Electronic Arts (EA) Cut to “Neutral” at Atlantic Securities

Electronic Arts (NASDAQ:EA) was downgraded by equities researchers at Atlantic Securities from an “overweight” rating to a “neutral” rating in a report released on Wednesday, The Fly reports.

EA has been the subject of a number of other research reports. Morgan Stanley cut their target price on shares of Electronic Arts from $130.00 to $122.00 and set an “equal weight” rating for the company in a research note on Friday, August 31st. Bank of America cut shares of Electronic Arts from a “buy” rating to a “neutral” rating and dropped their price objective for the stock from $159.00 to $126.00 in a research report on Friday, August 31st. They noted that the move was a valuation call. Wedbush set a $158.00 price objective on shares of Electronic Arts and gave the stock a “buy” rating in a research report on Tuesday, October 23rd. BidaskClub upgraded shares of Electronic Arts from a “sell” rating to a “hold” rating in a research report on Friday, September 28th. Finally, SunTrust Banks dropped their price objective on shares of Electronic Arts to $140.00 and set a “buy” rating for the company in a research report on Friday, August 31st. Two research analysts have rated the stock with a sell rating, six have issued a hold rating, twenty-two have given a buy rating and one has issued a strong buy rating to the stock. The stock currently has an average rating of “Buy” and an average target price of $141.87.

NASDAQ:EA opened at $94.83 on Wednesday. Electronic Arts has a 1 year low of $89.12 and a 1 year high of $151.26. The company has a debt-to-equity ratio of 0.19, a current ratio of 3.84 and a quick ratio of 3.84. The company has a market capitalization of $29.33 billion, a PE ratio of 27.57, a PEG ratio of 1.56 and a beta of 0.58.



Electronic Arts (NASDAQ:EA) last posted its earnings results on Tuesday, October 30th. The game software company reported $0.83 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.37 by $0.46. Electronic Arts had a net margin of 14.30% and a return on equity of 25.31%. The company had revenue of $1.22 billion during the quarter, compared to analysts’ expectations of $1.18 billion. During the same quarter in the previous year, the company posted $0.62 earnings per share. Electronic Arts’s quarterly revenue was up 3.6% compared to the same quarter last year. As a group, sell-side analysts anticipate that Electronic Arts will post 3.89 EPS for the current year.

In related news, CFO Blake J. Jorgensen sold 10,500 shares of the company’s stock in a transaction on Tuesday, August 7th. The shares were sold at an average price of $130.06, for a total value of $1,365,630.00. Following the completion of the transaction, the chief financial officer now directly owns 135,991 shares of the company’s stock, valued at approximately $17,686,989.46. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Luis A. Ubinas sold 7,750 shares of the company’s stock in a transaction on Thursday, August 2nd. The stock was sold at an average price of $128.50, for a total transaction of $995,875.00. Following the completion of the transaction, the director now directly owns 1,191 shares of the company’s stock, valued at $153,043.50. The disclosure for this sale can be found here. Insiders have sold a total of 107,250 shares of company stock valued at $12,624,655 in the last quarter. Corporate insiders own 2.24% of the company’s stock.

A number of hedge funds and other institutional investors have recently made changes to their positions in EA. Kaizen Advisory LLC lifted its position in Electronic Arts by 159.5% during the 2nd quarter. Kaizen Advisory LLC now owns 763 shares of the game software company’s stock worth $108,000 after buying an additional 469 shares in the last quarter. Alpha Windward LLC bought a new stake in Electronic Arts during the 2nd quarter worth about $113,000. Sun Life Financial INC lifted its position in Electronic Arts by 389.4% during the 2nd quarter. Sun Life Financial INC now owns 832 shares of the game software company’s stock worth $117,000 after buying an additional 662 shares in the last quarter. Massey Quick Simon & CO. LLC lifted its position in Electronic Arts by 165.4% during the 3rd quarter. Massey Quick Simon & CO. LLC now owns 1,083 shares of the game software company’s stock worth $130,000 after buying an additional 675 shares in the last quarter. Finally, Cerebellum GP LLC bought a new stake in Electronic Arts during the 3rd quarter worth about $197,000. 93.41% of the stock is 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, 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, Mass Effect, Need for Speed, The Sims, and Plants v.

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