued at $340,709,000 after purchasing an additional 102,739 shares during the last quarter. Winslow Capital Management LLC grew its position in shares of Electronic Arts by 38.4% in the first quarter. Winslow Capital Management LLC now owns 2,438,007 shares of the game software company’s stock valued at $295,584,000 after purchasing an additional 675,942 shares during the last quarter. Finally, Carmignac Gestion acquired a new position in shares of Electronic Arts in the first quarter valued at approximately $288,674,000. 94.74% of the stock is currently owned by hedge funds and other institutional investors.
Electronic Arts Company Profile
Electronic Arts Inc develops, markets, publishes, and distributes games, content, and services for game consoles, personal computers, mobile phones, and tablets worldwide. It develops and publishes games primarily under the Battlefield, Mass Effect, Need for Speed, The Sims, and Plants v. Zombies brands; and license games from others, such as FIFA, Madden NFL, and Star Wars, as well as publishes and distributes games developed by third parties.
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