Electronic Arts (NASDAQ:EA) Issues 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 (EPS) guidance of 7.040-7.650 for the period, compared to the consensus 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 Stock Performance

Shares of Electronic Arts stock traded up $1.71 during trading hours on Thursday, hitting $150.85. 2,645,647 shares of the company were exchanged, compared to its average volume of 2,059,914. The business has a 50-day moving average of $144.89 and a 200-day moving average of $140.02. Electronic Arts has a 1 year low of $121.63 and a 1 year high of $153.51. The company has a current ratio of 1.45, a quick ratio of 1.45 and a debt-to-equity ratio of 0.25. The stock has a market capitalization of $40.09 billion, a price-to-earnings ratio of 32.23, a P/E/G ratio of 1.97 and a beta of 0.79.

Electronic Arts (NASDAQ:EA) last posted its quarterly earnings results on Tuesday, July 30th. The game software company reported $0.09 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.03 by $0.06. Electronic Arts had a net margin of 15.77% and a return on equity of 16.34%. The firm had revenue of $1.26 billion during the quarter, compared to analysts’ expectations of $1.21 billion. As a group, analysts expect that Electronic Arts will post 5.93 EPS for the current fiscal year.

Electronic Arts Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, December 18th. Stockholders of record on Wednesday, November 27th will be issued a $0.19 dividend. The ex-dividend date of this dividend is Wednesday, November 27th. This represents a $0.76 annualized dividend and a dividend yield of 0.50%. Electronic Arts’s dividend payout ratio is currently 16.24%.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on EA. Bank of America increased their price objective on Electronic Arts from $150.00 to $170.00 and gave the stock a “buy” rating in a research report on Wednesday, July 31st. Roth Mkm raised their price objective on shares of Electronic Arts from $154.00 to $158.00 and gave the company a “neutral” rating in a research note on Wednesday. Citigroup downgraded shares of Electronic Arts from a “buy” rating to a “neutral” rating and boosted their price objective for the stock from $148.00 to $161.00 in a report on Monday, July 15th. StockNews.com raised shares of Electronic Arts from a “buy” rating to a “strong-buy” rating in a report on Thursday. Finally, Jefferies Financial Group began coverage on Electronic Arts in a research note on Thursday, July 11th. They set a “buy” rating and a $165.00 price target on the stock. Eight investment analysts have rated the stock with a hold rating, eleven have given a buy rating and two have given a strong buy rating to the company. According to MarketBeat.com, Electronic Arts currently has a consensus rating of “Moderate Buy” and a consensus price target of $164.39.

Insider Transactions at Electronic Arts

In other Electronic Arts news, CEO Andrew Wilson sold 2,500 shares of the business’s 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 completion of the transaction, the chief executive officer now directly owns 56,747 shares in the company, valued at approximately $8,448,493.36. The trade was a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. In other Electronic Arts news, CEO Andrew Wilson sold 2,500 shares of Electronic Arts stock in a transaction dated Monday, August 26th. The stock was sold at an average price of $148.88, for a total value of $372,200.00. Following the completion of the sale, the chief executive officer now owns 56,747 shares in the company, valued at $8,448,493.36. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Jacob J. Schatz sold 1,500 shares of the stock in a transaction dated Tuesday, October 15th. The stock was sold at an average price of $144.72, for a total transaction of $217,080.00. Following the transaction, the executive vice president now owns 24,860 shares in the company, valued at approximately $3,597,739.20. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 24,770 shares of company stock worth $3,652,410 over the last ninety days. 0.22% of the stock is currently owned by corporate insiders.

About Electronic Arts

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.